The residential construction industry contributes 550,000 jobs, $40 billion in wages, and $85 billion in investment to Ontario’s economy. It is among the most important sectors both economically and socially in Ontario as the province faces a growing housing crisis. OHBA is extremely concerned by the threat of tariffs from the United States and their impact on the housing sector in Ontario. OHBA is primarily monitoring three effects from the tariffs that have the potential to devastate an already struggling industry:
- Tariffs on steel and aluminum, and others, could result in an economic downturn in the province that would lead to decreased investment in residential and decreased housing starts – at a time when more housing is critical to addressing the housing crisis. This puts new projects and projects already underway at risk.
- The tariffs and counter tariffs will likely results in increased construction material costs, making it more expensive to build homes and to buy new homes. This would exacerbate the housing affordability issues Ontarians already face.
- Currency depreciation would further compound the effects described above, in particular the cost of building new homes.
Read OHBA’s full statement below.
OHBA CEO, Scott Andison, Spoke to CTV News Barrie About the Threat of Tariffs to the Housing Sector in Ontario
Given the importance of the trading relationship between Canada and the United States, OHBA is hopeful that potential tariffs and counter tariffs can be limited. In 2024, Canada exported $15.9 billion worth of steel to the United States and $13.4 billion of aluminum, importing $10.7 billion and $16.3 billion, respectively. Both are important construction materials for the residential construction industry and OHBA will work with the provincial government tin hopes that other key materials are exempt from counter tariffs.
See more of OHBA discussing the tariffs in the media below.