• Education
    • Higher Education
    • Scholarships & Grants
    • Online Learning
    • School Reforms
    • Research & Innovation
  • Lifestyle
    • Travel
    • Food & Drink
    • Fashion & Beauty
    • Home & Living
    • Relationships & Family
  • Technology & Startups
    • Software & Apps
    • Startup Success Stories
    • Startups & Innovations
    • Tech Regulations
    • Venture Capital
    • Artificial Intelligence
    • Cybersecurity
    • Emerging Technologies
    • Gadgets & Devices
    • Industry Analysis
  • About us
  • Contact
  • Advertise with Us
  • Privacy & Policy
Today Headline
  • Home
  • World News
    • Us & Canada
    • Europe
    • Asia
    • Africa
    • Middle East
  • Politics
    • Elections
    • Political Parties
    • Government Policies
    • International Relations
    • Legislative News
  • Business & Finance
    • Market Trends
    • Stock Market
    • Entrepreneurship
    • Corporate News
    • Economic Policies
  • Science & Environment
    • Space Exploration
    • Climate Change
    • Wildlife & Conservation
    • Environmental Policies
    • Medical Research
  • Health
    • Public Health
    • Mental Health
    • Medical Breakthroughs
    • Fitness & Nutrition
    • Pandemic Updates
  • Sports
    • Football
    • Basketball
    • Tennis
    • Olympics
    • Motorsport
  • Entertainment
    • Movies
    • Music
    • TV & Streaming
    • Celebrity News
    • Awards & Festivals
  • Crime & Justice
    • Court Cases
    • Cybercrime
    • Policing
    • Criminal Investigations
    • Legal Reforms
No Result
View All Result
  • Home
  • World News
    • Us & Canada
    • Europe
    • Asia
    • Africa
    • Middle East
  • Politics
    • Elections
    • Political Parties
    • Government Policies
    • International Relations
    • Legislative News
  • Business & Finance
    • Market Trends
    • Stock Market
    • Entrepreneurship
    • Corporate News
    • Economic Policies
  • Science & Environment
    • Space Exploration
    • Climate Change
    • Wildlife & Conservation
    • Environmental Policies
    • Medical Research
  • Health
    • Public Health
    • Mental Health
    • Medical Breakthroughs
    • Fitness & Nutrition
    • Pandemic Updates
  • Sports
    • Football
    • Basketball
    • Tennis
    • Olympics
    • Motorsport
  • Entertainment
    • Movies
    • Music
    • TV & Streaming
    • Celebrity News
    • Awards & Festivals
  • Crime & Justice
    • Court Cases
    • Cybercrime
    • Policing
    • Criminal Investigations
    • Legal Reforms
No Result
View All Result
Today Headline
No Result
View All Result
Home World News Us & Canada

Could tearing down interprovincial trade walls help blunt Trump’s tariffs? – National

January 17, 2025
in Us & Canada
Reading Time: 6 mins read
A A
0
Could tearing down interprovincial trade walls help blunt Trump’s tariffs? - National
2
SHARES
4
VIEWS
Share on FacebookShare on Twitter


Canada’s business community is looking anxiously south of the border as Donald Trump gets ready to take the oath as U.S. president for the second time — and urging governments to get serious about mitigating the impacts by trading more between provinces.

Trump has threatened to impose 25 per cent tariffs on Canadian goods coming into the U.S., with a government source familiar with Ottawa’s plans telling Global News on Friday that if the U.S. acts, Prime Minister Justin Trudeau will announce a rapid consultation period – possibly two weeks – on a first round of tariffs that would cover approximately $37-billion of U.S. imports, with implementation to follow immediately after.

These would be the least painful counter-tariffs, the source said, because they would cause the least economic damage to Canadians.

Depending on how hefty initial U.S. tariffs on Canada are, Trudeau may also announce consultations on tariffs covering another $110 billion or so of American goods, the source said.

Story continues below advertisement

The economic crisis that Trump’s tariffs would cause has some experts calling on Ottawa to tear down barriers that make it hard for one Canadian province to trade with another.

Fen Osler Hampson, co-chair of the Expert Group on Canada-US Relations at Carleton University, said Canada’s provinces have a chance to turn crisis into opportunity. He said one way of doing that would be to remove barriers that hinder interprovincial trade.

While the volume of trade between Canada and the United States is worth over $960 billion, Hampson said eliminating some trade barriers might offset some of the impacts of Trump’s tariffs.


“They’re saying comprehensive tariffs could reduce Canadian GDP anywhere from two per cent to four per cent,” he said.

“If we completely eliminated the barriers to interprovincial trade, that would boost Canada’s GDP anywhere from four to seven per cent. So, it would be quite substantial.”

The 2024 fall economic statement noted this data too, citing IMF numbers.

The budget document said, “According to a study by the International Monetary Fund, Canada could increase its GDP per capita by as much as 4 per cent—or $2,900 per capita estimated in 2023 dollars through liberalization of internal trade in goods.”

Speaking to reporters in Washington, D.C., Foreign Affairs Minister Melanie Joly said removing trade barriers was going to be part of Canada’s response to Trump’s threat.

