A new report by the Canadian Federation of Independent Business says 47 per cent of small businesses do not consider the U.S. a reliable trading partner.
The business group says the disruption caused by U.S.-Canada tariffs is causing business owners to shift suppliers and investments to domestic and international markets other than the U.S.
CFIB says small businesses are promoting Canadian-made products, delaying and/or cancelling expansion plans and exploring international alternatives, but only three in 10 say they are confident their actions will help offset the impact of the trade war.
The report says 32 per cent of business owners have already shifted to suppliers and markets within Canada, while 27 per cent plan to increase their investment in Canada.
CFIB president Dan Kelly says small business optimism is at historically low levels.
He called on the federal political parties for commitments to eliminate the remaining internal trade barriers and reduce taxes on small businesses.
