Updated · BetaKit - Canadian Startup News · Aug 24
Canada Pushes $10 Billion Investment Strategy After 50% US Tariffs
Updated
Updated · BetaKit - Canadian Startup News · Aug 24
Canada Pushes $10 Billion Investment Strategy After 50% US Tariffs
3 articles · Updated · BetaKit - Canadian Startup News · Aug 24
Summary
$10 billion from OMERS over five years has become a centerpiece of Canada’s response to newly announced 50% U.S. tariffs, with policymakers and investors arguing domestic capital is the lever Canada can control.
That strategy aims to back Canadian-controlled companies earlier, especially at seed stage, so startups can scale at home instead of disappearing, selling early or moving south for U.S. funding.
Graphite Ventures said its 140-plus Canadian portfolio companies have created 1,350 jobs, attracted $800 million in follow-on capital and generated more than $10 billion in enterprise value over five years.
A $5 million-to-$25 million financing gap still threatens that push, even as a $120 million Canadian-focused seed fund—anchored by $25 million each from Ontario and OMERS—tries to keep talent, jobs and intellectual property in Canada.
The broader bet is that tariffs and rising U.S. appetite for Canadian companies make economic sovereignty more urgent, pushing Canada to become a market maker rather than a market taker.