Wednesday, June 10, 2009

Canadian Ports Call U.S. Allegations They’re Receiving Subsidies ‘Hogwash’

(The Canadian Press – Brenda Bouw)

Canada’s port operators are scratching their heads at allegations coming from south of the border that they are receiving government subsidies that may contravene international trade rules, calling the complaints yet another U.S. protectionism measure.

Gary Leroux, executive director of the Association of Canadian Port Authorities, accused in turn the U.S. ports of being awash in government money. “It just boggles the mind that that kind of assertion can be made, under the WTO especially... I think the reverse might be in order,” Leroux said in an interview Tuesday. “It’s hogwash. Canadian ports are cash cows and the U.S. ports are recipients.”

Leroux was commenting on allegations that surfaced this week from the U.S. ports that Pacific ports in Vancouver, and Prince Rupert, B.C., in particular, are taking business away from their American competitors thanks to allegedly illegal government subsidies which are against World Trade Organization rules.

Leroux said while money has been spent on upgrading road and rail links to the B.C. ports, the U.S. ports receive several types of government funding from infrastructure dollars to low-interest bonds and through the collection of municipal taxes. Read more here.