Economists Raise Canada’s Growth Outlook as Tariff Threats Ease

Analysts boosted their forecasts for economic growth in Canada this year as fears of a drawn-out trade dispute with the US fade.

Economists surveyed by Bloomberg say output will rise at a 1.4% annual pace in 2025, up from 1.2% expected last month. At that rate, Canada’s economy would trail only the US among Group of Seven countries.

They no longer see a technical recession, with the economy shrinking at a 0.5% annualized pace in the second quarter but now flat in the third. While still a period of weakness, that’s an improvement from last month’s survey, when economists expected ...