Winnipeg, MB – Today, Keystone Agricultural Producers (KAP) responded to the U.S. government implementing 25% tariffs on Canadian goods imported into the U.S.

“Today’s imposition of tariffs on Canadian goods entering the U.S. will do nothing but harm farmers and consumers on both sides of the border,” said KAP President, Jill Verwey. “We oppose these trade actions that impede the free flow of goods between our two nations in the strongest of terms.”

In 2024, Manitoba’s agri-food exports were $9.28 billion, with 46% of that going to the U.S. as our top agri-food trading partner. Some of the most exported farm products from Manitoba into the U.S. include canola, pork, potatoes, and oats.

“Manitoba farmers produce world-class agricultural products and our trading partners in the U.S. know this, despite the actions their federal government are taking that will disrupt their ability to access Manitoba products at an affordable price,” said KAP General Manager, Colin Hornby. “These tariffs will not only add costs and threaten Manitoba farmers’ ability to operate but will impact the livelihoods and purchasing power of countless individuals and businesses on both sides of the border, resulting in increased food costs for U.S. consumers.”

Tariffs will be imposed on all products from Canada and Mexico that are imported into the U.S., despite many years of economic prosperity for North America due to free trade through NAFTA and later, CUSMA.

“Canada and the U.S. have a long, prosperous, and mutually beneficial trading relationship that should continue uninterrupted for the benefit of North America’s prosperity. Now is the time for Canadian industries to band together with a true united front as we enter a new reality of tariff-based trade policies from our largest trading partner,” continued Verwey.

Hornby noted the work that KAP has done in recent months working with farmers and across the agricultural value chain that has informed immediate and longer-term recommendations provided to government to mitigate tariff impacts.

Some of KAP’s recommendations to the provincial government include:

• Expedite permitting processes across all departments to facilitate the expansion of value-added production and processing
• Work with other prairie provinces to leverage our shared interests and resources, including through engagement with individual key U.S. states identified by industry
• Treat trucking companies that move agricultural production the same as individual farmers that move their production to market by removing the PST on fuel used with moving agricultural production to market
• Work with the federal government to:
  • Continue and increase investments to align policies that will increase local demand and expanded value-added capacity (e.g. biofuels, animal processing, abattoirs)
  • Continue and increase investments in global market expansion and diversification
  • Make improvements to business risk management programs (e.g. on AgriStability, adjust reference margin trigger for payments, increase compensation cap and rate, expedite payments, extend deadlines)
  • Ensure revenues generated from any retaliatory tariffs are distributed appropriately amongst sectors and regions
  • Ensuring farmers have adequate access to capital through pre-existing avenues, such as Farm Credit Canada and the Advance Payments Program, and increasing interest-free limits as needed

“KAP has worked closely with our individual farmer and commodity group members, exporters, transportation sector, trade experts, grain handlers, and crop input companies to understand the full scope of tariff impacts on Manitoba agriculture. This has informed our recommendations to ensure they are realistic, impactful, and deliverable,” concluded Hornby.

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For more information:

Emily Davidson
Marketing and Outreach Coordinator
Keystone Agricultural Producers
Email: Emily.Davidson@kap.ca | Direct: (204) 924-6017