Kitchener increasing amount it can spend on Canadian goods, services
Posted Apr 7, 2025 07:08:50 AM.
Last Updated Apr 7, 2025 09:56:54 AM.
The City of Kitchener is responding to U.S. tariffs by giving itself more allowances to buy and source Canadian goods and services.
At a council meeting on Monday evening, the city will likely update its procurement bylaw to increase the amount of money it can spend on Canadian contracts, construction and more.
The city will look to increase the amount it can spend on construction work from $120,000 to more than $330,000 and roughly double the threshold for single-source contracts to $250,000.
These changes are in alignment with the Canadian Free Trade Agreement (CFTA), which aims to reduce barriers to the free movement of goods and services in this country.
The city typically updates the procurement bylaw every five years, but staff recommended revisiting these thresholds to mirror changes made to the CFTA.
Kitchener council has been waving its Canadian flag over the last month. The “Support Local” campaign aims to bolster the Kitchener economy amidst the ongoing trade war, along with the installation of bright red and white flags at Carl Zehr Square and throughout the downtown core.
According to the Canadian Chamber of Commerce, Waterloo Region’s heavy involvement in the manufacturing sector makes it one of Canada’s most vulnerable when it comes to the impact of those American tariffs.
In 2024, the region reportedly accounted for $18 billion in manufacturing exports to the U.S., accounting for 92 per cent of Waterloo Region’s total exports.
