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Government of Canada announces a new $1 billion Business Development Bank of Canada program and $500 million in additional funding for the Regional Tariff Response Initiative, delivered by the regional development agencies

The government will continue to protect and strengthen the sectors most affected by U.S. tariffs

May 4, 2026 – Ottawa, Ontario

Today, the Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, and the Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and Minister responsible for the Federal Economic Development Agency for Southern Ontario, announced $1.5 billion to support several of Canada’s tariffed industries. This includes the creation of a new $1 billion Business Development Bank of Canada (BDC) program that will strengthen Canada’s economic resilience. The program will be available to industries that manufacture and export products containing steel, aluminum or copper. 

In addition, the government is providing an additional $500 million through the Regional Tariff Response Initiative (RTRI) to support tariff-impacted businesses in all sectors of our economy. This funding, delivered by Canada’s regional development agencies (RDA), will help ensure that SMEs have access to the financing they need to enable strategic pivots through investments in market diversification and enhanced productivity that strengthen their competitiveness.

The government will also continue to support other critical tariff-impacted industries that are key pillars of Canada’s economy, such as the softwood lumber and forestry sector.

 

Please visit this link for more information: https://www.canada.ca/en/innovation-science-economic-development/news/2026/05/government-of-canada-announces-a-new-1-billion-business-development-bank-of-canada-program-and-500-million-in-additional-funding-for-the-regional-t.html

 

Topic(s)

U.S. Tariffs and Canadian Retaliatory Surtax
Security and Trade Facilitation Programs
International Trade and Border Management
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