Finance News

As U.S. tariffs roil markets, Canadian businesses build on European ties at


In a sprawling exhibition centre in Hanover, Germany, thousands of businesses, including 250 from Canada, are taking part in one of the world’s largest trade fairs focused on industrial technology and innovation. 

Rows of booths and flashy displays are meant to spark conversation, but much of the discussion has been about the U.S. tariffs, which have roiled markets, compromised relations and forced some businesses to accelerate their push for new trading partners. 

“I was scared, I was very nervous, but it has been absolutely overwhelming to see the response and the reception we are getting from European markets,” said Brad Sparkman, president of Ontario-based Innovating Finishing Solutions.

As both Canada and the European Union (EU) take stock of the tariffs levied by the U.S., their most important trading partner, businesses are trying to assess exactly how they will be impacted — and whether they can mitigate some of the economic hit by strengthening other trade relationships. 

On Wednesday, the Trump administration introduced a 20 per cent across-the-board tariff on the EU, and on Thursday morning, a 25 per cent import duty on foreign cars went into effect, including on those made in Canada. 

Olaf Scholz, the outgoing German Chancellor sits in a prototype electric car made of all Canadian components. The car, dubbed Project Arrow, contains components of more than 50 Canadian supplies.
Olaf Scholz, the outgoing German Chancellor sits in a prototype electric car made of all Canadian components. The car, dubbed Project Arrow, contains components of more than 50 Canadian supplies. (Simon Gill)

Cooling relationship with U.S. customers

While Canada appears to have been spared in Wednesday’s announcement, it is already grappling with a 25 per cent tariff on certain Canadian goods and 10 per cent on energy.

Prime Minister Mark Carney has called the tariffs a tragedy for global trade. At the Hanover fair, business people say they have been left confused, dumbfounded — and even hurt. 

Sparkman, whose business is mainly focused on using robotic technology to paint automobiles, fought back tears as he told CBC News about how some of his U.S. contacts aren’t as receptive to working together in the current climate. 

“I feel like we are losing a really good family member,” he said.  “The fact that we can’t continue to do business like we once did, it saddens me.”

WATCH | How Sparkman is growing his business in Europe: 

This Canadian businessman was nervous to venture into the European market — but it’s working

Brad Sparkman, the owner of an Ontario company that specializes in the robotic painting of automobiles, says his company has been venturing into the European market ‘and they’ve embraced us.’

Sparkman said he started venturing into the European market a few years ago, because he suspected trade with the U.S. could become more burdensome. 

Now, to try to alleviate the effects of the tariffs, he is considering doing more production in the U.S. and branching out further into Europe. 

His operation, based out of Orangeville and Peterborough, has partnered with the Japanese automation company FANUC and is doing some work in Germany, where…



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