(Bea Vongdouangchanh — Hill Times)
House Finance Committee will get only two days to study budget spending.
The federal government’s budget bill will go through Parliament at “lightning speed” and will most likely be passed within the next month, say Conservative and Liberal MPs, but the New Democrats, who won’t try to hold up the bill’s passage, say it’s also “insufficient” time to properly study a bill that’s 551 pages and includes a $40-billion stimulus package.
In its budget, the Conservative government stated that for the stimulus package to be most effective, it has to be implemented within 120 days, by May 27.
Conservative MP Mike Wallace (Burlington, Ont.), who sits on the House Finance Committee, said the government is working hard to meet its goal, which is why the House Finance Committee is meeting this Monday to hear from representatives from 24 organizations and Finance Minister Jim Flaherty (Whitby-Oshawa, Ont.) in four separate meetings.
Mr. Wallace said the committee will then move into clause-by-clause study of the bill on Tuesday, Feb. 24.
“We did a lot of pre-budget consultations, and so did the other parties, at least they claim they did, so we’ve [already] heard from a lot of people,” Mr. Wallace said last week, adding that the committee will hear from “key folks” and work quickly to report the bill back to the House.
“Instead of taking three months to do this process, we need to get it done, all completely done within a month.” Read more here.
Monday, February 23, 2009
1 in 7 Manufacturing Jobs Lost Between 2004 and ‘08: Statscan
(CBC News)
A new study says Canada lost nearly one in seven manufacturing jobs between 2004 and 2008, or about 322,000 positions. However, more than 1.5 million jobs were created in the rest of the economy during the same period, Statistics Canada reports.
The share of manufacturing jobs in the economy fell to 11.5% in 2008 from 14.4% in 2004, the agency says.
The report says employment has fallen in almost all manufacturing industries since 2004, with only a few reporting increases – notably manufacturing of transportation equipment (excluding motor vehicles and parts), petroleum and coal products, and computer and electronic products.
Almost half the jobs in textiles and clothing, long one of the largest manufacturing sectors in the country, disappeared. The automotive industry was also hit hard, with one in five motor vehicle jobs disappearing and more than one in four vehicle parts jobs lost from 2004 to 2008.
Ontario lost the majority, 198,600 manufacturing jobs – nearly one in five jobs – in just four years. Newfoundland and Labrador, New Brunswick, Quebec, British Columbia and Nova Scotia also lost more than 10%.
Small towns and rural areas were as likely as large cities to replace lost manufacturing jobs with jobs in other industries, typically in the service sector or in construction. However in small towns and rural areas, such jobs are often much lower paying than manufacturing jobs.
Statistics Canada says the trends are not unique to Canada – manufacturing has been declining in most Organization for Economic Co-operation and Development countries. But the losses were delayed in Canada with manufacturing jobs beginning to decline only in 2004, while other countries, notably the U.S., had suffered significant job losses for several years.
Summary statistics and a link to the data files are on the Statistics Canada website at Statistics Canada website.
A new study says Canada lost nearly one in seven manufacturing jobs between 2004 and 2008, or about 322,000 positions. However, more than 1.5 million jobs were created in the rest of the economy during the same period, Statistics Canada reports.
The share of manufacturing jobs in the economy fell to 11.5% in 2008 from 14.4% in 2004, the agency says.
The report says employment has fallen in almost all manufacturing industries since 2004, with only a few reporting increases – notably manufacturing of transportation equipment (excluding motor vehicles and parts), petroleum and coal products, and computer and electronic products.
Almost half the jobs in textiles and clothing, long one of the largest manufacturing sectors in the country, disappeared. The automotive industry was also hit hard, with one in five motor vehicle jobs disappearing and more than one in four vehicle parts jobs lost from 2004 to 2008.
Ontario lost the majority, 198,600 manufacturing jobs – nearly one in five jobs – in just four years. Newfoundland and Labrador, New Brunswick, Quebec, British Columbia and Nova Scotia also lost more than 10%.
Small towns and rural areas were as likely as large cities to replace lost manufacturing jobs with jobs in other industries, typically in the service sector or in construction. However in small towns and rural areas, such jobs are often much lower paying than manufacturing jobs.
Statistics Canada says the trends are not unique to Canada – manufacturing has been declining in most Organization for Economic Co-operation and Development countries. But the losses were delayed in Canada with manufacturing jobs beginning to decline only in 2004, while other countries, notably the U.S., had suffered significant job losses for several years.
Summary statistics and a link to the data files are on the Statistics Canada website at Statistics Canada website.
Harper on U.S. Sales Job
(Kathleen Harris — Sun Media)
Trip south on heels of Obama meeting
Prime Minister Stephen Harper will remind Americans that Canada is doing its part to fuel the global economic recovery, while warning of the pitfalls of protectionism when he meets with business leaders in New York today.
In a bid to build momentum from last week’s visit from U.S. President Barack Obama, Harper and key ministers are holding a series of meetings with Americans.
Harper will hold a business roundtable in New York, while Foreign Affairs Minister Lawrence Cannon heads to Washington to meet his U.S. counterpart, Secretary of State Hillary Clinton.
Harper’s chief spokesman Kory Teneycke said the PM will get the word out that Canada is on the job when it comes to buoying the slumping economy.
“Broadly speaking, our message is one of ‘we’re all in this together,’ “he said. “Economic recovery in Canada will only be successful if there’s economic recovery in the U.S. and likewise, given the depth of our trading relationship with the U.S., it’s important for their economic recovery that Canada be doing well also. Our economies are very heavily integrated.” Read more here.
