The National Post reports in its Tuesday, Nov. 25, edition that when U.S. President Donald Trump first threatened tariffs on Canadian goods, the forecasts were grim.
The Post's Tracy Moran writes that the gross domestic product was expected to fall 3 per cent in seven months, job losses in the auto sector would top 100,000, inflation would tick up over 3 per cent and Canada would be mired in a recession.
Analysts feared the worst when Mr. Trump threatened to use "economic force" to make Canada the "51st state," but that has not happened.
The trade war has led to unemployment spikes and supply chain issues, but Canada has been unexpectedly strong in some areas. The question is, can it maintain this momentum in 2026 and beyond?
Canadian Chamber of Commerce economist Andrew Dicapua believes "the worst [for Canada] is behind us."
Karen Chapple, director of the School of Cities at the University of Toronto, says, "No community in Canada -- well, no community of any significant size in Canada over 20,000 people -- is able to skate free of the tariffs." The first three quarters saw significant manufacturing job losses amid all the uncertainty -- especially concentrated in the auto corridor of Ontario.
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