Rising Canadian dollar: what opportunities for Quebec SMEs?

The recent strength of the Canadian dollar (CAD) against major currencies, notably the US dollar (USD) and the euro, is transforming the business environment for Quebec SMEs. Between 2024 and 2025, the CAD experienced several phases of appreciation linked to decisions by the Bank of Canada, the evolution of commodity prices and expectations of rate cuts in the United States. For small and medium-sized businesses, this rise in the Canadian dollar is not just a challenge: it’s also an opportunity to review their pricing strategy, international sourcing and technological investments.

In this article, we’ll look at how the rise of the Canadian dollar is affecting exports, imports, margins and the competitiveness of Quebec SMEs. We’ll draw on recent statistics on Quebec exports and the weight of SMEs in international trade, to suggest concrete courses of action, particularly in the areas of digital transformation, automation and customer relationship optimization.

1. 2024-2025 context: a stronger Canadian dollar in a volatile environment

Since 2023, the Canadian dollar has evolved in an environment marked by volatility: high inflation, rapid cycles of key rate hikes and cuts, geopolitical tensions and fluctuating energy prices. In 2024 and 2025, the CAD tended to appreciate periodically against the U.S. dollar, buoyed by expectations of monetary easing in the U.S. and the resilience of certain components of the Canadian economy, including natural resource exports.

For Quebec SMEs, this dynamic is part of an already significant export context. An economic study commissioned by Commerce International Québec and published in September 2024 reveals that SMEs generate 65.3% of the value of Quebec’s international exports of goods, or more than $83.5 billion in 2022, and represent 98.7% of exporting companies. However, 71.8% of these SME exporters serve only one country, which exposes them more to the currency fluctuations of a single reference market, often the U.S. ([gimxport.org](https://www.gimxport.org/en/2024/09/smes-account-for-65-3-of-the-value-of-quebecs-international-exports-of-goods/?utm_source=openai)).

The latest data from the Institut de la statistique du Québec also show that Quebec’s international merchandise exports remain buoyant despite the economic situation. For example, exports rose by 5.6% in July 2024 (after +8.0% in June), buoyed in particular by precious metals and certain vehicles. ([statistique.quebec.ca](https://statistique.quebec.ca/en/communique/hausse-exportations-internationales-marchandises-quebec-juillet-2024?utm_source=openai)) In 2025, exports in constant dollars recorded further one-off increases, such as +2.5% in February 2025 and +2.8% in June 2025, before rising by 7.1% in September 2025. ([statistique.quebec.ca](https://statistique.quebec.ca/en/communique/hausse-de-2-virgule-5-des-exportations-internationales-de-marchandises-du-quebec-en-fevrier-2025?utm_source=openai))

These figures show that, even with a stronger Canadian dollar and unstable economic cycles, Quebec SMEs continue to find international outlets. The question, therefore, is not whether or not to export, but rather how to adapt your pricing, market and cost management strategy to a new exchange rate regime.

In this context, digital transformation becomes a central lever. Automating certain processes (payments, managing quotes in multiple currencies, tracking margins), optimizing online presence and steering sales data with the help of a high-performance CRM are all ways of reacting more quickly to movements in the dollar. These challenges are directly in line with the services offered by Nuaweb in AI, automation and the creation of digital solutions.

2. Opportunities for imports: cutting costs and investing in technology

The first positive effect of a stronger Canadian dollar for a Quebec SME is the reduction in the cost of foreign currency imports. If your company buys raw materials, components, software, SaaS licenses or equipment in USD or EUR, a stronger CAD means that every Canadian dollar means you can buy more.

In concrete terms, for an SME that imports part of its inputs, the rise in the Canadian dollar can :

• Reduce the cost of sourcing materials, parts or finished products from the United States, Europe or Asia.
• Improve gross margin if selling prices remain stable in a local market denominated in Canadian dollars.
• Offering an ideal time to invest in production equipment, software solutions, or AI and automation tools paid for in foreign currency.

