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Federal funding aims to help southern Ontario businesses affected by tariffs, trade challenges
FedDev Ontario will deliver nearly $160 million in southern Ontario, with targeted support available for businesses in the steel and automotive industries.
But it’s unclear how much funding they could receive and when.
“All of a sudden a business that has anywhere between 60 and 80 per cent export on an annual basis is being essentially shut out of the U.S. market,” says Chris Hooper.
Hooper is the vice president of Hooper Welding, which is a manufacturer of pressure vessels and custom steel fabrication for the oil, gas and nuclear sectors. He says they are currently experiencing one of the worst economic cycles in the company’s 73 years.
“We work with major owners, major multinational, multi-billion dollar companies. And today they’re being forced to choose to keep their purchasing — their procurement decisions — inside the United States,” adds Hooper.
In order to help such businesses, the federal government launched the Regional Tariff Response Initiative.
“Part of that $450 million, almost $160 million, will be here in southern Ontario,” says Evan Solomon, the federal minister responsible for the Federal Economic Development Agency for Southern Ontario.
Solomon made the announcement while visiting Hooper Welding. The initiative is part of the government’s broader tariff response plan. Any company will be eligible if they’ve had over 25 per cent losses due to tariffs.
But the government says priority will be given to the steel and automotive sectors.
Member of Parliament John-Paul Danko says the announcement is critical for Hamilton.
“In total, there’s about 10,000 workers in Hamilton that work directly in steelmaking. Another 14,000 in associated industries,” says Danko.
It’s unclear how long it will take for businesses to receive the support but the government says they are trying to roll it out as fast as they can. Non-profits can also apply for the funding.
Information on the criteria and how to apply can be found on the federal government’s website.
