The impact of U.S. tariffs on Canadian imports hasn't disappeared. If anything, it's become a more persistent challenge for small business owners who depend on cross-border trade. Whether you're in manufacturing, retail, food service, or agriculture, higher input costs and supply chain delays can take a real toll.
Previously, we explored why these tariffs are putting pressure on Canadian small businesses. Now, it's time to focus on what you can do about it. If you're feeling the squeeze or want to get ahead of further changes, here are some clear strategies to respond.
Now is a good time to revisit where you're sourcing materials or products. Can you switch to Canadian suppliers or look at international sources that aren't subject to U.S. tariffs? Even replacing a single item in your supply chain can help reduce overall costs.
Try this: Reach out to a few new suppliers and compare not just pricing but also lead times, shipping costs, and reliability. Domestic options might be more affordable than you think when all costs are considered.
If you’re interested in learning more about shipping options, we recommend that you read “The Best Shipping Options for Canadian Small Businesses”.
If you're adjusting your pricing due to tariffs, don’t shy away from telling your customers why. Transparency builds trust, and most people understand that businesses face rising costs too.
What to say: “Due to changes in import costs from recent U.S. tariffs, we’ve updated our pricing. We’re committed to delivering quality and value, and we appreciate your continued support.”
Raising prices across the board can backfire. Instead, take a more targeted approach. Focus increases on high-performing products or services where your margins can better absorb the change.
Try this: Use your sales data to identify your most resilient products. These are often the best place to test a small price increase. You can also introduce lower-priced packages or bundles to maintain affordability.
There are Canadian government programs and grants that exist to help businesses facing challenges from tariffs or trade changes. Some offer funding, advice, or help with planning.
Next step: Check the Canada Business Benefits Finder to see what support might be available to you. You can also connect with your local economic development office for additional resources.
For additional government support programs, we suggest checking out the Government of Canada’s Support for Canadian businesses and workers.
Tariffs can shift quickly depending on political decisions. To stay adaptable, consider building more flexibility into your finances. Whether you need to buy inventory in advance or switch suppliers, having access to extra capital can help.
Consider this: Look into financing solutions that give you access to funds when needed, without locking you into long-term commitments. Even having a pre-approved option on hand can make a big difference when timing matters.
As imported goods become more expensive, customers are increasingly seeking out locally made options. If your products are made in Canada or use local suppliers, this is the time to promote it.
Marketing tip: Add a “Made in Canada” label to your website or packaging, or share behind-the-scenes content that shows your local production process. It helps reinforce your value and supports the growing preference for Canadian businesses.
Trade and sector-specific associations often provide updates, host events, and share best practices that can help you respond more effectively. Some also advocate directly to the government for tariff relief.
What to do: Join an organization related to your industry. They’re a valuable source of insight and may even help you connect with more affordable suppliers or logistics partners.
Curious about how to better network with other small business owners? Read "The Importance of Networking: How to Connect With Other Small Business Owners”.
Tariffs are challenging, no doubt about it. They increase costs and make planning harder. But Canadian small businesses have always been resilient. With the right strategy, you can minimize the impact, adapt your operations, and even uncover new growth opportunities.
Need help navigating this moment? If you're unsure where to start or need funding to make a shift, Driven is here to help. Our team works with Canadian business owners every day to navigate change and take the next step forward.
Advice and research for Canadian small businesses from our expert team
