Trump worries will weigh on Canada's economic agenda

Significance

Trump’s victory in the US presidential election has created worries in Ottawa that a more protectionist line from Washington could further dampen weak Canadian business investment and export growth. The government of Prime Minister Justin Trudeau has announced additional fiscal measures to stimulate economic growth, strengthen long-term economic competitiveness and provide more inclusive economic opportunities.

Impacts

• Increased US oil and gas production could keep prices low, crimping the benefits of Canadian midstream investments.
• Backsliding on emissions reductions by Washington could sap political support for activist policies by Ottawa and other jurisdictions.
• US failure to ratify the Trans-Pacific Partnership would see Canada pursue bilateral arrangements with the Pacific Rim.