OECD Downgrades Canada's Economic Growth Amid Trade Uncertainty

A recent Organization for Economic Co-operation and Development (OECD) report downgraded Canada's expected economic growth by 25% for this year and almost the same amount in 2027 compared to its last report in June.

The OECD predicts that Canada's economy will grow by just 0.9% in 2026, down from its June prediction of 1.2%, and by 1.3% in 2027, down from 1.7%. In contrast, the U.S. economy is expected to grow by 2.2% in 2026 and 2.1% in 2027.

The report attributes Canada's slower predicted economic growth to the impact of U.S. tariffs on Canadian exports to the U.S. and continuing uncertainty about the future of the Canada-U.S.-Mexico agreement on trade.