Image of the White House with the headline "Tariffs"

The U.S. announces tariffs on Canada

 

President Trump’s announcement of the 25% tariffs on an extensive list of Canadian goods has caused great worry leading up to this moment. Flags are up, as is patriotism, while markets are down. This is a difficult time for Canadian small business owners, and a time for the creativity and resourcefulness this community is known for.

With costs rising at home, and the prices of inputs from America rising, the immediate concerns for small businesses are finding supply chain alternatives and new non-U.S. markets for our products. This could be a time to lean into new relationships – and with Trump threatening tariffs on several countries and regions, we may find suppliers in alternative markets eager to build new trading networks. If you’re looking for alternative suppliers or new export markets, consider exploring resources from Export Development Canada.

 

Collaborate with BWA Members

 

Secondly, expand your Canadian networks to find opportunities to collaborate. Reach out to other folks in the BWA network – maybe there are folks who you can partner with to share costs, resources, promo opportunities, or information. Check out our BWA directory to see who’s in your network. If you’re looking for a specific supplier, cost-sharing partner, or collaboration opportunity, reach out to our team – we may have an idea of who to connect you to.

 

Communicate With Staff

 

We would be remiss if we didn’t mention seeing your staff as an asset during this time of tariffs and uncertainty. Employees may be nervous about job security as costs rise significantly once again — and COVID is still fresh in our minds.

You can use small but meaningful ways to show staff your appreciation to reinforce trust and motivation while keeping costs down.  For example:

  • Throw a fun staff party (pin the tail on the tariff sheet?)
  • Cater a lunch from a local restaurant
  • Plan group volunteer day. Food banks are being used more than ever – perhaps there’s an opportunity to build your team and capacity for these valuable orgs?
  • Set up a “wins” board to recognize your employee’s great performance.
  • Showing appreciation with old-school handwritten notes can work if your handwriting is more legible than Aaron’s.
  • Most importantly, keep employees informed about how your business is responding to these challenges. 

Open communication gives them confidence in your leadership and a better understanding of your priorities and values.

 

Lean Into Your Customers

 

Customers are more conscious than ever about where they spend their money. Consider a marketing strategy about how tariffs impact your costs—many consumers will want to support businesses navigating these challenges. Customers are feeling the sting too, but many customers will make choices to support local Canadian vendors where they can.

In the longer term, if you are thinking of selling your business, be aware that a weaker Canadian dollar means U.S. buyers might be looking to acquire Canadian companies. Keeping Canadian companies local is an important element of a strong economy and future opportunities. If you’re considering existing your business in the near future, have a look at Jon Shell’s posts on LinkedIn to understand why Canadian ownership matters for jobs, wealth, and economic security.

We have heard rumours that the federal government will support Canadians and businesses affected by potential tariffs, but we’ve not seen anything concrete yet.

 

Telling Your Story

 

Our team is advocating for you by launching press releases several times a week. We’ve already gotten picked up by the CBC Local, Canadian Press, and The National for potential stories based on our perspectives on tariffs and small decent work businesses.

Journalists are interested in stories of how businesses are adjusting their plans and dealing with the changes. If you’re interested in sharing your experience with the media, let Lili know. We’ll make sure you are prepared and supported!

BWA members are creative problem-solvers, resourceful operators, and leaders in finding new ways of doing things — that’s what gives you your competitive edge! If you have a strategy or resources to share with the network, share it with us and we will pass it along – your leadership matters.