American vision care non-profit moving to Manitoba as U.S. tariffs drive up costs
Global Vision 2020 says it plans to move production to the province this summer
American organizations that help people in need are now among those facing the sting of U.S. tariffs — and a non-profit that provides eye care to people in 68 countries plans to move its production to Manitoba because of the uncertainty the tariffs have created.
Global Vision 2020 is a non-profit founded 15 years ago, with the goal of making glasses easily accessible, particularly in developing countries.
The organization says in the last seven years, it has helped nearly a million people in Africa, Asia and South America with vision issues, but earlier this month, decided it would be challenging to continue to work out of the United States.
"For us … it's the chaos, it's the disruption, it's the unknowns that are really causing all of this," said Kevin White, Global Vision 2020's founder and executive director.
"We produce a really, really inexpensive product," but tariffs would make that impossible, he said.
The non-profit is able to keep the prices of glasses at roughly $5 a pair by getting materials like frames and lenses from China. Once the materials reach Global Vision's warehouse in Easton, Md., the organization packages and then ships the glasses to clinics and distribution centres in countries that include Ghana, Malawi and Laos.
On April 2, U.S. President Donald Trump announced sweeping tariffs for most countries, but most were later paused — except for tariffs on China.
That move kicked off an ongoing back and forth, with both the U.S. and China adding tariffs.
"We don't even know what's happening," said Greg Wiens, the director of operations for Global Vision 2020. "One day it's 50 per cent, then next day it's 100 per cent."
The total levy on imports from China has now climbed to 145 per cent. That means instead of being able to provide adequate eyeglasses at $5 a pair, Global Vision 2020 would have to almost double its prices or have clinics and distributors in the developing world swallow the cost.
"We obviously can't pay that without passing that cost on to our customers," said White.
Wiens said the added cost is "just not feasible."
"I'm thinking the most about my team … in Congo. They can't swallow that type of sudden increase," he said.
So last week, the organization made the decision to move its warehouse to Manitoba, in an effort to avoid the tariffs by importing to Canada directly from China, said Wiens.
"We just simply don't know what we are going to pay for a tariff," he said. But "going through Canada, we'll keep that price the same."
Global Vision 2020 will move to Manitoba this summer.
'Straw that breaks the camel's back'
An organization that advocates for the 1.5 million non-profits in the U.S. says tariffs could be disastrous for the sector.
"A lot of non-profits are just in a very precarious situation," said Rick Cohen, the chief operating officer for the U.S. National Council of Nonprofits.
"Their budgets are already overstretched," and non-profits in the U.S. are now "facing increased demand for services, increased costs to deliver those services and reduced revenues," he said.
Before this year, most organizations were still grappling with lingering impacts from the pandemic, said Cohen, and they now face the unpredictability of tariffs.
"This may be the straw that breaks the camel's back for some of these groups," he said.
Most non-profits in the U.S. are hoping they'll soon see some relief from the impacts brought on by their government, Cohen said.
But Canada could prove to be a "safe haven" for more organizations like Global Vision 2020, says Stuart Taylor, the CEO of International Development Enterprises in Canada, an anti-poverty non-profit that works in developing countries.
"There's an opportunity for Canada to step up," he said. "There is greater predictability, greater stability in terms of the tariff picture."
His organization is active around the world, including in Central America, Africa and Southeast Asia, and helps small businesses and entrepreneurs deliver essential services to local communities.
"Partners that we work with overseas are quickly looking around and saying, 'Who is a reliable partner?'" said Taylor.
"If Canada's able to step up and do more, it would help to offset that loss."
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