How Mark Carney’s Tariff Response Affects You and Your Business

On September 5, 2025, Prime Minister Mark Carney rolled out a bold economic playbook aimed at shielding Canadian workers and businesses from the growing impact and increasing threat of U.S. tariffs. While it’s an anticipated political announcement, and likely one of many to come—it could be real support that matters for you and your finances.

What’s in the announcement?

Here’s the quick rundown:

• A $5 billion Strategic Response Fund to support businesses hit hardest by tariffs—especially small or medium-sized businesses in agriculture, seafood, and other sensitive sectors. 
• A new “Buy Canadian” procurement policy pushing federal—and eventually provincial and municipal—projects to prioritize Canadian suppliers. 
• Delay of the 2026 zero-emission vehicle (ZEV) sales target—that 20% EV sales requirement? Scrapped for now, easing pressure on automakers facing steep tariffs. 

Each of these moves is about giving Canada a clearer path during uncertain trade times and a volatile economy.

Why it matters to you

• Cash flow relief for small businesses
  If you're in agriculture or another vulnerable sector, that $5 Billion fund could be your lifeline—think grants, flexible funding, and operational cushioning. We don’t have firm details on these, but we’ll share those as soon as we have them. 
• Greater opportunities for Canadian suppliers
  Are you supplying materials or services? The Buy Canadian policy is your cue to pitch for government contracts that may previously seemed tough to compete for.
• Less strain on automotive-related entrepreneurs
  If your business touches auto parts or related tech, pausing the ZEV target gives your you and your clients more breathing room.

The bigger picture: Navigating Canada’s trade pivot

Carney’s strategy marks a pivot from retaliation to resilience. Instead of sparring with trade partners, Canada is investing in itself—through domestic procurement, funds, and easing industry mandates. It’s a shift rooted in long-term stability.

On September 5, 2025, Carney didn’t just talk tariffs—he delivered a toolkit for local businesses:

• Financial relief via a multi-billion-dollar fund
• Procurement favouring Canadian suppliers
• Regulatory relief for the auto industry

Continue to check in at TurboTax Canada’s Learning Hub to learn more details of these programs as they are released. And in those changes, there’s opportunity—for cost capture, smarter planning, and tax filing that puts your business first.

TurboTax Canada stands ready to help you file confidently and claim everything you’re entitled to, so you can keep building your business while trade dynamics shift.

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