(Originally posted on LinkedIn on February 20, 2025)
Reuse Just Got More Attractive
Take one pill in February and you’re instantly in shape for bathing suit season in June! The industry of reuse of building materials just got such a pill, but the opportunity may not last until June. What’s that pill? Tariffs.
Tariffs are big in the news. They are like a tax imposed on goods coming into the country that the U.S. government collects. Likewise, other countries impose these on goods coming to them from the U.S. Media want to imply they will be imposed on everything that crosses a border or the sea, but it’s a bit more nuanced than that.
Here’s the good news: "There are no tariffs on what's already here." So a friend reminded me recently.
The truth is that leaders in all these affected countries are playing tit-for-tat in this large-stakes game and most of us have zero influence over what the outcome will be. What’s also true is that there is always another side of the same coin, the silver lining to the cloud, the pony in the poop.
There are no tariffs on what's already here.
When we choose to not throw away whole buildings and we deconstruct buildings instead of demolishing them, then we process the materials the buildings were made of and make them available for new projects as though they were remanufactured materials, they can be used in new construction. And they are already here.
What’s more, if the system to process and make those materials available for new construction were working regionally, then those materials not only would not cross international borders, they may not even cross a state border.
That seems efficient.
Look at the new circumstances. I cannot change them. Can you? So, what can we do to take advantage of the situation? Complain! Oh, no, that’s not it. Think positively. Think creatively. Where is the leverage given new circumstances?
That’s right, no tariffs on these local goods. That’s a significant savings, right?
As of today, here’s where some of these tariffs are (USA Today, February 8, 2025):
Our potential tariffs are on a 30-day hold from February 4th. On products from Mexico, they would be 25% on steel and aluminum, but that could change. It’s a negotiation.
Canada: After the pause, if they reach no other agreement, we would impose 10% on oil and gas and 25% on all remaining imports. They would match that with percentages, but the mix of goods would be different on tariffs applied to our goods entering their country. Tit-for-tat.
China and the U.S. are in another back-and-forth dickering and bickering.
Back to our silver lining. If tariffs do get imposed upon incoming goods at 10% or 25%, that’s a substantial difference, because Extracted-in-America products from reuse do not suffer this price hike. That is our opportunity!
Let’s highlight something else I touched on above, the regional aspect. During the days of Covid lockdown, when prices of new materials skyrocketed, used materials became instantly a better deal. Again, they were local and not being shipped cross-country or being stalled in some port on a ship. Supply chain issues are a big deal. But not if the materials are already nearby.
Generally speaking, recaptured materials are already nearby.
We are busy creating The New Model of Reuse of Recaptured Building Materials™. The solution is big, but it’s not rocket science. In fact, here’s the gist of it:
> Deconstruction, removal, and transport
> Processing
> Inventory Management
> Storage
> Channels of Sales and Distribution – online, wholesale, retail
> Greater Availability
> Greater Consistency
> Larger markets
> Bigger Projects
... New Opportunity.
The proverbial iron is hot. The opportunity has arrived like a Trojan Horse, disguised as something completely different. This time, while it looks ugly on the outside, the gift is in the inside.
Join us now to act on that gift. It won’t be here forever.
Larry