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The national voice of healthcare organizations and hospitals

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Protecting Canada’s healthcare supply chain amid growing trade uncertainty

Protecting Canada’s healthcare supply chain amid growing trade uncertainty

February 7, 2025 – As Canada faces the looming threat of retaliatory tariffs in response to U.S. trade policies, HealthPRO Canada is taking proactive steps to safeguard the healthcare supply chain and ensure uninterrupted access to essential medical supplies, devices, and medications.

A 30-day pause on the proposed U.S. tariffs—originally set to take effect on February 4 – provides a brief window to prepare, but the risk remains. These tariffs, combined with potential Canadian countermeasures, could significantly impact the availability and affordability of critical healthcare products.

“While the temporary pause is a welcome development, we must use this time wisely,” said Christine Donaldson, President and CEO of HealthPRO Canada. “A resilient and predictable supply chain is essential to high-quality patient care, and the risk of trade-related disruptions highlights the need for proactive planning and collaboration across the healthcare sector.”

A Team Canada approach: Advocating for tariff exemptions on medical products

Addressing these trade risks requires a Team Canada approach, bringing together government, healthcare providers, suppliers, and industry leaders to ensure the sector remains protected.

HealthPRO Canada – with support of HealthCareCAN, Medtech Canada, key healthcare supply chain organizations, and healthcare facilities across the country – is actively advocating for the exclusion of medical supplies, devices, and medications from any retaliatory Canadian tariffs. This advocacy effort aims to ensure hospitals, long-term care facilities, and other healthcare providers are not caught in the crossfire of trade disputes.

“We are engaging directly with federal policymakers to emphasize the importance of shielding the healthcare sector from trade-related disruptions,” Donaldson added. “Our priority is ensuring that medical products continue to flow without additional costs or barriers that could negatively impact healthcare organizations across Canada.”

Strengthening Resilience in Healthcare Procurement

With over 2000 hospitals and healthcare facilities relying on HealthPRO Canada’s national contracts, supply chain resilience is a key focus. The organization is:

  • Assessing at-risk products to determine potential vulnerabilities in the supply chain
  • Working with suppliers to identify tariff-exempt sourcing alternatives
  • Encouraging protective allocation measures to ensure equitable distribution of critical products
  • Leveraging multi-source contracts to provide healthcare organizations with flexibility if supply disruptions occur

Helping Healthcare Facilities Stay Informed on Tariff Developments

HealthPRO Canada encourages healthcare facilities to stay informed and engaged in advocacy efforts to help protect the sector from trade disruptions. Those interested in receiving updates on tariff developments and their impact on healthcare supply chains can sign up HERE.

“Navigating these challenges requires collective effort and strategic action,” Donaldson concluded. “By staying informed, working together, and taking a proactive approach, we can strengthen Canada’s healthcare system from trade-related risks. Through a Team Canada approach, we can protect patient care and maintain a strong, reliable supply chain – no matter the trade challenges ahead.”

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