Eby headed to Washington Feb 12 with Premiers.
The Province provided an economic assessment of US President Trump’s Tariff threat on January 16, discussing potential impacts they would have on British Columbians.
As British Columbia continues to oppose the threatened 25% American tariffs on all Canadian imports, a preliminary assessment of potential impacts a trade war with the U.S. could have on the BC economy has been conducted by the provincial Ministry of Finance.
British Columbia could face a cumulative loss of $69 billion in economic activity between 2025 and 2028 under the proposed tariff scenario.
The Ministry notes in both 2025 and 2026, the Province’s real GDP is estimated to potentially decrease by 0.6% annually.
Premier David Eby has engaged with several state governors, emphasizing the severe consequences tariffs would have on both sides of the border. Alongside other premiers, he is expected to travel to Washington, D.C, on February 12, to further advocate against these tariffs on behalf of all Canadians.
Projected job losses are estimated at 124,000 by 2028, with natural-resource sector export industries and associated manufacturing seeing largest declines.
Transportation and retail sectors would also feel these losses and the unemployment rate could rise to 6.7% in 2025 and 7.1% in 2026. Corporate profits may experience an annual decline ranging from $3.6 billion to $6.1 billion.
American tariffs, combined with potential retaliatory measures, once imposed could significantly affect many of British Columbia's key revenue sources, including personal and corporate income taxes.
Preliminary analysis suggests this could lead to an annual revenue reduction of $1.6 billion to $2.5 billion.
This preliminary assessment conducted by the Ministry of Finance represents one of many possible scenarios, as there remains significant uncertainty regarding the specific nature, scale, and timing of potential United States policy changes according to the release.
In response to these tariffs, British Columbia is undertaking contingency planning across government, and is prepared to participate in nationally coordinated retaliatory measures if necessary.
The Province aims to bolster its domestic position by expanding the economy, creating high-paying jobs, and generating the wealth needed to support residents through robust public services, such as health care and education.
Efforts include fast-tracking permitting processes within B.C. and reducing trade barriers between provinces.
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