What a new Trump administration could mean for Canadian businesses

Following the result of the 2024 U.S. election, Canada’s business community remains unsure about what’s in store for U.S.-Canada trade relations. This is a particular concern as president-elect Donald Trump has continually promised to impose universal taxes on all imports, having the potential to pose major challenges for Canada’s economy.

However, these trade policies could also encourage more cross-border deals between Canada and the U.S., said Torys partner and co-head of the firm’s M&A practice Karrin Powys-Lybbe in an interview with The Globe and Mail.

“If there are going to be barriers to goods moving across the border, I think one of the natural outcomes of that is going to be people thinking about moving across the border,” Karrin said.

“I think of M&A as a way to address tariffs and international trade restrictions.”

Karrin predicts, however, that many businesses will adopt a “wait and see” approach, given the uncertainty and unpredictability that existed for the businesses under the first Trump administration.

“Even if there is a shift to a more pro-business tone, it will take some time,” she said. “Until a few brave souls test the waters, others may feel there is still some uncertainty.”

Press Contact

Richard Coombs | Senior Manager, Marketing
416.865.3815