Consumers Trapped in the Grip of Tariffs
Amid tariff uncertainty by Canadians, the Index of Consumer Confidence fell to a record low in March 2025—below the record set at the start of the pandemic in April 2020.
What will be the impact of the U.S. tariffs and Canadian retaliatory measures on real household consumption by the end of 2025? How will low consumer confidence along with a weakened Canadian dollar and job losses affect spending habits in the medium term? What will be the impact of “buy Canadian” sentiments on tourism as well as Canadians’ spending habits?
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