Trip south on heels of Obama meeting
Prime Minister Stephen Harper will remind Americans that Canada is doing its part to fuel the global economic recovery, while warning of the pitfalls of protectionism when he meets with business leaders in New York today.
In a bid to build momentum from last week’s visit from U.S. President Barack Obama, Harper and key ministers are holding a series of meetings with Americans.
Harper will hold a business roundtable in New York, while Foreign Affairs Minister Lawrence Cannon heads to Washington to meet his U.S. counterpart, Secretary of State Hillary Clinton.
Harper’s chief spokesman Kory Teneycke said the PM will get the word out that Canada is on the job when it comes to buoying the slumping economy.
“Broadly speaking, our message is one of ‘we’re all in this together,’ “he said. “Economic recovery in Canada will only be successful if there’s economic recovery in the U.S. and likewise, given the depth of our trading relationship with the U.S., it’s important for their economic recovery that Canada be doing well also. Our economies are very heavily integrated.” Read more here.
Friday, February 20, 2009
Despite Years of Wooing Chinese Market, Canada is Falling Behind Rest of World in Trade with China
(MarketWire – The Fraser Institute)
Canadian trade with China represents just a miniscule portion of Canada's overall international trade and the country has a long way to go to fully take advantage of the opportunities presented by one of the world's fastest growing markets, concludes a new study released today by independent research organization the Fraser Institute.
Just two per cent of Canadian exports were sent to China in 2007 (the last year of available data at the time the report was written) compared to 80% of Canadian goods exported to the United States. In terms of imports, Canada imported nine per cent of its goods from China, with more than 50% originating in the United States.
"For many years now, we've been hearing about the opportunities presented by the Chinese market. Yet so far, Canadian companies have failed to fully capitalize on these opportunities," said Mark Mullins, Fraser Institute executive director. "And while many Canadians may think everything we buy is 'Made in China', the reality is far from the truth. Even though China's share of Canadian trade has tripled in the past decade, it is relatively small and narrowly based."
The study, Canada's Economic Relations With China, is the first attempt to quantify the flows of goods, services and people between Canada and China. The complete report is available at http://www.fraserinstitute.org.
Canadian trade with China represents just a miniscule portion of Canada's overall international trade and the country has a long way to go to fully take advantage of the opportunities presented by one of the world's fastest growing markets, concludes a new study released today by independent research organization the Fraser Institute.
Just two per cent of Canadian exports were sent to China in 2007 (the last year of available data at the time the report was written) compared to 80% of Canadian goods exported to the United States. In terms of imports, Canada imported nine per cent of its goods from China, with more than 50% originating in the United States.
"For many years now, we've been hearing about the opportunities presented by the Chinese market. Yet so far, Canadian companies have failed to fully capitalize on these opportunities," said Mark Mullins, Fraser Institute executive director. "And while many Canadians may think everything we buy is 'Made in China', the reality is far from the truth. Even though China's share of Canadian trade has tripled in the past decade, it is relatively small and narrowly based."
The study, Canada's Economic Relations With China, is the first attempt to quantify the flows of goods, services and people between Canada and China. The complete report is available at http://www.fraserinstitute.org.
Obama Makes Overtures to Canada’s Leader
(Video: PMO • Story: New York Times)
President Obama charted a delicate course with Canada on Thursday, using the first foreign trip of his presidency to ease tensions over trade policy, climate change and the war in Afghanistan – all the while basking in his celebrity status in a nation where his approval ratings are so high that a local bakery named a pastry after him.
The quick day trip marked a striking shift in United States-Canada relations from those under President Bush. If Canadians were no fans of Mr. Bush, their conservative leader, Prime Minister Stephen Harper, found in him a kindred philosophical spirit.
Mr. Obama, on the other hand, is so popular here that he used a news conference on Thursday to thank Canadian volunteers who crossed the border to help his campaign. At the same time, he sought to soothe a skeptical Mr. Harper on policy matters like whether to reopen the North American Free Trade Agreement – Mr. Obama suggested doing so as a candidate but has since recalibrated his stance – as well as a “Buy America” provision in the $787 billion economic recovery package he just signed into law.
“I provided Prime Minister Harper an assurance that I want to grow trade, not contract it,” Mr. Obama said during the brief, four-question news conference with Mr. Harper in the grand Gothic-style center block of the Canadian Parliament. “And I don’t think that there was anything in the recovery package that was adverse to that goal.”
The prime minister responded by giving the president a bit of a lecture, remarking that Canada’s stimulus package “actually removed duties on some imported goods.” “If we pursue stimulus packages the goal of which is only to benefit ourselves, or to benefit ourselves at the expense of others, we will deepen the world recession, not solve it,” Mr. Harper said.
Related: White House photo-essay entitled “Working With Canada” here
Government of Canada Announces Safety Regulations to Support the International Bridges and Tunnels Act, 2007
(Transport Canada)
Regulations are now in effect requiring owners of Canada's 24 international bridges and tunnels to inspect and report to the Minister of Transport on the safety of their structures on a regular basis.
The regulations apply to the Canadian sections of all of the vehicular international bridges and tunnels, and put into place requirements concerning reporting and scheduled inspections. There are also stipulations that require owners to provide the Minister of Transport with reports every two years on maintenance and operations of these structures. In addition, the reports would identify any necessary actions to ensure the structures are kept in good condition.
