Federal Funds Bolster Winnipeg Against U.S. Tariffs

Prairies Economic Development Canada

Minister Olszewski announces PrairiesCan support for 15 Winnipeg manufacturing projects through the Regional Tariff Response Initiative and Business Scale-up and Productivity program

When the North American Free Trade Agreement (NAFTA) came into effect in 1994, Manitoba manufacturers were among the first to seize the opportunity. That year, the province's exports to the United States grew faster than those of any other province, led in part by major gains in machinery, transportation equipment, and other manufactured products.

Over the three decades that followed, Manitoba businesses expanded, created skilled jobs and built supply chains around a reliable continental trading relationship. However, that mutually beneficial relationship has since changed.

Two weeks ago, the United States imposed additional unjustified tariffs on Canadian goods, creating significant uncertainty for workers, businesses and communities, including manufacturers and the supply chains they depend on. Canada negotiated intensively and in good faith toward a fair and comprehensive agreement. However, the terms proposed by the United States asked too much and offered too little in return. Canada therefore suspended negotiations rather than accept a bad deal that would undermine Canadian workers, businesses, strategic industries and national sovereignty.

In response, Canada is matching the new U.S. tariffs dollar-for-dollar and is providing $7.5 billion in new and enhanced support, including via the Regional Tariff Response Initiative (RTRI). As part of these efforts, the Honourable Eleanor Olszewski, Minister of Emergency Management and Community Resilience and Minister responsible for Prairies Economic Development Canada (PrairiesCan), today announced $15.9 million for 15 projects led by 11 Winnipeg-based organizations through the RTRI and Business Scale-up and Productivity (BSP) program.

These projects will help manufacturers grow, improve productivity, strengthen domestic supply chains and reach new markets. Winnipeg's manufacturing sector is highly interconnected, with local companies supplying the equipment, technology and expertise that support production across the province, across Canada, and around the globe.

By supporting productivity, modernization and market competitiveness, the federal government is helping Manitoba's advanced manufacturing sector respond to the immediate pressures created by U.S. tariffs while building greater economic resilience over the long term. Today's investments will support new equipment, automation, digital systems, workforce training and expanded production across a range of manufacturing industries.

Some of the supported projects and companies include:

  • Fort Garry Fire Trucks Ltd. is receiving funding for two projects:
    • $999,575 through RTRI to bring production of more fire truck components in-house, including for pump assemblies and plastic tanks.
    • $1,114,651 through BSP for new fabrication, welding and painting equipment to improve productivity and meet growing demand for their products.
  • Smartrend Manufacturing Group is receiving support for two projects:
    • $1,000,000 through RTRI to expand into new markets, hire staff in sales, marketing and regulatory roles, and to train workers as the company increases production.
    • $2,087,916 through BSP to automate parts of its electronics production line and launch two new products using the illuminated-sign technology found on school bus stop sign arms.
  • City Sheet Metal Co. Ltd. is receiving $570,025 through RTRI to upgrade its aluminum and steel production equipment, increase production and grow sales across Western Canada.

A full list of the 15 projects receiving support through PrairiesCan can be found in the linked backgrounder.

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