In an increasingly uncertain global economy, shifting and expanding tariffs are placing new pressures on Canadian businesses — disrupting supply chains, increasing input costs, and eroding export competitiveness.
To help small and medium-sized enterprises (SMEs) navigate these challenges, the Government of Canada has launched the Regional Tariff Response Initiative (RTRI) —one of the most impactful programs launched under Canada’s trade-support and supply-chain resilience strategy.
Program Overview
- Approximately $1 billion over three years.
- Eligible SMEs may receive non-repayable contributions of up to $1 million per project.
- In some cases, repayable loans or hybrid funding models are available for larger or specialized projects.
Who Can Apply
Eligible applicants include incorporated Canadian businesses, co-operatives, Indigenous-owned firms, and not-for-profit organizations that support affected SMEs.
Depending on the region, applicants may need to:
- Operate within a Regional Development Agency (RDA) service area (e.g., PrairiesCan, FedNor, ACOA).
- Derive at least 25% of sales from markets impacted by tariffs (such as the U.S. or China) or demonstrate clear negative effects — higher costs, lost orders, or reduced market access.
- Meet region-specific size and viability criteria (for example, Northern Ontario firms must have at least five full-time employees and meet minimum operating history requirements).
Eligible Projects
Projects should help businesses adapt to trade-related disruptions or build future resilience, such as:
- Investing in automation or digital transformation to improve productivity.
- Diversifying export markets to reduce dependency on tariff-affected regions.
- Reshoring or strengthening supply chains, logistics, or compliance systems.
- Pursuing technology adoption, market development, or strategic partnerships.
Eligible costs may include capital expenditures, technology integration, market entry or trade-mission expenses, and other growth-related investments.
Key Dates
- Eligible costs may be retroactively claimed for expenditures incurred on or after March 21, 2025.
- Projects must be completed by March 31, 2028.
- Applications are rolling, with specific intake periods managed by each RDA — early applications are encouraged.
This program offers a valuable opportunity for Canadian businesses to invest in growth, strengthen operations, and build long-term competitiveness in a shifting global market.