The Canadian government announced CAD 1.5 billion in financial support on 4 May 2026 to assist businesses impacted by tariffs, including a new CAD 1 billion Business Development Bank of Canada program for steel, aluminium, and copper manufacturers, plus an additional CAD 500 million through the Regional Tariff Response Initiative for small and medium-sized enterprises across all sectors.
Canada’s government has announced CAD 1.5 billion to support several of Canada’s tariffed industries on 4 May 2026.
This includes the creation of a new CAD 1 billion Business Development Bank of Canada (BDC) program available to industries that manufacture and export products containing steel, aluminium, or copper. In addition, the government is providing an additional CAD 500 million through the Regional Tariff Response Initiative (RTRI), delivered by Canada’s regional development agencies (RDA), to support tariff-impacted businesses in all sectors of our economy.
BDC tariff support for steel, aluminium, and copper companies
In response to rising tariffs, BDC has been actively supporting viable Canadian businesses with working capital to offset higher costs and to protect jobs and productive capacity, while creating the flexibility to adapt and strengthen operations amid ongoing trade challenges.
BDC will provide up to CAD 1 billion in loans to help Canadian steel-and copper-producing companies directly impacted by US tariffs manage near-term liquidity pressures, maintain operations and adapt in a unique trade environment. The financing is intended to give viable firms financial breathing room as they work to stabilise cash flow, continue shipping under existing contracts and pursue new markets.
Canadian-based businesses with material exposure to steel, aluminium, or copper tariffs and with a minimum revenue of CAD 5 million are eligible for loans ranging from CAD 2 million to CAD 50 million, scaled to business needs. The repayment of the working capital is provided at preferential rates over a term of up to 36 months to reduce near-term cash pressure.
Additional funding for the RTRI
Canada’s RDAs have been delivering the CAD 1 billion national RTRI since September 2025 to support Canadian businesses affected by trade disruptions by helping them improve productivity, expand and diversify markets, and strengthen supply chain resiliency. As part of the CAD 1 billion, CAD 150 million was carved out for steel producers, as well as CAD 100 million for automotive and CAD 150 million for food security.
As of April 2026, over 95% of the CAD 1 billion has been committed or is in approvals. This includes investments to help small and medium-sized enterprises (SME) diversify their markets, create new export revenue sources, adopt innovative technologies to boost productivity and competitiveness, and build more resilient supply chains.
On 4 May, the Government of Canada announced an additional CAD 500 million through the RTRI to support tariff-impacted businesses in all sectors of our economy. This includes CAD 200 million carved out for SMEs that have been affected by steel, aluminium, and copper tariffs. This funding will help ensure that more SMEs across the country have access to the financing they need to pivot, adopt new technologies, expand into new markets and enhance their overall competitiveness and resilience. This brings the amount to be invested through the RTRI to CAD 1.5 billion nationally.
