The Lemming King

Artist. Entrepreneur. Mi'kmaq.

[The Lemming King @king_lemming]

@PetesyCarroll Went to the fights. Most went as expected. Odd finish to the night.

[The Lemming King @king_lemming]

@PetesyCarroll You still owe me a smoke from NY NY.

[The Lemming King @king_lemming]

GROK wrote an article for me... Check it out/

Navigating U.S. Tariffs: How American Companies Are Redirecting Supply Chains to Canada
In an era of escalating trade tensions, U.S. companies are increasingly seeking creative strategies to mitigate the impact of high tariffs on imports from countries like China and India. One emerging tactic involves bypassing U.S. borders entirely for products destined for Canadian markets. By shipping goods directly from overseas manufacturers to Canadian warehouses, these firms avoid U.S. tariffs, reducing landed costs and gaining a competitive edge. This shift, however, is raising concerns among Canadian distributors who face intensified competition from cheaper imports. This article explores the mechanics of this approach, its implications for specific industries like bearings, and the broader economic fallout.
The Tariff Landscape: Why Avoidance Matters
The United States has imposed significant tariffs on a wide range of imports, particularly from China and India, as part of ongoing trade policies aimed at protecting domestic industries and addressing trade imbalances. For instance, tariffs on bearings—a critical component in sectors like oil and gas—range from 20% to 25% when imported from China. Similarly, bearings fall under harmonized tariff schedules that have been hit with additional 25% duties since 2018. Recent executive orders under President Trump have further escalated these measures, including a 25% tariff on India for purchasing Russian oil and sweeping duties on Chinese goods.
These tariffs apply when goods enter the U.S., increasing costs for American importers who traditionally warehouse products stateside before distributing them northward. For products sold in Canada, this meant absorbing U.S. duties even if the final destination was across the border. The result? Higher prices that erode competitiveness in Canadian markets.
The Shift: Direct Shipping and Canadian Warehousing
To circumvent these costs, U.S. companies are rerouting their supply chains. Instead of importing to U.S. ports and then exporting to Canada (potentially triggering duties twice under certain scenarios), firms are shipping directly from Chinese or Indian factories to Canadian facilities. This leverages Canada's relatively lower import duties on many goods and avoids U.S. tariffs altogether for non-U.S.-bound shipments.
A growing number of businesses are using Canadian warehouses as hubs for goods originally intended for North American markets, exploiting duty-free thresholds and logistical advantages. For example, third-party logistics providers in Toronto have facilitated this by handling duty-free shipments under $800, allowing U.S. firms to fulfill orders while sidestepping tariffs. Chinese exporters are also routing through Canadian ports to exploit de minimis exemptions, effectively bypassing U.S. restrictions.
This strategy isn't new but has accelerated amid recent tariff hikes. Companies can legally reclassify products, request exemptions, or even partially assemble goods in third countries to qualify for lower duties. In the bearings industry, where components are often sourced from Asia, this direct-to-Canada model has become particularly appealing.
Case Studies in the Bearings Sector
Take the bearings market, essential for oil and gas equipment. Previously, U.S. distributors imported from China or India to American warehouses, then shipped to Canadian clients, inflating costs due to tariffs. Now, firms like EBT Bearings and MasterDrive are reportedly establishing or utilizing Canadian warehouses to receive direct shipments from their Asian partners. This eliminates U.S. tariff exposure, slashing landed costs and enabling lower prices in Canada.
While specific details on EBT Bearings' operations remain limited in public records, the trend aligns with broader industry shifts. MasterDrive, a power transmission specialist, operates in a sector heavily affected by tariffs on machinery components. By redirecting flows, these companies can offer products at reduced rates, undercutting local competitors.
The Ripple Effect: Harm to Canadian Distributors
This tariff-dodging tactic isn't without victims. Canadian-owned firms, such as Resource Bearing Ltd., a distributor based in Canada, are feeling the pinch. Resource Bearing competes in a market where global players like SKF, Schaeffler AG, and NSK Ltd. dominate, but the influx of cheaper U.S.-sourced (yet tariff-free) imports exacerbates the challenge. Long-time customers in oil and gas are shifting to these lower-cost alternatives, eroding market share for domestic players.
Broader data shows small Canadian firms bearing the brunt of U.S. tariffs, with 92% of Canadian exports entering the U.S. tariff-free, but retaliatory measures and supply chain disruptions hitting hard. In Western Canada, steel tariffs have punished local industries without resolving underlying trade issues. For bearing distributors, this means lost orders and squeezed margins as U.S. rivals flood the market with cost-advantaged products.
Broader Implications and Future Outlook
This supply chain pivot highlights the adaptability of global trade but also underscores vulnerabilities in bilateral agreements like the US-Mexico-Canada Agreement (USMCA), which exempts many goods but doesn't fully prevent circumvention. As tariffs evolve— with recent changes closing de minimis loopholes for China-U.S. shipments—companies may need to refine strategies further.
For Canadian policymakers, the challenge is balancing free trade benefits with protecting local businesses. Retaliatory tariffs on U.S. goods, like Canada's 25% duties on $30 billion in imports, signal pushback. Ultimately, while U.S. firms gain short-term advantages, the long-term effects could include strained relations and calls for harmonized North American trade rules.
In summary, the direct-to-Canada shipping model exemplifies how tariffs reshape global logistics, benefiting some while disadvantaging others. As trade wars persist, industries like bearings will continue to adapt, but at what cost to cross-border equity?

