Trade relations between Canada and the United States are undergoing a new wave of tension in 2025. A series of tariffs imposed by Washington is targeting key sectors of the Canadian economy, putting pressure on companies exporting to the American market.
This trade war raises a crucial question: how can Canadian companies protect themselves and maintain their competitiveness? One strategic solution lies in the adoption of Canadian carbon credits, a lever that can not only reduce their ecological footprint, but also strengthen their economic independence.
New US tariffs in 2025: What you need to know
In 2025, trade relations between Canada and the U.S. are marked by significant tensions, notably due to the imposition by the U.S. of 25% tariffs on virtually all goods imported from Canada since February 4, 2025.
Canadian sectors most affected
In 2025, the new tariffs will mainly target :
– Steel and aluminum
– Lumber
– Agri-food products (dairy, meat, cereals)
– Clean technologies and batteries
– Automotive sector
Economic impact: According to Statistics Canada, these tariffs could cost the Canadian economy up to CAD 12 billion a year, directly affecting exporting companies and manufacturing jobs.
“Every added tariff is a drag on the competitiveness of Canadian companies and an opportunity for us to rethink our export and local sourcing strategies.”
Canadian Chamber of Commerce
A domino effect on supply and production
Rising raw materials costs: Companies that depend on trade with the United States are seeing their costs soar.
Pressure on competitiveness: lower margins mean greater difficulty in investing in innovation and sustainability.
Risks for employment and investment: A slowdown in production puts thousands of manufacturing jobs at risk and adds to economic uncertainty.
Don’t let trade tensions dictate your competitiveness! By banking on Canadian carbon credits, you turn a challenge into a strategic opportunity for your company and the local economy.
US-Canada trade tensions: opportunities and threats
| Threats | Opportunities |
| Impact on Canadian imports: Canadian companies importing goods from the USA are facing increased costs as a result of the new tariffs. This particularly affects raw materials and certain food and manufactured products. | Strengthening the local economy: Faced with trade barriers, Canadian companies can explore local alternatives for their supplies, stimulating domestic production and reducing dependence on American imports. |
| Regulatory uncertainty: The U.S. administration’s threats to impose universal tariffs on all imports create uncertainty for Canadian companies, complicating strategic planning and investment. | Market diversification: Trade tensions are prompting Canadian companies to seek out new international markets, reducing their dependence on the US market and diversifying their sources of revenue. |
| Introduction of a Carbon Border Adjustment Mechanism (CBAM) by the United States: available information indicates that this measure is being considered, but no concrete implementation has been reported to date. Discussions are underway to align Canadian policies with such practices, in anticipation of possible U.S. action in this area. | Anticipated corporate decarbonization: Accelerate the reduction of corporate emissions through green projects, the establishment of regional value chains and the offsetting of residual greenhouse gas emissions. |
Differentiate yourself with local decarbonization!
A competitive advantage: By adopting low-carbon practices, Canadian companies can reduce their future costs, reduce their dependence on American raw materials and increase their energy independence.
Carbon credits as leverage: Companies that offset their emissions with Canadian carbon credits will benefit from consumer enthusiasm for companies, brands, products and services with a local impact.
Find out how Will Solutions supports companies in their carbon strategy.
Choosing local is also important for carbon!
When choosing food products or tourist destinations, consumers often instinctively prefer to buy local. For example, buying fruit and vegetables grown in Quebec, or staying in a Canadian inn rather than one abroad, are natural gestures that support the local economy.
However, this logic is less automatic for dematerialized products and services, such as carbon credits. As the voluntary carbon market is international, many companies offset their emissions by buying international credits, without realizing that local options exist. However, the benefits are numerous and tangible. Take our carbon credits for example.
For the local economy, our credits support GHG reductions by Canadian SMEs. Examples include supporting municipalities in wastewater treatment, developing the circular economy in manufacturing industries, and converting waste destined for landfill into recycled and recyclable raw materials. By choosing Canadian carbon credits, companies not only neutralize their carbon footprint, but also directly stimulate innovation and green employment in the country.
For the company, this means underpinning its sustainable development strategy, achieving carbon neutrality, increasing its ESG score, attracting new customers concerned about decarbonization and buying local, increasing the value perceived by consumers and attracting investors.
Solutions to mitigate the impact of US tariffs
By purchasing verified Canadian carbon credits, companies can :
- Offset their emissions in anticipation of new carbon import regulations and maintain their market share in the United States;
- Meet the growing demand of Canadian consumers for local products and services;
- Enhance their brand image, strategic positioning and employees’ sense of belonging.
- Demonstrate their commitment with a strong, concrete act for Canada.
- Show business partners and investors a real commitment to emissions reduction and Canadian decarbonization.
- Comply with the most demanding environmental standards.
Faced with the trade war between Canada and the United States, Canadian companies must adapt. While the tariffs represent a challenge, they are also an opportunity to rethink our economic and environmental strategies.
Carbon transition is a powerful lever for :
– Reduce the impact of tariffs.
– Increase productivity
– Improve competitiveness on international markets.
– Support the local Canadian economy and meet exponential consumer demand for products and services with a local impact.
Don’t let the tariff war hold back your growth! Find out how to integrate Canadian carbon credits into your corporate strategy!
Author and editor of the article
Raphaël Pittavino-Varitto
Digital Marketing and Communications Manager