Story continues below advertisement

“[We are] working on our long-term response, which is basically diversifying our markets and also making sure that there are no trade barriers between provinces and territories across the country,” she said.

2:04
Business Matters: U.S. tariffs could be the catalyst to bolster Canada’s food supply chains


Which barriers could come down?

A spokesperson for the Canadian Chamber of Commerce said easing barriers would help protect Canada from Trump’s tariff impacts.

Story continues below advertisement

“Every year, Canada loses more to barriers between provinces than we would from Trump’s 25% tariff,” Rewa Mourad said in a statement sent to Global News.

Get breaking National news

For news impacting Canada and around the world, sign up for breaking news alerts delivered directly to you when they happen.

“It’s time to reclaim our story: let’s break down those walls and unlock Canada’s full potential. The GDP lift over time could be significant and will better protect us from impacts of US tariffs.”

Dennis Darby, president and CEO of Canadian Exporters and Manufacturers, said the barriers to trade between provinces “are not about dollars.”

“They’re about regulations and rules and requirements,” he said.

“Often there are regulatory requirements at a local, provincial and federal level to get a new project [off the ground]. That delays investment and to a degree discourages investment [in Canada].”

Darby said different rules around trucking, for example, discourage Canadian manufacturers from shipping products to other parts of the country.

“In some provinces they allow double tandem trailers, others don’t. Some have restrictions on weight, other ones don’t. You imagine trying to ship things across Canada where you have different rules by each province that discourages that trade,” he said.

Story continues below advertisement

“It’s easier to move a truck to the U.S. sometimes than from Atlantic Canada to Ontario.”

Hampson said Canadian provinces also have asymmetrical labour regulations on who can work in which province.

“If you’re a tradesman in Ontario, let’s say you’re living in Ottawa. You cannot go and market your skills on the other side of the Ottawa River [in Quebec],” he said, “although Ontario does allow Quebecers to cross the river and work on the other side so they’re not always symmetrical restrictions.”

He said this also extends to licensed professionals such as doctors and lawyers.

“If you’re proficient in a particular trade and have met a certain standard in one province, then that should count [in another province],” Darby added.

Trending Now

  • ‘Canada Not For Sale’ hats: Ontario business struggles to keep up with demand

  • Most Canadians don’t want to be American, unless it comes with perks: poll

Story continues below advertisement

Matt Poirier, vice-president of the Retail Council of Canada, said the country’s retail sector has felt the pinch of inconsistent transport policy and stoppages at Canada’s ports and railways and with the Canada Post strike over recent years.

“We need to have a smooth-moving transportation system so that our supply chains keep moving and keep efficient,” he said.

5:14
Mélanie Joly warns of ‘biggest trade war between Canada and U.S.’ amid Trump tariff threats


Why is it hard to break barriers?

Hampson said some provinces have long been reluctant to break down trade barriers because they want to protect their businesses.

Story continues below advertisement

“One of the reasons why those protections are in place is because some firms and some producers are not competitive,” he said, adding that removing some barriers might mean some businesses could need provincial assistance.

However, he said removing these barriers could also mean businesses across Canada become more competitive and more productive.

Poirier said there is also a lot of provincial revenue tied to some trade barriers. For this to work, Poirier said governments would either have to compensate each other for the loss in revenue or decide that the benefits outweigh the costs.

“I don’t think we’re there yet,” he said.

2:09
Trudeau launches Canada-U.S. relations council, as Smith goes rogue on Trump tariff response


He said this will also require a great degree of co-operation between provinces.

However, Hampson said the trade crisis with the U.S. could push provincial governments to act. And the revenue they gain could offset some of their fears.

Story continues below advertisement

“The boost to GDP [from removing barriers] would put, by some estimates, $15 billion or more into the coffers of the federal government and the provinces,” he said.

Darby said the benefits of easing some restrictions would be immense.

“It’s high time Canada really has a free trade agreement across the country, just like we’ve had a free trade agreement [with the United States],” he said.

— with a file from Global’s Mercedes Stephenson





Source link

Previous Post

UN chief: UNIFIL found 100 Hezbollah arms caches in south Lebanon since truce began

Next Post

More than 230,000 displaced in DRC since start of the year, UN says

Related Posts

Multiple immigration sweeps reported across L.A.: 'They're everywhere'

Multiple immigration sweeps reported across L.A.: ‘They’re everywhere’

June 6, 2025
5
Fugitive ex-Olympian Ryan Wedding's drug ring still active in Canada, RCMP says

Fugitive ex-Olympian Ryan Wedding’s drug ring still active in Canada, RCMP says

June 6, 2025
4
Next Post
More than 230,000 displaced in DRC since start of the year, UN says

More than 230,000 displaced in DRC since start of the year, UN says

  • Trending
  • Comments
  • Latest
Family calls for change after B.C. nurse dies by suicide after attacks on the job

Family calls for change after B.C. nurse dies by suicide after attacks on the job

