As the deadline for Canada to secure a trade agreement with the United States rapidly approaches, numerous Canadian businesses are feeling the pressure. Some anticipate losing up to half of their sales if the new tariffs go into effect. These tariffs, set to begin on Wednesday, would impact a wide range of Canadian products, including electronics, dairy, alcohol, and wood, among others.

The negotiations are intensifying as time runs out. Canadian officials may meet with U.S. Trade Representative Jamieson Greer before discussions between Prime Minister Mark Carney and President Donald Trump take place. The final decision on any deal will rest with Trump, as emphasized by America’s top trade negotiator.

Several Canadian businesses fear that the proposed tariffs will not only raise prices for American customers but also render cross-border shipping economically unviable. Todd Stafford, the president of Northern Cables based in Brockville, Ontario, expressed concerns about potentially losing half of the company’s sales to U.S. buyers.

If the tariffs are enforced, Northern Cables could face severe consequences. Stafford highlighted the significant impact on the company’s operations, which heavily rely on U.S. sales. He emphasized the potential loss of business due to the high tariffs.

Despite the challenges posed by the impending tariffs, the Canada-U.S.-Mexico Agreement (CUSMA) has historically shielded a substantial portion of cross-border trade from such levies. However, the new tariffs could affect approximately five percent of Canada’s overall trade with the U.S., impacting various exports like hockey sticks, flowers, and antiques.

Business owners, including Cindy Baldassi of CindyLouWho2 in Calgary, are bracing for potential losses. Baldassi has already halted U.S. shipping on her platforms in response to the looming tariffs. She faces uncertainties about sustaining her business under the new trade conditions.

Concerns are widespread among Canadian businesses, with fears of revenue loss and market instability. Some companies have already felt the repercussions of the tariff threat, with layoffs and reduced orders impacting their operations.

Lorne Prins, a beekeeper in Alberta, is among those preparing for the worst. He is aware of fellow producers rushing to ship honey to the U.S. ahead of the deadline. Prins anticipates significant challenges if the new tariffs disrupt the honey market, potentially leading to surplus stocks and price fluctuations.

Despite the uncertainties, business owners are exploring alternative strategies to mitigate potential losses and navigate the evolving trade landscape.