Canada's Economy Remains Resilient Amid Trade Uncertainty, Deloitte Canada Says

08:12 AM EDT, 09/29/2026 (MT Newswires) -- Deloitte Canada's Fall Economic Outlook forecasts Canadian economic growth of 0.9% this year and 1.6% in 2027, with renewed US trade uncertainty weighing on the outlook, according to the report published on Tuesday. This year's gross domestic product forecast is 0.2 percentage point higher than the previous estimate, while Deloitte Canada reduced the 2027 projection by 0.4 percentage point. The report expects the recent strength in second-quarter growth to fade, as cautious consumers, softer housing activity, tariffs and high energy costs weigh on demand. Business investment could provide the main boost to growth in 2027, though much will depend on converting government incentives and major-project plans into tangible spending, jobs and infrastructure, added Deloitte. Canada needs stronger trade infrastructure and deeper economic ties with Europe and Asia to offset weaker US demand, although the benefits of diversification are likely to emerge only gradually, it said. Persistently high energy prices and potential tariff pass-through could add to inflationary pressures, raising the prospect of higher Bank of Canada interest rates later, according to Deloitte.