October 14, 2025

From the most recent NMMA Canada newsletter, we learned that Finance Minister Francois-Phillipe Champagne has announced the Government of Canada will table its federal budget on November 4, 2025, and several developments are directly relevant to the marine industry.

Strategic Response to Tariffs

The government has announced the budget will contain a new $5 billion Strategic Response Fund to support industries impacted by ongoing tariff disputes. The fund is designed to strengthen workforce training, provide flexibility in trade, and help companies adapt to higher input costs and supply chain disruptions.

On September 8, Industry Minister Mélanie Joly confirmed that the steel and aluminum sector alone should expect to receive “hundreds of millions” in tariff relief in the budget—an area that has direct cost impacts on boat builders and suppliers.

Free Internal Trade Commitment—“One Canadian Economy”

The budget will also advance the government’s pledge to create “One Canadian Economy” by removing interprovincial trade barriers, harmonizing regulations, and cutting red tape across provinces. Economic modeling suggests this initiative could add 4–8% to Canada’s GDP, a shift that would significantly boost growth opportunities for domestic manufacturers and exporters, including the recreational marine sector.

Luxury Tax

NMMA Canada continues to make repeal or reform of the federal Luxury Tax on boats over $250,000 one of our top priorities. We are actively lobbying the federal government to address this issue in the upcoming budget, and we will be closely monitoring whether the government responds to the growing body of evidence that demonstrates the tax’s harmful effects on sales, investment, and jobs.

To reinforce our message, we have already submitted two pre-budget consultations—one to the House of Commons and one to the Department of Finance—sharing up-to-date data and powerful member stories that illustrate the real impact this tax is having on businesses across the sector. These submissions are a core part of our government relations strategy and ensure our industry’s voice is front and centre in the lead-up to November 4.

Thank you to all members who have contributed data and shared their experiences. Your efforts have been critical in strengthening our case. November 4 could mark a turning point for Canada’s recreational boating sector, as always, stay tuned to your inboxes for more.