Ont. government launches program to support steel and auto sectors

On Aug. 13, the Ontario government launched the Protect Ontario Financing Program, the first phase of the $5 billion Protecting Ontario Account that was announced in the 2025 provincial Budget. The program will reportedly provide Ontario-based businesses that have been impacted by higher (section 232) tariff rates, including the steel, aluminum and auto sectors, with up to $1 billion in liquidity support in the form of loans to protect workers and operations. Businesses in these sectors that are facing tariff-related challenges, such as payroll, lease payments and utility payments, will be able to access the Protect Ontario Financing Program in addition to federal government supports, such as loans and loan guarantees, and would undergo rigorous assessment and due diligence to determine eligibility and ensure taxpayer funds are used responsibly. This funding aims to help businesses avoid closures and layoffs as well as protect critical supply chains in the face of U.S. tariffs and economic uncertainty. “The tariffs levied by the U.S. government have left Ontario’s steel, aluminum, and auto sectors exposed to unprecedented challenges,” said the Honourable Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “Through the Protect Ontario Financing Program, our government will provide $1 billion in critical relief to protect workers and businesses at the front lines of our economy, ensuring that critical supply chains are equipped to weather the uncertainty of today, while building resilience to seize the opportunities of tomorrow.” To help Ontario-based businesses determine if they are eligible for funding under this program, the province is launching a website. The provincial government is encouraging impacted businesses in applicable sectors to visit the site for program details and complete an eligibility tool to determine their potential eligibility for loan support under the program.