SECTOR GUIDE · REGIONAL TARIFF RESPONSE INITIATIVE
For plastics processors, packaging converters and paper product makers.
Plastics and paper products were added to the 50% Section 338 tariff in August 2026, with no CUSMA exemption, and more paper products followed in September. At home, Canada's counter-tariffs put 50% on U.S. plastic packing articles and paper cartons, and pulp and paper is one of their focus sectors.
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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
Packaging companies often sit in the middle: U.S. customers pull back on Canadian product, while Canadian customers look for alternatives to U.S. packaging. Both can be part of the story, and the second is a pivot opportunity.
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 and paper products. Certain paper products were added on September 15, 2026, while toilet and facial tissue were removed.
U.S. tariffs on Canadian goods (Trade Commissioner Service)Pulp and paper is one of the sectors Canada's September 8, 2026 counter-tariffs focus on, and U.S. plastic packing articles and paper cartons and boxes are listed at 50%.
Counter-tariffs effective September 8, 2026 (Finance Canada)WHO QUALIFIES
Plastics and packaging manufacturers qualify as manufacturers in a sector hit by Section 338. Show which products are in scope and your U.S. share of sales.
Retail, local consumer services (such as hotels, restaurants, utilities, healthcare and recreation), oil and gas extraction and construction services are generally not eligible.
Injection, blow and extrusion moulders. Flexible and rigid packaging converters. Paper, carton and label makers. Printing and packaging services for 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, up to $2M and capped at your demonstrated need, while you rebalance customers and markets.
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.
Yes. Plastics, packaging and paper product manufacturers can apply to the Regional Tariff Response Initiative through their regional development agency for liquidity support, pivot project funding, or both, if they meet the eligibility criteria.
The 50% Section 338 tariff, with no CUSMA exemption, since August 22, 2026. Certain paper products were added on September 15, 2026, and toilet and facial tissue were removed from scope.
Yes, if the project is new and incremental, with measurable results such as replacing imports or serving new markets. Projects up to $1M can be non-repayable at up to 50% of eligible costs.
No. Tariffs and raw materials are not eligible liquidity costs. Higher input costs caused by tariffs are evidence of impact, and Finance Canada offers remission in specific circumstances.
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.