Meet the Canadian businesses that are betting big on home turf

When global trade tensions disrupted supply chains, Alex Sagrian, executive vice president of NLI International in Mississauga, decided not to wait and focus on domestic Canada.

“The sooner you act and the more proactive you are, the better off you are for the employees and the companies you work with,” he told CTV News.

NLI, which provides logistics, warehousing, transportation and distribution services, has invested more than $1 million in its domestic operations in Canada. The company has increased its warehouse capacity in Ontario, expanded into British Columbia and acquired Toronto-area freight forwarder AAA Express.

Sagrian also said it is increasing employee salaries by 15 per cent to support employees during these volatile times.

He said many businesses now prefer to work with Canadian companies, and they want the domestic economy to be stronger and people to have more confidence in the Canadian market.

Turning to the domestic market
With the continued uncertainty of Canada-U.S. trade relations and the imposition of tariffs by the Trump administration, many Canadian small and medium-sized businesses are abandoning the U.S. market and focusing on the domestic market.

“Business confidence and optimism have declined, and many are concerned about the future of their operations,” said Jessamine Gagnet, vice president of national affairs for the Canadian Federation of Independent Business (CFIB).

According to the latest CFIB survey of 4,000 Canadian businesses, four out of five companies are being hurt by current business conditions, from rising costs to declining demand.

According to the survey, 32 per cent of business owners have decided to find new domestic suppliers and markets, and another 30 per cent are considering this option.

Of course, focusing on the domestic market comes with its own challenges, including restrictions on the movement of food, beverages and labour between provinces, as well as licensing and regulatory costs.

The CFIB has called on the provincial and federal governments to implement the principle of “mutual recognition,” meaning that if a product is allowed to be sold in one province, it can be sold in another without restrictions.

Supporting Canadian goods
Pierre Clareau, chief economist at the Business Development Bank of Canada (BDC), said buying Canadian goods has a positive impact on the country’s economy.

BDC research shows that if every Canadian family spent $25 more a week on Canadian-made goods, 60,000 new jobs would be created in the country.

“This is a strong trend that will continue even with the tariff changes,” Clareau added.

Consumer demand for Canadian products has increased, and some businesses have seen significant growth, he said. For example, Green Beaver, a company that produces sanitary products, saw its sales increase by 40%.

According to a Narrative Research survey, 68% of Canadians look for domestically produced products when shopping, up 5% from the previous year.

To support this trend, the BDC launched the “Buy Five Canadian Pens and Gloves” campaign, where people can introduce and promote their five favorite Canadian products.

Claro advised businesses to reduce their dependence on the US market and operate in various domestic sectors such as the automotive, aviation, shipbuilding and even nuclear industries.

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