Wednesday, September 30, 2009

Ottawa Edges Closer to Deal on Buy American

(Globe and Mail – Campbell Clark)

But trade officials caution agreement is far from certain

Provincial governments are signalling that Ottawa and Washington are moving closer to an agreement to exempt Canada from protectionist Buy American measures, but trade officials cautioned that a deal is not a certainty.

Negotiators from both countries will meet in Washington today [Thursday] for a first head-to-head session on a Canadian proposal that would guarantee that U.S. firms can bid for provincial and municipal contracts in Canada in return for an exemption from the Buy American provisions.

In Quebec City and Toronto, provincial governments – key players because any agreement would affect their own buy-local rules – said a deal is moving closer.

Quebec’s economic development minister, Clément Gignac, said, “we are optimistic that we will have a deal” and that it would also require major cities to open their buying to U.S. bids. “I will let the federal government and the U.S. government make the announcement. We are optimistic we are moving in the right direction right now,” he said. Read more here.