Canada

In recent months, Canada’s leading economic indicators have pointed to a stagnant environment.

While the Purchasing Managers’ Index improved in both April and May this year with support from higher manufacturing sales, much of this growth was driven by the petroleum and coal products sector. Most other manufacturing industries are continuing to face pressure as a consequence of the tariffs imposed by Canada’s neighbour and largest trading partner, the USA.

Following a technical recession during which real GDP contracted for two consecutive quarters, economic growth remains fragile, with GDP increasing by just 0.4% in April and an estimated 0.1% in May.