National Post (National Edition)
Canada to pursue ‘collaborative’ U.S. ties
OTTAWA • Canada’s finance minister says the federal government will work in a “collaborative” manner with the incoming U.S. administration, which has pledged to scrap or heavily amend the North American free-trade agreement.
Finance Minister Bill Morneau said Tuesday the Liberals “look forward to working with the new administration in the United States.”
“Our goal, of course, is to work on the behalf of Canadians to present the issues that are important to us in our discussions with all of our international partners,” Morneau told a gathering of the Federation of Canadian Municipalities in Ottawa.
“And that’s something we will continue to do.”
The Nov. 8 election of controversial candidate Donald Trump has thrown into question the continued existence of the 22-year-old NAFTA, or what shape a new trade agreement would take under the president-elect.
Trump also campaigned on a promise to pull out of the 12-nation Trans-Pacific Partnership, of which Canada, the U.S. and Mexico are partners.
TPP was agreed to early this year, but still requires ratification by signatories to the pact, which was expected to expand bilateral trade with many key Asian markets — including Japan, Indonesia, Malaysia and Singapore.
Trump has rejected ratification of TPP, says it would not benefit the United States. As for NAFTA, the president-elect had threatened to exclude Mexico and has called for a major rewriting of U.S.-Canada trade rules. However, he is expected to soften his objections to NAFTA once he comes to office on Jan. 20.
Prime Minister Justin Trudeau has said he is open to talks with the U.S. about the future of NATFA, and has already met with the president of Mexico to discuss the issue.
“That is something that is not only the prime minister’s point of view but all of us around the cabinet table,” Morneau said.
That has already proved to be a contentious issue for all three countries, given that Trump has declared NAFTA the “worst trade deal ever” and wants to impose large tariffs on Mexican automobiles assembled in Mexico, where costs are much cheaper than in the U.S. and Canada.
During the U.S. presidential campaign, Trump warned he would build a wall along the U.S.-Mexico border.
Any thoughts of trade disputes are a major concern for Canadian cities and municipalities, which depend on sales and — in particular — trade with our southern neighbours.
NOT ONLY THE PRIME MINISTER’S POINT OF VIEW BUT ALL OF US.