"These new safety measures will help ensure that international bridges and tunnels remain safe and secure for all who use them," said Canada's Transport Minister, John Baird. "They also demonstrate our government's commitment to the safety of Canadians and those who come to Canada for business and tourism. The safety of this important transportation infrastructure is also important to protect the vital trade links on which our economy depends."
The International Bridges and Tunnels Act, which received Royal Assent in 2007, has formalized the federal government's oversight responsibility for the operation, maintenance and security of international bridges and tunnels. The regulations will help satisfy this oversight responsibility.
The regulations were published in the Canada Gazette, Part II, on February 18, 2009, and are now in effect.There are currently 24 international vehicular bridges and tunnels, and nine international railway structures with various forms of ownership and governance structures.
Regulations are now in effect requiring owners of Canada's 24 international bridges and tunnels to inspect and report to the Minister of Transport on the safety of their structures on a regular basis.
The regulations apply to the Canadian sections of all of the vehicular international bridges and tunnels, and put into place requirements concerning reporting and scheduled inspections. There are also stipulations that require owners to provide the Minister of Transport with reports every two years on maintenance and operations of these structures. In addition, the reports would identify any necessary actions to ensure the structures are kept in good condition.
"These new safety measures will help ensure that international bridges and tunnels remain safe and secure for all who use them," said Canada's Transport Minister, John Baird. "They also demonstrate our government's commitment to the safety of Canadians and those who come to Canada for business and tourism. The safety of this important transportation infrastructure is also important to protect the vital trade links on which our economy depends."
The International Bridges and Tunnels Act, which received Royal Assent in 2007, has formalized the federal government's oversight responsibility for the operation, maintenance and security of international bridges and tunnels. The regulations will help satisfy this oversight responsibility.
The regulations were published in the Canada Gazette, Part II, on February 18, 2009, and are now in effect.There are currently 24 international vehicular bridges and tunnels, and nine international railway structures with various forms of ownership and governance structures.
Thursday, February 19, 2009
Harper on CNN: Protectionism Could Turn Recession into a Depression
(Video: CNN — Via CPC • Story: National Post)
In the interview Harper pointed out that Canada hadn’t imposed “Buy Canada” provisions in its stimulus plan, and suggested the U.S. could set off an international trade war if it tried to impose protectionist provisions in its plan. “If there is one thing that could turn a recession into a depression, it is protectionist measures across the world,” he said. He also argued that opening up the NAFTA treaty could result in never-ending negotiations that would hurt both countries, possibly including U.S. access to Canadian energy supplies.
Read the complete article/transcript here.
In the interview Harper pointed out that Canada hadn’t imposed “Buy Canada” provisions in its stimulus plan, and suggested the U.S. could set off an international trade war if it tried to impose protectionist provisions in its plan. “If there is one thing that could turn a recession into a depression, it is protectionist measures across the world,” he said. He also argued that opening up the NAFTA treaty could result in never-ending negotiations that would hurt both countries, possibly including U.S. access to Canadian energy supplies.
Read the complete article/transcript here.
Is the Inventory Cycle Dead?
(Export Development Canada – Peter G. Hall)
One clear indication of impending recession is the number of economy-watchers saying “It’s different this time”. Fooled again – so far, the global economy’s woes look pretty similar to past recessions, only moreso. But the phrase hasn’t been dropped completely. With all the recent innovations in inventory management, many are wondering if the inventory cycle is dead.
Does it really matter? Absolutely – inventories usually pile up as the economy softens, and the recovery is delayed until they are worked off. These pile-ups have been substantial in the past, but there is good cause to believe that times have changed. Vast changes in computing and communication technology have revolutionized inventory management over the past economic cycle. Just-in-time product flows enabled by electronic data interchange systems have redefined flows of goods and given new importance to logistics. And the low, stable price environment, also a key feature of the past economic cycle, has reduced the economic incentive to hold inventories.
Tighter inventory management is unmistakable in current economic data. In Canada, across the economy businesses held an average of 66 days of inventories in the mid-1990s. The number has dropped steadily since, to just under 55 days last summer. Canada is not alone. The stock-to-sales ratio in the US has fallen consistently, and is now 27% below the early-1980s level. Most other developed countries have experienced the same general pattern.
The trend is great, but is tighter control helping to manage end-cycle inventory fluctuations? It may be too early to tell; the recession has just begun, and data are still coming in. But early signs are worrisome. US inventories as a share of sales spiked in the fourth quarter by more than the entire increase in the 1990-91 recession. And in just six months, the ratio has climbed by two-thirds of the increase that occurred over 18 months in the 1981-82 recession. Read more here.
One clear indication of impending recession is the number of economy-watchers saying “It’s different this time”. Fooled again – so far, the global economy’s woes look pretty similar to past recessions, only moreso. But the phrase hasn’t been dropped completely. With all the recent innovations in inventory management, many are wondering if the inventory cycle is dead.
Does it really matter? Absolutely – inventories usually pile up as the economy softens, and the recovery is delayed until they are worked off. These pile-ups have been substantial in the past, but there is good cause to believe that times have changed. Vast changes in computing and communication technology have revolutionized inventory management over the past economic cycle. Just-in-time product flows enabled by electronic data interchange systems have redefined flows of goods and given new importance to logistics. And the low, stable price environment, also a key feature of the past economic cycle, has reduced the economic incentive to hold inventories.
Tighter inventory management is unmistakable in current economic data. In Canada, across the economy businesses held an average of 66 days of inventories in the mid-1990s. The number has dropped steadily since, to just under 55 days last summer. Canada is not alone. The stock-to-sales ratio in the US has fallen consistently, and is now 27% below the early-1980s level. Most other developed countries have experienced the same general pattern.
