Marketing During a Tariff War: Turning Challenges Into Opportunities

6 min read
26-Mar-2025 9:44:49 AM

Let’s be honest—tariff wars aren’t just political headlines. For Canadian businesses, there are real consequences for costs, supply chains, and customer spending. Tariffs hit where it hurts: your bottom line. With the U.S. imposing 25% tariffs on most Canadian exports (and Canada hitting back with its own 25% tariffs on U.S. goods), costs are climbing, and uncertainty is growing.

For Canadian businesses—especially in manufacturing, retail, and B2B—this means:

  • Higher consumer prices (because passing on costs is never a fun conversation).
  • Supply chain headaches that make juggling logistics even trickier.
  • Slower economic growth—customers might think twice before spending.

But here’s the good news: you don’t have to just sit back and take the hit. Businesses doubling down on Canadian-made products, ethical sourcing, and smart marketing can turn uncertainty into an opportunity. In this guide, we’ll show you how to adjust your marketing during a tariff war to build trust, stand out, and keep your customers on board—even when prices are climbing.

Ready? Let’s dive in.

Key Takeaways

Understanding the Impact on Canadian Businesses

If you feel like doing business in Canada right now is a bit like playing economic dodgeball, you’re not alone. With new tariffs on imports and retaliatory tariffs on U.S. goods, industries nationwide are feeling the squeeze.

Industries Taking the Hardest Hits

While no sector is entirely immune, some are getting hit harder than others:

  • Manufacturing: From automotive, machinery, and electronics, higher material costs make production more expensive, and supply chain delays add to the frustration.
  • Food & Agriculture: Farmers and food producers face rising equipment and ingredients costs, making everything from packaged goods to fresh produce more expensive.
  • Consumer Goods: Household items, apparel, and everyday essentials are becoming more expensive, forcing businesses to decide whether to absorb the costs or pass them on.

Key Challenges Businesses Face

Beyond the obvious price hikes, Canadian businesses are struggling with:

  • Price fluctuations: With tariff rates shifting, it’s tough to predict costs and set stable prices.
  • Supply chain disruptions: Delays and shortages make it harder to maintain production schedules.
  • Consumer uncertainty: Higher consumer prices mean shoppers are hesitant to spend, which affects sales.

According to a recent Ontario Chamber of Commerce survey, 66% of Ontario business decision-makers anticipate that U.S. tariffs on Canadian goods will negatively impact their operations, with 41% expecting decreased sales and revenue. 

Despite these challenges, businesses that adapt can maintain customer trust and drive long-term success. 

Shaping Your Marketing Strategy to Support Canadian-Made Products

With tariff rates driving up costs, now is the perfect time to lean into what makes your business stand out: Canadian-made products and ethical sourcing. Consumers are paying more attention than ever to where their products come from, and companies that highlight their local roots can build stronger connections and brand loyalty.

Recent data supports this shift—sales of locally produced items grew by 8% in 2024–2025, with notable increases in food, apparel, and household products. Additionally, a February 2025 Ipsos poll found that 67% of Canadians intend to avoid purchasing U.S.-made products. This rising trend of economic patriotism makes now the perfect time to lean into Canadian-made messaging and branding.

Brand Transparency

Consumers appreciate honesty—especially when their wallets are feeling the strain. Be upfront about how you make your products and why supporting Canadian businesses matters.

  • Highlight Canadian-made components: Make clear in your packaging, website, and marketing materials that your products support local workers and businesses.
  • Communicate sourcing efforts: If you use local suppliers, let customers know. Transparency builds trust and strengthens brand loyalty.

Local Sourcing & Storytelling

People don’t just buy products—they buy into the story behind them. Use your marketing to share the real people and communities behind your brand.

  • Spotlight suppliers and workers: Share behind-the-scenes content showcasing the Canadian businesses you partner with.
  • Use customer testimonials: Feature Canadian customers who love your products and support local businesses.
  • Create engaging content: Blogs, videos, and social media posts about your commitment to Canadian-made products can make a lasting impact.

Clear Labelling

Make it easy for customers to recognize your products as Canadian-made.

  • Use “Made in Canada” labels prominently: On packaging, product descriptions, and online stores.
  • Create dedicated product pages: Highlight all your domestic product offerings in one place for easy browsing.
  • Make it a core part of your brand: Reinforce the message in ads, emails, and promotional materials.

Educational Content

Help customers understand why buying Canadian-made is worth it.

