TORONTO-Canadian honey producers are feeling the sting from President Trump's new tariffs. So are exporters of artwork, wool, cosmetics, flowers and hundreds of other goods that depend on the U.S. market.

The Canadian economy as a whole is projected to withstand the new tariffs of 50% on $20 billion worth of Canadian goods, or about 5% of Canada's U.S.-bound exports. But many small and medium-size Canadian business owners are expected to bear the brunt of the pain, and some fear they could be put out of business without a resolution to the trade spat.

"The impact is very grave," said Dan Kelly, head of the Canadian Federation of Independent Business. "If your product is on that list, you're in panic mode right now, trying to sort out what you're going to do because this is not a small tariff."

In a CFIB survey released this month, 40% of exporters reported that they sold products targeted by the tariffs. Of them, nearly 80% said they expected revenue losses if the tariffs were imposed; more than one-third estimated revenue losses of at least 50%.

In the prairie province of Alberta, Lorne Prins fears the tariffs could send honey prices "into a free fall." Canada's agriculture department estimates that 56% of Canada's total honey exports by volume in 2025 were shipped to the U.S.

"The worst-case scenario is actually very ugly," said Prins, who co-founded the Gull Lake Honey Company in 2018 after a career in oil and gas.

Honey producers bought themselves some time by rushing exports to the U.S. after Trump first threatened the tariffs in July and before they went into effect. But producers are now in wait-and-see mode, Prins said.

"We might weather this season because a lot of honey has already moved," he said, "but if this drags out, it's going to be a disaster."

Since returning to the Oval Office, Trump has imposed several sets of tariffs on Canadian goods. They include duties imposed over unsubstantiated claims about an invasion of fentanyl into the U.S. from the northern border-which have been struck down by the Supreme Court-as well as levies of up to 50% on steel, aluminum, lumber and autos.

Previous rounds of U.S. tariffs on Canadian goods have exempted goods compliant with the U.S.-Mexico-Canada Agreement, but the new ones don't.

The tariff roller-coaster of the past year-and-a-half or so has weighed on Canada's economy. The country logged five consecutive quarters of decline in business investment, with executives unsure about moving forward with hiring and investment plans given the prospect of losing preferred access to the world's largest market and their largest trading partner.

Even if the levies don't plunge Canada's economy into a recession, they are expected to leave a mark.

Economists at Desjardins Group estimate that the unemployment rate could climb to 7% by year-end from 6.4% in July, if tariffs are kept in place on both sides of the border. Trevor Tombe, a University of Calgary economist, projects that the tariffs could cost 90,000 jobs.

Before the tariffs went into effect, there had been signs that the Canadian economy was starting to turn a corner.

Led in part by rebounding business investment, the economy grew at its fastest pace in more than three years in the second quarter. On Friday, Statistics Canada said the gross domestic product expanded at an annualized rate of 3.3% in the quarter. In July, Bank of Canada Governor Tiff Macklem had said companies were adapting to trade uncertainty.

"We were starting to believe that this was going to be a kickoff for investment to start to increase," said Dawn Desjardins, chief economist at Deloitte Canada. But now, "we are under this pall of uncertainty with how our trading relationship is really going to evolve with our still-largest trading partner."

The new levies predominantly target industries in Canada's three largest provinces-Ontario, Quebec and British Columbia-with producers of plastics, machinery, chemicals and forest products among the most exposed.

The Canadian government has announced more than $20 billion since last year to help firms and workers hit by tariffs.

It has also pledged retaliatory levies on U.S. goods to go into effect on Sept. 8. U.S. officials have suggested that they will respond to any Canadian retaliation, potentially setting the two sides on the path of a full-blown trade war. That would mean more widespread costs for consumers and businesses on both sides of the border.

Canadian businesses that were spared earlier U.S. tariffs are figuring out if, and how, to adapt.

Vojtech Vyhnak has put on hold plans to hire workers for his custom canvas printmaking business that he would normally be preparing to add now for the busy Christmas season. His Calgary, Alberta, company, Canvas Prints Ltd., has traditionally relied on the U.S. for half the artwork business's sales.

To ?reflect new U.S. tariffs on some wool it imports, Erin Pretty? has raised some prices at Real Wool Shop, the clothing business she manages in Carleton, Ontario. She said some American customers have complained about the higher prices and online sales to the U.S. have dried up.

"I had to explain to [a customer] that it was her government putting the tariffs on products coming across," Pretty said.

Toronto-area lip balm producer Warren Levine said he has been dismayed by the trade battle given the traditionally close ties between the U.S. and Canada. The Lips Inc. president had already stockpiled the ?U.S.-made ?tubes for his products in case they ended up on Canada's list of retaliatory levies and is now considering trying to send lip balms to the U.S. using a tariff code for body and skin products that isn't targeted by the U.S.

"But [Trump] seems to be lying awake at night, just trying to figure out where the loopholes are that people are getting stuff through, so I think that's all going to be affected, too, eventually," said Levine.

U.S. sales make up almost half ?the business at Orchid Greens in Niagara-on-the-Lake, Ontario?, ?and owner Guann Chen? said raising prices would likely lead to losing customers. Some clients have already told him they might look elsewhere because of the tariffs, he said.

An industry group, Flowers Canada Growers, ?has estimated that the new ?tariffs could cost the floriculture sector $151 million in annual losses.

Since a store-bought orchid can take around two years to grow, Chen said? he's wracked by tariff uncertainty.

"You're kind of guessing what's going to happen in two years, and no one would have guessed that there'd be tariffs now" two years ago, Chen said. "We bring happiness to people's homes and lives, and the fact the U.S. has targeted us is very odd."