The trend is great, but is tighter control helping to manage end-cycle inventory fluctuations? It may be too early to tell; the recession has just begun, and data are still coming in. But early signs are worrisome. US inventories as a share of sales spiked in the fourth quarter by more than the entire increase in the 1990-91 recession. And in just six months, the ratio has climbed by two-thirds of the increase that occurred over 18 months in the 1981-82 recession. Read more here.
Wednesday, February 18, 2009
Obama Wants to Reopen NAFTA but Keep Trade Flowing
(Video: CBC • Story: Reuters)
President Barack Obama said on Tuesday he still wants to reopen the North American Free Trade Agreement, despite a warning from Canada that this would be a mistake, but he said he did not want to end up curbing trade.
In an interview with the Canadian Broadcasting Corp, shortly before his visit to Ottawa on Thursday, Obama also declined to characterize oil from Canada’s vast oil sands region as “dirty oil” which should somehow be curtailed.
Obama had alarmed Canada during the Democratic primaries last year when he advocated renegotiating NAFTA, and he reiterated this goal on Tuesday while recognizing these were sensitive economic times.
“As I’ve said before, NAFTA, the basic framework of the agreement, has environmental and labor protections as side agreements. My argument has always been that we might as well incorporate them into the full agreement so that they’re fully enforceable,” he said in the interview with CBC television.
However, he also said: “I think there are a lot of sensitivities right now because of the huge decline in world trade.”
Obama noted there was $1.5 billion in trade between Canada and the United States every day, adding: “It is not in anybody’s interest to see that trade diminish.” … Read the complete article here.
President Barack Obama said on Tuesday he still wants to reopen the North American Free Trade Agreement, despite a warning from Canada that this would be a mistake, but he said he did not want to end up curbing trade.
In an interview with the Canadian Broadcasting Corp, shortly before his visit to Ottawa on Thursday, Obama also declined to characterize oil from Canada’s vast oil sands region as “dirty oil” which should somehow be curtailed.
Obama had alarmed Canada during the Democratic primaries last year when he advocated renegotiating NAFTA, and he reiterated this goal on Tuesday while recognizing these were sensitive economic times.
“As I’ve said before, NAFTA, the basic framework of the agreement, has environmental and labor protections as side agreements. My argument has always been that we might as well incorporate them into the full agreement so that they’re fully enforceable,” he said in the interview with CBC television.
However, he also said: “I think there are a lot of sensitivities right now because of the huge decline in world trade.”
Obama noted there was $1.5 billion in trade between Canada and the United States every day, adding: “It is not in anybody’s interest to see that trade diminish.” … Read the complete article here.
Canada May Resume WTO Complaint Over U.S. Label Rules
(Bloomberg – Alexandre Deslongchamps)
Canada would resume its World Trade Organization complaint against U.S. labeling rules for meat and fresh produce if U.S. President Barack Obama decides to change them, Canadian Agriculture Minister Gerry Ritz said today [Tuesday].
The country-of-origin labeling law went into effect on an interim basis on September 30. It requires food sold in the U.S. to carry markers showing where it was produced. Obama has ordered a review of the rules before they become permanent, which had been scheduled for mid-March.
“Should the Obama administration continue on with protectionism, we will then re-ignite our WTO challenge,” Ritz said from Amman, Jordan in a telephone call with reporters.
The U.S. imposed its first country-of-origin labeling rules amid public concern about unsafe imports. Canada launched its original complaint when the rules where announced, but put it on hold after they were changed to Canada’s satisfaction.
Statistics Canada said today the U.S. labeling rules generated uncertainty about demand for Canadian meat that contributed to reducing the country’s cattle herd last year. The cattle and calf herd shrank 5.1% to 13.2 million head from 13.9 million, according to the agency. Canada is the largest foreign supplier of pork and beef to the U.S., government data show.
Canada would resume its World Trade Organization complaint against U.S. labeling rules for meat and fresh produce if U.S. President Barack Obama decides to change them, Canadian Agriculture Minister Gerry Ritz said today [Tuesday].
The country-of-origin labeling law went into effect on an interim basis on September 30. It requires food sold in the U.S. to carry markers showing where it was produced. Obama has ordered a review of the rules before they become permanent, which had been scheduled for mid-March.
“Should the Obama administration continue on with protectionism, we will then re-ignite our WTO challenge,” Ritz said from Amman, Jordan in a telephone call with reporters.
The U.S. imposed its first country-of-origin labeling rules amid public concern about unsafe imports. Canada launched its original complaint when the rules where announced, but put it on hold after they were changed to Canada’s satisfaction.
Statistics Canada said today the U.S. labeling rules generated uncertainty about demand for Canadian meat that contributed to reducing the country’s cattle herd last year. The cattle and calf herd shrank 5.1% to 13.2 million head from 13.9 million, according to the agency. Canada is the largest foreign supplier of pork and beef to the U.S., government data show.
The Border is a Long Row to Hoe – Editorial
(Globe & Mail)
Canada will have to be constantly lobbying to limit the protectionist damage from the ambiguous U.S. stimulus bill that President Barack Obama is signing today in Denver. His meeting with Prime Minister Stephen Harper in Ottawa on Thursday needs to at least get this process off to a good start.
As it emerged from the House of Representatives, the bill favoured U.S.-made iron and steel; the Senate version favoured, more sweepingly, U.S. manufactured goods. The final Buy American clause combines the specific and the general, to protect “iron, steel and manufactured goods.”
