Mississauga is urging many of its businesses to “diversify into non-U.S. markets” as the trade war between Canada and its neighbour intensifies.

Responding to what they call “unfair trade tariffs,” City of Mississauga officials met on Tuesday with the Mississauga Board of Trade “to map out ways the city can advocate for and support small- and medium-sized businesses and jobs disrupted by uncertainty.”

The city said suspension of trade negotiations last Friday between the two nations and subsequent escalation of U.S. tariff policies against Canada “present a significant and ongoing threat to Mississauga’s businesses and workers.”

Mississauga’s economy, officials said in a news release issued late Tuesday, “is particularly vulnerable to U.S. tariffs,” with 18 per cent of total employment in Canada’s seventh-largest city, roughly 89,000 jobs, “tied directly to U.S. exports.”

Key areas affected include automotive parts, machinery and electronics, plastics and rubber, furniture, and steel and aluminum products, the city added.

“Troubling trade developments” threaten jobs, risk inflation

“As a city, we are determined to stand up and defend these jobs and sectors,” city officials said, adding they’re “encouraged that the federal government is rolling out rapid assistance to workers and businesses hit by this latest trade and economic turbulence.

“These troubling trade developments imperil jobs and risk a spike in inflation,” the city continued. “That is why we are exploring ways in which to help our local businesses.”

Mississauga officials said the city has applied to Ottawa for $1.5 million in funding under the federal Regional Tariff Response Initiative.

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Securing that money “would help us deliver a trade mission acceleration program designed to help Mississauga’s small- and medium-sized businesses diversify into non-U.S. markets through export readiness training and trade missions.

Mayor Carolyn Parrish says she’s “committed to helping the most badly affected” small- and medium-sized businesses in Mississauga.

“It is clear that we must diversify our international trade partnerships,” officials added. “Mississauga has always been open to the world. That openness will facilitate an expansion of productive and solid international partnerships.”

Mayor Carolyn Parrish, who along with senior city staff met with MBOT President and CEO David Wojcik on Tuesday, said she’s “committed to helping the most badly affected” small- and medium-sized businesses.

“While we do not have a full picture of the needs that exist, and the full extent of the tariff damage has yet to emerge, I stand ready to do all I can to keep Mississauga’s economy strong,” she added.

Mississauga’s board of trade represents some 1,000 larger businesses across the city in addition to numerous smaller operations.

Canadian PM called off talks in the U.S. late last week

Last Friday’s rejection by Canadian Prime Minister Mark Carney of a proposed U.S. trade agreement — described by the PM as a “bad deal” — and subsequent suspension of talks between the two nations has raised the temperature on both sides of the border.

The breakdown in negotiations also led to the introduction by the U.S. of 50 per cent tariffs that target $28 billion in Canadian goods ranging from hockey sticks and honey to essential oils and dairy products. After being delayed by several days by U.S. President Donald Trump, the new round of tariffs took effect this past Saturday.

Carney, who promised retaliatory tariffs will take effect on Sept. 8, called off talks with the Americans after accusing the U.S. administration of introducing measures that included restrictions on Canada’s ability to do deals with other countries.

Earlier last week, Mississauga doubled down on its commitment to “buy local” amid the strained trade relationship between Canada and the U.S.

Trump, who returned to the White House following the November 2024 election after having previously served from 2016 to 2020, announced on Aug. 18 he was putting a three-day pause on the tariffs.

Parrish said at the time the pause “further increases stress, particularly for our small- and medium-sized businesses.”

Continuing, the mayor added last Wednesday that “Mississauga’s Economic Development Department is reconfirming policies to ‘buy Canada’, ‘buy Ontario’ and ‘buy local’ in procurement policies — to strengthen our local economy.”

Trump’s second term began with a tariff surprise

Not long after taking office for his second term, Trump in short order targeted Canada and other countries, including Mexico, with surprise tariffs in early 2025.

The City of Mississauga responded quickly by offering additional support to local businesses and vowing to help in any other way it could.

Among the city’s responses in March 2025:

An amendment to the city’s procurement bylaw that allowed the city to “prioritize Canadian and non-U.S. suppliers, especially for medium- and high-value projects, and streamline the process to support more local, diverse and smaller businesses.”
A “Choose Canada” campaign launched in February 2025 encouraging residents and businesses to support the local economy by purchasing Canadian-made products and services.

Parrish told Mississauga business leaders at the time that she and the city had their backs as the trade relationship between Canada and the U.S. quickly soured in the first few months of 2025.

— with files from The Canadian Press


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