Carney meets with auto sector CEOs as U.S. trade talks continue
Mark Carney met with automotive sector CEOs to discuss U.S. tariffs and ways to protect Canadian supply chains from the trade war with the United States. Hannah Lepine reports.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CTV News
23 minutes ago
- CTV News
Canadian companies moving away from business in the U.S.
Atlantic Watch Many Canadian companies are moving away from doing business in the United States amid ongoing tariffs.
Toronto Sun
24 minutes ago
- Toronto Sun
Defence spending to add 'staggering' sum to deficit by 2035: Think-tank
Published Jul 03, 2025 • 3 minute read Prime Minister Mark Carney attends the NATO Summit in The Hague, Netherlands, on June 25, 2025. Photo by Sean Kilpatrick / THE CANADIAN PRESS OTTAWA — The C.D. Howe Institute predicts Ottawa's recently announced spending plans — which include a much bigger defence budget — will drive its deficits markedly higher in the coming years. This advertisement has not loaded yet, but your article continues below. THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY Subscribe now to read the latest news in your city and across Canada. Unlimited online access to articles from across Canada with one account. Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on. Enjoy insights and behind-the-scenes analysis from our award-winning journalists. Support local journalists and the next generation of journalists. Daily puzzles including the New York Times Crossword. SUBSCRIBE TO UNLOCK MORE ARTICLES Subscribe now to read the latest news in your city and across Canada. Unlimited online access to articles from across Canada with one account. Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on. Enjoy insights and behind-the-scenes analysis from our award-winning journalists. Support local journalists and the next generation of journalists. Daily puzzles including the New York Times Crossword. REGISTER / SIGN IN TO UNLOCK MORE ARTICLES Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account. Share your thoughts and join the conversation in the comments. Enjoy additional articles per month. Get email updates from your favourite authors. THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK. Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account Share your thoughts and join the conversation in the comments Enjoy additional articles per month Get email updates from your favourite authors Don't have an account? Create Account In a new analysis released Thursday, the think-tank said it expects Canada's deficit to top $92 billion this fiscal year, given Prime Minister Mark Carney's plan to meet NATO's defence spending target of 2% of GDP. C.D. Howe expects deficit growth to slow after this year but predicts deficits will still average around $78 billion annually over four years — more than double the level forecast by the parliamentary budget officer before the spring federal election. But the report also considers this an 'optimistic' scenario that takes into account 'speculative savings' in the form of new revenues and cost-cutting efficiencies outlined in the Liberals' spring election platform. If those savings aren't realized, C.D. Howe estimates the federal deficit would average closer to $86 billion per year over the same time frame. Your noon-hour look at what's happening in Toronto and beyond. By signing up you consent to receive the above newsletter from Postmedia Network Inc. Please try again This advertisement has not loaded yet, but your article continues below. Read More Carney's defence spending announcement in early June came with an extra $9.3 billion in spending this year. He made the commitment before NATO allies pledged at last month's summit to ramp defence and security budgets up to 5% of GDP by 2035. C.D. Howe's analysis sees defence spending adding a 'staggering' $68.4 billion to the federal deficit a decade from now. In addition to accelerating defence spending, the Liberals recently pushed forward legislation to speed up major project development and delivered a one-point cut to the lowest income tax rate. This advertisement has not loaded yet, but your article continues below. The Liberal government did not publish a spring budget this year and has said it will instead push the planned fiscal update to the fall. In its report, the C.D. Howe Institute accuses Ottawa of making 'costly commitments' without showing the numbers to Canadians — but that's not the only area where the think-tank says the Liberals are falling short on accountability. Carney also announced a plan earlier this year to separate Ottawa's budget into capital and operating streams, and to balance the operating side of the equation in three years. RECOMMENDED VIDEO C.D. Howe said the rationale for introducing separate streams is 'unclear' and could deal 'a serious blow to transparency and accountability' if major changes are made to how the government defines capital or operating costs. This advertisement has not loaded yet, but your article continues below. 'Without clear standards audited by independent sources, this approach is ripe for abuse,' the report says. The Canadian Press reached out to Finance Minister Francois-Philippe Champagne for a comment but has not received a response. C.D. Howe calls on the government to make steeper cuts to program spending and reduce federal transfers to provinces. Parliamentary Budget Officer Yves Giroux also did not issue any deficit forecasts in a limited economic and fiscal update published last month. He blamed the lack of an update on Ottawa's decision to forego a spring fiscal update and the fact that he still doesn't know how the government is defining its operating and capital spending streams. In pre-election estimates that did not account for the impacts of the trade war, the PBO predicted the federal deficit would come in at $42 billion for this fiscal year. Giroux said in an interview with The Canadian Press in June that he now pegs that figure at between $60 billion and $70 billion. World Editorial Cartoons Toronto & GTA Movies Toronto Raptors
CTV News
26 minutes ago
- CTV News
Canadian exports to U.S. drop, reach record high for goods sent to other countries
As a trade war between Canada and the United States continues into the second half of 2025, new numbers from Statistics Canada show exports to the U.S. are continuing to trend down. For a fourth straight month, goods heading from north to south have fallen. In May exports to the U.S. dropped by 0.9 per cent. Canada's share of exports bound to the States was at 68.3 per cent in the same month, which is one of the lowest proportions on record. Canada's overall trade deficit fell to $5.9 billion In May, down from a record high of $7.6 billion in April. While an exchange of goods between the long-standing close trade partners appears to be decreasing, Canadian exports to other countries have reached a record high. In May exports to nations not named the United States rose by 5.7 per cent. 'That's a very good thing for New Brunswick manufacturers because we do have to expand our territory,' says Canadian Manufacturers and Exporters (CME) Divisional vice-president Ron Marcolin. 'That's a very prudent business thing to do and unfortunately [manufacturers] have been forced into it somewhat, but this is a very good positive story for manufacturers to look beyond just the United States market.' While the numbers are trending in positive directions for expansion beyond the continent, many businesses continue to struggle with the challenges brought on by tariffs. A recent survey conducted by CME found three in four manufacturers in Canada are experiencing harm caused by the tariffs, which is slowing growth within their own companies. 'If you think of a business, they want to in 2025, possibly expand and get a new piece of equipment or do any heavy maintenance, but they've put those type of projects on hold,' Marcolin says. 'The other major thing is hiring. They're literally just treading water and staying pat as they're getting through a day, a week, and a month.' Marcolin says the level of uncertainty and angst among most manufacturers in New Brunswick and beyond hasn't really changed since the trade war began. 'It affected me pretty severely' It was another busy day Thursday for Curtis Dionne as his uptown Saint John Glass Roots glass blowing studio. In his custom furnace he creates magical pieces that are displayed throughout his alleyway shop. 'It affected me pretty severely,' says Dionne. 'The main thing being the complete drop off of our American sales momentum.' Curtis Dionne Curtis Dionne creates a vase in his Saint John studio. (Source: Avery MacRae/CTV News Atlantic) Dionne says he had big contracts with place like Uncommon Goods and Dollywood – the Tennessee theme park co-owned by legendary country artist Dolly Parton – in place but U.S. businesses have shied away from Canadian goods since the trade war began. He says in 2024 sales in the U.S. accounted for at least 10 per cent of his overall revenue. The tariffs have also impacted the price of some the materials needed for his work. 'Our color comes from Germany, and it gets tariff coming into the United States, and then we get it from Seattle here,' he says. 'There's already tons of costs and taxes and import charges that get added to our materials and shipping, and this is just another burden.'
