A potential 25% US tariff on Canadian imports could lead to significant price increases for Canadian consumers, particularly in gasoline and perishable foods. The impact would be felt quickly in provinces like Ontario and Quebec, which heavily rely on US-imported refined oil. Other goods like cars and manufactured food products might see price increases in the short to medium term. However, some food items, like seafood, could become cheaper due to reduced US demand.
In provinces such as Ontario and Quebec, Canadians could see prices at the pump jump quickly because a large chunk of our refined oil, especially on the East Coast, is imported from the U.S.The cost of lettuce and other perishable foods, and gasoline prices in some provinces, would be the first costs to spike for Canadian consumers if and when U.S. President Donald Trump slaps a 25-per-cent tariff on imports from Canada , and if Ottawa and the provinces retaliate.
“The cost of refining Canadian crude oil is going up in the United States and those costs are going to get passed back on to Canadian consumers as we reimport that refined oil back from the United States,” he said. In provinces such as Alberta, where a significant amount of oil processing is done within the province, fuel prices might go down for consumers there if less is exported to the U.S.
In general, whether price increases would be sudden depends on retailer inventory, said Jaccard Torsten, a Vancouver School of Economics professor. Alex Greco senior director, manufacturing and value chains, at the Canadian Chamber of Commerce said consumers might pay $8,000 to $10,000 more for a new car within weeks – if not sooner – after promised tariffs are implemented, though a lot of unknowns remain.
Prof. Vercammen said these sorts of price reductions would likely happen within a few weeks and the size of the drop would depend on how quickly Canadian companies can pivot to overseas markets.
Tariffs Trade War Canada US Gasoline Prices Food Prices
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Canadian Grocers End Annual Price Freeze, Expecting Price IncreasesCanadian grocers are ending their annual three-month freeze on price increases from suppliers, signaling potential price hikes for consumers in the coming weeks. This practice, aimed at stabilizing prices during the holiday season, has become increasingly scrutinized in recent years amidst high food inflation and public pressure on grocers.
Read more »
Trump's Tariffs Threat: How a Trade War Could Impact Canadian ConsumersU.S. President Donald Trump's threat to impose tariffs on goods from Canada and Mexico could have significant ripple effects across global supply chains. This news piece explores how tariffs work, their impact on economies, and the potential consequences for Canadian consumers, businesses, and the overall economy.
Read more »
Canadian Consumers Brace for Tariffs, Embracing #BuyCanadian MovementFollowing US President Donald Trump's threats of tariffs on Canadian imports, Canadians are rallying behind the BuyCanadian movement. Some are pledging to avoid American-made goods, while experts debate the effectiveness of boycotts. The reliance on US produce, particularly during the winter months, presents a significant challenge to fully avoiding American products. While consumer boycotts may not always achieve large-scale economic impacts, they encourage Canadians to consider the origin of their food and the economic implications of their choices.
Read more »
Canadian consumers call for boycott of American made food in light of tariff threatDonald Trump's threat of tariffs against Canadian goods has some shoppers in Ottawa thinking twice about what they buy.
Read more »
Soaring Coffee Prices and a Weak Loonie Squeeze Canadian ConsumersGlobal coffee prices are on the rise due to supply concerns, amplified by a weakening Canadian dollar. This combination is likely to result in higher coffee prices for Canadians, impacting both cafes and retail purchases.
Read more »
Poilievre says the next Canadian election will be about the carbon pricePierre Poilievre returned to Ottawa on Thursday after the holidays with a familiar demand for Justin Trudeau: call a carbon-tax election.
Read more »