The key parameters of IRRT.
Your fundable objectives
- Boost productivity to offset tariff cost increases
- Diversify markets beyond the United States
- Strengthen Canadian supply chains
- Technology showcase and demonstration
What IRRT is designed to do.
The Regional Tariff Response Initiative (IRRT) is a temporary CED measure helping Quebec manufacturing SMEs negatively impacted by U.S. or Chinese tariffs invest to remain competitive long-term. It targets projects that boost productivity to reduce costs, strengthen supply chains, or diversify markets.
A program enhancement has been announced — details on the new Quebec phase are coming soon. IRRT is complementary to other federal, provincial, and territorial tariff response programs.
Who qualifies for IRRT?
- Manufacturing SME with fewer than 500 employees
- Active establishment in Quebec for at least 3 years
- Annual revenue of $2M+ in the last completed fiscal year
- Viable before tariffs took effect (before March 21, 2025)
- Demonstrably impacted by U.S./China tariffs or Canadian countermeasures
- Annual revenue under $2M
- Less than 3 years in operation
- Non-manufacturing sectors
- Companies without documented tariff impact
- Companies that were not viable before March 21, 2025
What projects IRRT supports.
- Productivity investments: equipment, digitization, automation, and technology adoption to improve competitiveness and reduce tariff-driven cost increases
- Market diversification: market diagnostics, commercial missions, prospecting visits to find new non-U.S. customers
- Supply chain: strategic partnerships, supply chain optimization, standards compliance, and market-access certification
- Technology showcase: demonstration projects validating new solutions under real operating conditions
What costs qualify.
- Production equipment, automation, and digital technologies directly linked to the project
- Professional services and consulting fees essential to the project
- Market prospecting and business development activities
- Standards compliance and market-access certification
- Retroactive costs up to 12 months before application (earliest March 21, 2025)
Ineligible costs
- Refinancing existing debt
- Asset purchases exceeding fair market value
- Amortization and goodwill expenses
- Land purchases
How CED evaluates applications.
- 01
Tariff impact severity
Precise quantification required: revenue loss, cost increases, profitability decline, share of affected operations. Must be supported by financial documentation.
- 02
Sector exposure
Companies in sectors significantly targeted by tariffs receive priority in evaluation.
- 03
Regional & sectoral role
Job count, revenue scale, strategic supplier status, major regional employer designation.
- 04
Project impact
Structural capacity to improve competitiveness or diversify markets. Non-U.S. target markets are prioritized for diversification projects.
- 05
Canadian technology commitment
Demonstrated commitment to integrate Canadian technologies and products in the project and production inputs.
Your questions about IRRT.
What is the IRRT (Regional Tariff Response Initiative)?
The IRRT is a temporary Canada Economic Development (CED) program providing non-repayable grants of up to $1M to Quebec manufacturing SMEs negatively impacted by U.S. or Chinese tariffs. It funds productivity investments, market diversification, supply chain strengthening, and technology demonstration projects.
How much funding can I receive?
Up to $1,000,000 non-repayable for productivity or hybrid projects (productivity + diversification). For market diversification-only projects, the cap is $300,000. The minimum is $100,000 and the maximum coverage rate is 50% of eligible costs. CED may offer a different amount than requested.
Who qualifies?
Quebec manufacturing SMEs with fewer than 500 employees, 3+ years in operation, $2M+ annual revenue in the last fiscal year, viable before March 21, 2025, and demonstrably impacted by U.S. or Chinese tariffs or Canadian countermeasures. Non-manufacturing sectors are excluded.
What expenses qualify?
Production equipment, automation, digitization; professional services and consulting fees; market prospecting and development missions; standards compliance and certification. Retroactive costs up to 12 months before application receipt qualify, with the earliest eligible date being March 21, 2025.
Is IRRT a grant or a loan?
IRRT provides non-repayable grants. No repayment is required as long as the contribution agreement conditions are met. CED disburses funds based on project milestones against submitted invoices.
Is IRRT currently open?
The first filing period has closed. A program enhancement has been announced by CED — details on the new Quebec phase are coming soon. Hubvention monitors CED announcements to activate mandates the day the new phase opens. Projects must start by March 31, 2026 and complete by March 31, 2028.
Can IRRT be combined with other programs?
Yes. IRRT is complementary to other federal, provincial, and territorial programs. It can be combined with SR&ED (R&D components), ESSOR (equipment and expansion), CanExport (international diversification), and digital credits. Hubvention structures the optimal funding stack.
How does Hubvention help with IRRT?
Hubvention handles the complete IRRT mandate: tariff impact audit (quantifying revenue, cost, and profitability impacts), project structuring (productivity vs. diversification vs. hybrid), CED-standard application with documented tariff impact evidence, financial modelling, and submission. We integrate IRRT into a comprehensive funding strategy with SR&ED, ESSOR, and CanExport.
IRRT — Start your file.
We handle the full mandate: eligibility audit, file structuring, submission, follow-up.
- Structured mandate
- Confidentiality guaranteed
- 20 minutes