Carney Unveils $5 Billion Support Package for Tariff-Hit Sectors

OTTAWA – Prime Minister Mark Carney has announced a comprehensive support package aimed at sectors significantly affected by tariffs imposed by the United States. On September 5, 2024, Carney detailed the introduction of a new fund totaling $5 billion to assist companies across all industries impacted by these tariffs.

The Prime Minister emphasized the need for Canada to adapt to changing trade dynamics, stating that reliance on the U.S. market as in the past is no longer viable. This announcement comes amid ongoing trade negotiations between the Canadian government and the administration of U.S. President Donald Trump, which has enforced tariffs on a wide range of goods globally.

To bolster domestic industries, Carney introduced a “Buy Canadian” policy aimed at prioritizing local procurement in federal government contracts. This initiative seeks to support local businesses and stimulate the Canadian economy. Additionally, the government is set to provide targeted assistance for the canola sector, which has faced considerable challenges due to trade restrictions.

In a notable move, Carney also announced a one-year postponement of the electric vehicle sales mandate, a decision intended to ease the regulatory burden on the automotive industry during this period of uncertainty.

The government plans to expand financial support and loan programs for small and medium-sized enterprises, recognizing their critical role in Canada’s economic framework. Furthermore, new measures will be implemented to help workers gain essential skills, ensuring that the workforce remains competitive as industries evolve.

Carney’s government is committed to building a more resilient economy that can withstand global shocks, highlighting a shift towards a more diversified industrial strategy. The Prime Minister stated that these initiatives are essential for safeguarding Canadian jobs and fostering long-term economic stability.

This report is based on information from The Canadian Press.