City hall looks to prioritize Canadian suppliers amid ongoing threat of U.S. tariffs

Officials at city hall are making sure the city does no business with American companies during the looming trade war. CTV London’s Daryl Newcombe reports.

The last-minute 30-day reprieve from U.S. tariffs doesn’t alleviate the economic uncertainty facing London, Ont.-based companies.

Over the coming weeks, City Hall will consider ways to further support the Team Canada movement to make the postponement of tariffs permanent.

“The threats that are being made against us, not only as Canadians but indeed as Londoners, demands that our procurement process give first priority to Canadian companies,” Coun. Paul Van Meerbergen told colleagues on the Infrastructure and Corporate Services Committee.

Deputy City Manager of Financial Supports and City Treasurer Anna Lisa Barbon told the committee that an initial analysis suggests most of the goods and services supplied to city hall are from local sources.

Based on their mailing addresses, 63 per cent of vendors are based in London and fewer than 0.1 per cent are in the United States.

Barbon explained, “Overwhelmingly, the majority have addresses in fairly close proximity [to London]. That does not, of course, mean they’re not potentially [American] in some manner.”

Mayor Josh Morgan said London will join other municipalities across Canada considering changes to their bids and tendering processes to discourage spending local tax dollars with American businesses.

“I’m going to be bringing a motion to council to ensure that we’re supporting the advocacy efforts that are happening across this country and the prioritization of local businesses and Canadian companies in our procurement process.” Morgan told CTV News.

On Friday, Morgan will bring together local business leaders and economic development organizations for a meeting to discuss the potential impact of tariffs.

“I’ll be giving them an update on some work that’s going to happen later this week with the FCM (Federation of Canadian Municipalities) Big City Mayors Caucus and the Ontario Big City Mayors, but also asking them about the real on the ground impacts that this community is facing,” the mayor explained.

Morgan suggests the ongoing uncertainty about whether President Trump will impose tariffs at a later date will continue to impact London-based companies.

“Any disruption to trade across the border is going to hurt them and their ability to sell into the U.S.” Morgan said. “We’re already seeing businesses start to think about their decision-making and their expansion plans.”

Morgan will be traveling to Washington, D.C. next week in his role as Chair of the FCM Big City Mayors Caucus to join Ontario Premier Doug Ford and other Canadian leaders in face-to-face discussions with American lawmakers.

“This is a Team Canada approach, and cities have an important role to play,” he said. “Myself and representatives from FCM will be joining the premier in his meetings with Senators and Congressmen on key committees, to talk about the impacts of these tariffs and rally some support.”

Morgan’s motion to prioritize Canadian companies in City Hall’s procurement process will be considered by council on Feb. 11.