Update on Tariffs and their impact on our Industry
March 7, 2025
Dear ACTRA Toronto members,
I am writing to provide you with an update on the latest developments regarding tariffs and their potential impact on the Canadian film and television industry. As we outlined in our last communication on this issue, trade tensions between Canada and the United States have been escalating, and the latest round of tariffs announced by the U.S. government could have significant consequences for our sector.
On March 6, U.S. President Donald Trump announced a deferral of the previously announced 25 per cent tariffs on Canadian and Mexican imports that are fully compliant with the rules of origin terms of CUSMA (Canada-United States-Mexico Agreement) until April 2. This is the date when the U.S. is scheduled to impose reciprocal tariffs globally. However, negotiations to avoid the 25 per cent tariffs on steel and aluminum were inconclusive, and these tariffs are still expected to take effect on March 12.
Notably, tariffs collected since their initial imposition on March 4 will not be refunded. In response, Canada’s $30 billion in retaliatory tariffs announced on March 4 remain in place. However, Canada has agreed to postpone implementing the additional $125 billion in tariffs until April 2, in an effort to continue negotiations.
Film & TV
The Canadian film and television industry remains at risk of indirect consequences from these trade disputes. Our sector relies heavily on cross-border collaboration, international production agreements, and access to a range of U.S. equipment, services and investment. Increased tariffs could drive up costs for production, equipment rentals and digital services that are integral to our industry’s success. If retaliatory measures from Canada disrupt trade relationships, this could affect everything from post-production services to the availability of high-tech filming equipment.
Additionally, the broader economic impact of these tariffs may create uncertainty for the investment climate in our sector. Many U.S. production companies choose Ontario as a filming location due to cost efficiencies, talent strength & availability, and favourable exchange rates. If tariffs disrupt the supply chain or increase operational costs, there is a risk that some productions may reconsider their plans.
We are closely monitoring the situation and working with industry partners, policymakers, and labour representatives to ensure that our members’ interests are protected. The Government of Canada is preparing to challenge these tariffs through the CUSMA dispute resolution process, arguing that increased duties on Canadian goods are both unfair and economically harmful to both nations.
Ontario Premier Doug Ford has publicly committed to matching U.S. tariffs dollar for dollar and plans to move ahead with restricting energy exports to Minnesota, Michigan and New York starting next week. These measures, while intended to protect Canadian industries, may have broader economic implications that could indirectly affect our sector.
As the situation evolves, we will continue to advocate for our members and ensure that Canadian film and television workers are not disproportionately impacted by these trade disputes. We encourage members to stay informed, engage with industry advocacy efforts, and remain adaptable in the face of these ongoing economic challenges.
We will provide further updates as the Canadian government responds formally to these developments and as more details emerge regarding their impact on our industry. In the meantime, if you have any questions or concerns, please do not hesitate to reach out.
In solidarity,
Kate Ziegler
ACTRA Toronto President