The April 2025 U.S. tariffs have sent shockwaves through Toronto’s business landscape, placing a 25% levy on Canadian steel, aluminum, and automotive exports, alongside a 10% charge on energy products. Although these measures may threaten profitability and disrupt supply chains, they can open doors to innovation, resilience, and growth.

Toronto businesses face rising costs and shrinking competitiveness in U.S. markets, especially in the manufacturing and energy sectors. Supply chain disruptions are inevitable as firms scramble to find alternatives to American suppliers. In response, Toronto has rolled out its Mayor’s Economic Action Plan, prioritizing Canadian suppliers for municipal contracts under $353,300 for goods and services and $8 million for construction projects. The city also introduced a six-month Industrial Property Tax Deferral Program to provide cash flow relief for eligible businesses facing tariff-related financial hardship.

Ontario’s 11-billion-dollar relief package further supports businesses with tax deferrals across 10 provincial tax programs and $2 billion in rebates through the Workplace Safety and Insurance Board (WSIB). These measures aim to shield businesses from economic uncertainty while preserving jobs.

Work to Strengthen the Local Supply Chains: The city’s procurement policy now favors Canadian suppliers for smaller projects and goods. This shift creates opportunities for local manufacturers to secure municipal contracts, fostering stronger regional partnerships.

Expanding Global Markets: Canada’s extensive free trade agreements with 51 countries allow Toronto businesses to diversify exports beyond the U.S. This allows Toronto to tap into new markets with reduced barriers.

Fostering Innovation: Relief funds can be reinvested into research and development, enabling businesses to adapt their operations, develop new products, or explore sustainable practices that enhance competitiveness.

Toronto businesses are currently experiencing a view from a narrow precipice, looking into the abyss.  It is time to look for the opportunity in chaos. For those courageous achievers who can see the advantage of all the available supports, there is an opportunity to transform tariff challenges into stepping stones for a more positive economic future.

Elbows up!

Sheryl Rogers- The Connection Catalyst

Toronto, Ontario

Email: torontobiznews@gmail.com 

Linked In:. https://www.linkedin.com/in/sheryl-rogers/

Bluesky:  @connectioncatalyst. bsky.social

Tags: #Toronto Business, #US Tariffs, #Manufacturing Excellence, #Energy Sector, #Mayor's Economic Action Plan, #Industrial Property Tax Deferral Program, #Safety Rebates, Sheryl Rogers

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