The Ontario government says that despite challenges from the effects of tariffs, the province remains competitive and open for business.
Finance Minister Peter Bethlenfalvy announced the government's 2026 Fall Economic Update on Thursday afternoon at Queens Park in Toronto.
While not naming the U.S. administration, Bethlenfalvy was the first to acknowledge that the road has not been easy.
"We need to look no further than the price of gas, the rising costs of goods due to tariffs, and the impact of uncertainty on investment and employment," said Bethlenfalvy. "As a result, Ontario families and businesses are feeling the impacts. No doubt, the world has changed."
The fall update came out at a time when tariffs have taken their toll on Ontario manufacturing, particularly in the auto industry.
The theme was a plan to protect Ontario industries most susceptible to tariffs, while making the province's economy more self-sufficient and ready for growth.
Last week, the provincial and federal governments announced a joint $8.7-billion plan to boost steel and automotive production in Ontario, including $2.5-billion to support the current roster of autoworkers.
The province also announced the Ontario Competitiveness Tax Cut, a component of Ontario’s multi-year Tax Action Plan, leading to $8-billion in provincial tax relief.
Tax credits have been proposed for industries such as research and development as well as film and television production.
As a result, Ontario's deficit is projected to be a record $16.9-billion for fiscal year 2026-27, with the new forecast for a balanced budget in three years.
Bethlenfalvy said he is confident that Ontarians will rise to this challenge as well.
"Madam Speaker, we can not control every challenge beyond our borders, but we can control how to respond," said Bethlenfalvy. "And Ontario's response is to build, and to build together."
The Official Opposition Leader was quick to respond to Bethlenfalvy's comments.
NDP Leader Marit Stiles said that the statement did not include a plan to lower costs for Ontarians struggling to make ends meet.
"This Fall Economic Statement is an admission of failure," said Stiles. "Costs keep going up for the people of Ontario, and this incompetent government is only making it worse. We're facing dueling crises of affordability and a trade war, while Doug Ford continues to party on the taxpayer dime and deliver nothing for the people of Ontario. At every turn, this government has sold out the people of Ontario. Selling them out to waste taxpayer dollars on five-star hotels, selling them out with growing deficits and cutting services, selling them out with handshake deals with lobbyists and developers."
The complete Fall Economic Statement is available on the provincial government's official website.
