Tariffs, investments, trade, and the housing market will be some of the hot topics for B.C.\u2019s economy in 2026, Central 1 Credit Union chief economist Bryan Yu tells 1130 NewsRadio.<\/p>\n
He says the evolving trade relationship with the U.S. amid tariff threats<\/a> by President Donald Trump will dominate discussions around the economy.<\/p>\n \u201cThere are going to be hard hit areas by forestry, steel, and auto,\u201d Yu explained.<\/p>\n \u201cAlthough I think that is going to continue. The concern is that with renegotiation, there could be some other sectors that are also on the radar again, and that could be agriculture for Canada.\u201d<\/p>\n Yu is referring to the upcoming scheduled review of the Canada\u2013United States\u2013Mexico\u2013Mexico Agreement (CUSMA) \u2013 the deal governing free trade between Canada, the US, and Mexico.\u00a0<\/p>\n \u201cThat would be kind of one of the areas of concern, but we do expect at this point that it\u2019s kind of a status quo type environment where most goods will stay tariff-free across the border,\u201d he explained.<\/p>\n Trump has repeatedly criticized the trade agreement, even though it was he who negotiated it during his first term in the Oval Office.<\/p>\n Since the trade agreement is expiring in the new year, the three countries need to draft a new deal.\u00a0<\/p>\n Yu says that similar issues and other economic challenges, such as affordability<\/a> and the ongoing war between Russia and Ukraine<\/a>, will lead to economic uncertainty around the globe in 2026.<\/p>\n