BC projects $69 billion economic loss from proposed US tariffs by 2028

Lesprom Network
January 16, 2025
Category: Business & Politics
Region: Canada, United States

BC could face severe economic consequences from president-elect Donald Trump’s proposed 25% tariff on Canadian imports. The province projects a cumulative economic loss of $69 billion over four years, with real GDP potentially declining by 0.6% annually in 2025 and 2026. The BC. Ministry of Finance, estimates significant job losses and revenue reductions during this period, with the unemployment rate possibly increasing to 6.7% in 2025 and 7.1% in 2026. The tariff’s effects on the labor market could result in 124,000 job losses by 2028, with the most affected sectors being natural resources, manufacturing, transportation, and retail. Corporate profits could decrease annually by $3.6 billion to $6.1 billion. …Experts indicate that the tariffs could disrupt the US lumber supply chain. Rajan Parajuli, an NC State University professor, said that… US lumber producers might profit from higher prices, consumers would face increased costs if demand remains steady. The Peterson Institute for International Economics notes that these tariffs could extend beyond Canada, impacting the broader wood product sector.

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