[The Lemming King @king_lemming]

Late one sleepless night, I stumbled upon a young man sleeping on the sidewalk outside a 7/11—right in the open, where he felt safest from harm. His vulnerability hit me hard. I went home, grabbed $200, and gave it to him, wishing I could do more.
This inspired my triptych painting "I See You" (acrylic on canvas, 48x72"). A reminder of humanity in the shadows.
What acts of kindness have moved you? #Art #Homelessness #Kindness

[The Lemming King @king_lemming]

"'Someone Catch Me' – a plea for young Indigenous women falling through systemic cracks. How do we stop the MMIWG crisis? Acrylic on canvas, 48x60. Let's talk. #MMIWG #IndigenousWomen #ArtForCh

[The Lemming King @king_lemming]

"Sharing my painting 'Still Angry' – a self-portrait fused with my wolverine spirit animal. Created during a raw moment realizing childhood trauma still lingers. Art as catharsis. #IndigenousArt #MiKmaq #HealingJourney

[The Lemming King @king_lemming]

I understand now. I’m in a rough spot—my business is facing mounting challenges, and it feels like I’m losing control. The stress is bleeding into my life, and I hate the idea of failing. It’s tough to admit, especially as a man. This struggle reminds me of my youth, when my mother’s cousin took his own life. He seemed fine, but I suspect pressures outside his family became too much. I’m not saying I’m there, but I’ve had fleeting thoughts about it. There’s a breaking point where you feel lost, helpless, trapped. I’ve reached out to people and organizations to stabilize my company and realize my vision, but I get “no” or silence. I’ve been this low before, battling severe anxiety and panic disorder, nearly making a bad choice. I fought back then, reordered my thoughts, and found a grip on reality. This fight feels different, heavier. Some are strong enough to handle these moments. I hope I am.

#MentalHealth #Entrepreneurship #BusinessStruggles #Resilience #MenAndMentalHealth #OvercomingChallenges #IndigenousBusiness #Anxiety #KeepGoing #RealTalk

[The Lemming King @king_lemming]

https://t.co/NSZ9cXqBVP

[The Lemming King @king_lemming]

https://t.co/uMLk3EbLTV

[The Lemming King @king_lemming]

Why should any trust @elonmusk @jordanbpeterson ? Because he is open to being wrong.

[Oilersnation.de 🇩🇪 @Oilersnation_de]

leaked Florida Panthers morning skate footage😦

[The Lemming King @king_lemming]

@engineers_feed 90

[The Lemming King @king_lemming]

@JasonGregor Disconnected. They have been playing Disconnected since the all-star break. Doesn't help when your goalie is 90% air.

[The Lemming King @king_lemming]

@IamSue67 An A$$ on Gra$$?

[The Lemming King @king_lemming]

@elonmusk

[Rupa Subramanya @rupasubramanya]

Am struck by the fact that after my testimony yesterday before @JudiciaryGOP @Weaponization on the erosion of free speech in Canada, several American news outlets both large and small reached out to me.

It’s striking that not a single Canadian media house has reached out. Not a single Canadian journalist has even privately shared their views with me whether to agree or to disagree. This perfectly exemplifies my point that large sections of the legacy Canadian media have basically become a handmaiden of the state which provides them financial succour.

[Georges St-Pierre @GeorgesStPierre]

Thank you to the Cree Nation for seting up a Polar plunge for me.
Ekosani! ❤️

[The Lemming King @king_lemming]

@LGCYNetwork @weswadejr @DScamron When r u sending out the link?

[The Lemming King @king_lemming]

@LGCYNetwork @weswadejr @DScamron @weswadejr a ginger with a crypto soul!

[The Lemming King @king_lemming]

Cooking with the Lemmingking. OMG this homemade Beef and Barley soup... #soup #dinner #beef #cook #chief