[Barrie, ON – August 5, 2025] Canadian exporters are bracing for higher costs after the United States increased tariffs on a wide range of Canadian goods to 35% as of August 1, 2025. This marks a steep jump from the 25% rate introduced in March and will affect any goods that are not certified under the United States-Mexico-Canada Agreement (USMCA).
For export-heavy regions such as Barrie — where manufacturing, automotive, construction, and logistics are closely tied to U.S. trade — the impact could be significant.
The important news: these tariffs can be avoided.
USMCA Certification: The Path to Avoiding Tariffs
Goods that meet USMCA’s rules of origin and complete proper certification can still move duty-free between Canada, the U.S., and Mexico.
In 2024, only 38% of eligible Canadian exports to the U.S. were certified under USMCA. At the time, many businesses skipped certification because tariffs were low or non-existent under other trade frameworks. But with a 35% penalty now in effect, completing certification has become an urgent priority.
According to Foreign Affairs Minister Dominic LeBlanc, up to 95% of Canadian exports could qualify for the exemption with correct documentation — potentially preventing major cost increases and helping companies remain competitive.
Pressure on Small and Mid-Sized Businesses
Small and mid-sized enterprises (SMEs) are most at risk from these changes. The Barrie Chamber of Commerce is urging the federal government to take immediate steps to make certification straightforward and widely accessible.
The Chamber recommends:
Publishing clear, standardized certification templates
Delivering targeted training programs for SMEs
Offering easy, online access to forms and guidance
Providing advisory support for businesses new to USMCA processes
“Avoiding these tariffs is possible, but only if certification is made accessible for every business — not just the largest corporations,” says Paul Markle, CEO of the Barrie Chamber.
What Exporters Should Do Immediately
Businesses that export to the U.S. should act now to protect their margins:
Review your products to see if they meet USMCA’s rules of origin.
Begin certification paperwork and ensure proper recordkeeping.
Use the CUSMA Compliance Guide from the Canada Trade Commissioner Service.
Consult trade professionals or your local chamber for support.
Stay alert for government announcements, tools, and resources.
Why It Matters
This isn’t just about avoiding new costs — it’s about protecting market share. For many companies, USMCA certification could be the deciding factor in whether they remain competitive in U.S. markets or lose business to fully certified competitors.
The Barrie Chamber of Commerce will continue to advocate for local businesses and provide resources to help exporters navigate these changes quickly and effectively.
For comment or assistance:
Paul Markle, ACE
Chief Executive Officer
📧 Paul@BarrieChamber.com
📍 121 Commerce Park Drive, Unit A, Barrie, Ontario, L4N 8X1
📞 Office: 705-721-5000 ext. 5 | Cell: 249-288-3540
About the Barrie Chamber of Commerce
The Barrie Chamber of Commerce champions the local business community, advocating for policies that support economic growth while offering networking, education, and development opportunities. Representing members across industries, the Chamber is committed to making Barrie a strong and prosperous place to live, work, and do business.
