CFIB pushes for urgent action on internal trade as US tariffs loom

The Canadian Federation of Independent Business (CFIB) urges governments to act immediately to eliminate internal trade barriers that restrict the movement of goods, services, and labour across the country as new US tariffs take effect next week.

The call comes ahead of the Committee on Internal Trade meeting, where CFIB is pushing for swift action to address long-standing issues.

SeoRhin Yoo, CFIB’s senior policy analyst for interprovincial affairs, emphasized the growing political attention on this issue, calling it a crucial moment for reform.

CFIB praised Premier Tim Houston’s plan to introduce legislation that would remove trade barriers with provinces willing to do the same.

Yoo urged all provinces and territories to follow suit, arguing that governments already have the necessary tools to enact change.

Adopting mutual recognition agreements, Yoo said, would allow goods, workers, and services to move freely across the country and provide a much-needed economic boost amid uncertainty.

A CFIB survey found that nearly 90 percent of small businesses consider removing internal trade barriers a government priority.

Half of the respondents said these barriers negatively impact production, while the same percentage reported that expansion efforts are also affected.

The survey also revealed that 87 percent of business owners support allowing food produced in provincially or territorially licensed or inspected facilities to be sold across Canada.

Ryan Mallough, CFIB’s vice-president of legislative affairs, pointed to Canada’s long-standing internal trade issues, noting that CFIB has been tracking progress since before the Canadian Free Trade Agreement (CFTA) was signed.

While some improvements have been made over the years, Mallough argued that governments have never shown the same level of political will as they are now.

He criticized the fact that exporting food to other countries is often easier and cheaper than selling it across provincial or territorial borders.

Canada, he said, should be focused on competing globally rather than within its own borders. He called on governments to take immediate action to eliminate internal trade barriers by adopting mutual recognition agreements.

CFIB is advocating for governments to approve goods and services for sale across all provinces without additional regulatory requirements.

The organization is also pressing for the elimination of remaining CFTA exceptions, the implementation of outstanding items from the Regulatory Reconciliation and Cooperation Table work plan, and collaboration with professional colleges to streamline credential recognition for skilled workers.

CFIB is also calling for legislative timelines to ensure professional certification approvals for workers moving across jurisdictions and wants to see the liberalization of interprovincial alcohol trade.