Ermine Skate, a high-end Nordic ice skate manufacturer based in Anchorage, Alaska, is experiencing significant challenges due to recent tariffs imposed by the U.S. government.
Having invested heavily in the local economy and supporting local artists, designers, and tradespeople, Ermine Skate prides itself on being a genuine homegrown company.
However, many in the industry believe that tariffs could help U.S. manufacturers like Ermine Skate, but this perspective is misguided.
Paxson Woelber, the owner of Ermine Skate, argues that high tariffs are actually harming domestic producers rather than protecting them.
Understanding what tariffs are is critical; they are taxes that importers pay on goods brought into the U.S.
These taxes are ultimately passed on to consumers, increasing the cost of goods sold.
Reports indicate that the tariffs are driving up prices not only for consumers but also for manufacturers, significantly impacting local businesses like Ermine Skate.
The tariffs specifically affect raw materials, such as stainless steel and aluminum, both of which are essential to the manufacture of Ermine’s skates.
Additionally, tariffs have been placed on crucial machinery needed for production.
For example, the specialty radius machine, which grinds a precise curve onto the skate blades, is made in the Netherlands, and Ermine’s industrial CO2 laser is sourced from China.
Any disruption in trade across these channels could render critical machinery obsolete and strangle production.
The interconnected nature of the outdoor sports equipment ecosystem further complicates matters, as skaters also depend on various products that are produced internationally.
Ermine Skate relies on ice safety products manufactured in Sweden, which were recently hit with a 20% EU-wide tariff, later reduced to 10% for a limited period.
The consequence of these tariffs, combined with the depreciation of the U.S. dollar, results in higher costs and ultimately less accessibility for consumers.
This stretching of costs isn’t only affecting the skates; it puts immense pressure on retailers as well.
Many smaller outdoor gear retailers, often family-owned and operated, are grappling with the uncertainty created by these trade policies.
One retailer even reported halting all preorders for the next season, demonstrating a significant loss of confidence in its ability to manage future expenses.
Such caution reflects a broader trend of declining consumer confidence in the United States, which has reached its second-lowest level since 1952, even lower than during the 2008 financial crisis.
As consumers become more apprehensive about the economy, spending on non-essential items like Nordic skates will likely diminish.
While the notion of blocking foreign competitors through high tariffs may create a temporary advantage for American companies, this monopoly comes at a price.
A government-induced monopoly does not encourage innovation nor ensure better value for consumers.
Woelber sees his competitors, like Zandstra and Lundhags, as partners in a broader industry effort rather than adversaries.
During a recent conversation with an international business partner, Woelber noticed a shift in the usual cordial relations as the partner expressed bewilderment over the U.S. stance in international trade.
The partner conveyed a message that though they appreciated their longstanding relationship, the U.S. seems to be adopting a hostile approach towards global collaboration.
This sentiment echoes sentiments from various countries across the globe; they are not just responding with tariffs but also feeling betrayed and confused by U.S. trade policies.
The trade war is not merely an economic issue; it bears significant implications for international relations and America’s reputation globally.
Broken trust can take years, if not decades, to rebuild, and the effects of this trade war may stretch far beyond immediate economic impacts.
As Ermine Skate navigates this tumultuous landscape, Woelber and many like him worry about the long-term consequences of the current trade policies, which appear to be driving a wedge between the U.S. and its trading partners.
The Environment for small businesses continues to grow increasingly uncertain, and the local economy, which many have fought so hard to support, risks suffering irreparable damage during this turmoil.
The economic climate demands a careful reconsideration of the policies in place for American manufacturers and incentivizes a collaborative approach with partners around the world.
For companies deeply invested in supporting their communities, time will tell whether these tariffs will prove to be a stumbling block or a catalyst for local growth.
Ultimately, many small business owners hope for normalized trade relations, enabling them to continue contributing positively to their local economies and the fabric of American entrepreneurship.
image source from：https://www.adn.com/opinions/2025/04/25/opinion-i-own-a-made-in-alaska-company-this-trade-war-is-a-disaster/
