World Report - June 27: Friday's top stories in 10 minutes

Episode Date: June 27, 2025

Canada's GDP shrank by 0.1 percent in April. Prime Minister Mark Carney's major projects legislation Bill C-5 is now law. Israeli drone strike kills at least 18 Palestinians in Gaza. Donald Trump's 'Big Beautiful Bill' facing hurdles in the U.S. Billionaire Jeff Bezos's wedding party to go ahead in Venice despite protests. Influencers' love of matcha could be threatening a delicate supply chain.

This is an ad by BetterHelp. Workplace stress is now one of the top causes of declining mental health, with 61% of the global workforce experiencing higher than normal levels of stress. To battle stress, most of us can't wave goodbye to work, but we can start small with a focus on wellness. A holiday is great, but it isn't a long-term solution to stress. Don't forget that therapy can help you navigate whatever challenges the workday, or any day, might bring.

With over 30,000 therapists worldwide, therapy can help you navigate whatever challenges the workday or any day might bring. With over 30,000 therapists worldwide, BetterHelp is the world's largest online therapy platform, having served over 5 million people globally. And it's convenient too. You can join a session with the click of a button helping you fit therapy into your busy life. Plus, you can switch therapists at any time. As the largest online therapy provider in the world, BetterHelp can provide access to

mental health professionals with a diverse variety of expertise. Talk it out with BetterHelp. Our listeners get 10% off their first month at betterhelp.com slash Canada World. That's betterHELP.com slash Canada World. This is a CBC Podcast. This is World Report. Good morning. I'm Marcia Young. There is fresh evidence the Trump tariffs are hitting the Canadian economy. Statistics Canada has just released its report for Gross Domestic Product for April. It shows the economy shrank by 0.1%. CBC's senior business correspondent Peter Armstrong has looked over the report. And Peter, what are

you seeing? You have to put this in the context, Marcia, of when this happened. We're looking at April, which was the absolute peak of all of the uncertainty, of the highest tariff rates that Canadian businesses were facing. So much uncertainty that it weighed down on economic activity, because nobody really knew how all of this was going to continue to unfold. And you look at who got hit the hardest,

goods producing industries down 0.6%. Services producing industries did mostly just fines, but it was mostly manufacturing, of course, that was so clobbered, down 1.9%. And that's driven by the obvious contenders, transportation equipment, motor vehicle manufacturing. We saw non-durable goods like food and oil caught up in the uncertainty. Those were down as well, but not by nearly as much as the other things, the big ones, cars, car parts, and everything goes along with it.

This is a real steep drop off from March. What does the number tell us? Yeah, look, and it's important to remember what happened in March, right? We saw that huge surge in exports in March as businesses on both sides of the border tried to get ahead of these tariffs. They tried to get as much stuff out the door over the course of March before the tariffs really kicked in in earnest. And of course, that's going to lead to a corresponding drop off in exports in the following month. I think what's going to be interesting

going forward is how do things look for May? The advance estimates is also down. So we'll have two back to back months of negative GDP growth in Canada. It's a tough time for the economy. These numbers are starting to bear that out. Thank you, Peter. You bet. these numbers are starting to bear that out. Thank you, Peter. You bet. CBC's senior business correspondent, Peter Armstrong. Despite criticism from senators, indigenous groups, and environmental advocates, Bill C-5 is now law.

It is Prime Minister Mark Carney's major projects legislation, and it helps him uphold a promise he made to Canadians during the election. Janice McGregor is in our Parliamentary Bureau. And Janice, what happens now? Well, passing this bill, Marcia, doesn't build projects. It doesn't even approve projects, notwithstanding the dire warnings about the potentially draconian effects of what's in this bill. We aren't waking up this morning to a rules-free zone, but we will see if a better balance

has been struck. The Prime Minister heard loud and clear from Indigenous leaders that his process fell short. He's committed to key conversations this summer, trying to set that right. But anytime you work fast, you break things. Paula Simons was one of many senators uncomfortable with how the Senate got squeezed by the Prime Minister's July 1st deadline. We did our job of laying out all our concerns very clearly. And that way, if something does go sideways, we will have the somewhat dubious pleasure of being able to say, we told you so.

