Canada, China, Singapore Support Companies and Workers Impacted by Tariffs

In response to economic uncertainty created by U.S. trade tensions, Canada, China, and Singapore rolled out new programs to support their companies and workers. We’ve gathered the latest actions here. 

Why it matters: The global chaos created by escalating trade conflicts is fueling efforts to create measures designed to provide relief to companies and employees and offset tariff impacts. The rules may apply to U.S. employers with operations in those countries.

Canada relaxes employment insurance rules. Canada’s changes to employment insurance is designed to help more workers qualify for employment insurance, providing temporary financial support to those who have lost their jobs. The unemployment rate rose in March due to hiring pauses and layoffs caused by tariff uncertainties.  

 Other key measures implemented by the Canadian government include:  

• Automaker Support: A performance-based “remission framework” for automakers to encourage production and investment in Canada. This allows automakers to import a limited number of U.S.-assembled vehicles tariff-free, contingent on maintaining Canadian production and investment levels. 

• Temporary Tariff Relief: A six-month relief for U.S. imports used in Canadian manufacturing and public sectors, providing immediate aid to businesses dependent on U.S. inputs, such as hospitals and food processing facilities. 

• Large Enterprise Tariff Loan Facility: This initiative provides liquidity to large businesses facing financial challenges due to the tariff dispute, with a focus on maintaining jobs and operations in Canada. 

China’s top policymakers have pledged to support firms and workers affected by U.S. tariffs with measures including:  

• Increased unemployment insurance funds returned to companies to help retain jobs. 

• Support for employers to safeguard jobs amidst U.S. tariffs. 

• Strengthened financing support to help enterprises in difficulty. 

• Policies to integrate domestic sales with foreign trade to aid businesses. 

Singapore initiated the Singapore Economic Resilience Taskforce (SERT) to navigate challenges from recent U.S. tariffs and changing trade dynamics. 

The U.S. government has promised to support exporters who try to shift their sales to the domestic market, in what analysts see as a political message, rather than economic policy. Certain industries might receive similar bailouts as during Trump's first term, but the availability of funds is uncertain.