Canadian Business Associations Call for ‘Unified’ Approach to Trump’s Election Win

U.S. President-elect Donald Trump speaks in Potterville, Michigan, while on the campaign trail on Aug. 29, 2024.John Fredricks/The Epoch Times

Several Canadian business groups are calling for federal and provincial governments to act in lockstep on economic issues in response to the election of Donald Trump, who has vowed to return to his “America First” policies by imposing tariffs on imports from other countries.

“The US election results hold significant implications for Canadian small businesses. We must prepare for another round of tough negotiations on the Canada-US-Mexico free trade agreement (CUSMA),” said Canadian Federation of Independent Business (CFIB) President and CEO Dan Kelly on social media platform X.

Trump, who will again become the 47th president of the United States after beating Democratic candidate Kamala Harris, renegotiated the North American Free Trade Agreement (NAFTA) during his first presidency from 2016 to 2020. During an Oct. 10 speech, Trump said he would “formally notify” Mexico and Canada of his intent to invoke the six-year renegotiation provisions of CUSMA, which replaced NAFTA.

Kelly said with the Trump administration promising lower business taxes and lighter regulations, the Canadian government must act to allow small businesses to improve their competitiveness by cutting taxes and red tape. He also said Canadian oil producers may benefit from Trump’s affinity for the Keystone XL pipeline, which had its permit revoked by U.S. President Joe Biden when he took office back in 2021.

“For our part, CFIB will be working hard to promote the mutual benefits of Canada-US trade to small businesses on both sides of the border,” he said.

The Canadian Chamber of Commerce (CCC), which represents more than 200,000 businesses, called on the federal government to continue with a “robust and mutually beneficial economic relationship with the United States,” noting that the two countries engage in $3.6 billion in daily trade.

“The secure and efficient flow of goods and people across our border—enabled by CUSMA—remains essential for the economies of both countries,” said CCC in a Nov. 6 release.

The CCC said that with the 2026 review of CUSMA approaching, Ottawa would need to collaborate with the Trump administration to “preserve and strengthen our bilateral economic partnership.”

“By resisting tariffs and trade barriers that will only raise prices and hurt consumers in both countries, Canada and the United States can strengthen resilient cross-border supply chains that enhance our shared economic security,” said the statement.

Trump has said he would impose tariffs of 10 to 20 percent on all imports into the United States, which would increase to 60 percent on all imports from China, and 100 percent for countries that try to turn away from the U.S. dollar. During his last presidency, Trump imposed tariffs on most countries of 25 percent on steel imports and 10 percent on aluminum, which led Canada to retaliate in a similar manner, before the tariffs were lifted in 2019.

Calgary Chamber of Commerce President and CEO Deborah Yedlin said a second Trump presidency will have “significant implications” for the province, warning that Trump’s “America First” strategy of self-reliance, tariffs, and deregulation would challenge Canadian businesses.

Yedlin said Canada’s economic sectors in energy, agriculture, and critical minerals would be at risk of U.S. tariffs. It called for Ottawa and all provincial governments to adopt a “unified ‘Team Canada’ approach” involving preparing for CUSMA renegotiations, enhancing trade infrastructure, and streamlining regulations.

“We also call on the federal and provincial governments to accelerate the development of meaningful policies and measures aimed at increasing Canada’s economic growth and productivity to minimize the potential impact of trade policies that will harm the Canadian economy,” Yedlin said.

Lisa Baiton, president and CEO of the Canadian Association of Petroleum Producers, congratulated Trump on his election victory and said there were opportunities for collaboration between the two countries in providing “affordable energy.”

“We will work with governments in Canada and the United States to ensure the energy sector can continue to play an important role in driving new investments, creating additional jobs, and providing a stable supply of affordable energy to Canadians and Americans,” she said.