To make the most of this advantage, many SMEs need to review their investment priorities. Rather than simply seeking to reduce costs in the short term, it makes sense to transform this favorable context into a structural advantage:

• Replace manual processes with integrated systems (ERP, CRM, AI tools).
• Modernize your corporate website to better convert visitors into customers.
• Develop a more efficient online store to diversify its markets.
• Invest inAI and chatbot solutions to improve customer service and team productivity, for example viaNuaweb’s automation and AI services.

The period 2024-2025 is also marked by changes in Quebec’s trade flows. Data from the Institut de la statistique du Québec indicate that international merchandise imports, for example, increased by 5.1% in the first three months of 2025 compared to the same period in 2024. ([statistique.quebec.ca](https://statistique.quebec.ca/en/communique/baisse-de-4-3-des-exportations-internationales-de-marchandises-du-quebec-en-mars-2025?utm_source=openai)) This increase may reflect, among other things, purchases of equipment, components and intermediate goods by companies taking advantage of a stronger dollar to modernize.

For an SME, it’s time to ask a strategic question: “How can we transform a temporary exchange rate advantage into a sustainable competitive advantage?” The answer often lies in :

• The digitization of customer relations via a CRM adapted to Quebec SMEs to centralize prospect, export and market data.
• Automated financial and operational reporting, to track the impact of exchange rates on margins by product and country.
• Optimizing theonline experience (website, e-commerce, smart forms, chatbots) to convert foreign visitors into new customers, even when currency conditions are less favorable.

In short, the rise of the Canadian dollar can be excellent news for your purchasing and investments, provided you plan a coherent digital transformation strategy rather than piling on ad hoc decisions.

3. Risks for exports: margins under pressure and the need to differentiate

The flip side of a rising Canadian dollar is the challenges it poses for exporting companies. When the CAD appreciates, your products become relatively more expensive for foreign customers paying in USD or EUR, at the same nominal selling price.

For the many SMEs that export mainly to a single market – often the United States, as the Commerce International Québec study shows – exchange rate sensitivity is high. It should be remembered that 71.8% of exporting SMEs in Quebec export to just one country, which limits their ability to offset a drop in competitiveness in one market with an increase in another. ([gimxport.org](https://www.gimxport.org/en/2024/09/smes-account-for-65-3-of-the-value-of-quebecs-international-exports-of-goods/?utm_source=openai))

In a context where the most recent data show significant variations in Quebec exports from one month to the next – for example, a 7.3% rise in exports in November 2024, followed by a 2.7% drop in December 2024 and further rebounds in 2025 ([statistique.quebec.ca](https://statistique.quebec.ca/en/communique/quebec-international-merchandise-exports-november-2024?utm_source=openai)) – it is essential for SMEs to anticipate the effect of exchange rates on their margins, rather than endure these cycles.

Risks for exporters include

• Margin erosion when prices are negotiated in advance in foreign currency and the CAD strengthens in the meantime.
• Loss of price competitiveness against local competitors or other countries with weaker currencies.
• Volatile results complicate budget planning and medium-term investments.

There are several ways for SMEs to mitigate these risks:

• Fine-tuning of costs and margins by market, thanks to the implementation of a CRM connected to your invoicing tools, to calculate real profitability by customer and by quotation.
• Value-based differentiation (quality, service, expertise, personalization) to reduce foreign customers’ sensitivity to pure price.
• Market diversification to avoid dependence on a single country and currency.
• Use of digital channels (B2B/B2C e-commerce platforms, specialized marketplaces) to reach new segments with adapted catalogs and prices.

At this level, digital not only acts as a showcase, but also as a real management tool. For example:

• An international e-commerce site can automatically display prices according to the visitor’s currency, manage taxes and delivery charges, and offer targeted promotions to compensate for currency-related price increases.
• An AI chatbot integrated into the site can respond 24/7 to foreign customers, boosting customer experience and trust, even if your prices have undergone a slight increase.
• A modern web platform can put forward value arguments (innovation, sustainability, certification, after-sales service) that justify higher pricing.

