It was a sigh of relief for the Canadian Federation of Independant Business to learn that Canada and Mexico were exempt from President Donald Trump’s reciprocal tariff announcement Wednesday.

CFIB’s Brianna Solberg says the April 2nd looming deadline was one of concern, causing disruption and uncertainty in the markets.

“The fentanyl-related tariffs, or the border security tariffs, that already are in place for Canada, and the CUSMA exemption clause are remaining in effect indefinitely, but there will be no additional 10 per cent from today’s actions.”

She says despite this positive news, small businesses are already feeling the impacts of existing tariffs.

“Many of them are citing rising costs, they worry about a weaker Canadian dollar, lower demand for their product, and ultimately, pricing difficulties.”

Small businesses that can afford do so are trying to purchase more products from Canadian suppliers and explore international alternatives to U.S. goods.

“Unfortunately, not everyone is able to do this…Business owners remain higher uncertain and highly fearful of the future of their business.”

She says CFIB’s March Business Barometer indicated the lowest level of small business confidence ever, even lower than during the Covid-19 pandemic, 9-11, and the financial crisis of 2008.

CFIB encourages all levels of Canadian government to work to remove interprovincial trade barriers, and they urge shoppers to spend their money locally.