ING International: The Canadian dollar is at risk of further decline due to US tariffs

On March 10, ING analysts said in a report that although Trump delayed the 25% tariffs on many Canadian imports for a month, the Canadian dollar will still face further declines in the coming months. They said that even without a 25 percent flat tariff, Canadian goods are being selectively targeted by the United States, in addition to the imminent need for reciprocal tariffs. They argue that Canada should be “disproportionately affected” by the tariffs because of its high exports to the United States. And with the US dollar likely to rebound this summer, USD/CAD is likely to trade above 1.45 by then.