Canadian Businesses Face Trade Pressure as Economy Slows

Canada’s small businesses face lasting trade pressures as U.S. levies affect more than 53,000 firms, while the economy lost 68,000 jobs and unemployment reached 6.5 percent in September, according to the Canadian Federation of Independent Businesses and economic data cited by Financial Post.

The Canadian Federation of Independent Businesses said more than 53,000 small and medium-sized businesses are directly impacted by the levies. Owners are concerned the trade conflict with the United States could create long-term consequences if it continues.

Canada’s economy shed 68,000 jobs in September, raising the unemployment rate from 6.4 percent in August to 6.5 percent, according to economic figures cited by Financial Post.

Economists said the employment decline increases pressure on the Bank of Canada as it balances higher inflation risks with slower economic growth and considers the outlook for interest rates.

Prime Minister Mark Carney announced a $2 billion rebate program to support Canadians switching to electric heat pumps in their homes, with grants of up to $10,000 per household.

Financial Post also reported that family asset divisions in Canada consider changes in overall net worth during a marriage rather than only individual assets. Experts said citizenship and asset location do not determine which rules apply.