A new survey by business owners shows that more than two-thirds of Canadian companies can survive a trade war with the United States that lasts more than a year.
Sixty-seven percent of business leaders surveyed by KPMG said they could withstand a 12-month trade dispute, while 30 percent said they would also face “significant loss of profits” if the tariff war lasted longer, while 3 percent said they would be leaving the company in this scenario.
The survey, conducted last week, assessed the opinions of 602 business leaders from medium and large companies. Canada Industrial sector. Approximately half-operated companies in the two industries are expected to be hit hardest by US tariffs, industrial manufacturing, energy and natural resources.
A total of 86% of companies surveyed by KPMG said they support retaliation fees against the US. This includes 89% of companies in Ontario, 85% of Quebec, 83% of Alberta and 80% of British Columbia.
Timothy Prince, managing partner at KPMG Canada, said the economic uncertainty caused by tariffs has led to 76% of companies in conducting strategic reviews of their businesses.
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“The business community remains unshakable in its commitment to stand up to Canada,” Prince said in a press release. “The scale and length of time of the tariff will affect our ability to survive the subsequent storm.”
Some companies have already taken steps to prepare for tariffs, research found. Fifty percent of business leaders said they reduced production or fired employees in response to tariffs, but 28% were forced to do so if the trade war lasted for four to six months.
A significant level of anxiety has permeated the business sector, with 96% of respondents saying they are interested in how tariffs are paid and how to acquire goods across borders. 98% expressed concern over managing their pricing strategies with their customers, and 95% reported concerns related to both upstream and downstream risks affecting the supply chain.
Prince said employers are seeking decisive action from both the federal and state governments in response to tariffs.
“They do what they have to do to get through this, but they hope that the government will take bold actions: eliminate barriers between colonies, build corridors that are not dependent on national energy, reduce deficits, revamp tax systems and improve competitive capabilities,” Prince said.
A total of 86% said that countries should build more pipeline infrastructure to diversify their export markets and reduce Canada’s dependence on the US, while 88% said they should remove the trade barrier between Princias.
Almost a third of respondents said they could redirect 11% to 25% of their sales to the market. Canada.
