Strategic Response Fund (SRF)

The Strategic Response Fund (SRF) is a federal program via Innovation, Science and Economic Development (ISED) designed to help Canada’s industries respond to trade disruptions (especially tariff pressures) by supporting resilience, supply-chain strengthening, and industrial transformation.
  • Innovation, Science and Economic Development Canada
Overview of the Strategic Response Fund (SRF) program:

Managed by Innovation, Science and Economic Development Canada (ISED), the Strategic Response Fund (SRF) supports large-scale transformative projects and addresses key market gaps, positioning Canada's industry to compete globally and build lasting resilience. The SRF provides investment in areas of strategic industrial advantage for Canada's long-term economic resilience and industrial future. The SRF replaces the Strategic Innovation Fund (SIF), building on its mandate of de-risking large-scale innovation and growing domestic AI compute capacity through the AI Compute Challenge, to include an expanded scope to support firms significantly and adversely impacted by U.S. tariffs. The program focuses primarily on projects larger than $20 million, for contributions of $10 million and above, to ensure federal investments drive large-scale impact and meaningful industrial transformation.

Benefits of the Strategic Response Fund (SRF) program:
  • Participants may benefit by:
  • Receiving funding to help stabilize operations in face of tariff or trade shocks
  • Support to diversify markets away from dependence on the U.S.
  • Assistance strengthening or expanding domestic supply chain capacity
  • Funding for productivity improvements, retooling, and value-added product development
  • Enhanced industrial resilience in key sectors
  • Potential to act more nimbly than some traditional funding programs in response to urgent trade risks
Eligibility criteria of the Strategic Response Fund (SRF) program:
  • The SRF supports large-scale innovation and technology development, as well as projects that enable Canadian firms to adapt to tariff pressures, diversify markets and drive long-term industrial transformation. The SRF funds activities ranging from early-stage research and development (R&D) and commercialization to large-scale capital investments that modernize production, expand domestic capacity and strengthen Canada's AI ecosystem.
  • Under the recently announced $5 billion investment, eligible projects will include market diversification initiatives, as well as projects that help companies pivot to meet demand in the Canadian market and accelerate trade exports, and that support capacity-building efforts essential to maintaining Canada's industrial and skills base.
  • The SRF also supports innovation and technology development projects that advance large-scale R&D, commercialization, technology adoption, expansion, and first-mover projects. The SRF will continue to support innovation projects traditionally funded through the SIF, with existing SIF projects proceeding as per the terms of their agreements.
  • Projects to build or expand domestic AI compute capacity in Canadaincluding domestic AI data centres and infrastructure to advance data sovereignty and offer secure and affordable compute access for innovative Canadian companieswill continue to be considered under the AI Compute Challenge.
  • Firms are encouraged to engage in early consultations with program officials prior to applying to the SRF, to assess eligibility and ensure alignment with program objectives. For more information or to request a consultation, please reach out to the program at [email protected].
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