Worse, this applies to any “public building or public work,” a phrase which is broader than earlier drafts – and undefined.
Mercifully, consistency with the international treaty obligations of the U.S. – including NAFTA and the WTO – has now been built into the American Recovery and Reinvestment Act (the bill’s formal name), but doubts remain about whether those obligations apply to the procurement policies of states and municipalities, when state and local infrastructure projects get federal stimulus money. Such questions cannot wait for judgments in trade litigation.
Similarly, inconsistency with the public interest can be invoked to overcome the preference for U.S. products, but that presumably means the public interest of the U.S.
Another uncertainty is what rules of origin apply. This is no merely technical question; different parts of many products come from different places, and intricately entwined supply chains could be seriously disturbed if they have to be disentangled, to the detriment of both the U.S. and Canada.
Mr. Obama already has the authority under a pre-existing law to waive such preferences if they violate treaties. Moreover, the final version of the ARRA allows head of U.S. agencies to exempt types of products. One U.S. Senate staffer has offered the example of screws as a whole class, as opposed to this or that particular model of screw.This point graphically shows how persevering Canadians will need to be in persuading a host of different U.S. authorities.
Though the Ottawa meeting this week of the President and the Prime Minister may open the way for a broad exemption for Canada, Canadian governments and businesses also have to be ready for a long series of many minor battles. Wars of attrition are wearisome, but they can be won in the end.
Canada will have to be constantly lobbying to limit the protectionist damage from the ambiguous U.S. stimulus bill that President Barack Obama is signing today in Denver. His meeting with Prime Minister Stephen Harper in Ottawa on Thursday needs to at least get this process off to a good start.
As it emerged from the House of Representatives, the bill favoured U.S.-made iron and steel; the Senate version favoured, more sweepingly, U.S. manufactured goods. The final Buy American clause combines the specific and the general, to protect “iron, steel and manufactured goods.”
Worse, this applies to any “public building or public work,” a phrase which is broader than earlier drafts – and undefined.
Mercifully, consistency with the international treaty obligations of the U.S. – including NAFTA and the WTO – has now been built into the American Recovery and Reinvestment Act (the bill’s formal name), but doubts remain about whether those obligations apply to the procurement policies of states and municipalities, when state and local infrastructure projects get federal stimulus money. Such questions cannot wait for judgments in trade litigation.
Similarly, inconsistency with the public interest can be invoked to overcome the preference for U.S. products, but that presumably means the public interest of the U.S.
Another uncertainty is what rules of origin apply. This is no merely technical question; different parts of many products come from different places, and intricately entwined supply chains could be seriously disturbed if they have to be disentangled, to the detriment of both the U.S. and Canada.
Mr. Obama already has the authority under a pre-existing law to waive such preferences if they violate treaties. Moreover, the final version of the ARRA allows head of U.S. agencies to exempt types of products. One U.S. Senate staffer has offered the example of screws as a whole class, as opposed to this or that particular model of screw.This point graphically shows how persevering Canadians will need to be in persuading a host of different U.S. authorities.
Though the Ottawa meeting this week of the President and the Prime Minister may open the way for a broad exemption for Canada, Canadian governments and businesses also have to be ready for a long series of many minor battles. Wars of attrition are wearisome, but they can be won in the end.
Ont. Premier Wants Obama to Think About Canada
(Jonathan Jenkins — Sun Media)
Cars, caps and customs are all Dalton McGuinty wants to hear about when U.S. President Barack Obama visits Ottawa tomorrow.
The Ontario premier met with Prime Minister Stephen Harper yesterday and said he hopes and expects the PM to talk about the auto sector, the border and a continental cap and trade system for carbon emissions with his guest.
“I’m hoping the prime minister will raise a few issues that are a concern to Ontarians,” McGuinty said this morning.
The continuing woes of the North American automakers are an obvious topic, as Canada and Ontario want to maintain their 20% stake in the dwindling industry – and have offered $4 billion in government aid to do so.
But with most of the decisions on that file being made in Washington, it will be critical that Obama takes the Canadian position to heart.
The thickening of the Canadian border is another longstanding Ontario worry as most of the province’s goods head south.
“We need to strike the appropriate balance between a secure border and a border at the same time that permits trade, the passage of goods and people,” McGuinty said. Read more here.
Cars, caps and customs are all Dalton McGuinty wants to hear about when U.S. President Barack Obama visits Ottawa tomorrow.
The Ontario premier met with Prime Minister Stephen Harper yesterday and said he hopes and expects the PM to talk about the auto sector, the border and a continental cap and trade system for carbon emissions with his guest.
“I’m hoping the prime minister will raise a few issues that are a concern to Ontarians,” McGuinty said this morning.
The continuing woes of the North American automakers are an obvious topic, as Canada and Ontario want to maintain their 20% stake in the dwindling industry – and have offered $4 billion in government aid to do so.
But with most of the decisions on that file being made in Washington, it will be critical that Obama takes the Canadian position to heart.
The thickening of the Canadian border is another longstanding Ontario worry as most of the province’s goods head south.
“We need to strike the appropriate balance between a secure border and a border at the same time that permits trade, the passage of goods and people,” McGuinty said. Read more here.
Tuesday, February 17, 2009
Tentative Deal Averts Strike at B.C. Ports
(CBC News)
About 450 B.C. dock workers have reached a tentative deal with an association representing about 67 port employers, averting a potentially crippling strike at the ports in Vancouver and Prince Rupert.
