Canada Surges Ahead as Australia Stalls Amid Failed Economic Strategies
Canada's economy has seen significant growth since the US imposed tariffs on the country. In Q2 2025, before the tariffs, Canada's GDP growth was 0.7% for the quarter and 3.1% year-on-year. The Canadian National Accounts data showed a strong quarterly growth of 0.8%, driven by a resurgent energy sector and higher household spending.
The per capita economy expanded by 0.95% for the quarter, its strongest performance since prior to the pandemic. TD Economics attributed Canada's shift to negative net overseas migration as an important reform that has contributed to easing pressure in the national housing market and stemmed a harsher run-up in unemployment.
In contrast, Australia's per capita GDP has contracted by 0.05% between Q3 2023 and Q1 2026. The Australian government has pursued the same failed economic strategies despite delivering worse economic outcomes and social fabric strain.