Prime Minister Mark Carney announced a new plan on Friday to strengthen Canada’s economy against trade problems caused by U.S. President Donald Trump’s tariffs.
The plan focuses on helping workers and businesses most affected by the trade dispute.
“Canada is building the strongest economy in the G7, one that is less dependent on foreign powers and more resilient to global challenges,” Carney said. “We are making sure workers and businesses can succeed by building Canada’s strength at home.”
One major part of the plan is a pause on Canada’s electric vehicle (EV) sales mandate. The government will skip the requirement for 2026 and launch a 60-day review. The mandate currently requires 20% of new vehicles sold in 2026 to be zero-emission, 60% by 2030, and 100% by 2035.
According to the government, the pause and other measures will help workers learn new skills, allow businesses to modernize, and encourage Canadians to buy more goods made at home.
The new industrial plan includes:
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Job training: Extended employment insurance, a new digital jobs training program, and support for 50,000 workers to upgrade their skills.
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$5-billion industry fund: To help businesses hurt by tariffs adapt and train workers.
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“Buy Canada” policy: The federal government will use Canadian suppliers and guide provinces and cities to do the same.
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Loans for small businesses: More access to capital, easier repayment, and $1 billion in extra support over three years.
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Agriculture relief: $370 million for biofuel production, updated clean fuel rules, and special support for canola farmers facing China’s 75.8% tariff.