April 2, 2025
Pioneering 3D printing project shares successes

Product reduces TPH levels to non-hazardous status

November 27, 2024

Hospital Mergers Fail to Deliver Better Care or Lower Costs, Study Finds todayheadline

December 31, 2024

Police ID man who died after Corso Italia fight

December 23, 2024
Harris tells supporters 'never give up' and urges peaceful transfer of power

Harris tells supporters ‘never give up’ and urges peaceful transfer of power

0
Des Moines Man Accused Of Shooting Ex-Girlfriend's Mother

Des Moines Man Accused Of Shooting Ex-Girlfriend’s Mother

0

Trump ‘looks forward’ to White House meeting with Biden

0
Catholic voters were critical to Donald Trump’s blowout victory: ‘Harris snubbed us’

Catholic voters were critical to Donald Trump’s blowout victory: ‘Harris snubbed us’

0

Sinner tops Djokovic, advances to French Open final todayheadline

June 6, 2025
Two months after CoreWeave’s IPO fizzled, the AI company has surged 250% and left doubters baffled

Two months after CoreWeave’s IPO fizzled, the AI company has surged 250% and left doubters baffled todayheadline

June 6, 2025

centrus energy announces executive changes with new acting general counsel todayheadline

June 6, 2025
ET logo

healthy weight loss tips for women: Woman over 50 drops 110 pounds post-menopause and swears by one simple tip every midlife woman should know todayheadline

June 6, 2025

Recent News

Sinner tops Djokovic, advances to French Open final todayheadline

June 6, 2025
4
Two months after CoreWeave’s IPO fizzled, the AI company has surged 250% and left doubters baffled

Two months after CoreWeave’s IPO fizzled, the AI company has surged 250% and left doubters baffled todayheadline

June 6, 2025
5

centrus energy announces executive changes with new acting general counsel todayheadline

June 6, 2025
5
ET logo

healthy weight loss tips for women: Woman over 50 drops 110 pounds post-menopause and swears by one simple tip every midlife woman should know todayheadline

June 6, 2025
4

TodayHeadline is a dynamic news website dedicated to delivering up-to-date and comprehensive news coverage from around the globe.

Follow Us

Browse by Category

  • Africa
  • Asia
  • Basketball
  • Business & Finance
  • Climate Change
  • Crime & Justice
  • Cybersecurity
  • Economic Policies
  • Elections
  • Entertainment
  • Entrepreneurship
  • Environmental Policies
  • Europe
  • Football
  • Gadgets & Devices
  • Health
  • Medical Research
  • Mental Health
  • Middle East
  • Motorsport
  • Olympics
  • Politics
  • Public Health
  • Relationships & Family
  • Science & Environment
  • Software & Apps
  • Space Exploration
  • Sports
  • Stock Market
  • Technology & Startups
  • Tennis
  • Travel
  • Uncategorized
  • Us & Canada
  • Wildlife & Conservation
  • World News

Recent News

Sinner tops Djokovic, advances to French Open final todayheadline

June 6, 2025
Two months after CoreWeave’s IPO fizzled, the AI company has surged 250% and left doubters baffled

Two months after CoreWeave’s IPO fizzled, the AI company has surged 250% and left doubters baffled todayheadline

June 6, 2025
  • Education
  • Lifestyle
  • Technology & Startups
  • About us
  • Contact
  • Advertise with Us
  • Privacy & Policy

© 2024 Todayheadline.co

Welcome Back!

OR

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Business & Finance
  • Corporate News
  • Economic Policies
  • Entrepreneurship
  • Market Trends
  • Crime & Justice
  • Court Cases
  • Criminal Investigations
  • Cybercrime
  • Legal Reforms
  • Policing
  • Education
  • Higher Education
  • Online Learning
  • Entertainment
  • Awards & Festivals
  • Celebrity News
  • Movies
  • Music
  • Health
  • Fitness & Nutrition
  • Medical Breakthroughs
  • Mental Health
  • Pandemic Updates
  • Lifestyle
  • Fashion & Beauty
  • Food & Drink
  • Home & Living
  • Politics
  • Elections
  • Government Policies
  • International Relations
  • Legislative News
  • Political Parties
  • Africa
  • Asia
  • Europe
  • Middle East
  • Artificial Intelligence
  • Cybersecurity
  • Emerging Technologies
  • Gadgets & Devices
  • Industry Analysis
  • Basketball
  • Football
  • Motorsport
  • Olympics
  • Climate Change
  • Environmental Policies
  • Medical Research
  • Science & Environment
  • Space Exploration
  • Wildlife & Conservation
  • Sports
  • Tennis
  • Technology & Startups
  • Software & Apps
  • Startup Success Stories
  • Startups & Innovations
  • Tech Regulations
  • Venture Capital
  • Uncategorized
  • World News
  • Us & Canada
  • Public Health
  • Relationships & Family
  • Travel
  • Research & Innovation
  • Scholarships & Grants
  • School Reforms
  • Stock Market
  • TV & Streaming
  • Advertise with Us
  • Privacy & Policy
  • About us
  • Contact

© 2024 Todayheadline.co