This publication was posted based on the information available at the time. Due to the uncertainty of the trade landscape, some rules may have changed since then, but the insights provided remain highly relevant for adapting to ongoing shifts in the market.
On April 15, 2025, Canada’s Minister of Finance, François-Philippe Champagne, announced new relief measures to support Canadian businesses affected by the ongoing tariff dispute between Canada and the U.S. The announcement introduces targeted programs to help businesses manage the impact of Canadian countermeasures and adjust supply chains.
Performance-based tariff relief for automakers
A new remission framework will allow automakers that maintain vehicle production and investment commitments in Canada to import a limited number of U.S.-assembled, Canada United States Mexico Agreement (CUSMA) compliant vehicles without paying Canadian countermeasure tariffs. The level of relief will be reduced if there are declines in Canadian production or investment.
Temporary six-month relief for U.S. inputs
To support Canadian manufacturers and essential service providers, the government is introducing temporary six-month tariff relief for certain U.S.-origin goods. This applies to inputs used in Canadian manufacturing, processing, and food and beverage packaging, as well as goods required for health care, public safety, and national security. This measure is intended to provide immediate relief and give businesses time to diversify supply chains and source alternatives.
Loan facility for large enterprises
Applications are now open for the Large Enterprise Tariff Loan Facility (LETL). This program offers liquidity support to eligible large businesses—particularly those vital to Canada’s food, energy, economic, and national security—that are struggling to access traditional financing due to U.S. tariffs. To qualify, companies must maintain Canadian operations and jobs. Businesses already in insolvency proceedings are not eligible.
BDO can help
BDO Canada’s Customs & International Trade team is available to help businesses assess eligibility for these programs and explore strategies to mitigate tariff impacts. Compliance with CUSMA remains a key requirement for businesses hoping to take advantage of the newly announced measures as well as relief of 25% tariffs. Visit our Tariff Readiness Hub to help you navigate today’s evolving trade environment.
The information in this publication is current as of 16 April 2025.
This publication has been carefully prepared, but it has been written in general terms and should be seen as broad guidance only. The publication cannot be relied upon to cover specific situations and you should not act, or refrain from acting, upon the information contained therein without obtaining specific professional advice. Please contact BDO Canada LLP to discuss these matters in the context of your particular circumstances. BDO Canada LLP, its partners, employees and agents do not accept or assume any liability or duty of care for any loss arising from any action taken or not taken by anyone in reliance on the information in this publication or for any decision based on it.