Toronto and London Unite Against US Tariffs with Economic Action Teams

Image credits: Andrew Francis Wallace/ Toronto Star

Toronto Mayor Olivia Chow has assembled an Economic Action Team to respond to the looming US tariffs, which could have a significant impact on the city's economy. The team, consisting of 13 business leaders and economic experts, will work together to develop a plan to protect Toronto's economy and jobs. The team's initial draft focuses on supporting the most impacted businesses and residents, business retention efforts, supporting small businesses, and leveraging the city's purchasing power. Chow has emphasized the importance of working together to combat the tariffs, stating that "hardworking Torontonians are wondering if their livelihood is going to be at stake" and that the city will provide a plan shortly.

In a similar move, the City of London has announced its first steps to reshape the local economy in the face of US tariff threats. The city, alongside two economic development groups, has launched three initiatives to help local businesses re-orient themselves in a world where domestic trade could become increasingly important. These initiatives include enhancing the Foodpreneur Advantage Scale Up program to help small manufacturers get their products on Canadian grocery store shelves, folding the NewStart program into a collaboration with the London Economic Development Corporation (LEDC) to support newcomers starting businesses, and attracting international businesses to London through a partnership with Global Start-Ups in Toronto. The city believes that these initiatives will support and create over 45 companies and close to 200 new jobs.

The City of Kelowna has also identified approximately US$23 million in civic projects that could be exposed if a tariff war materializes between Canada and the United States. The city has assessed critical areas of the organization that could have "material exposure" to commerce with the US and has taken steps to protect city investments in the event of currency and market fluctuations. The city is focusing on local value-based performance criteria, which allows for the greatest flexibility and provides the greatest value to citizens. This approach includes identifying Canadian supplier options, alternative sourcing to mitigate tariffed goods, and limiting tendering to Canadian goods, services, or suppliers.

The formation of these economic action teams and initiatives demonstrates the proactive approach that Canadian cities are taking to mitigate the effects of US tariffs. By supporting local businesses, promoting Canadian trade, and diversifying their economies, cities like Toronto, London, and Kelowna are working to minimize the impact of the tariffs and ensure the continued growth and prosperity of their communities. The use of tariffs as a trade policy tool has sparked a trade war between the US and Canada, with both countries imposing retaliatory tariffs on each other's goods.

In conclusion, the economic action teams and initiatives launched by Toronto, London, and Kelowna demonstrate the importance of cooperation and proactive planning in responding to the challenges posed by US tariffs. By working together and supporting local businesses, these cities are taking a crucial step towards protecting their economies and ensuring the continued well-being of their citizens. The success of these initiatives will depend on the ability of the cities to adapt to the changing trade landscape and to find new opportunities for growth and development.