Bank of Canada Governor: Atlantic Canada Less Exposed to U.S. Tariffs, But Inflation Remains a Concern
In Halifax, Bank of Canada Governor Tiff Macklem stated that the Atlantic region is less exposed to U.S. tariffs than Quebec and Ontario. While Nova Scotia's unemployment rate remains low, rising oil costs continue to impact residents who heat homes with furnace oil. Macklem highlighted new investment opportunities in shipbuilding, defence, and energy, emphasizing the need for sustained multi-year commitments.
Bank of Canada Governor Tiff Macklem addressed economic conditions in Atlantic Canada during a speech in Halifax on Sept. 21, 2026. He noted that while the region is not immune to U.S. tariffs, it is less exposed to their impact compared to other provinces such as Quebec and Ontario.
Despite this relative insulation from trade disputes, inflation remains a significant concern for the region. Macklem pointed out that rising oil costs have a heavy impact on Nova Scotia specifically because many residents rely on furnace oil for home heating. This factor causes inflation to sting more in the Atlantic region even as tariff exposure remains lower elsewhere.
On the labour front, Macklem reported positive indicators. Nova Scotia’s unemployment rate is currently lower than it was before the COVID-19 pandemic and remains below the national average.
Looking toward future growth, the Governor highlighted increased investment activity in the Atlantic region. He identified major opportunities in the shipbuilding, defence, and energy sectors. However, he emphasized that sustaining this transformative economic change requires long-term dedication. According to Macklem, governments must make sustained multi-year commitments, and businesses need to follow through with concrete investment plans to support these emerging sectors.
