In this edition:
- New U.S. tariff takes effect, but CUSMA-compliant Canadian goods exempt
- Carney says all options remain open as Canada faces 50% tariff threat
- Niagara unemployment falls to 5.8% as employment grows
- Ontario gas and diesel prices expected to jump Saturday
- Grimsby downtown construction delayed by rain and rock conditions
- Niagara Health completes system-wide CT scanner replacement
- Non-residential construction costs rise 1.4% in second quarter
- BuildForce tracks $500 billion in Canadian construction projects
- Industrial and raw-material prices fall after five months of increases
- Canadian manufacturing sales edge down in June advance estimate
- Ontario construction groups favour practical approach to AI
- Gordie Howe bridge agreement would share net revenue with U.S.
- Five Niagara restaurants named among Canada’s top hotel dining destinations
- Focus on Tourism
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New U.S. tariff takes effect, but CUSMA-compliant Canadian goods exempt
Brent oil climbed above US$100 a barrel after attacks on two Saudi tankers raised fears that disruption could spread from the Strait of Hormuz to the Red Sea. The Red Sea has become an important alternative route for oil moved across Saudi Arabia by pipeline while traffic through Hormuz remains constrained. Crossings through Hormuz and the Bab el-Mandeb Strait have already fallen sharply. Gasoline and diesel prices are rising even faster than crude as refinery margins increase, creating more immediate risks for transportation, tourism, agriculture and other fuel-intensive industries. Analysts continue to expect a limited diplomatic agreement, but warn that prolonged disruption could push oil toward US$150 a barrel by September.
Picture credit: Office of the Prime Minister of Canada
Carney says all options remain open as Canada faces 50% tariff threat
Prime Minister Mark Carney says “everything’s on the table” if Canada cannot reach an agreement before new 50% U.S. tariffs are scheduled to take effect August 19. Following a meeting with provincial and territorial leaders, Carney declined to identify specific retaliatory measures, saying an advance response could undermine negotiations. Ontario Premier Doug Ford and several other premiers have supported using energy exports or equivalent tariffs as leverage. Alberta Premier Danielle Smith and Saskatchewan Premier Scott Moe oppose that approach, warning it could provoke damaging U.S. retaliation. Carney acknowledged those differences but said Canadian leaders remain united in their objectives. He added that increased engagement by U.S. trade officials this week may create an opening to advance negotiations.
Picture credit: Zoran Zeremski / Adobe Stock
Niagara unemployment falls to 5.8% as employment grows
Niagara’s labour market strengthened in June, with the regional unemployment rate falling from 6.5% to 5.8%, according to the Workforce Collective. Employment increased by more than 6,300 people, while the participation rate rose one percentage point to 60.1%, indicating that a larger share of working-age residents were employed or actively looking for work. The employment rate reached 56.6%. Local job postings also increased by 4,241 during the month, led by educational services, retail trade, and accommodations and food services. Youth employment recorded another strong month, adding to evidence that Niagara’s recent employment growth is reaching several segments of the regional workforce.
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Ontario gas and diesel prices expected to jump Saturday
Ontario drivers and businesses are being warned to expect higher fuel prices Saturday as renewed Middle East conflict restricts global oil shipments. Canadians for Affordable Energy President Dan McTeague forecasts a three-cent-per-litre increase for gasoline and an eight-cent increase for diesel. That would bring peak GTA prices to approximately 184.9 cents for regular gasoline and 226.9 cents for diesel, although Niagara prices may differ. Oil has climbed above US$90 per barrel following the renewed closure of the Strait of Hormuz, disruptions at Saudi ports and attacks affecting Russian oil infrastructure. Diesel’s larger projected increase may create added pressure for transportation, construction, agriculture and other fuel-intensive businesses if the disruption continues.
Photo credit: Harold Stiver / Adobe Stock
Grimsby downtown construction delayed by rain and rock conditions
Construction on Grimsby’s Downtown Reimagined project is continuing along Elm Street, although heavy rain and challenging rock conditions have slowed progress. Crews are installing a watermain between Forty Mile Creek and Mountain Street and replacing sanitary connections identified through the Town’s inspection program. Once work west of Mountain Street is complete, construction will advance toward Main Street, although the Elm and Mountain intersection will be temporarily skipped. Elm Street will remain open to one-lane traffic during daytime construction, with traffic-control staff present and occasional short delays expected. Downtown businesses remain open, while the Construction Passport promotion continues through September 30.
Picture credit: Niagara Health
Niagara Health completes system-wide CT scanner replacement
Niagara Health has completed a system-wide replacement project that installed four next-generation CT scanners at hospitals in St. Catharines, Niagara Falls and Welland. Niagara Health says it is the first Canadian hospital system to deploy this Canon Medical Systems technology across multiple sites. More than 56,000 patients have received scans since phased implementation began last September, contributing to a 10% increase in volumes. Early July data show semi-urgent wait times have fallen by 30%, while routine wait times have decreased by 37%. The Niagara Falls scanner will eventually move to Marotta Family Hospital, and the new South Niagara Hospital is expected to open with three additional next-generation scanners.
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Non-residential construction costs rise 1.4% in second quarter
The cost of constructing non-residential buildings in Canada rose 1.4% during the second quarter, accelerating from a 0.9% increase in the previous quarter. Residential building costs increased 0.5%, while year-over-year gains reached 3.5% for non-residential construction and 2.3% for residential projects. Statistics Canada said geopolitical tensions and higher oil prices increased fuel, equipment and transportation costs, while Canada-U.S. tariffs disrupted supply chains. Seasonal demand also added pressure to an already constrained skilled-trades workforce. Structural steel, earthwork, metal fabrication and conveying equipment recorded some of the largest non-residential increases. Ontario builders also reported that uncertainty over the federal GST/HST rebate had delayed some housing purchases and development decisions.
