QUESTION PERIOD — International Trade
Canada-U.S. Trade
October 23, 2024
Senator Gold, the Canadian Chamber of Commerce released a report this month that highlights just how mutually beneficial the Canada-U.S. trade relationship is to both nations. Entitled Partners in Prosperity: Exploring the Significance of Canada-U.S. Trade, the report warns of the devastating impacts that a 10% across-the-board tariff on U.S. imports could have on both the Canadian and American economies. The 10% tariff is something that has been put forward by one of the presidential candidates.
With the American election two weeks away, how is the Government of Canada preparing itself for this possible eventuality? The Canadian Chamber of Commerce’s analysis shows that such a policy could negatively impact Canada’s economy by reducing real income by 0.9% and labour productivity by nearly 1%.
Thank you for your question.
The U.S. is not only our closest neighbour but our biggest trading partner and our closest friend and ally. As we know, this government and previous governments have worked successfully with both Republican and Democratic administrations to protect and promote Canadians’ interests. This will continue regardless of who wins the upcoming American election.
In that respect, with regard to trade and other matters to which you referred, the government will continue to take a whole-of-government and, indeed, a Team Canada approach, working not only within the federal government but with premiers, mayors, industry leaders, unions and people of all political stripes to advance Canada’s interest.
Canadians should have confidence that this government will take a pragmatic and focused approach to negotiations and will protect Canadian interests regardless of who wins the upcoming election.
Thank you for that response.
Considering the chamber’s findings, I believe the government’s Team Canada strategy is more important than ever. Canada must further promote the interconnected nature of our trading relationship, including supply chains, with American lawmakers and business leaders.
On that note, what new developments have there been since the release of the 2022 U.S.-Canada/Canada-U.S. Supply Chains Progress Report to enhance cross-border supply chain security, resilience and confidence? When can we expect a follow-up on the working group’s work?
Thank you.
Senator, I’m not in a position to provide a timeline for the follow-up to that Supply Chains Progress Report, but I can assure this chamber that the work is important and ongoing.
