In anticipation of looming tariffs, Canadian exports to the United States rose sharply in late 2024 and early 2025, widening Canada’s trade surplus. But after many tariffs took effect, Canadian exports fell off dramatically, as did US imports, underscoring how the destabilization of trade can hurt both sides. The net effect on the trade balance over these months has been a wash compared to previous months. For more on the trade crisis, see this C.D. Howe Institute communiqué.
