The US-Canada trade war in 5 charts

Some businesses are adapting to find customers elsewhere. Matteo Sgaramella, who owns Toronto‑based menswear covering institution Outclass, told the BBC helium has started attending trunk shows in Paris instead of New York, helping him reach more customers in Europe. "The reception has been amazing," helium said, adding that immoderate European stores are peculiarly enthused astir supporting Canadian products owed to the ongoing commercialized warfare with the US. "We're benignant of seen arsenic the 1 state that's benignant of lasting up to the Americans close now," Sgaramella said. Other businesses, however, are struggling to diversify their trade, particularly in Ontario manufacturing sectors that are profoundly integrated with the US. A recent study by the Canadian Chamber of Commerce highlighted three specific regions in Ontario—Oshawa, London and Kitchener‑Cambridge‑Waterloo—as being especially vulnerable. "These cities stay heavy tied to the US market, portion maturation successful exports extracurricular the US has been constricted oregon insufficient to offset broader weakness in commercialized enactment and section economical conditions," the study said. While some businesses lag, overseas direct investment into Canada reached C$96.8 billion in 2025, the highest inflow of capital to the Canadian economy since 2007. Canada's economy also rebounded strongly in the second quarter of 2026, posting 3.3 % GDP growth, driven by a surge in exports and domestic investment. These latest figures have eased recession concerns, at least for the time being. Carney is seeking to attract further investment. In September, his government will host the inaugural Canada Investment Summit, bringing major investors, CEOs and business leaders to Toronto for two days.