Bank president says USMCA trade deal not all bad news
Securing a new USMCA deal should spell good economic news for business owners in Windsor and Essex County over the next few years, according to a national banking executive.
“There is a sense of relief because there was so much uncertainty and tension,” said Michael Denham, CEO of Business Development Bank of Canada, which includes 56,000 clients across the country. “It made it difficult for our clients to plan and invest.”
He said he believes there is “encouraging content” within the North American trade agreement around labour, which should be beneficial for local companies and their employees.
“Auto parts companies should see growth over time with a new feeling of certainty and stable planning,” said Denham, who was in the city Friday to mark the 55th anniversary of the bank in Windsor.
But some hurdles to area companies remain, notably around steel and aluminum tariffs that remain in place and which have “been a real burden,” he said. Another concern is access to sufficient qualified labour for many local companies, especially within this region in the areas of skilled trades.
Denham said he believes some companies should now choose to invest further in automation to help offset some labour shortages. “It’s an issue across the country,” Denham said. “It’s all forms of labour from manual to skilled jobs. “We have also encouraged our clients to be proactive with new sources of talent, possibly look toward new immigrants coming to Canada.”
Given the political uncertainty in the United States, now should also be a time for local companies — despite being on the U.S. border — to better diversify geographically, he said. “The more diversified a business, the less dependent they will be on one (market) for stability,” Denham said.