Guide helps small businesses prepare for potential end of NAFTA

Now is not the time to panic. It is the time to prepare.

The Canada West Foundation has released a guide to help Western Canadian small businesses prepare for a potential end to the North American Free Trade Agreement.

The guide, titled “The ‘Just in Case’ Plan: How Western Canadian small businesses can prepare for the potential end of NAFTA,” examines four potential U.S. withdrawal scenarios and associated tariffs, including what happens if: • NAFTA remains; • Canada-U.S. Free Trade Agreement is resurrected;

• World Trade Organization tariff rules take over; and

• Higher than WTO tariffs are imposed.

“Our advice to local business remains unchanged,” said Trevor Lewington, CEO of Economic Development Lethbridge.

“It’s not the time to panic. It’s the time to prepare. That’s really the key. It’s about doing research, understanding how the changes could affect your business and planning accordingly.”

The guide shows practical steps businesses can take to prepare, as well as how to navigate tariff scenarios that would have an immediate impact on some small businesses.

It uses examples of three fictional companies working through a number of tariff outcomes for different imports and exports.

A U.S. withdrawal from NAFTA could bring about uncertainty.

It is prudent for small businesses to take the time to come up with a strategy to navigate the potential changes to the trade environment with Canada's largest trading partner.

The Canada West Foundation is also advising businesses to connect with provincial, federal and other trade resources for any specific information they are seeking.

For more information, visit the Canada West Foundation at cwf.ca.