Ottawa announces $6 billion aid package for businesses hit by trade war

By Canadian Press on March 7, 2025.

OTTAWA — The federal government is unveiling a $6 billion aid package to support Canadian businesses through the trade war with the United States.

Ottawa’s “Trade Impact Program” earmarks $5 billion over the next two years to help businesses cope with decreased U.S. sales and reach new global markets.

It’s also making $500 million available for business loans at preferred interest rates, and another $1 billion for loans specifically for the agricultural sector.

The government is also building new flexibility into the employment insurance program to help businesses retain workers by reducing work hours.

The federal government suspended a planned second wave of retaliatory tariffs after U.S. President Donald Trump signed an executive order Thursday to pause some new duties on Canada and Mexico.

Trump has ordered 25 per cent tariffs on all steel and aluminum imports into the United States as of March 12 — tariffs the White House has confirmed would stack on top of the other duties imposed on Canada.

This report by The Canadian Press was first published March 7, 2025.

The Canadian Press