The Canadian government unveiled a series of initiatives on Monday to support industries impacted by U.S. tariffs, particularly in the aluminum and steel sectors.
Minister of Industry Mélanie Joly emphasized the importance of these new policies in helping Canadian businesses diversify and enhance their production capabilities, ultimately creating new opportunities for Canadians and strengthening supply chains nationwide.
A key component of the government’s plan is a $5 billion allocation to the Strategic Response Fund, aimed at assisting businesses across various sectors affected by tariffs. The fund will support companies in navigating the challenges of the trade war, with a focus on fostering workforce development and training initiatives.
Small and medium-sized enterprises stand to benefit significantly, with the Regional Tariff Response Initiative set to provide up to $1 million in financial assistance to eligible businesses. Additionally, loans from the Business Development Bank of Canada will see an increase in funding, offering more flexibility and support to Canadian companies facing financial constraints.
Furthermore, the automotive industry will see relief as manufacturers are no longer required to meet the 20% electric vehicle sales quota for the 2026 model year, providing them with greater flexibility in their production strategies.
As part of the government’s commitment to supporting Canadian suppliers, measures will be implemented to ensure that federal spending is directed exclusively towards domestic businesses. This initiative extends to Crown corporations and will be encouraged at the provincial and municipal levels as well.
Keyphrase: Canadian industry support
