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Canada’s Inflation Climbs to 2.4% as Gas Prices Surge to Record High

  Canada’s inflation rate accelerated to 2.4% in March , up from 1.8% in February, as the Iran war triggered the largest monthly gasoline price increase on record . Statistics Canada reported that gas prices surged 21.2% month‑over‑month , a supply‑shock response to Iran’s closure of the Strait of Hormuz and broader Middle East instability.  Energy costs were the dominant driver of March inflation, with overall energy prices rising 3.9% year‑over‑year after a sharp decline the month before. Excluding gasoline, inflation would have eased to 2.2% , highlighting how concentrated the price shock was.  Food inflation offered mixed relief: grocery prices rose 4.4% , while fresh vegetables jumped 7.8% due to difficult growing conditions. Restaurant inflation cooled sharply as last year’s tax‑holiday distortions fell out of the annual comparison.  Economists note that while headline inflation spiked, core measures remained relatively tame , giving the Bank of Canada ro...

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Ottawa Scrambles as Trump’s Tariff Deadline Nears Without a Deal

 

                                                 Kirsten Hillman, left, Canada's ambassador to the U.S., and Dominic LeBlanc, Canada's                                                             minister responsible for Canada-U.S. trade, speak to reporters in Washington, D.C., on Thursday.


With a critical deadline fast approaching, Ottawa remains locked in negotiations as it seeks to avert looming tariffs threatened by former U.S. President Donald Trump. The tariffs, set to take effect within days, could have sweeping consequences for Canadian industries, particularly in manufacturing and agriculture.

Despite weeks of high-level talks, Canadian officials have yet to secure an agreement that would satisfy Washington’s demands. Trump, known for his aggressive trade stance during his presidency, has signaled a return to hardline policies, warning that punitive measures will be imposed if Canada fails to make concessions on key trade issues.

Sources close to the negotiations say sticking points include dairy market access, auto exports, and digital trade regulations. Ottawa has pushed back against what it calls “unreasonable demands,” emphasizing the importance of protecting domestic jobs and sovereignty.

Business leaders across Canada are urging swift action, warning that uncertainty is already affecting investment decisions and supply chains. “We need clarity, and we need it now,” said one Ontario auto executive. “Tariffs would be devastating.”

As the deadline looms, pressure mounts on Prime Minister Justin Trudeau’s government to strike a deal or face economic fallout. Whether compromise can be reached in time remains uncertain—but the stakes couldn’t be higher.

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