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Canada bypasses tariffs: covert benefits for capitalists

Unified Canada Stands with Prime Minister Carney Against American Tariffs, Domestic Industries and Resources Maintain Firm Footing.

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Canadian populace unites in solidarity with Prime Minister Carney, challenging US tariffs, while...
Canadian populace unites in solidarity with Prime Minister Carney, challenging US tariffs, while domestic businesses and the resource sector reproduce fortitude.

Canada bypasses tariffs: covert benefits for capitalists

Get ready, folks! With a new Prime Minister in the picture, Mark Carney, things are heating up in Canada. The elections are on the horizon, April 28th to be exact, and while President Trump is applying pressure, there are hidden investment opportunities just waiting to be discovered.

Trump's recent tariffs on Canadian steel and aluminum have Canadians feeling a little like when hockey players get a "face wash" by their opponents. The condescending tone isn't sitting well with millions, who are already canceling their US vacation plans and boycotting American goods. And if you think that's bad, they've even renamed black coffee to "Canadiano," in a bold statement of defiance against the US.

So what does Canada's newest leader, Mark Carney, have to say about it all? The economist and former President of the Bank of England, who was elected as Justin Trudeau's successor by the Canadian Liberal Party on March 9, is enjoying 42 percent support from Canadians, according to an Ipsos poll.

But here's the thing—this political shift is massive, over thirty years according to Ipsos CEO Darrell Bricker. Canadians are demonstrating their determination to stand up to Trump and understand the implications of the trade war: for them, it means everything. Almost 80 percent of Canadian exports go to the US, accounting for 36 percent of GDP. So it's no surprise that Canada is expecting a 3.5 percent drop in GDP.

But interestingly, despite the tariffs, the Canadian stock market remains relatively calm. The S&P/TSX Index rose by 13.8 percent in March, as Canadian companies are well-positioned and better protected from US tariffs. And a weaker Canadian dollar gives them an edge in the global trade war.

Canada is a major player in the global commodities market and the largest producer of zinc, uranium, and nickel, which are used in lithium-ion batteries. The mining sector accounts for 8 percent of GDP and is responsible for a quarter of exports. Many listed mining companies are based in Canada, making it a lucrative investment opportunity.

The US, on the other hand, is dependent on Canada's commodities, such as uranium, lumber, and oil. In fact, around 37 percent of US oil consumption comes from Canada. And Canada supplies power to several US states, further strengthening its trade position.

For companies like BQE Water in Vancouver, these conditions present a gold mine of opportunities. The company specializes in cleaning mine wastewater, and its 2024 revenue increased by 14 percent to CAD 19.7 million. Pre-tax earnings also rose by 41 percent, with the company's stock relatively undervalued at a 2025 P/E ratio of 11.2.

So what factors contribute to Canada's favorable market position despite the tariffs, and which companies besides BQE Water should you consider for investment? You can find that and more in the sector of the week in the new issue of Euro am Sonntag. Don't miss out on the chance to stay well-informed and profit from the latest happenings in the financial markets. Catch the current issue directly in the Action Subscription for just 9.90 Euro and enjoy 3 digital issues! Plus, digital subscribers will receive an exclusive update every Sunday with all relevant supplements after the editorial deadline, including closing prices for the Frankfurt and New York stock exchanges and an overview of the most traded derivatives of the week, a valuable service for informed investors. So, what are you waiting for? Jump in and start investing today!

  1. As Mark Carney, the newly elected Prime Minister of Canada, faces the challenge of Trump's tariffs on Canadian steel and aluminum, Canadians are looking for hidden investment opportunities amidst the strained politics.
  2. Despite the tariffs, the Canadian stock market remains relatively calm, with the S&P/TSX Index rising by 13.8 percent in March, as Canadian companies are well-positioned and better protected from US tariffs.
  3. Canada, a major player in the global commodities market, is expecting a 3.5 percent drop in GDP due to the trade war, but the weaker Canadian dollar gives them an edge in the global trade war.
  4. The mining sector accounts for 8 percent of GDP and is responsible for a quarter of exports, making it a lucrative investment opportunity for companies like BQE Water in Vancouver, which specializes in cleaning mine wastewater and has seen a 14 percent increase in 2024 revenue.
  5. To stay well-informed and profit from the latest happenings in the financial markets, consider subscribing to Euro am Sonntag's sector of the week, which features analysis on favorable market positions and investment opportunities in Canada and beyond.

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