SECTOR GUIDE · REGIONAL TARIFF RESPONSE INITIATIVE
For food, beauty, household and personal care brands that make their products in Canada.
CPG companies are exposed on both sides of the border: U.S. tariffs on what they sell, and Canadian counter-tariffs on U.S. ingredients, components and packaging. RTRI is aimed at manufacturers, so brands that make their products in Canada, or own the manufacturing, fit best.
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Tariff facts checked against official sources on October 29, 2026 • Sources linked below
See all sector guidesHOW TARIFFS HIT THIS SECTOR
For brands, impact usually shows in margins, as packaging and ingredient costs rise while retailers resist price increases. Direct-to-consumer sellers should also document what the end of the U.S. de minimis exemption did to orders.
Tariff measures change often. Each item links to the official source, and rates are as published on October 29, 2026.
Since August 22, 2026, a 50% tariff with no CUSMA exemption covers Canadian plastics, paper products, textiles and apparel, sports equipment and electronics, among other categories.
U.S. tariffs on Canadian goods (Trade Commissioner Service)Since September 8, 2026, Canada applies 50% to U.S. perfumes, make-up and hair preparations, plastic packing articles, paper cartons and glass bottles and jars, and 25% or 50% to many U.S. dairy and food preparation inputs.
Complete list of U.S. products subject to counter tariffs (Finance Canada)The U.S. suspended its duty-free de minimis exemption for commercial shipments valued at US$800 or less on August 29, 2025. Those shipments now face regular duties and applicable tariffs, although goods that qualify for CUSMA treatment may avoid some of them.
U.S. tariffs on Canadian goods (Trade Commissioner Service)WHO QUALIFIES
RTRI normally supports manufacturers, suppliers and value-added businesses. Retail businesses are generally not eligible, so the application should centre on your manufacturing operations in Canada.
Retail, local consumer services (such as hotels, restaurants, utilities, healthcare and recreation), oil and gas extraction and construction services are generally not eligible.
Packaged food and snack brands. Beauty, cosmetics and personal care makers. Household and cleaning product makers. Private label and co-manufacturers.
In at least one of your last two fiscal years, as an incorporated, for-profit business located and operating in the region you apply to.
Assessed through your attestation, financial statements and operating history. Businesses founded after March 21, 2025 are considered case by case.
Meet at least one test: a sector hit by Section 232 or 338 tariffs (directly or as a supplier), 25% or more of revenue from goods ultimately exported to the U.S., or harm from tariffs or the uncertainty they created.
HOW RTRI CAN HELP
Liquidity assistance covers tariff-related cash-flow shortfalls in your existing labour and overhead. Pivot projects fund net-new investment on top of the business you already run. You can apply for either, or both.
Non-repayable support for a tariff-related cash-flow shortfall in the business you already run.
Liquidity covers 50% of average monthly payroll over the last 12 months in your Canadian operations, up to $2M and capped at your demonstrated need.
Tariffs, customs duties, raw materials, inventory and debt payments are not eligible liquidity costs. Dividends are restricted while liquidity support is in place.
Funding for net-new investment on top of your existing labour, overhead and operations.
Projects need new, incremental costs and measurable results. Land and building purchases, entertainment, vehicles and refinancing are not eligible.
Up to $3M in combined non-repayable support: $2M for liquidity plus $1M for a non-repayable pivot. Total RTRI support, including repayable funding, is capped at $20M per business. The same costs cannot be funded twice.
THE EVIDENCE THAT MATTERS
Tariff impact is what gets assessed. You do not need to attach every business record, but each claim should trace back to one.
Examples of indirect tariff impactWHERE TO APPLY
RTRI is delivered by seven regional development agencies, each with its own process. You apply to the agency for the region where your business operates, and separate requests are needed for employees in more than one region.
Fillable PDF form, submitted from Adobe Acrobat Reader
CEDContact CED first; CED assesses eligibility, then sends the form
PacifiCanPacifiCan online portal, stream “BC (PacifiCan) - RTRI-Business”
PrairiesCanDetailed application in the PrairiesCan online portal
ACOAMyACOA Client Portal, after talking to your nearest ACOA office
ALL REGIONSAll seven regional development agencies
SECTOR QUESTIONS
Practical answers based on the agencies' published RTRI guidance and official tariff sources.
A brand that manufactures in Canada can apply to the Regional Tariff Response Initiative if it meets the criteria, including $1M+ in revenue and a documented tariff impact. Retail businesses are generally not eligible.
They can. RTRI accepts cost increases where tariffs raised the price of goods and materials needed for production. Since September 8, 2026, U.S. plastic packing articles, paper cartons and glass jars are listed at 50%.
On August 29, 2025, the U.S. suspended the duty-free de minimis exemption for commercial shipments valued at US$800 or less. They now face regular duties and applicable tariffs unless they qualify for CUSMA treatment, which can reduce direct-to-consumer orders.
It can, as part of a pivot project that diversifies markets or reduces trade risk, such as new product lines for Canadian or non-U.S. buyers. The project needs measurable results and new, incremental costs.
LET'S FIND YOUR NEXT STEP
Tell us what has changed for your business. In a free, one-on-one consultation, we will help you understand your tariff relief funding options and next steps, whether or not you work with us.
Independent advisory by Fundspoke. We are not a government agency. Tariff measures and program terms change often; official sources, your regional agency's current rules and your contribution agreement govern. Your customs broker can confirm how tariffs apply to your products.