Tariffs have taken their toll on the entire US economy, with businesses across the country pulling back investment and canceling hiring plans.
But Wisconsin is certainly taking its fair share of the damage, with several factories closing as the economic situation steadily worsens.
And unfortunately, the pain isn’t over yet – another Wisconsin factory is closing its doors (and laying off dozens of employees) as tariffs continue to damage the local economy.
More specifically, Silgan Containers Manufacturing Corp. is closing its factory in Oconomowoc, Wisconsin – at the cost of 56 good-paying manufacturing jobs.
If you’ve never heard of Silgan, that’s no surprsie – they’re not exactly a household name among food brands. Silgan makes metal cans for food storage. (Think: Canned goods.)
And unfortunately, their business has become quite a bit harder to operate since tariffs began.
That’s simply because tariffs on steel have driven up can manufacturing prices (and canners like Silgan often import 70% or more of the steel they use to make cans), making what was already a low-margin business unsustainable in some corners.
Of course, zooming out, the economic picture is bleak for the food supply chain even without considering the cost of steel cans.
Tariffs and the trade war have introduced significant uncertainty in the economy and have added to already-stubborn inflation…and, of course, the growing economic fears have led to a pullback in consumer spending.
Add it all together and you’ve got increased prices and falling demand – hardly a recipe for economic success.
So it’s not shocking that companies like Silgan are pulling back their operations and trimming costs where they can.
Unfortunately, it’s hard-working Wisconsinites who pay the price in lost jobs. These are folks who did nothing wrong, who showed up to work every day, who showed real loyalty – and unfortunately their reward for that is to now be out of a job in what looks like a pretty difficult economy.
My heart goes out to them. If you have any words of wisdom or advice to share with these folks, please leave a comment! And if you believe that stories like these are important, please follow The Coconut Mama and share this story widely.
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