Winnipeg taking steps to mitigate U.S. tariffs

The City of Winnipeg says it is taking steps to “assess and mitigate” its impact on operations and projects now that new U.S. tariffs have taken effect.

“The City is committed to ensuring taxpayers get the best value for their dollar, and that means working together with all levels of government and industry partners to navigate these new tariffs,” said Mayor Scott Gillingham. “A ‘Team Canada’ approach is essential to protecting jobs and investments in Winnipeg and across the country.”

Officials have reportedly been working with stakeholders to determine the financial implications of the tariffs.

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It is believed that Winnipeg’s economy will be less exposed than many other Canadian cities, some projects and procurement areas could be affected.

“The City is taking a coordinated and strategic approach to minimize the impact of tariffs on Winnipeg residents and businesses,” said Jeff Browaty, Chairperson of the Standing Policy Committee on Finance and Economic Development. “I will bring forward a motion at Standing Policy Committee on Friday, asking the public service to provide us with a monthly report, which will allow us to monitor cost implications in real time and adjust our approach as needed.”

The City says it is taking the following steps to address potential impacts caused by tariffs:

• Coordinating procurement strategy: The City is working with the provincial and federal governments to align procurement strategies and advocate for solutions that protect municipal operations and economic stability.
• New tracking process for U.S. purchases: The City currently has a small number of direct contracts with U.S.-based suppliers, mainly for software support and transit bus parts, as well as specialized equipment, fleet, and water treatment chemicals. However, indirect purchases of U.S. goods through Canadian suppliers have not traditionally been tracked. A new process is being established to estimate and monitor these costs.
• Updating tenders and contracts: Some larger capital projects are at higher risk of cost escalation due to tariffs on materials. To help reduce potential cost increases, the City has updated public tenders and new contracts to require contractors to explore alternative sources for equivalent goods in other jurisdictions.
• Regular public reporting: To ensure transparency and accountability, the Public Service will begin providing regular reports to the Standing Policy Committee on Finance and Economic Development on the financial impact of tariffs on the City.

Officials say they will continue to monitor the situation and work with government and industry partners to try and protect economic stability.