As a proud Canadian small business owner, I want to take a moment to personally thank you—our loyal customers—for standing by us during these challenging times. With the newly implemented 25% tariffs on Canadian goods in the United States, many local businesses are facing rising economic uncertainty. But your continued support means everything, and it’s what keeps businesses like ours thriving.
Firstly, What Are Tariffs?
Tariffs are taxes or duties imposed by a government on imported or exported goods. They are typically used to protect domestic industries by making foreign products more expensive, encouraging consumers to buy locally. However, tariffs can also lead to higher costs for businesses and consumers, as companies must either absorb the increased expenses or pass them on through higher prices.
The (previous) USMCA Trade Agreement
The United States-Mexico-Canada Agreement (USMCA), which replaced NAFTA in 2020, was designed to promote fair trade and economic growth among the three North American nations. The agreement aimed to modernize trade relations by addressing issues such as digital trade, labor rights, and environmental protections. While USMCA helped maintain tariff-free access for many goods, recent policy shifts have introduced new tariffs, creating additional challenges for Canadian businesses.
The New Tariffs
After threatening tariffs for weeks, U.S. President Donald Trump announced on Saturday that they'll come into effect as of Monday, February 3rd, with a levy of 25 per cent on Canadian and Mexican imports, and an additional 10 per cent tax on Chinese goods. Canadian energy faces a 10 per cent tariff.
The Impact of Tariffs on Canadian Small Businesses
We've been reading a lot about the impact of Canada's largest industries as a result of the new tariffs. You can learn more here.
In addition to major Canadian industries like electricity, oil and steel, they pose significant hurdles for small and medium-sized enterprises as well. These increased costs affect everything from raw materials to shipping expenses, putting added pressure on businesses that are already navigating Canada's low dollar in comparison to the USD.
Of the course, the U.S. market represents a large, extended business opportunity for Canadian businesses hoping to grow.
Why Supporting Local Matters More Than Ever
Now more than ever, shopping local is one of the most powerful ways to strengthen our communities. Every purchase from a Canadian-owned business directly supports jobs, innovation, and economic resilience. When you choose to buy from local makers, artisans, and entrepreneurs, you’re not just purchasing a product—you’re investing in the future of Canadian business.
How You Can Help
Your support makes a real difference. Here are a few simple ways you can continue to uplift Canadian businesses:
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Shop Local: Whether online or in-store, prioritizing Canadian-made products keeps businesses afloat and strengthens our economy. HERE is a directory of Made in Canada businesses. And HERE are some of our favourite Canadian brands, via the Indie Beauty Collective on Instagram and online.
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Spread the Word: Share your favourite Canadian brands with friends and family, and leave reviews to help others discover them.
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Engage with Us Online: Following, liking, and sharing our content on social media helps expand our reach and grow our community. You can find us at @GuestsonEarth
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Advocate for Change: Stay informed about policies affecting small businesses and voice your concerns to policymakers to support fair trade practices.
Thank you for your continued support
Despite the challenges, we remain dedicated to serving you with the same passion and integrity as always.
From the bottom of my heart, thank you for choosing to support Canadian businesses. Your loyalty and advocacy mean more than you know. Together, we can weather this storm and build a stronger future for Canadian entrepreneurship.
With gratitude,
Jackie, Founder of Guests on Earth
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