Federal funding to support Saskatoon businesses against U.S. tariffs

The Canadian government is providing $11.6 million for workers and businesses in Saskatoon that have been impacted by new American tariffs.

The new funding is meant to be a dollar-for-dollar match against the “additional unjustified tariffs on Canadian goods,” according to the federal government, and will benefit eight Saskatoon companies.

“U.S. tariffs are increasing costs, disrupting supply chains and creating new uncertainty for Saskatoon businesses. In response, Canada is controlling what we can control: companies are investing in new equipment and automation, expanding production, bringing in more work in-house and pursuing new markets to stay competitive,” a news release from the Government of Canada stated on Wednesday.

Read more:

“These efforts are helping strengthen domestic supply chains and build greater resilience for Saskatchewan businesses and the Canadian economy.”

The funding from PrairiesCan will support eight businesses in Saskatoon.

A total of $7.5 billion was announced in “new and enhanced support” for projects across Canada, the government stated. This will be carried out through the Regional Tariff Response Initiative (RTRI).

Buckley Belanger, secretary of state for rural development, and Tim Hodgson, minister of energy and natural resources, made the announcement Wednesday on behalf of Eleanor Olszewski, minister of emergency management and community resilience and minister responsible for Prairies Economic Development Canada (PrairiesCan).

Listing some of the supported projects, the government shared that two projects will be managed by Doepker Industries Ltd., which will receive $1,711,153 for the installation of production equipment to “expand the number of trailer products manufactured to include Peerless and Scona brands, to increase capacity and diversify markets,” and another $1,000,000 to “implement a new enterprise resource planning system to improve productivity.”

Drake Meat Processors Inc. will receive support for two projects, including $2,200,000 for equipment to expand and automate a sausage and beef production line and $1,000,000 to buy equipment to expand and automate a cured pork production line. Both of these will be in Saskatoon.

According to Caileigh Beckman, director of operations with Drake Meat Processors, as quoted by the province, Drake Meats is in its final stages of constructing a new federally inspected plant, set to open in Saskatoon in December 2026. The new facility is meant to increase production capacity for the business and “deliver high-quality, Canadian-produced products to consumers across the country.

“Drake Meats appreciates the strong support provided by the PrairiesCan RTRI investment, along with our other key partners—FCC, Westcap and a local group of Saskatoon investors—especially during this challenging time for the Canadian ag sector due to trade issues and global conflicts.”

RMD Engineering Inc. will also receive $1,000,000 to install production equipment “to improve productivity and diversify markets.”

“The projects will help manufacturers grow, improve productivity, strengthen domestic supply chains and reach new markets,” the government said in its statement. “By supporting productivity, modernization and market competitiveness, the federal government is helping Saskatchewan businesses respond to the immediate pressures created by U.S. tariffs while building greater economic resilience over the long term. Today’s investments will support new equipment, automation, marketing, market diversification, and expanded production across a range of manufacturing industries.”