Unexpected tariffs increase the cost of West Maui’s Olowalu Fire Station project

An unexpected increase in costs resulting from US tariffs on Canadian steel and steel components has created a financial challenge for the West Maui Improvement Foundation’s Olowalu Fire Station project.

The nonprofit WMIF has been working since 2022 on plans to make for the modular fire station in an effort to help protect Lahaina and surrounding West Maui communities. 

“The project represents an important community effort to strengthen fire protection in an area that understands, all too painfully, the devastating consequences of wildfire,” organization leaders said. “Following the catastrophic Lahaina wildfire of August 2023, the need to improve emergency preparedness and fire protection throughout West Maui has taken on even greater urgency.”

The goal is to provide a much-needed fire station that can be donated to the County of Maui. The modular facility is being constructed by Extreme Modular Buildings in Canada and is intended to serve as an important addition to the area’s emergency response capabilities.

Organizers say an unexpected tariff expense has substantially increased the project’s financial burden.

The project faces an additional $314,136 charge attributed to new US tariffs on steel and components made of steel. The change order also identifies revised transportation and construction-related expenses, including mainland freight, ocean and island freight, crane services, and the contractor’s markup on freight and crane costs.

The document lists the following figures:

• Previous price before freight and cranes: $1,307,700.
• Increase attributed to US tariffs on steel and steel components: $314,136.
• Revised mainland freight: $159,000.
• Revised ocean and island freight: $349,100.
• Revised crane costs: $210,000.
• Contractor’s markup on freight and crane costs: $107,715.
• Total amount of Change Order No. 01: $242,560.02.
• Amended project price: $2,447,651.

Note: The financial figures are based on Extreme Modular Buildings’ Change Order No. 01, dated Sept. 26, 2025. The change order identifies the $314,136 tariff charge; it does not establish whether any tariff exemption or refund is available.

The unexpected tariff expense presents a serious challenge for a nonprofit organization undertaking a major public-safety project, organizers said.

“Unlike a commercial developer that may have multiple revenue sources, WMIF must find the necessary funding to meet its financial obligations while continuing to pursue its mission of helping protect the people of West Maui,” according to the organization.

To learn more about the Foundation and its activities, visit:

• West Maui Improvement Foundation: https://www.wmifinc.org
• West Maui Taxpayers Association: https://westmaui.org