Amid rising trade tensions between Canada and the United States, triggered by Donald Trump’s tariffs and ambiguous statements on trade, Canadian manufacturers are being forced to review their strategies. The conflict is motivating companies to find new ways to remain competitive and balanced in the markets.

According to Reuters, many Canadian companies have already made changes to their business approaches. Some of them are actively considering expanding their markets in Asian countries, where support for exports and investment is becoming increasingly important.

For example, a Canadian-based manufacturer of pharmaceutical capsules and tablets is targeting new partnerships in the Asia region to reduce its dependence on the American market.

Other companies, such as a steel component manufacturer and a company specializing in tailoring suits, are taking steps to maintain their positions in the United States. Warning customers about possible price increases or even discounts on their products is becoming part of these companies’ strategies to avoid losses in a large market environment.

Canada, which historically sends a significant portion of its exports to the United States, has been hit hard by Trump’s tariff policies. In March, the US president imposed a 25% tariff on steel and aluminum imports from Canada, as well as additional tariffs on cars and parts, which have negatively affected most Canadian manufacturers.

Experts believe that such actions by Washington could have serious consequences for the Canadian manufacturing sector, in particular, lead to an increase in bankruptcies among companies that are heavily dependent on exports to the United States. According to data, about 42% of Canadian production is exported to the United States, and more than 1.7 million workers in the country depend on imports from the United States for their jobs.

This situation requires Canadian manufacturers not only to adapt to the new realities of trade relations, but also to find innovative strategies to maintain their competitiveness in international markets.