Navigating US Tariffs

Evolving Tariff Negotiations Continually Reshape Our Business Environment

As you are aware, the trade dynamics between Canada and the United States (U.S.) are constantly evolving with the imposition (and pausing) of tariffs continually reshaping our business environment. 

As dynamics continue to evolve, rest assured the Government of Canada's Trade Commissioner Service is closely monitoring the situation and remain committed to supporting businesses during this period of uncertainty. While tariffs may present challenges, they are dedicated to helping businesses adapt and to position Canada as a premier destination for foreign direct investment (FDI).

Effective March 6th, the U.S. announced an exemption on Canadian goods compliant with the Canada-United-States-Mexico Agreement (CUSMA) until April 2. While Canada’s initial retaliatory tariffs remain in place, the second wave of retaliatory tariffs have been suspended until further notice. As it stands, a 25% tariff on steel and aluminum exports to the U.S. is scheduled to take effect March 12.

Moreover, the Government of Canada announced new measures to protect Canadian businesses and workers, including the launch of a Trade Impact Program ($5 billion over two years), $500 million in favourably priced loans through the Business Development Bank of Canada and $1 billion in new financing through Farm Credit Canada. The Foreign Direct Investment team continues to monitor all developments closely and will provide updates as necessary.

Guidance will be sent in the coming weeks to economic development organizations approved for CanExport Community Investments funding who wish to modify 2025-2026 initiatives.To help you navigate the evolving situation, please find a list of resources below. 

 Department of Finance

·         Canada’s Response to U.S. Tariffs on Canadian Goods

·         List of products from the United States subject to 25 per cent tariffs effective March 4, 2025

·         Process for requesting remission of tariffs that apply on certain goods from the U.S.

Global Affairs Canada

·         Supporting Canadian exporters through United States tariff challenges

·         Canada’s Trade Agreements

Export Development Canada

·         Preparing your business for tariffs: A checklist for exports

·         Trade Impact Program

Business Development Bank of Canada

·         Support for Canadian businesses impacted by uncertainty around US tariffs

Canada Tariff Finder

As the Government of Canada Trade Commissioner Service engages our American counterparts, each of us plays a key role in achieving our shared goals. They encourage you to reach out to their team via PartnershipsFDI-PartenariatsIDE@international.gc.ca with any news you receive of investment decision changes made by investors considering our communities, or investors already in our communities.

FDI Partnerships Team | Équipe des partenariats de l’IDE
Investment Promotion Division | Direction de la promotion de l’investissement
Email | Courriel : PartnershipFDI-PartenariatsIDE@international.gc.ca
Government of Canada | Gouvernement du Canada