CFIB calls for more small business support amid tariff impacts
July 18, 2025
by CM Staff
The CFIB says its data shows that amid ongoing trade challenges, four in ten (42%) businesses have been raising prices.
TORONTO — As Canada’s premiers are set to meet in Huntsville next week, the Canadian Federation of Independent Business (CFIB) has reportedly sent a letter to all provincial and territorial premiers, as well as Prime Minister Carney, urging them to ensure small business priorities are at the top of their agenda.
“Between tariff uncertainty, rising costs and weak consumer demand, it seems small businesses just can’t catch a break. Canada is losing entrepreneurs, and we can’t improve our sluggish productivity if we don’t make it easier to start, run and grow a business,” said Corinne Pohlmann, Executive Vice-President of Advocacy at CFIB. “Canada’s premiers have the power to truly create one Canadian economy. We hope they use this meeting as an opportunity to ensure small business policies are a key part of their discussions.”
The CFIB says its data shows that amid ongoing trade challenges, four in ten (42%) businesses have been raising prices. Around a third are shifting to domestic markets (37%) or absorbing some or all the additional tariff costs (31%), and a quarter are exploring non-U.S. markets (25%) or delaying expansion plans (29%).
To provide small businesses with more opportunities to compete, CFIB says it is recommending:
- Lower the small business tax rate with a plan to get it to 0% and raise the threshold to $700,000.
- Ensure small- to medium-sized firms are included in the planning and execution of major infrastructure projects.
- Return the federally collected tariff revenues to SMEs and clarify the use of the provincial tariff contingency funds.
- Keep the momentum going on internal trade and adopt a unilateral direct-to-consumer alcohol shipment approach, as Manitoba has done.
“Businesses need targeted policies that would boost our economy and increase Canada’s global competitiveness. There has never been a better time to build a more productive Canada than now,” said SeoRhin Yoo, senior policy analyst of interprovincial affairs. “We hope to see faster action on key small business priorities following the COF meeting.”
