Prime Minister Mark Carney visited St. John’s on Monday to unveil an $80 million tariff-relief fund for small and medium-sized businesses in Atlantic Canada. The funding will be administered through the Atlantic Canada Opportunities Agency as part of a broader $1 billion fund aimed at supporting Canadian businesses impacted by American tariffs.
Carney emphasized that the financial aid is intended to assist businesses in expanding into new markets and reinforcing their supply chains, enabling them to tackle contemporary challenges, innovate, modernize, and seize new opportunities. He highlighted the importance of equipping Atlantic Canadian industries with the necessary resources to thrive in the current business landscape.
Responding to queries about funding sources, Carney indicated that the initiative would be financed by reducing unnecessary federal expenditures, creating space and resources to back businesses in their future investments. He noted that the allocation of funds to Atlantic Canada exceeds the region’s proportionate share based on population and gross domestic product, hinting at potential applications in industries like seafood through tailored packaging methods for high-demand European markets.
Since the onset of tariffs imposed by U.S. President Donald Trump on various sectors, including steel and aluminum, Canadian businesses have faced significant uncertainty. Carney recently announced substantial funding and a “buy Canadian” policy, elevating the Regional Tariff Response Initiative from $450 million to $1 billion.
The funding announcement, which unfolded at the Newdock shipyard in St. John’s, involved key figures like Fisheries Minister Joanne Thompson, Newfoundland and Labrador Premier John Hogan, and Qalipu First Nation Chief Jenny Brake. Brake expressed Newdock’s concerns over tariff uncertainties and its intention to secure a portion of the $80 million funding, emphasizing the strength of cooperation during uncertain times.
The initiative was met with approval from the Atlantic Chamber of Commerce, with CEO Rhonda Tulk-Lane highlighting its significance in empowering businesses to explore new markets, streamline supply chains, and enhance productivity, aligning with the region’s economic growth objectives.
During the event, the presence of numerous Liberal candidates for the upcoming provincial election was notable, demonstrating strong support for the Prime Minister. Following the announcement, Carney engaged in a working lunch with Hogan and met with regional energy leaders, underscoring the government’s commitment to economic development and collaboration.
The funding announcement has been recognized as a crucial advancement for Atlantic businesses grappling with trade uncertainties, offering a strategic pathway for long-term economic stability and growth.