Carney announces $80M tariff relief fund for Atlantic Canadian businesses
Prime Minister Mark Carney visited St. John’s on Monday to announce an $80-million fund to help small and medium-sized businesses in Atlantic Canada deal with U.S. tariffs.
The money will be distributed through the Atlantic Canada Opportunities Agency and is part of a larger $1-billion national program to support Canadian companies affected by American trade penalties.
Carney said the fund will help businesses find new markets, improve supply chains, and modernize their operations.
“This funding will give Atlantic Canadian industries the tools they need to innovate, expand, and take advantage of new opportunities,” Carney said.
When asked how the government would pay for the program, Carney said it would come from cutting unnecessary federal spending. He also noted that Atlantic Canada is receiving more than its share of support compared to its size and economy, and said industries like seafood could benefit from new packaging methods aimed at European buyers.
Since U.S. President Donald Trump began his second term, Canadian companies have faced heavy tariffs, including 50 per cent duties on steel and aluminum. Last week, Carney announced billions in funding for Canadian businesses, including raising the Regional Tariff Response Initiative from $450 million to $1 billion.
Support from Indigenous groups and business leaders
The announcement was made at the Newdock shipyard in St. John’s, with Fisheries Minister Joanne Thompson and Newfoundland and Labrador Premier John Hogan in attendance.
Qalipu First Nation Chief Jenny Brake, whose community is a majority partner in Newdock, said her group will be applying for some of the funding.
“At a time of uncertainty, we’re coming together,” Brake said. “There’s strength in cooperation, and we’re leaning into that.”
The Atlantic Chamber of Commerce also welcomed the news. CEO Rhonda Tulk-Lane said the fund would help companies expand, improve productivity, and strengthen long-term economic stability.
Political backdrop
Carney’s visit drew strong Liberal support, with more than a dozen provincial Liberal candidates greeting him at St. John’s harbour.
Premier Hogan has not yet called a provincial election, but recent announcements suggest one could come soon.
After his funding announcement, Carney was scheduled to have lunch with Hogan and meet with regional energy leaders later in the day.