Local 514 of the International Longshore Warehouse Union reached a tentative agreement Friday with the British Columbia Maritime Employers Association, but the details won’t be released until members on both sides have time to see the deal.
If both sides approve it, the deal would avert a strike that would threaten to halt cargo traffic through B.C. There have been fears that as many as 5,000 other workers involved in port operations would walk off the job to show their support if the union went on strike.
Local 514 workers have been without a contract since March 2007, and had set a strike date of January 2, but continued to work while negotiations were underway.
The main issues on the table were reportedly pension payments and working conditions.
About 450 B.C. dock workers have reached a tentative deal with an association representing about 67 port employers, averting a potentially crippling strike at the ports in Vancouver and Prince Rupert.
Local 514 of the International Longshore Warehouse Union reached a tentative agreement Friday with the British Columbia Maritime Employers Association, but the details won’t be released until members on both sides have time to see the deal.
If both sides approve it, the deal would avert a strike that would threaten to halt cargo traffic through B.C. There have been fears that as many as 5,000 other workers involved in port operations would walk off the job to show their support if the union went on strike.
Local 514 workers have been without a contract since March 2007, and had set a strike date of January 2, but continued to work while negotiations were underway.
The main issues on the table were reportedly pension payments and working conditions.
Clement in India to Boost Trade, Tourism Ties
(Canwest News Service – Meagan Fitzpatrick)
Canada is wide open for business and is still a wise place to invest despite its weakened economy, federal Industry Minister Tony Clement is telling government officials and business leaders in India this week.
Clement arrived in India on Saturday for a six-day visit to New Delhi and Mumbai, and during a teleconference with reporters Monday he said his two primary objectives there are to encourage more foreign direct investment by Indian businesses in Canada, and to tap into the growing tourist market in India and convince vacationers to pick Canada as a destination.
During the last two days he met with ministers from the Indian government, held a round table with tour company operators to get feedback on how to market Canada, and met with a group of young professionals and entrepreneurs.
“The message was the same: that Canada is open for business, that we have withstood the economic turmoil relatively well, as compared to other G7 and OECD countries, our bank system is one of the few bank systems that hasn’t needed a bailout, for instance, and that we are positioned to get out of the contraction as quickly as possible and then start to grow again,” said Clement.
The industry minister said he told those he met with that Canada’s corporate tax structure and changes being made to the Investment Canada Act, the legislation that regulates investments made by non-Canadians in businesses in Canada, should make Canada an attractive location for Indian companies to grow.
Clement said Canada is signalling “our steps away from the protectionist ill-winds that are blowing.” He and his counterparts did discuss efforts by the United States Congress to include protectionist-type measures in that country’s economic stimulus package, Clement said, and they “came to the conclusion that Canada and India are on the same side” and that “protectionism had to be resisted.” Read more here.
Canada is wide open for business and is still a wise place to invest despite its weakened economy, federal Industry Minister Tony Clement is telling government officials and business leaders in India this week.
Clement arrived in India on Saturday for a six-day visit to New Delhi and Mumbai, and during a teleconference with reporters Monday he said his two primary objectives there are to encourage more foreign direct investment by Indian businesses in Canada, and to tap into the growing tourist market in India and convince vacationers to pick Canada as a destination.
During the last two days he met with ministers from the Indian government, held a round table with tour company operators to get feedback on how to market Canada, and met with a group of young professionals and entrepreneurs.
“The message was the same: that Canada is open for business, that we have withstood the economic turmoil relatively well, as compared to other G7 and OECD countries, our bank system is one of the few bank systems that hasn’t needed a bailout, for instance, and that we are positioned to get out of the contraction as quickly as possible and then start to grow again,” said Clement.
The industry minister said he told those he met with that Canada’s corporate tax structure and changes being made to the Investment Canada Act, the legislation that regulates investments made by non-Canadians in businesses in Canada, should make Canada an attractive location for Indian companies to grow.
Clement said Canada is signalling “our steps away from the protectionist ill-winds that are blowing.” He and his counterparts did discuss efforts by the United States Congress to include protectionist-type measures in that country’s economic stimulus package, Clement said, and they “came to the conclusion that Canada and India are on the same side” and that “protectionism had to be resisted.” Read more here.
Revised CBSA D-Memos
(CBSA)
D19-7-3
Revised: Importation and Exportation of Hazardous Waste and Hazardous Recyclable Material
This memorandum has been updated to reflect the Export and Import of Hazardous Waste and Hazardous Recyclable Material Regulations and outlines procedures for the importation, exportation and transits of hazardous waste and hazardous recyclable material.
Authorized carriers of hazardous waste and hazardous recyclable material are now responsible for providing the Canada Border Services Agency (CBSA) with photocopies of the movement document and permit. These documents are to be provided to the CBSA when the export, import or transit of the hazardous waste or hazardous recyclable material shipments is required to be reported under the Customs Act.
Download here (PDF)
D10-14-27
Revised: Tariff Classification of Front-Mount Mowers
Memorandum 10-14-25 has been republished to reflect changes to the Harmonized System and thus to the Customs Tariff. There are no policy changes.
Download here (PDF)
D19-7-3
Revised: Importation and Exportation of Hazardous Waste and Hazardous Recyclable Material
This memorandum has been updated to reflect the Export and Import of Hazardous Waste and Hazardous Recyclable Material Regulations and outlines procedures for the importation, exportation and transits of hazardous waste and hazardous recyclable material.
