Provincial government helps out as local businesses feel U.S. tariff punch

The provincial government today announced $11 billion in support to help Ontario businesses negatively impacted by the U.S. tariffs.

The government says the relief is a tax deferral for some businesses, but it’s not just business owners that are talking about tariffs.

A group out celebrating a birthday this morning in downtown Burlington say tariff talks, along with the stock market, were also top of mind.

“I think it’s terrible, I’m so grateful that our government is doing a lot for people who are affected by it — the small businesses, the auto industry,” says one woman.

“We’re on a fixed income — our income is based on what’s happening, and it can very easily be depleted and then where are we?” says another local resident.

Last week, President Trump went ahead with 25 per cent tariffs on automobile imports from Canada. Those were added to the existing 25 per cent tariffs on all steel and aluminum imports.

The local Chamber of Commerce in Burlington says companies are feeling it.

“We have members that are part of the EV supply chain that are right in the middle of the affects of the tariffs and are feeling it every day. Other companies aren’t getting affected yet, but they’re kind of concerned it is going to be coming down the pipe as bigger companies are affected, “says Terry Caddo, Burlington Chamber of Commerce president and CEO.

Some smaller business say they started to feel the impact months ago.

“January was completely dead. We went weeks without a phone call or an email … and when we did speak to people what we got was everyone was just nervous,” says Umar Ahmed of Crown Furniture Refinishing & Restoration.

The Ontario government announced $11 billion in aid for businesses by way of deferring some select taxes being paid by companies between April 1 and October 1.

“I think business that have cash flow problems will very much appreciate that they won’t have to pay certain taxes for six months,” says Michael Veall, an economics professor at McMaster University.

The government says the six-month deferral period is retroactive to April 1, and notes all taxes owed must be paid by October 1.

Premier Ford was asked today if companies will then owe a bunch of money.

“No, I don’t think so. I think they have to put in their operating costs, like any business does … put taxes to the side. And we’ll be there to support them,” said Ford.

While the provincial government is providing some relief, the Burlington Chamber of Commerce says you can also do your part by shopping local.