⚔️ Trade wars

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Good morning! 👓 Tactile markings, Braille, and high-contrast design will help residents feel right at home in a new Toronto apartment building designed specifically for blind and deaf tenants. Set to open next, the unique building will be Canada’s largest independent living space of its kind.

⏰ Today’s read: 4 ½ minutes

MARKETS

*Stock data as of last market close; currency, oil and crypto data as of 8:00 PM ET Dec. 2nd, 2024.

Economy:  Aecon Group Inc. is expected to join the S&P/TSX Composite Index next month, driven by a more than doubling of its stock price over the past year and a market capitalization of $1.8 billion, exceeding S&P’s threshold for inclusion. The Toronto-based construction company recently expanded its presence in the nuclear sector by acquiring U.S.-based United Engineers & Constructors Inc. for $33 million, positioning Aecon as a key player in low-carbon energy infrastructure.

NEED TO KNOW

The week's headlines

Funding flows: 💧 The Ontario government is launching the Housing-Enabling Water Infrastructure (HEWI) lending stream, committing up to $1 billion in loans to help municipalities expand and upgrade water infrastructure essential for housing development. Starting December 2, 2024, municipalities can apply for financing under this program, which supports projects involving drinking water, wastewater, and stormwater systems.

Sinking feeling: 🏠 The once-booming preconstruction condo market in Canada is facing a significant downturn as investors grapple with mounting costs and low returns. In Toronto, preconstruction condo sales dropped 73% in the third quarter, reflecting a broader decline across major cities. Experts suggest the market may face a long-term structural shift unless construction costs drop, interest rates fall, and rents rise.

Leadership change: 🚃 Phil Verster, CEO and President of Metrolinx, will step down on December 16, 2024, to assume a new role in the international rail industry. Michael Lindsay, the current head of Infrastructure Ontario, has been appointed interim CEO starting in December. Verster's resignation comes amid mounting criticism over prolonged delays on major transit projects, particularly the Eglinton Crosstown light rail transit (LRT) line.

Heated debate: 🔥 Vancouver city council has voted to uphold its ban on natural gas for heating and water in new buildings, despite concerns that the policy is contributing to the housing affordability crisis. The ban, introduced in 2022 as part of the city’s climate-change strategy, has divided councillors, with some arguing it is essential for environmental goals, while others believe it adds unnecessary costs to construction

THE BIG STORY

Tariff showdown: Canada tries to avoid a trade war

U.S. President Elect Donald Trump is threatening to slap Canada and others with tariffs as high as 25%. Is construction actually  in danger or is this just a political game?

What could happen: Experts say Canadian construction companies that rely on U.S. imports for specialized materials or equipment may face steep price hikes due to potential retaliatory measures or market volatility. Also, it could make Canadian suppliers less competitive in the U.S. market as their goods become significantly more expensive.

Deja Vu: It’s not the first time. In 2018, Trump imposed tariffs on solar panels and washing machines (30-50%), as well as steel (25%) and aluminum (10%) from most countries. Canada and others retaliated with their own tariffs, sparking a trade war. 

The result: It’s a strategy that doesn’t work. Researchers found that these tariffs did not achieve their intended goals of lowering import costs or bringing manufacturing jobs back to the U.S. The actual effect was that U.S. consumers and importers bore the cost through higher prices. 

Held hostage: Maybe the threat is the whole point. Some experts believe it’s a bluff to get nations to do what Trump wants. Canada has agreed to beef up border security, but Ottawa says Trudeau has yet to receive any promise to call the tariffs off.  

Bad neighbours: It remains to be seen if the tariffs will actually go into effect, but the scope of our relationship is staggering. U.S. goods and services trade with Canada totaled an estimated $908.9 billion in 2022. Exports were $427.7 billion; imports were $481.2 billion.

Ontario Premier Doug Ford felt the pain, saying the tariff threats were "like a family member stabbing you right in the heart."

TOGETHER WITH GLOTMAN SIMPSON

Glotman Simspon: Tackling any job, anywhere

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PROJECT SPOTLIGHT

Metamorphosis

Designed by the late Bing Thom of Revery Architecture, the Butterfly merges natural light, ventilation, and organic forms, dissolving structural boundaries for a sense of continuous space and motion. The building, which sits on top of First Baptist Church, recently passed its first occupancy phase. 

PROJECT UPDATES

Mission Group’s 40-storey tower on St. Paul Street approved 

Stabilization work on Highway 97 begins in 2025

Eglinton project reaches concrete pouring milestone

Tesla opens largest Service Center in Canada

Designs for $600-million Moncton science centre released

Get our full breakdown of the week’s project updates in the link below

WHAT WE’RE TALKING ABOUT

PHOTOS: Notre Dame Cathedral reno work wraps

READ: ⛪ Acadian landmark faces demolition 

RESEARCH: ⛏️ The 54-year-old plan to tunnel beneath Calgary 

TECH: 🪽 Drones help plan infrastructure work in Sussex

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Here’s to a great rest of the week!

Disclaimer: SiteNews is an independently-operated news website. Views expressed are that of the editorial team and are based on publicly available information unless otherwise noted through sponsored content.