The City of Toronto is implementing the Mayor’s Economic Action Plan in Response to U.S. Tariffs, is actively engaging with federal and provincial governments and supports a Team Canada approach. Toronto holds an integral role in the nation’s economy and the City is committed to working closely with leaders across the country to address the impact of the U.S. protectionism on local businesses and workers.
For real-time updates and assistance, connect with City staff to share how tariffs are impacting your business.
The City of Toronto is taking strong action to mitigate the effects of tariffs and strengthen local economic resilience, including:
City Council has approved an Industrial Property Tax Deferral Program to provide immediate cash flow support to the most impacted businesses in the industrial property tax class. Rate payers in the industrial class have the opportunity to defer up to six months of tax payments and avoid any late fees, for the period of June 1, 2025, through November 30, 2025.
In order to qualify for the Program, applicants must provide documentation demonstrating tariff-related impacts to the business operations. Applicants should be prepared to submit the following documents at the time of application:
Applications are due by October, 31, 2025.
When you shop local your dollars stay in the local economy, creating jobs and contributing to the local tax base. This all creates the vibrant and livable communities in which people want to live and entrepreneurs want to start and grow their businesses in.
New investment is attracted to communities where small businesses thrive. This helps generate the tax revenue that builds critical infrastructure, provides amenities and funds programs for the community.
Look for Love Local signs around the city. Snap a picture and share with friends and family or tag a local business on social media you want to support.
Signs are located at:
Toronto’s neighbourhoods are filled with Canadian-owned small business selling local goods and services. Explore your local Business Improvement Area.
Toronto’s iconic Market Districts offer unparalleled atmospheres, regular events, tasty treats and some of the most unique shops in the city:
Across the city there are also many incredible farmers’ markets and trade exhibitions to explore year round:
The City is assessing how U.S. tariffs will impact different sectors of Toronto’s economy and the coordinated response will evolve and react as needed. Below are the industries expected to be affected:
The executive order imposes 25 per cent tariffs on Canadian and Mexican imports to the U.S. and an additional 10 per cent on China. President Trump is exercising his authority under Section 232 of the Trade Expansion Act of 1962 to adjust imports of steel and aluminum as a measure of protecting U.S. national security.
A 25 per cent across the board tariff applied on all Canadian goods exported to the U.S and a 10 per cent tariff applied to all Canadian energy and potash products.
In response, the Canadian government implemented immediate tariffs on $30 billion in goods imported from the U.S. into Canada.
At the Committee on Internal Trade meeting, the Honourable Anita Anand, Minister of Transport and Internal Trade, and her provincial and territorial counterparts agreed on additional measures to eliminate regulatory barriers to internal trade, encourage free movement of labour and to further standardize regulations across Canada.
The U.S. government agrees to suspend the 25 per cent tariff on goods that are covered by the CUSMA Trade Agreement.
The Canadian government pauses the remaining $125 billion in tariffs on selected U.S. imports that was to be applied on March 25.
President Trump’s proclamations reinstate 25 per cent tariffs on all steel products and increase tariffs to 25 per cent on aluminum imports into the U.S. as of March 12.
The Canadian government responds by imposing 25 per cent reciprocal tariffs on a list of steel products worth $12.6 billion and aluminum products worth $3 billion, as well as additional imported U.S. goods worth $14.2 billion, for a total of $29.8 billion. The list of additional products affected by counter tariffs includes tools, computers and servers, display monitors, sport equipment and cast-iron products.
The U.S. Government applies a 25 per cent tariff on imported vehicles not made in the U.S. as well as key automobile parts (engines, transmissions, powertrain parts, and electrical components) that are not CUSMA compliant.
The Canadian government will match the U.S. approach with 25 per cent tariffs on all vehicles imported from the United States that are not compliant with CUSMA. These tariffs will not apply to auto parts.
The Canadian government announced that automakers can import U.S.-manufactured cars and trucks without tariffs, as long as the companies continue Canadian auto production. They also announced a temporary 6-month relief for goods imported from the U.S. that are used in Canadian manufacturing, processing and food and beverage packaging, and for those used to support public health, health care, public safety and national security objectives.