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flag U.S. trade threats endanger Canada’s economy, risking recession amid growing uncertainty over CUSMA.

flag Canada faces rising recession risks due to escalating U.S. trade tensions, with economists warning that uncertainty over the Canada-U.S.-Mexico Agreement (CUSMA) is already hurting business investment and manufacturing. flag Despite no formal breakdown, threats to scrap the deal and potential 25% tariffs have disrupted planning, particularly in export-heavy sectors like steel and aluminum. flag With the U.S. accounting for 76% of Canadian exports, the economy’s vulnerability is high, and even partial trade disruptions could reduce GDP by 4%. flag While a full collapse would likely trigger a recession, experts say the current instability is already taking a significant toll, though recovery remains possible.

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