Authorized carriers of hazardous waste and hazardous recyclable material are now responsible for providing the Canada Border Services Agency (CBSA) with photocopies of the movement document and permit. These documents are to be provided to the CBSA when the export, import or transit of the hazardous waste or hazardous recyclable material shipments is required to be reported under the Customs Act.
Download here (PDF)
D10-14-27
Revised: Tariff Classification of Front-Mount Mowers
Memorandum 10-14-25 has been republished to reflect changes to the Harmonized System and thus to the Customs Tariff. There are no policy changes.
Download here (PDF)
All Eyes on U.S Plan as Canadian Deadline Looms
(Karen Howlett — Globe & Mail)
General Motors Corp. and Chrysler LLC are just three days away from having to submit a plan to Canadian governments, outlining how they are going to make their operations in this country viable.
But as the clock ticks down, both the companies and their unionized workers are saying little about what steps they are prepared to take, making it impossible at this stage for GM and Chrysler to talk about production guarantees for Canada, Ontario Economic Development Minister Michael Bryant said in an interview yesterday.
“Understandably, not all the parties have laid down all their cards,” he said. “This is nothing more nothing less than an important negotiation, which involves a certain amount of manoeuvring on all sides.”
Mr. Bryant said the companies should reveal some hint about the fate of their Canadian operations today, when they submit a plan to the U.S. government outlining how they are going to slash costs and trim debt to make themselves viable. The deadline for presenting a plan to Canadian governments is Friday.
In the U.S. restructuring plans, the companies are supposed to discuss their global operations as well, Mr. Bryant said.
“I would anticipate that there would be some information about their non-U.S. operations.”
But the big question is whether embattled GM can restructure its operations without sliding into bankruptcy protection. The Wall Street Journal reported this weekend that the auto maker will offer a restructuring plan to the U.S. government that includes Chapter 11 bankruptcy protection as one of its options. Read more here.
General Motors Corp. and Chrysler LLC are just three days away from having to submit a plan to Canadian governments, outlining how they are going to make their operations in this country viable.
But as the clock ticks down, both the companies and their unionized workers are saying little about what steps they are prepared to take, making it impossible at this stage for GM and Chrysler to talk about production guarantees for Canada, Ontario Economic Development Minister Michael Bryant said in an interview yesterday.
“Understandably, not all the parties have laid down all their cards,” he said. “This is nothing more nothing less than an important negotiation, which involves a certain amount of manoeuvring on all sides.”
Mr. Bryant said the companies should reveal some hint about the fate of their Canadian operations today, when they submit a plan to the U.S. government outlining how they are going to slash costs and trim debt to make themselves viable. The deadline for presenting a plan to Canadian governments is Friday.
In the U.S. restructuring plans, the companies are supposed to discuss their global operations as well, Mr. Bryant said.
“I would anticipate that there would be some information about their non-U.S. operations.”
But the big question is whether embattled GM can restructure its operations without sliding into bankruptcy protection. The Wall Street Journal reported this weekend that the auto maker will offer a restructuring plan to the U.S. government that includes Chapter 11 bankruptcy protection as one of its options. Read more here.
Harper Must Sell Canada’s Importance to U.S. Economy: Experts
(The Canadian Press)
Prime Minister Stephen Harper has one crucial mission when he meets Barack Obama for the first time Thursday - convince him that America’s economic future is irrevocably linked with Canada’s.
With the U.S. heading toward the worst slump since the Great Depression, the rookie president is under intense domestic pressure to put America first, as the recent inclusion of protectionist language in the US$800-billion stimulus package attests.
Business leaders and economists say it’s essential that Harper impress on Obama the importance of maintaining open borders and liberalized trade between the two countries, particularly during the current economic crisis.
“It would be marvellous if there were a joint declaration by both Obama and Harper saying they resolutely reject protectionism,” said Thomas d’Aquino, head of the association representing Canada’s largest corporations.
“It’s not only good for Canada and the U.S., it would be a signal to the world that the two countries that are most heavily inter-dependent on trade feel strongly on this.” Read more here.
Prime Minister Stephen Harper has one crucial mission when he meets Barack Obama for the first time Thursday - convince him that America’s economic future is irrevocably linked with Canada’s.
With the U.S. heading toward the worst slump since the Great Depression, the rookie president is under intense domestic pressure to put America first, as the recent inclusion of protectionist language in the US$800-billion stimulus package attests.
Business leaders and economists say it’s essential that Harper impress on Obama the importance of maintaining open borders and liberalized trade between the two countries, particularly during the current economic crisis.
“It would be marvellous if there were a joint declaration by both Obama and Harper saying they resolutely reject protectionism,” said Thomas d’Aquino, head of the association representing Canada’s largest corporations.
“It’s not only good for Canada and the U.S., it would be a signal to the world that the two countries that are most heavily inter-dependent on trade feel strongly on this.” Read more here.
Monday, February 16, 2009
Canada Incurs Record $14 Billion Automotive Trade Deficit in 2008, Now in Deficit within North America, CAW Reports
(CAW via CNW Group)
Data newly released from Statistics Canada confirms that Canada experienced its worst-ever year in international trade in automotive products in 2008, according to an analysis from the Canadian Auto Workers union.
Canada’s automotive trade deficit more than doubled last year, to almost $14 billion - an all-time record. The 2007 deficit was $6.6 billion. Canada’s exports of finished vehicles declined dramatically (by almost one quarter) as a result of the financial crisis and resulting collapse of U.S. auto sales.
