NORTH CAROLINA — North Carolina appears to be a key player in the escalating trade tensions between the US and Canada.
Prepac, a furniture manufacturer from British Columbia, is relocating its operations and manufacturing to a site near Greensboro. Unifor, the employee union, asserted that the situation is a result of new tariffs threatened by the Trump administration, whereas the company attributed it to various economic factors.
“In our perspective, companies like this are taking advantage of the situation, using it as a pretext to relocate to regions with lower costs. They will continue this trend, and the additional challenges posed by cross-border tariffs only serve to increase expenses,” stated Gavin McGarrigle, Western Regional Director for Unifor.
According to Queen City News, McGarrigle announced that approximately 170 employees are anticipated to be laid off, with many having dedicated decades of service to the company.
The White House has positioned the recent decision as a significant victory for the President and his tariff approach, sharing a story about it on an official X account managed by the White House. Notable Republicans from North Carolina, such as Senator Thom Tillis and former Congressman Dan Bishop, shared the link.
However, in a recent statement, Prepac’s CEO appeared to downplay the recent developments. In a recent statement, CEO Nick Bozikis emphasized that the choice to consolidate production at the North Carolina facility was the result of extensive deliberation and analysis, initiated well before any tariff concerns impacted Prepac’s operations.
Bozikis announced that they are streamlining operations by moving them to the North Carolina plant, which was established four years ago in response to a decline in demand for their products.
