Ottawa’s much-touted “Buy Canadian” policy will not actually require most materials in federally backed projects to be sourced domestically, Housing Minister Gregor Robertson acknowledged, saying the government is taking a flexible approach as it rolls out the plan.Speaking to reporters, Robertson said the policy — first announced by Prime Minister Mark Carney — is still being implemented and will only begin to take effect this year, with no strict requirement that projects rely primarily on Canadian goods.“We’re not being rigid about this,” Robertson said, adding that in some cases Canadian content could be well below half. He pointed to housing construction targets under the Build Canada Homes initiative, where the government is aiming for just 30% Canadian materials as a starting point.“Across government, it will vary,” he said, citing ongoing supply chain limitations and cost concerns. “There are many supply chains we still need to improve across the country to make sure we can supply Canadian materials at affordable rates.”The admission marks a significant shift from the broader messaging when the policy was unveiled last September. At the time, Carney said the initiative would prioritize Canadian materials such as steel and lumber in all federal contracts over $25 million, including infrastructure funding and grant programs..“Canada is on a mission to build Canada strong,” Carney said when announcing the plan, promising the policy would ensure domestic materials are prioritized across government spending.Robertson suggested the rollout would be gradual, balancing economic goals with practical constraints. He said the government wants to encourage domestic industry while remaining “responsive to the realities” of current supply chains.The softer approach follows internal concerns raised within government. An Access to Information memo from the Department of Foreign Affairs warned that Crown corporations were expected to push back on the policy, particularly over its legal and operational implications.The memo noted that procurement conducted outside Canada may be exempt, creating further flexibility in how the policy is applied. It also highlighted the financial stakes, pointing out that procurement accounts for roughly 25% of annual administrative spending at major Crown corporations — about $100 million for Export Development Canada and $10 million for the Canadian Commercial Corporation.Officials anticipated both organizations would raise questions about how the directive would affect their operations.