Photo credit: cmh2315fl / CC BY-NC 2.0
BuildForce tracks $500 billion in Canadian construction projects
BuildForce Canada is tracking approximately 800 major projects worth $500 billion that could reshape construction demand over the next decade. Its latest forecast projects non-residential investment will rise approximately 8% before reaching a peak in 2029, supported by transit, utility, water and wastewater, health-care and education projects. Overall non-residential investment is expected to finish the 2026–2035 period approximately 2% higher. The residential outlook is weaker in the near term, with employment forecast to fall 4% by 2028 before recovering later in the decade. Construction of roads, highways and bridges could decline 17% from 2025 levels through 2035, creating significant differences in workforce and investment demand between construction segments.
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Industrial and raw-material prices fall after five months of increases
Prices for Canadian manufactured products fell 1.4% in June, ending five consecutive months of increases, while raw-material prices dropped 6.9% in their largest monthly decline since July 2022. Statistics Canada attributed much of the reversal to lower energy prices following a tentative U.S.-Iran agreement that temporarily improved the outlook for shipping through the Strait of Hormuz. Gasoline prices fell 11% during the month and diesel declined 9.7%. However, cost pressures remained substantial compared with last year: industrial product prices were up 12.4% and raw materials were 20.7% higher. Diesel, gasoline, aluminum, copper, plastic resins and precious metals recorded particularly large year-over-year increases.
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Canadian manufacturing sales edge down in June advance estimate
Canadian manufacturing sales edged down 0.1% in June, according to Statistics Canada’s preliminary estimate. The petroleum and coal product subsector accounted for the largest decrease, reflecting the volatility in energy markets during the month. Excluding petroleum and coal products, manufacturing sales rose a considerably stronger 2.2%. The estimate is based on responses representing 72.7% of the survey sample, compared with an average final response rate of 92.4% over the previous year. Statistics Canada cautioned that the advance indicator is therefore more likely to be revised as additional information becomes available.
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Ontario construction groups favour practical approach to AI
Ontario construction organizations are encouraging businesses to focus on practical applications of artificial intelligence rather than treating adoption as an end in itself. Contractors are exploring tools that can support estimating, project planning, documentation and other persistent productivity and delivery challenges. However, industry groups say implementation remains limited, particularly among smaller firms that may lack specialized staff or resources. Cybersecurity, intellectual-property protection, privacy and the security of company data remain significant concerns. Employers must also understand emerging compliance obligations, including requirements to disclose the use of AI in screening, assessing or selecting applicants for publicly advertised jobs. Many firms are therefore beginning with education, pilot projects and risk assessments before committing to major investments.
Picture credit: Antony-22 / CC BY-SA 4.0
Gordie Howe bridge agreement would share net revenue with U.S.
A new agreement in principle covering the Gordie Howe International Bridge would direct 50% of net bridge and crossing revenue to a U.S.-controlled economic development fund during the first 15 years of operation. Net revenue is defined as toll and other crossing revenue after operating costs, raising questions about how quickly Canada will recover the cost of financing and constructing the bridge. Prime Minister Mark Carney had previously said revenue-sharing would not begin until Canada’s debt had been repaid, prompting opposition accusations that the agreement contradicts his public explanation. An economist interviewed by Global News said the distinction between toll revenue, net revenue and profit has contributed to confusion. The bridge remains scheduled to open next week.
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Five Niagara restaurants named among Canada’s top hotel dining destinations
Five Niagara restaurants have earned places on OpenTable’s list of Canada’s top 50 hotel restaurants. Niagara Falls selections include 21 Club and Ponte Vecchio at Fallsview Casino Resort. Niagara-on-the-Lake is represented by the Cannery Restaurant at Pillar and Post, Masaki Sushi & Sake Bar at Moffat Inn and the Drawing Room at Prince of Wales Hotel. The list was compiled using more than 1.1 million verified diner reviews, alongside survey research involving 1,500 Canadians. OpenTable found that 90% of respondents had eaten at a hotel restaurant without staying at the property, while 28% had booked a hotel specifically because they wanted to visit its restaurant.
Focus on Tourism
Is the World Cup the ultimate travel influencer?
Anna Grace Lee, Vogue
Today, people find travel inspiration online, in magazines, and even in movies. But more recently, some have been discovering their next vacation destination via a less likely source: the FIFA World Cup.
Hosted by the United States (alongside Mexico and Canada) for the first time since 1994, the World Cup has brought people from all over the world—about 10 million international tourists, according to the US government—stateside. And by many accounts, these visitors are having a ball. They’re trying American barbecue for the first time, falling in love with ranch dressing (and trying to bring as much of it home as possible), and going to pharmacies to stock up on melatonin. Or if they’re Norwegian striker Erling Haaland, they’re buying a taxidermied raccoon drinking whiskey in Texas and bringing it home as a souvenir.
As the tournament approaches its thrilling conclusion, it seems poised to have ripple effects on travel trends beyond the trips booked around the matches themselves. “One of the biggest things the World Cup does is introduce travelers to destinations they may not have previously considered,” says Nicole Janoff, vice president of leisure travel at Magma Global, a Virtuoso Agency. Meanwhile, Expedia has seen a 265% increase in searches for Cape Verde since the start of the cup, according to a representative for the company.
Through the Daily Updates, the GNCC aims to deliver important business news in a timely manner. We disseminate all news and information we feel will be important to businesses. Inclusion in the Daily Update is not an endorsement by the GNCC.