Imports of auto parts (which are used in Canadian auto factories) also declined. But imports of finished vehicles from offshore grew again (for the fifth straight year), despite the economic crisis.
The aggregate data reveal several worrying trends. For the first time in decades Canada experienced a net auto trade deficit within North America.
Canada’s traditional auto trade surplus with the U.S. plunged to just $4 billion (barely one-fifth the level of three years ago). That surplus with the U.S. no longer offsets Canada’s long-standing auto trade deficit with Mexico (which equaled $4.5 billion last year), leaving a small combined deficit for the NAFTA region as a whole.
Read more here. A detailed table summarizing the 2008 auto trade data is available here.
Data newly released from Statistics Canada confirms that Canada experienced its worst-ever year in international trade in automotive products in 2008, according to an analysis from the Canadian Auto Workers union.
Canada’s automotive trade deficit more than doubled last year, to almost $14 billion - an all-time record. The 2007 deficit was $6.6 billion. Canada’s exports of finished vehicles declined dramatically (by almost one quarter) as a result of the financial crisis and resulting collapse of U.S. auto sales.
Imports of auto parts (which are used in Canadian auto factories) also declined. But imports of finished vehicles from offshore grew again (for the fifth straight year), despite the economic crisis.
The aggregate data reveal several worrying trends. For the first time in decades Canada experienced a net auto trade deficit within North America.
Canada’s traditional auto trade surplus with the U.S. plunged to just $4 billion (barely one-fifth the level of three years ago). That surplus with the U.S. no longer offsets Canada’s long-standing auto trade deficit with Mexico (which equaled $4.5 billion last year), leaving a small combined deficit for the NAFTA region as a whole.
Read more here. A detailed table summarizing the 2008 auto trade data is available here.
December Manufacturing Sales Plummet
(David Ljunggren — Reuters/Globe & Mail)
The value of Canadian manufacturing shipments plummeted a record 8.0 per cent in December from November in yet another stark sign of how the global crisis is battering Canada.
The drop – the fifth consecutive month-on-month decrease – was far steeper than the 5.3 per cent fall predicted by analysts and was the worst since Statistics Canada adopted its current method of calculating the data in January 1992.
Statscan released the data Monday and slightly revised November's month-on-month fall to 6.2 per cent from an initial plunge of 6.4 per cent.
Recent Canadian economic numbers have been little short of calamitous. Job losses in January were the biggest on record while sales of previously owned homes last month were 41 per cent down from a year earlier.
As if that were not bad enough, Canada posted its first trade deficit in almost 33 years in December.
Finance Minister Jim Flaherty told Reuters in Rome on Saturday that “I expect the numbers of all kinds to continue getting worse month after month this year.” Read more here.
The value of Canadian manufacturing shipments plummeted a record 8.0 per cent in December from November in yet another stark sign of how the global crisis is battering Canada.
The drop – the fifth consecutive month-on-month decrease – was far steeper than the 5.3 per cent fall predicted by analysts and was the worst since Statistics Canada adopted its current method of calculating the data in January 1992.
Statscan released the data Monday and slightly revised November's month-on-month fall to 6.2 per cent from an initial plunge of 6.4 per cent.
Recent Canadian economic numbers have been little short of calamitous. Job losses in January were the biggest on record while sales of previously owned homes last month were 41 per cent down from a year earlier.
As if that were not bad enough, Canada posted its first trade deficit in almost 33 years in December.
Finance Minister Jim Flaherty told Reuters in Rome on Saturday that “I expect the numbers of all kinds to continue getting worse month after month this year.” Read more here.
U.S. Set to Launch Unmanned Aerial Drones to Monitor Manitoba Border
(CBC News)
The first unmanned surveillance airplanes will start patrolling the Manitoba portion of Canada's border with the U.S. after a ceremonial launch Monday, officials say.
Based at a military facility in Grand Forks, N.D., the $10-million Predator drone aircraft are equipped with sensors capable of detecting a moving person from 10 kilometres away.
They will gather information as they fly along the 400-kilometre border and then transmit it back to operators who will in turn contact border agents. The drones will not carry weapons, such as missiles or laser-guided bombs, and will need permission to fly in Canadian airspace.
Manitoba has 12 official border crossings — only two are open 24 hours a day. Much of the land in between the crossings is either swampland, lakes or farmers' fields.
RCMP Staff Sgt. Ron Obodzinski said the new surveillance planes will be a big help in the fight against the smuggling of drugs, alcohol and people.
“The program is going to enhance our relationship between our American partners and the Canadian agencies,” he said. Read more here.
The first unmanned surveillance airplanes will start patrolling the Manitoba portion of Canada's border with the U.S. after a ceremonial launch Monday, officials say.
Based at a military facility in Grand Forks, N.D., the $10-million Predator drone aircraft are equipped with sensors capable of detecting a moving person from 10 kilometres away.
They will gather information as they fly along the 400-kilometre border and then transmit it back to operators who will in turn contact border agents. The drones will not carry weapons, such as missiles or laser-guided bombs, and will need permission to fly in Canadian airspace.
Manitoba has 12 official border crossings — only two are open 24 hours a day. Much of the land in between the crossings is either swampland, lakes or farmers' fields.
RCMP Staff Sgt. Ron Obodzinski said the new surveillance planes will be a big help in the fight against the smuggling of drugs, alcohol and people.
“The program is going to enhance our relationship between our American partners and the Canadian agencies,” he said. Read more here.
Subscribe to:
Posts (Atom)
