US tariffs threaten Quebec manufacturing and forestry sectors

New United States tariffs, including a 50% rate on $28 billion worth of goods, are creating economic concerns across various regions in Quebec. In La Matapédia, the manufacturing and forestry sectors are particularly vulnerable. Because wood processing accounts for more than one-third of the regional manufacturing GDP, local officials warn that these tariffs could lead to temporary layoffs or long-term business closures, impacting secondary sectors like local services and retail.

In response to these pressures, regional authorities are implementing support measures. The MRC Les Moulins has deployed its economic development service to assist businesses in Terrebonne and Mascouche facing decreased sales, liquidity pressure, and supply chain disruptions. Through the PAUPME program, eligible small and medium-sized enterprises (SMEs) can access loans of up to $150,000 with a 0% interest rate for the first 12 months. To qualify, businesses must demonstrate significant export ties to the US and show that the tariffs have caused or may cause a substantial drop in turnover.