Trump tariffs not large enough to trigger recession so far in Canada: RBC – National [Video]

U.S. President Donald Trump’s “dizzying” tariffs against Canada are causing great uncertainty in the Canadian economy, but they may not be enough — so far — to trigger a recession, a new report from the Royal Bank of Canada said.

“The start and stop of trade threats and actions from the U.S. have been dizzying, but as much as the uncertainty has intensified, U.S. tariffs implemented so far have not been large enough to cause a recession in Canada,” the report by Nathan Janzen and Claire Fan, published Monday, said.

The report further said this was because the “vast majority of U.S. imports from Canada that are USMCA/CUSMA compliant were quickly exempted” from Trump’s broad-based sweeping tariff of 25 per cent on all Canadian goods.

“The additional steel and aluminium tariffs implemented on March 12 are large, but products impacted account for a relatively small share (about 4%) of Canadian …