Quebec Takes Aim at US Tariffs with Local Sourcing Push

Quebec's government has announced measures to protect its economy and supply chains amid the escalating trade war with the United States. The new counter-tariffs against US products, set to take effect on Tuesday, aim to diversify the economy while safeguarding local businesses and jobs.

Premier Christine Fréchette called a special cabinet meeting to discuss the intensifying trade war and Canada's retaliation measures. Quebec plans to retaliate with new duties ranging from 15 to 50 per cent on hundreds of American products, in line with the dollar-for-dollar response promised by Prime Minister Mark Carney last August.

The province is using its purchasing power to support local businesses, creating more opportunities for companies and sustaining jobs. Public contracts can now be reserved for companies with an establishment in Quebec or Canada, and bidders can receive a 15 per cent preference margin based on Quebec or Canadian value-added content.

Additionally, the Transport Ministry, Santé Québec, and the Société québécoise des infrastructures will require that at least 15 per cent of the value of materials and equipment be sourced locally for construction contracts valued under $9.2 million. For projects exceeding this threshold, more ambitious requirements could be imposed on a case-by-case basis by decree.

The province is also expanding direct financial support to businesses, including small and medium-sized enterprises (SMEs), with annual revenue between $200,000 and $2 million now eligible for emergency assistance.