Chatham-Kent council on Oct. 7, 2024. (Photo by Jaryn Vecchio)
Chatham

CK council approves limiting U.S. bids on municipal contracts in response to tariffs

The Municipality of Chatham-Kent is making it harder for U.S. companies to get local contracts.

CK council met on Monday and approved stopping groups south of the border from bidding on contracts worth $500,000 or less in response to the country's tariffs.

Canadian companies that have at least 70 per cent of their workforce in the U.S. will also be banned from bidding on these contracts.

Councillor Alysson Storey told CK News Today she believes this will send a strong message to both Canadian and U.S. companies.

"Being such a large corporation with substantial purchasing power, our decisions will make an impact," she said.

Even though U.S. companies can bid on contracts worth more than $500,000, it doesn't mean they'll get them. If a non-U.S. company's offer is within 20 per cent of a U.S. company's bid, the municipality can choose to hire the non-U.S. company.

Storey said they may need to do more than this if the U.S. introduces any more tariffs.

"I think we need to stay nimble and I do really think we need to stay on top of this issue," she explained.

CK council also approved a motion from Storey asking for a report highlighting the sectors most at risk from the tariffs and the potential job loss.

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