Regional Tariff Response Initiative in British Columbia-Frequently asked questions (FAQs)

To be eligible for liquidity support under RTRI, a business must demonstrate, based on its cash flow projections, a need for liquidity over a 12-month period. This need is determined based on projected cash flow shortfalls. The maximum amount of assistance will equal the lesser of the following:

• Projected 12-month cash flow need; or
• 50% of payroll, up to a maximum of $2 million and if necessary certain essential operating costs may be considered.

Funding will not exceed your demonstrated need or $2 million, whichever is less, and may be reduced to account for other government assistance.

See the application guide for details on the calculation and required documents.

Pivot projects support businesses undertake projects that improve productivity, increase competitiveness and reduce exposure to future trade disruptions.

A business can normally request non-repayable contributions (up to $1 million) representing up to 50% of total project costs where the project demonstrates broader economic benefits OR repayable contributions (over $1 million) for larger commercial projects, representing up to 75% of total project costs.

• A business can receive a maximum of $20 million under RTRI, including liquidity support.
• Funding is project-based and must result in incremental and measurable outcomes and add value to the existing activities already undertaken by the applicant.
• Project start dates may be up to 12 months prior to application submission.
• Projects must be completed by no later than March 31, 2029.
• Repayable contributions are interest-free. If approved, the schedule of payments will be set out in your contribution agreement.

No. Businesses seeking liquidity assistance are not required to submit a pivot project. However, they must demonstrate a material liquidity need related to tariff impact and commit to maintaining operations and employment in Canada.

Yes, eligible businesses may be eligible for liquidity support and a pivot project. For greater clarity, a business may be eligible to receive funding for one of the following combinations of projects:

• liquidity assistance only, capped at $2 million
• liquidity assistance plus a non-repayable pivot project up to $1 million for a maximum aggregate contribution of up to $3 million
• liquidity assistance plus a pivot project over $1 million, for a maximum aggregate contribution up to $20 million
• non-repayable pivot project up to $1 million
• repayable pivot project over $1 million

The above may involve multiple contribution agreements.

Your business must meet all the following criteria:

• Be an incorporated for-profit business located and operating in [region]
• Normally be a manufacturer, supplier, or value-added business operating in a tariff-impacted sector.
• Have annual revenue of at least $1 million in at least one of the last two fiscal years
• Demonstrate a tariff-related impact by meeting at least one of the following:
  • Have minimum sales of 25% in the markets targeted by the tariffs
  • Demonstrate being negatively affected by the tariffs or the uncertainty they have created (e.g., through operating in a sector impacted by tariffs or experiencing cost increases where tariffs have raised the price of goods and materials needed for production; supply chain disruption; or loss of revenue or customers). 
• To be eligible for liquidity assistance, demonstrate a liquidity need due to tariff impacts

Value-added businesses are businesses providing specialized services or critical expertise that enhance the competitiveness and performance of a value chain.

Transportation businesses must demonstrate that their core business activities are directly tied to the operations or value chain of exporters in the forestry sector. 

Professional, scientific,  technical services, warehousing and logistics businesses may be eligible if they demonstrate that their business plays a critical role in a tariff-impacted supply chain. 

Support is also available for not-for-profit organizations whose primary focus is to support businesses. Not-for-profit organizations are not eligible for liquidity support for their own operating expenses.

Ineligible applicants are:

• businesses that are unable to demonstrate direct or indirect tariff exposure
• retail businesses, businesses providing local consumer services (e.g., hotels, restaurants, utilities, healthcare, recreation), and oil and gas extraction and construction services generally are not eligible

Yes. Current RTRI recipients may be eligible for liquidity support beginning no earlier than August 22, 2026 and for up to 12 months, provided there is no duplication of funding for costs that are already being supported through an existing contribution agreement. Existing recipients should contact their project officer for more information.

Recipients must use the funding for the purposes of maintaining employment and operations in Canada, as set out in their contribution agreement. If there are changes to their liquidity needs and circumstances related to maintaining jobs and operations in British Columbia, recipients will be required to notify PacifiCan, which may result in the funding being reduced, terminated or repaid. Other conditions include recipients being restricted from declaring or paying dividends, while receiving liquidity assistance. There may also be restrictions on certain corporate payments.

Viability will be assessed through applicant attestation, financial information, and confirmation of the business's operating history. Businesses established after March 21, 2025, may be considered on a case-by-case basis where they can show they have been adversely affected by tariffs imposed since the launch of the Regional Tariff Response Initiative (RTRI).

Eligible costs depend on the type of support being requested. For businesses seeking liquidity support, funding is intended to help maintain operations and employment in Canada during periods of tariff-related disruption.

Liquidity support is based on the business's demonstrated and quantified liquidity needs. The amount of support is determined with reference to eligible payroll costs, although other operating costs are eligible and may be taken into consideration.

This type of assistance is provided for a limited period to help address short-term tariff-related pressures, up to a maximum of 12 months ending no later than March 31, 2028.

For businesses undertaking pivot projects, eligible costs are new, additional costs directly related to activities that improve productivity, competitiveness, supply chain resilience, market diversification, or long-term growth.

For all types of support, costs are ineligible if they are deemed unreasonable or not directly related to project activities. In addition, costs that are non-incremental may be ineligible, except in cases where recurring expenditures are permitted, such as under liquidity support. Examples of ineligible costs include land and building acquisition, entertainment expenses, motor vehicle costs, refinancing existing debt and more.

Yes. Businesses may receive support from other federal, provincial, territorial, or municipal programs, provided there is no duplication of funding for the same costs.

Applicants must disclose all sources of government assistance received or requested. For liquidity assistance, costs already reimbursed through another government wage or operating support program cannot also be claimed under RTRI.

Yes. The objective of liquidity assistance is to help businesses maintain operations and employment in the region in which they operate while responding to tariff-related disruptions. Applicants will be required to attest that liquidity support will be used to help maintain Canadian operations and retain employees. Recipients will also be required to report on employment and payroll levels during and after the project period. Adjustments will be made should other government supports be received.

Applicants will be required to provide:

• corporate information and a business profile
• financial statements for the past two years
• evidence of tariff impacts, such as export sales information
• information regarding other government funding received
• for liquidity assistance: payroll records and a quantified demonstration of liquidity needs (e.g., cash flow forecasts), employment retention targets and operational obligations

Liquidity recipients are restricted from declaring or paying dividends during the period of their funding assistance. In exceptional circumstances, pre-established dividend payments to an employee in lieu of any salary costs at an acceptable market rate may be considered during the period of liquidity support. Payments to a parent company, subsidiary, affiliate or other non-arm’s-length entity may be restricted, depending on the circumstances of the payments and pre-established practices.

Liquidity assistance is non-repayable funding for eligible businesses experiencing temporary, tariff-related financial pressures. The funding can help cover payroll and select other operating expenses such as rent and commercial utilities, business insurance and property taxes. This assistance is intended to help businesses sustain operations and maintain employment for up to 12-months.

Businesses do not need to wait until financial pressures become acute before seeking support. Businesses are encouraged to reach out early to discuss their circumstances and explore whether support may be available.