Canada is moving to strengthen its domestic economy through the new Buy Canadian Policy, introduced last September by Prime Minister Mark Carney to shift federal procurement from best efforts to a clear requirement to purchase Canadian-made products. The policy aims to reinforce domestic supply chains, support local jobs, and keep public investment within the national economy.
The government announced nearly CA$186 million in the 2025 budget to fully implement the policy. Minister Rechie Valdez outlined the plan, which includes CA$98.2 million over five years beginning in 2026-2027, plus ongoing funding for Public Services and Procurement Canada, and CA$7.7 million over three years for the Treasury Board Secretariat. Another CA$79.9 million over five years will go to Innovation, Science and Economic Development Canada to support the Small and Medium Business Procurement Program.
The policy takes effect this month for defence, construction, and other strategic procurements, with full implementation by spring 2026. It will eventually apply to infrastructure spending and other federal funding streams, directing up to CA$70 billion toward Canadian-made goods and services.