Families who’ve completed that long list of back-to-school shopping have likely noticed a bigger bill this year.
The higher costs are linked to inflationary pressures and U.S. tariffs, according to John Graham, Director of Government Relations with the Retail Council of Canada (RCC).
“The global disruption caused by U.S. policies has already begun to directly impact some costs for retailers,” Graham said.
A significant amount of school supplies are manufactured in Southeast Asia and China – regions impacted by U.S. trade uncertainty. As a result, Graham says, global prices are being affected.
“When you have escalating prices or uncertainty within those countries and those specific manufacturers, they are usually adjusting prices to reflect that uncertainty or the escalated pressure they’re experiencing in the U.S. market,” he explained.
“It has an indirect impact on pricing for other countries like Canada.”
Which items are getting pricier?
Prices on pencil cases, pens and calculators along with backpacks, clothing and running shoes are likely to be impacted the most, according to Graham.
A study from the RCC suggests lists of school supplies could total between $650 and $750 per student.
“School supplies are getting expensive,” Alex Jordan said after buying the last of her son’s Grade 2 supplies.
“We still have some leftovers from last year that I’m going to throw in there for him.”
The Salvation Army runs a backpack program every year that provides school supplies to thousands of students who wouldn’t be able to afford it otherwise.
Derek Kerr, executive director of the Salvation Army’s Community and Family Services, says their funding for the program doesn’t stretch as far as it used to.
“Our buying power is decreasing,” Kerr said.
“We’re trying to help as many people as we can, so we’ve tried to go midway on a lot of product, but maintaining a certain standard.”
Price hikes will likely escalate as the holiday shopping season closes in, according to Graham. He anticipates the cost of foreign goods and in-store inventory will increase as a continued result of global tariffs.
