Eligible businesses and organizations in southern Ontario can now apply for support through an enhanced Regional Tariff Response Initiative, the Federal Economic Development Agency for Southern Ontario announced.
The Honourable Evan Solomon, Minister of Artificial Intelligence and Digital Innovation and minister responsible for FedDev Ontario, announced September 8, 2026 that applications are being accepted for expanded support through the initiative, which is delivered by Canada’s regional development agencies and includes liquidity support for businesses affected by tariffs.
The enhanced initiative provides increased support to help businesses address liquidity pressures, strengthen competitiveness, diversify into new markets and build resilience, according to the agency. As part of the expansion, the federal government is investing an additional $1.5 billion through the program, and eligible businesses may now access up to $3 million in non-repayable funding, including up to $2 million for demonstrated liquidity needs, alongside existing support for business pivots, productivity improvements, resilience initiatives and capital investment projects.
Repayable funding will continue to be offered for larger-scale projects that help businesses adapt, improve resilience and compete amid evolving trade and market conditions, and support is also available for not-for-profit organizations that help businesses adapt, grow and expand trade opportunities.
“Canada has the businesses, the skilled workers, and the expertise to compete and grow. Through the expanded Regional Tariff Response Initiative, we are providing additional support to help businesses respond to tariff pressures, strengthen supply chains, build resilience, and pursue new market opportunities. By investing in Canadian workers, businesses, and industries, we are helping protect jobs, strengthen our economy, and build a more competitive and prosperous future for Canadians,” said Minister Solomon.
The federal government announced a $7.5 billion package of new and enhanced measures to support Canadian workers and businesses on August 25, 2026. That package included the additional $1.5 billion for the Regional Tariff Response Initiative, bringing the total investment delivered by Canada’s regional development agencies to $3.45 billion nationally.
The broader package also includes a $2 billion Canada Strong Diversification Fund, $500 million in new BDC liquidity support, $3.5 billion in Rapid Response Supports for Workers and Employers and new flexibilities under the Large Enterprise Tariff Loan facility.