  • Write blogs on the benefits of local products: From economic growth to job creation, educating consumers can drive engagement.
  • Run ad campaigns that inform: PPC and social ads can emphasize how supporting Canadian businesses keeps jobs and investments in the country.
  • Collaborate with local brands: Cross-promotions with fellow Canadian businesses can amplify your message and expand your reach.

By making Canadian-made a core part of your marketing strategy, you can turn trade wars into an opportunity to strengthen customer loyalty and stand out in the market.

Digital Advertising Strategies to Empower Consumers

Consumers are becoming more conscious of where their money goes, and with tariffs on imports driving up costs, they want to make informed purchasing decisions. Smart digital marketing strategies can help you connect with these consumers and position your business as a trusted, Canadian-made alternative.

SEO & Content Marketing

Make it easy for consumers to find you online by optimizing your website and content for relevant search terms.

  • In blog posts and product descriptions, use keywords like “best Canadian [product] options” and “buy local Canada.”
  • To establish authority, write articles about the benefits of domestic product sourcing, consumer goods pricing trends, and supply chain challenges.
  • Share success stories of businesses thriving despite trade wars, helping you rank for timely and relevant topics.

PPC & Social Media Ads

Digital advertising is a powerful way to highlight your Canadian-made products and connect with customers looking to shop local.

  • Run targeted ad campaigns emphasizing ethical sourcing, local jobs, and how buying Canadian supports the economy.
  • Use geo-targeting to reach consumers specifically looking for Canadian-made alternatives.
  • Leverage retargeting ads to remind previous visitors about your products, especially those who abandoned their cart due to price concerns.

Landing Pages & Calls to Action

Once consumers find your brand, make sure your website guides them toward a purchase.

  • Create dedicated pages showcasing Canadian-made products with easy navigation and compelling messaging.
  • Use clear calls to action like “Shop Canadian” or “Support Local” to reinforce your brand’s message.
  • Offer email sign-ups with exclusive discounts or insider content about supporting Canadian businesses.

By fine-tuning your digital strategy, you can make it easy for consumers to choose your brand—even when tariffs raise consumer prices.

Navigating Price Sensitivity Without Alienating Consumers

With tariff rates driving up costs, consumers are more cautious about spending. While competing on price alone isn’t always feasible, businesses can focus on value, quality, and customer loyalty to keep sales strong.

Emphasize Value Over Price

Rather than apologizing for higher consumer prices, highlight what makes your products worth it.

  • Showcase quality and durability—consumers are often willing to pay more for products that last.
  • Reinforce the benefits of ethical sourcing and supporting local jobs.
  • Communicate the long-term savings of well-made Canadian-made products versus cheaper, imported alternatives.

Loyalty Programs & Discounts

Encourage repeat business and reward customer loyalty without slashing prices across the board.

  • Offer exclusive discounts for returning customers or bulk purchases.
  • Create referral programs that give incentives for word-of-mouth recommendations.
  • Use email marketing to share special promotions with your most engaged customers.

Bundling Strategies

Bundling complementary products can help justify higher costs while increasing perceived value.

  • Offer “Buy More, Save More” deals to encourage larger purchases.
  • Create themed bundles, such as “Made in Canada Essentials,” to promote domestic product sales.
  • Highlight savings compared to buying items separately, helping customers see the added value.

Price sensitivity is real, but it doesn’t have to derail your business. You can maintain strong customer relationships even in a tariff war by focusing on value, loyalty, and strategic pricing.

Leverage Government Support

You don’t have to tackle rising costs alone—there are government programs designed to help.

  • Apply for tariff relief: The Canadian government offers a remission process that allows businesses to apply for exemptions on certain tariffs on imports, particularly when domestic alternatives aren’t available.
  • Explore financial assistance: Programs such as low-cost business loans and wage subsidies can help ease the financial burden of tariff wars.

Staying informed about these resources can make a big difference in managing costs and staying competitive.

Seize the Opportunity to Strengthen Your Canadian Business

A tariff war presents challenges but also creates opportunities for adaptable businesses. Focus on Canadian-made products, transparent branding, and smart marketing strategies to turn uncertainty into a competitive advantage.

Consumers want to support businesses that align with their values—make sure they know why your brand is the right choice. Despite the challenges, now is the time to refine your marketing strategy, reinforce your message, and build stronger customer relationships.

At ThinkFuel, we help Canadian businesses stay competitive with data-driven marketing strategies that build trust and drive growth. Contact us today to learn how we can help you adapt your marketing for success.

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