The decision of the new US President Donald Trump, to set customs duties on Canadian goods, can cast the country's economy into the recession. This was reported by Globe and Mail, citing the report of the Royal Bank of Canada and the forecasts of analysts, TASS reported. The upcoming customs war between the United States and Canada can be the "most serious shock" between the two countries since the 1930's. Economists also warn that in the background of Canada's unemployment rate, which is currently 6.7%, can be increased.
The main economist of the Montreal Bank Doug Porter believes that Canada faces "moderate recession" in 2025.
The partner of RSM Canada consulting company Tu Nguen believes that in 2025 the country's economy can decrease by 2%. In this case, the decline will exceed 1.8% for the prediction that the experts had done before the Trump's custom duties.
