Steel, aluminum and auto parts may steal the media spotlight, but according to a 2023 Statistical Overview of the Canadian Ornamental Industry shared by Agriculture and Agri-Food Canada (AAFC), the horticulture sector also has a robust trade relationship with the United States. In fact, Canadian nursery stock exports to the U.S. totalled $44.9 million in 2023. A significant factor is Canada’s ability to export a range of live plants with soil, such as bedding plants and sod, which was established with a systems-based approach through regulatory partners in both countries. Most other countries can’t sell plants with soil to the U.S. due to phytosanitary restrictions, making Canadian plants uniquely valuable.
Where it goes
Canadian growers can export plants to international markets, but none come even close to the scale of the U.S. market. Our southern neighbour accounts for 99.6 per cent of Canadian plant exports. To sell to foreign markets, Canadian live plant goods must have phytosanitary certificates from the Canadian Food Inspection Agency (CFIA).
Canada exports significantly more live plants, including roots, cuttings and slips, than it imports. Same goes for foliage, branches and other parts of plants (including Christmas trees). Ninety-five per cent of Christmas trees go to the U.S., but they also reach the United Arab Emirates and several countries in the Caribbean. The value of ornamental exports reached $1.073 billion in 2023.
Sphagnum peat exporters have a separate certification program. Incidentally, American Horticulture, along with several other horticulture-related trade associations in the U.S., urged their government to exclude Canadian sphagnum peat moss from the proposed tariffs. According to their press release from Feb. 26, 2025, the North American sphagnum peat moss industry is largely based in Canada, with 85 per cent of its production exported to the U.S., accounting for 96 per cent of American sphagnum peat moss imports.
Where it comes from
Canada imports more bulbs, tubers and cut flowers than it exports. Although the U.S. supplies the bulk of plant imports, Columbia, the Netherlands and Ecuador are the next three top sources for floriculture and nursery products.
Imported plants and plant parts for planting and propagation from other countries are allowed with some caveats. Plants with soil are prohibited from areas other than the continental U.S.
Other plant products can be imported, such as flower bulbs from the Netherlands, but they must be free of soil and soil-related matter, be free from regulated pests and have phytosanitary certificates and Certificate of Inspection stickers.
Announcements of additional tariffs by the U.S. administration had been expected on April 2. In anticipation, the Canadian Nursery Landscape Association (CNLA) wrote a letter to the Department of Finance, advocating for the horticulture industry. The letter requested the Canadian government exclude certain horticultural imports from their retaliatory tariffs, such as live plants and seeds, fertilizer and fertilizer compounds and plastic growing pots. In the end, the extent of the U.S. tariffs were not as far-reaching as many had feared and Canada’s response was still unknown at the time of publication of this article.
Internal trade
The trade situation with the U.S. has prompted Canada to review barriers to internal trade opportunities. In 2024, more than $530 billion worth of goods and services moved across provincial and territorial borders, representing almost 20 per cent of Canada’s gross domestic product.
According to the Canadian Survey on Interprovincial Trade 2023, the top three common obstacles to interprovincial trade were transportation costs, distance between point of origin and destination, and lack of profitability. Expect to see governmental announcements about red tape reduction, credential recognition, mutual recognition in trucking and consumer goods, and other domestic trade missions in the coming months.
Nova Scotia was the first to introduce legislation to recognize goods, services and labour standards set by other provinces, as long as they offer the same recognition in return. “If it’s good enough for another province, it’ll be good enough for Nova Scotia because I trust other provinces and territories to have appropriate requirements that keep their citizens safe,” Premier Tim Houston said at a news conference. “But it is a two-way street. It’s all contingent on other provinces and the federal government taking similar steps.”
On April 16, Ontario Premier Doug Ford tabled similar legislation to unconditionally remove all current exceptions to interprovincial free trade and signed memorandums of understanding with the premiers of Nova Scotia and New Brunswick, encouraging pan-Canadian trade. “No single province can tear down these trade barriers alone,” Ford said. “Instead, we need all 13 provinces and territories working together, along with the federal government, to build a stronger, more united Canada.”
After meeting with the premiers earlier in the spring, Prime Minister Mark Carney announced federal intentions to have free internal trade by Canada Day. "We are committing to removing all federal exemptions under the Canada free-trade agreement," Carney said. "The agreement is to turn what has been a concept into a reality that will diversify and strengthen our economy.”
Internal trade won’t replace the U.S. market, but it could open new opportunities. At the very least, growers and garden centre retailers may be able to take advantage of the renewed interest of domestic consumers choosing to buy Canadian. And wholesalers may have the opportunity to build B2B relationships in other provinces and territories to help mitigate the potential change in the U.S. market.
