President Donald Trump imposed new tariffs on dozens of countries, including a 34% tariff on Chinese goods. Many countries have announced countermeasures to escalate trade tensions, which could have a significant impact on the global conference sector.
In response, the coalition of live events that were initially during the common crisis but later shelved returned to the industry.
This is a volunteer-run, nonprofit live events and entertainment business alliance.
“The live event industry employs 12 million people and is powered by 1.2 million small businesses. These figures are not faceless,” the alliance said in a statement on tariffs. “When costs go up, we see the effect of dominoes. Corporate travel freezes, tightening marketing budgets, shrinking sponsorships, and internal and external activities are the first to be conducted.”
Increase costs
tariffs on imported steel, aluminum and wood are already raising the costs of booths, stages and other basic events infrastructure. Audiovisual equipment prices are also rising, as many components come from affected countries.
As costs rise, exhibitor participation is expected to decline. Event entrepreneur Dr. BarışOnay warned that international trade fairs could face significant disruption if trade tensions escalate. Higher commodity and logistics tariffs increase exhibitor fees, while trade uncertainty hinders global players.
“These challenges threaten the vitality and international appeal of the U.S.-based trade fair, potentially reshape their role on the global stage,” Onay said.
An economic downturn is imminent
Innovation Conference Chairman Ira Ozer warned that economic uncertainty will prompt companies to cancel non-essential meetings. This could lead to a shift to virtual alternatives to reduce costs.
“Tariffs not only increase costs. They create negative biases on U.S. I companies and individuals who cancel meetings,” Ozer said.
Al Mercuro, strategic marketing and customer engagement consultant for Genesis exhibition, responded to these concerns. “Many of our suppliers manufacture partners from their source materials, parts and overseas frameworks, especially in China. Suppliers have warned us that prices will rise in June, meaning these fees must be transferred to our customers,” he said. “If this trend continues, we may look at recessions that affect the industry as a whole.”
Matthew Byrne, founder and president of Bourne Production Services, took early action after stocking up some essential equipment before the tariffs came into effect. However, he acknowledged that these reserves will not last forever and that the industry will inevitably feel the impact.
“The tariffs that exist between the United States and Canada have not been lifted yet, which will cause recession not only in our industry, but throughout the economy,” Bourne said.
Tariff uncertainty
Heather Dow, senior manager at Events & Management Plus, Kingston, Ontario, is increasingly determined around tariffs and their potential impact on the event industry.
“We are waiting to see what will happen and whether tariffs will affect the events hosted by our clients,” Taofu said. “If Canadian goods-related taxes are included, does it include suppliers like us who provide association-managed services? There is no clear answer yet.”
Dow has observed a decrease in event participation. “Our clients have seen the decline in participation of the two Canadians who went to the U.S. to attend and attend U.S. meetings,” Dow said. “This is mainly due to cuts in funds and participation in the freeze.”
Marsha Flanagan, president and CEO of IAEE, said the exhibition industry, which consists of several industry organizations, held a global conference industry day on April 3. It will soon release information about recommended action steps.
PR Agency DKC’s analysis team launched a dedicated tariff report to help stakeholders educate clients on how to discuss the impact of these trade policies on their activities and bottom lines.
