Trump Tariffs Set To Hit Cannabis Industry

 

It’s more than soybean farmers and car makers who could feel the effects of Donald Trump’s tariffs on Chinese products. The legal cannabis industry will take a hit as well.

Vaping devices, and batteries, filters and cartridges created for vaping devices are all subject to the new tariffs said Arnaud Dumas de Rauly, Co-CEO of The Blinc Group. His company develops and sells technologies and products related to vaping and other ancillary cannabis products, and runs an incubator program that helps develop, research, and brand technology related to cannabis and nicotine vaping.

On July 24th, Dumas de Rauly testified as part of The Office of the U.S. Trade Representative public hearings regarding the proposed tariffs, saying that they will raise prices for medical marijuana patients and other consumers who use vaporizers.

By increasing prices on Chinese-made products, Trump has essentially forced American manufacturers to take time out of running their businesses to find alternate suppliers, “or price themselves out of competition with other manufacturers,” said Juan Carlos Negrin, President of the New Jersey Marijuana Retailers Association.

Smoke Wallin, president of Vertical, a multi-state cannabis growing and production company, said the tariffs have created a sense of urgency around finding new suppliers in America for vape pens, even though the Chinese manufacturers are much less expensive.

Source: https://www.forbes.com/sites/julieweed/2018/08/12/trumps-tariffs-set-to-hit-cannabis-industry/#132a6eac5816