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Ontario Premier Doug Ford has introduced landmark legislation aimed at dismantling all remaining internal trade barriers, positioning Ontario to become the first province in Canada to fully recognize goods, services, and workers from other provinces without exceptions. The move is designed to strengthen the province’s—and the country’s—economic resilience in the face of ongoing U.S. trade disruptions and tariffs123.
A New Era of Interprovincial Trade
The proposed Protect Ontario through Free Trade within Canada Act, 2025 will eliminate costly and complex restrictions that have long hampered the movement of goods, services, and certified workers across provincial borders. Ford described these barriers as a “self-imposed tax” that inflates the price of everyday goods and services by nearly 15 percent, echoing estimates that internal trade barriers cost the Canadian economy up to $200 billion annually and lower GDP by as much as eight percent134.
“Similar to President Trump’s tariffs, these trade barriers harm our economy, deter jobs and investments, and create divisions among us,” Ford said during the announcement1.
Key Measures in the Legislation
Full Elimination of Trade Exceptions: Ontario will become the first province to remove all party-specific exceptions under the Canadian Free Trade Agreement, urging others to follow suit346.
Mutual Recognition: The legislation empowers Ontario to recognize goods, services, and certified workers from reciprocating provinces, reducing duplication and red tape. For example, trucking companies will no longer need to stop at provincial borders to change signage, saving time and money134.
Labour Mobility: Certified professionals from other provinces will be able to work in Ontario immediately under a streamlined registration process, with plans to expand this to U.S. health professionals in the future346.
Direct-to-Consumer Alcohol Sales: The bill establishes a direct-to-consumer model for alcohol sales, allowing Ontarians to buy directly from producers in other provinces and vice versa—a long-standing point of contention in interprovincial trade1356.
$50-Million Ontario Together Trade Fund: To support businesses looking to expand interprovincially and re-shore supply chains, Ontario is launching a $50-million fund to help companies adapt and grow in new markets36.
Building a Coalition for Change
Ontario has already signed memorandums of understanding with Nova Scotia and New Brunswick to mutually recognize goods, services, and workers, with Prince Edward Island expressing support. Other provinces, including Manitoba, have signaled interest in joining the initiative, while Quebec, Alberta, and British Columbia have yet to sign on246.
Premier Ford emphasized the need for a “coalition of the willing” to generate momentum across the country:
“No single province can tear down these trade barriers alone. We need all 13 provinces and territories working together, along with the federal government, to build a stronger, more united Canada”4.
A Blueprint for National Competitiveness
Ontario’s historic legislation is being hailed as a blueprint for economic growth and national competitiveness, especially as Canada faces uncertain trade relations with the United States. By removing internal barriers, the province aims to unlock new opportunities for businesses, workers, and consumers, ensuring a more resilient and self-reliant Canadian economy