The port city of Prince Rupert, a major economic hub in northwestern B.C., is gearing up to tackle head-on the heavy tariffs imposed by the United States.
City council passed a motion at its regular meeting on March 24, directing staff to review current procurement practices and identify opportunities to enhance Canadian and local purchasing. Staff were tasked with reporting back to council at a future meeting with a proposed outline of changes, including the cost-benefit implications and the potential impact on the city鈥檚 current budget.
Circumstances
Coun. Teri Forster presented a proposition regarding recent U.S. tariffs. On Feb. 1, 2025, President Donald Trump imposed a 25 percent tariff on all Canadian goods and a 10 percent duty on energy exports. Although a 30-day delay was announced on Feb. 3, the tariffs officially took effect on March 4.
The B.C. government warned that these tariffs could result in a economic hit by 2028. The Bank of Canada reported the trade war could lead to a
In response, former Prime Minister Justin Trudeau urged Canadians to support domestic products to reduce reliance on U.S. goods. Canada also enforced retaliatory tariffs on March 4, imposing 25 per cent tariffs on $30 billion in goods imported from the U.S.
Canadian Procurement Proposal
Coun. Forster explained that local governments are embracing a 鈥淭eam Canada鈥� approach to strengthen economic resilience across Canada. On Feb. 11, the City of Vancouver held a special council meeting and passed a motion directing staff to assess current capital projects, suppliers, procurement practices, and trade agreements. The goal is to identify opportunities for 鈥楤uy Local/Buy Canadian鈥� initiatives, with the council expecting a report outlining both immediate and long-term strategies.
鈥淚nvestment in the local community is expected to yield benefits for all people within Prince Rupert, notwithstanding any potential tariffs that may arise,鈥� said Forster in her proposal.
She urged staff to investigate the city鈥檚 ongoing and future projects, such as the Big Infrastructure Gap (BIG) project, which involves replacing the city鈥檚 aged water and sewer system.
鈥淚t鈥檚 mostly about having a look and seeing, I don鈥檛 know, as a city, where we get a lot of things,鈥� said the councillor.
鈥淚 asked about the water pipes for the BIG project. I don鈥檛 know if they were Canadian- versus American-procured. I鈥檝e never focused on that 鈥� I trusted, and I continue to trust that staff will make the best choice in terms of finances,鈥� said Forster.
鈥淏ut now the tariffs are in place, do we need to change? How do we look at new opportunities for where to acquire goods? Because it might have been cheaper buying it from one business, and now with these potential tariffs, maybe it鈥檚 not. There鈥檚 more questions than answers.鈥�
Coun. Cunningham chimed in, suggesting staff also look at opportunities where, beyond buying Canadian, the city buys locally.
鈥淲henever possible, we can buy local supplies from people that are paying taxes in this town instead of companies from Terrace or wherever. I see their vans delivering stuff all over town and to our own building and they don鈥檛 pay any property taxes, none of the money stays here. They sell the product and leave town,鈥� said the councillor.
Coun. Wade Niesh shared concerns that the addition of buying everything locally might have a drastic impact on the budget.
City Manager Rob Buchan clarified that this motion will direct staff to investigate and prepare an outline of the legal implications, costs, and budget considerations of purchasing Canadian and local goods. Following this, the council will have the opportunity to consult and debate before incorporating staff suggestions into the city鈥檚 guiding policy.
Similar motions have been proposed and/or approved in Burnaby, Delta, Victoria, Toronto, Ottawa, Kitchener, Waterloo, and Mississauga.
In the province of British Columbia, the municipalities of View Royal and the District of North Vancouver have resolved to boycott the social media platform 鈥淴,鈥� opting for alternative communication methods to engage with residents. The City of Victoria has publicly indicated its intent to adopt a similar stance.
鈥淭he staff that the city has are amazing people. And they plan for a lot of things, but these tariffs and the potential for increased costs are not things any of us could have pre-planned for," said Forster.
"So this is giving us an opportunity to consider how those things might impact us as a city, and see if there are opportunities for us to make different choices.鈥�
She suggested that residents also spend some time getting educated on shopping locally.
鈥淲e have got amazing opportunities in our community. We鈥檝e got different bakeries that are local. We don't have to just buy bread that鈥檚 been shipped in from afar,鈥� the councillor said.
鈥淧eople can make a choice to support a local business that keeps money in our community, and it helps support people in light of all the different changes to ensure that they鈥檙e going to be here tomorrow.鈥�
