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July 15,2019
Accdording to the Bank of Canada , the potential costs of escalating trade wars on the Canadian economy in a series of rate decision
The trade war is already creating a US$13.7 billion crater in the Canadian economy, according to the Bank of Canada.
The trade war between US and China has big effect on Canada economic as Canada is also involved
These negative effects, plus China's import restrictions on Canadian canola vegetable oil and meat, more than offset the positive impact from the withdrawal of American tariffs on steel and aluminum and optimism surrounding the passage of the renegotiated North American free trade agreement.
This uncertainty means Canadian exports will be 1.5 per cent lower by the end of 2021 than would otherwise be the case, and capital spending will be curbed by three per cent over the same time frame, the bank said.
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