More than half of small businesses say U.S. no longer reliable: CFIB data

A year after the U.S. sparked a global trade war with repeated rounds of tariffs, more than half of Canada's small businesses say the U.S. is no longer a reliable trading partner.

One year after the U.S. sparked a global trade war with repeated rounds of tariffs, more than half of Canada’s small businesses say the U.S. is no longer a reliable trading partner, according to the latest data.

A report released Wednesday by the Canadian Federation of Independent Business (CFIB) shows that 52 per cent of business owners surveyed agreed with this sentiment.

Three-quarters of small businesses that participated, or 75 per cent, said tariffs have strained their relationship with U.S. partners or clients, which is up from 49 per cent a year ago.

U.S. President Donald Trump last year imposed tariffs on goods imported from virtually all countries. The unpredictable nature of Trump’s foreign relations and trade policies has led to uncertainty for consumers, businesses and governments alike.

“Small businesses have faced massive uncertainty since the trade battle began last year,” Dan Kelly, CFIB president, said in the report.

“Small business owners have been dealing with the whiplash of trying to keep up with sudden changes and threats, including many that don’t happen or are revised within hours. With CUSMA coming up for review in the months ahead, the stakes are even higher.”

The CFIB’s report was based on data from two surveys conducted in December 2025 and February, and featured 1,379 and 1,663 participants, respectively. The organization says Ottawa needs to do more to help small businesses impacted by tariffs.

“Small business owners are telling us they feel abandoned in dealing with tariff costs,” Michelle Auger, CFIB director of trade and marketplace competitiveness, said in the report.