By focusing on differentiation, data and digital optimization, SMEs can limit the negative impact of a strong dollar on their exports, and even take advantage of it to move upmarket and target less price-sensitive markets.

4. Concrete strategies for Quebec SMEs: leveraging the strong dollar with digital technology

Faced with a higher Canadian dollar and rapid exchange rate cycles, the key for Quebec SMEs is to implement agile, data-driven processes. Here are some concrete strategies for turning the 2024-2025 context into an opportunity.

1. Set up or optimize a CRM adapted to international sales

A well-configured CRM enables you to :

• Centralize customer information by country, currency and sales channel.
• Track the evolution of margins by contract, integrating the exchange rate at the time of signature.
• Automate relaunches, special offers and rate renegotiations when the exchange rate context changes.

For an exporting SME, it’s as much a survival tool as a growth gas pedal.

2. Develop a multi-currency e-commerce presence

A professional online store enables you to adjust your prices almost in real time, offer alternative currencies, and test new markets at lower risk. Coupled with analytical tools, it quickly tells you which countries respond best to your offers, helping you to reduce your dependence on a single market.

At the same time, a well-designed corporate website reassures your foreign partners, clearly presents your certifications, deadlines, guarantees and pricing policies, and serves as an anchor for all your international marketing campaigns.

3. Automate administrative and financial processes with AI

AI and automation solutions – such as those offered by Nuaweb (AI, chatbots and automation) – can reduce the administrative burden and improve responsiveness :

• Automated quote follow-up, payment reminders and cost variation notifications.
• Use of intelligent chatbots to respond immediately to international customers’ questions about prices, delivery times and shipping terms.
• Predictive analysis of sales by market to adjust prices and promotions according to exchange rates and seasonality.

4. Training and monitoring macroeconomic indicators

Finally, the SMEs that succeed in this context are those that closely monitor economic indicators (policy rate, CAD/USD exchange rate, export/import data) and draw concrete decisions from them. Reliable sources such as the Bank of Canada and the Institut de la statistique du Québec regularly publish data and analyses on the economy, exchange rates and international trade, which SME managers can incorporate into their financial planning. ([statistique.quebec.ca](https://statistique.quebec.ca/en/communique/baisse-de-4-3-des-exportations-internationales-de-marchandises-du-quebec-en-mars-2025?utm_source=openai))

The challenge is not to remain passive. A stronger Canadian dollar can erode your export margins, lighten your import costs and accelerate your digital transformation. The difference lies in your ability to monitor your figures in real time and rapidly adapt your digital channels.

Conclusion: transform the strength of the Canadian dollar into a sustainable competitive advantage

The rise of the Canadian dollar in 2024-2025 creates a complex environment for Quebec SMEs. On the one hand, exporters face increased pressure on margins and price competitiveness, especially when the company depends on a single foreign market. On the other, importers and companies investing in technology, software and equipment have a window of opportunity to reduce costs and modernize operations.

Recent statistics show that SMEs remain the driving force behind Quebec exports – accounting for over 65% of the value of goods exports – and that export flows continue to grow despite volatility. ([gimxport.org](https://www.gimxport.org/en/2024/09/smes-account-for-65-3-of-the-value-of-quebecs-international-exports-of-goods/?utm_source=openai)) The determining variable is therefore not the context itself, but the ability of individual SMEs to adapt.

This adaptation involves :

• Better management of sales and margin data, with a well-established CRM.
• A web and e-commerce presence capable of adjusting to markets and currencies.
• The automation of key tasks using AI, for faster reactions.

If you want to turn fluctuations in the Canadian dollar into an opportunity for growth rather than a source of uncertainty, the Nuaweb team can help. Whether you need to set up a high-performance CRM, create an export-optimized website or online store, or integrate AI and chatbot solutions into your processes, we can help you build a resilient and profitable digital strategy.

Schedule a free consultation with Nuaweb today to analyze the impact of the Canadian dollar on your business and define a digital action plan tailored to your reality. Contact us today.