On the CBC's Frontburner podcast, Natural Resources Minister Tim Hodgson said, those who think the government could have taken things slower should talk to workers who are losing their jobs right now in this trade war. The business community wanted this. Now they've got it. This is not the federal government building projects. This is us creating the environment through the act to give them regulatory clarity and certainty, so they'll put their money to work for Canadians. We're going to see now whether it really was government rules standing in the way of

a building spree or whether red tape was just the most convenient excuse. Alberta Premier Danielle Smith wouldn't name who, but she said earlier this week that there is a proponent for a new West Coast bitumen pipeline ready to step up. The Premier of neighbouring BC, David Eby, has been maintaining there isn't a proponent like that pending. We're about to see who's right. Thank you, Janice. You're welcome. The CBC's Janice McGregor in Ottawa. The clock is ticking on Donald Trump's tax cut and spending bill. The US President wants to sign it into law by July 4th. If the bill

doesn't pass, there'll be a 68% tax increase. Think of that. 68%, which would be the largest in history by about 40 points. That is Trump speaking last evening at a White House event promoting the bill. But Congress may not meet the president's deadline. After narrowly passing the House earlier this month, Trump's signature bill is now facing hurdles and opposition in the Senate. The CBC's Karen Pauls is in Washington. And Karen, what is the delay? There are disagreements between Republicans in the Senate.

Some are up for re-election in next year's midterms. And there are concerns about the national debt and deep cuts to Medicaid. Here are Republican Senators Josh Hawley and Rand Paul. We can't close rural hospitals. That's my message. I'm fiscally conservative no matter who is president and I just can't support something that makes the deficit worse. Meanwhile, Democrats don't want to cut Medicaid and food stamps to offset trillions of dollars in tax breaks. This is Senator Chuck Schumer. It is morally bankrupt to ask working and middle Americans to bankroll tax breaks for billionaires

at a time they're struggling to pay for groceries and rent. Republicans have a slim majority in the Senate and they'd like enough support for it to pass with a simple majority by tomorrow. But then it still has to go back to the House. They'll have to review all the changes made and they won't have a lot of time before they have to vote on it. There is a Canadian angle to this as well. What is it? Well, Ottawa has expressed concern about the so-called revenge tax of up to 20%

on investors from countries deemed to be imposing unfair taxes on U.S. companies. There are suggestions a deal has been reached with the G7 exempting American companies from some specific taxes they don't like. So US Treasury Secretary Scott Besant has asked Republicans to scrap that revenge tax from Trump's bill. Canada's finance minister welcomes the news. That's because it may help Ottawa with the incoming digital services tax, which hits companies like Amazon, Uber and Airbnb.

The first big payment of that DST is due on Monday so you can bet Canadian lawmakers will be watching to see how this progresses in the next few days. Thank you Karen. You're welcome. The CBC's Karen Pauls in Washington. Jeff Bezos' nuptials in Venice are turning the City of Canals into an opulent wedding venue for billionaires and outraged working-class demonstrators are protesting. Megan Williams reports. With cameras clicking, Oprah, the Kardashians, Elton John, Bill Gates and other celebrities and billionaires cruise the canals of Venice. As local protesters

make noise, releasing effigies of Bezos sitting on a toilet made of Amazon boxes or floating in a canal clutching cash, they unfurl banners that read the 1% ruins the world. Not all of Venice welcomes him because there are citizens who have totally rejected the economic system he supports. Activists say Venice, a UNESCO heritage site, is being handed over to the ultra-rich, turned into a theme park for private parties, while real Venetians are priced out of the city. And it's not just about one billionaire bash or the 90 private jets dropping off the glitterati.

It's about a pattern. A city selling out to mass tourism and luxury events while neglecting housing, services and the shrinking number of residents trying to stay. More protests are planned ahead of today's wedding, which will reportedly cost around $70 million. For many in Venice, the party just confirms a long festering truth. When it comes to survival versus spectacle, the city keeps choosing spectacle. Megan Williams, CBC News, Rome.

Matcha, the bright green powdered tea with that earthy flavor, has become so popular that now there's a global shortage. Jenna Benchertritt reports. At this cafe in Toronto, matcha makes up a third of drink sales, says manager Nadia Semenichenko. 200 matchas a day. It's quite a bit of whisking, I would say. Matcha, matcha, matcha. But what started as a social media frenzy over the tea

has turned into a global shortage. The ripple effects felt across the supply chain. We started introducing new suppliers to keep up with the demand. In Japan, matcha is used in traditional tea ceremonies. It's now served almost everywhere, even your nearest Starbucks, and often mixed into lattes or pastries. But Semenichenko doesn't recommend using high-grade matcha that way. It's like, you know, if you buy really expensive whiskey and put it in whiskey and coke.

While the fervor started online, content creators like China LaRueme think it's gone too far. She pared back on her own TikTok matcha recommendations. It's becoming like sold out everywhere. Like I could not find the same matcha brand or products that I like. Some Japanese tea makers are capping exports to foreign buyers. Jason Eng, who manages business partnerships for Kamatani Tea, says his company will have to raise prices. There's no way around it due to the demand.

He expects your matcha order will be pricier during next year's harvest. Jenna Benchitrit, CBC News, Toronto. And that is the latest national and international news from World Report News Anytime at cbcnews.ca. I'm Marcia Young.