Canadian businesses seek certainty in US tariff war

An agreement or no agreement, what a wes love wants is security.

His business Toronto, Taurus Craco, Import of machinery from abroad and distributes it through North America, mainly in the United States.

But President Donald Trump Prime Minister Tariffs left him, as well as many independent owners of companies, who are unable to plan the future.

“What creates indecision in the market are people don’t know who will go,” Mr. Love told the BBC in June.

“And in small businesses is the indecision of the killer.”

Taurus Craco hit tariffs hard at the beginning of this year when it was forced to catch almost C $ 35,000 ($ 25,500, $ 18,700), because the consignment in the United States crossed the border for a few minutes after one deadline.

“It’s completely criminal. From a small business perspective, it is more than the costs we spend to hydro and gas throughout the year,” he said.

Though Trump paused that tariff for several hours later, Taurus Craco still had to pay. The refusal would mean that they are no longer allowed to transport their products in the United States, Mr. Love said.

“It’s like dealing with the mob,” he said.

Canada is in the Tariff War for Tat for Tat with its largest trading partner, allowing a series of announcements, especially on metals and car.

Since in January, Trump has announced a series of import taxes from other countries – claiming that he would increase American production and protect jobs.

Next uncertainty hit the Canadian economy and intensive conversations between the two countries hit the power of Friday.

Prime Minister Mark Carney called Trump Tariffs “Unjust” and said while the campaign for April elections was “old connection” with the United States “over”.

Shortly after winning the election, the Prime Minister visited Washington DC, took over the reiter of the White House to initiate talks on the new trade and security agreement.

The deadline of 16. July, because he was placed on the Hash, and President Trump said at the recent G7 Summit that it was optimistic that the two countries could “do something” in trade.

But Friday, Trump said that it reduces trade negotiations on Canada’s digital services.

“This interrupts all discussions about trade with Canada, immediately in force,” he wrote on social media.

Carney threatened to impose another round of retaliation tariffs at the United States if conversations were not successful.

Mr. Love welcomes any appearance of the contract.

“Give us a set of rules and leave them alone and let’s work in those rules,” he said.

“It’s like sports, isn’t it? Everyone goes on the field and playing at the set of rules, but don’t change the rules in the middle of the game.”

Gamel Kongts, an international policy officer at the Canadian Chamber of Commerce, said that companies hope the agreement will bring stability.

So far, they had to move with a very liquid landscape, he said, “When seemingly, things are increasing or decreased or added without very clear indications why”.

Canada is huge relies on trade with the United States, with 75% of exports moving south, according to Statistics Canada.

Its economy slowed significantly in the first quarter of 2025. years as a result of trade war and due to uncertainty – only 0.8% between 1. January and 31. March, according to the Canadian Federation of Independent Business (CFIB).

0.1% reduced over a month in April.

Time Line Tariff shows what a whirlwind has been for several months.

1. February, Trump imposed a 25% tariff on most Canadian imports, and then suspended them a month later. They re-imposed on when that end deadline has expired, just to repay again.

Shortly afterwards, he approved the exemption to all goods that was in line with the current North American Free Trade Agreement, known as a USMCA.

Then in March, she imposed global than 25% of tariffs on imported steel and aluminum as well as imported vehicles.

This month, Trump raised the metal tariff to 50%.

The production sector was the center of attention when it comes to tariffs, but the service sector also affects uncertainty, if not under intended directly.

I am Gupta is the founder and executive director in the Elate, technology and management of management, which operates from Bivola, New York and Toronto.

Mr. Gupta said most people do not think about the services sector during the period of insecurity, calling it a “dishonoring donkey” economy.

“Attention goes to all production companies and companies that directly influenced the supply chain,” he said.

However, services – which includes everything from finance in tourism – constitutes a huge share of Canada of Economy, an accounting of a huge majority of its workforce.

Exporters of services are not affected which is difficult as production, but their view and trust on the market is at the lowest level in years, in accordance with the data of the Canadian Chamber of Commerce.

And while Ottawa realized several measures to provide relief of companies that hit tariffs – including the funds set by the contrarife – the service sector did not receive any compensation.

“We are not in a conversation either,” said Mr. Gupta. “We don’t exist.”

He said that his business was not currently fighting at the moment, but he mentioned that the services of his firm were “down by 50%”.

“As for our understanding, not many companies about these long-term investments are currently thinking about these long-term investments. These are just not in thought,” he said.

“The biggest fear now we have now is that I don’t know how long it will happen, for 18 months, we can still survive. Three years, then it will really, it will be really hard.”

This was the hardest period for the industry in his 20-year career, because the sector faces a combination of challenges, he said.

Mr. Gupta reminded how easy it was to get a well-paid job early in career.

“Even when I graduated, we paid like crazy. And we were so arrogant we didn’t even pick up calls of recruiters,” he said.

“But now with ai, with tariffs, economy, everything, everyone, everyone knows about fighting,” he said.

Statistics Canada report that 56% of all companies exported to the USA took measures to mitigate the impact of tariffs.

More than 30% delayed large investments and expenses, while 25% looked for alternative customers outside the United States.

The Canada’s bank was said on Wednesday that in April the export to the United States fell by more than 15%. Steel and aluminum exports were reduced by 25% and 11%, and the vehicle exports fell 25%.

But despite everything, Mr. Love is still positive.

He said companies could move challenges until the United States does not constantly change their trading policy.

“We are entrepreneurs. We are full of written and vinegar, as they would say,” he said.

“And so we do everything we can to keep fighting. And I think we will be successful; we just need to know what the basic rules are.”