Importance of cross-border trade outlined to US business people

The result of Tuesday’s US presidential election could have a significant impact on trade relations with Canada, which amounted to a staggering $3.6 billion worth of goods and services crossing the border daily last year, if a protectionist stance is adopted.

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Chatham-Kent Chamber of Commerce president and CEO Rory Ring, who is one of the Canadian members of the Association of Chamber of Commerce Executives (ACCE), was present when a message on the scope of the Canada-US trade partnership was delivered to American business people by Canadian Ambassador to the United States, Kristen Hillman, during recent meeting in Alexandria, Va.

His colleague on the ACCE, Keitha Robson, chief administrator of the Timmins Chamber of Commerce, asked association members to make time for the ambassador to speak on trade, Ring said.

Presidential candidate Donald Trump is on record declaring he favors a “universal tariff” of between 10 to 20 per cent on most, if not all, foreign imports into the US

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“The message was being presented to (US business people) to gain understanding about where our partnerships are in creating prosperity,” Ring said.

“What we find is, if you have this conversation with Main Street, USA, they have no idea about what the potential impacts can be of a protectionist policy position (by the US),” he said.

Ring said the ACCE has more than 9,000 leaders from 1,300 chambers of commerce, representing more than 1.2 million businesses “so that’s why it was very important for the ambassador to be delivering that message to my colleagues in the US”

He said the southern US may see Canada as shipping a lot of oil and gas to their country, but the reality is that a lot of food products, especially from Chatham-Kent, along with technology, and other goods and services come from Canada.

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Ring said tariffs could particularly have tremendous impact on auto manufacturing component, which on average travel seven to nine times back and forth across the Canada-US border.

“In each instance, there’s value added to that so the reality is, every time it crosses, you’re going to be adding on a tariff.”

When asked how the ambassador’s message resonated with US business people, Ring said, “I think a lot of it was an opening of the eyes. . . kind of ‘I would have never known this unless we had this conversation.’”

He said the chamber does a lot of advocacy work on how to shape and form policy.

“How do you then get your (US) members to say, ‘We need to be talking differently about trade policy with Canada,’” Ring said.

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Noting it is important for Americans to realize its fight is not with Canada, but rather China, when it comes to tariffs, Ring said there needs to be an effort for Canada to get “favoured-nation status when we’re talking trade policy, because we are so intertwined together.”

Key areas the ambassador emphasized when addressing the ACCE, included:

• The Canada-US trade relationship stands as the world’s most comprehensive, with nearly $3.6 billion worth of goods and services crossing the border daily in 2023, supporting millions of jobs in both countries, underscoring the interdependence of our economies.
• Deep integration of Canadian and American supply chains, particularly in sectors like automotive manufacturing. Products often cross the border multiple times during production, showing the seamless nature of the economic partnership.
• Strategic significance of the bilateral relationship, which extends beyond trade to encompass shared values, security interests, and collaboration on global challenges.
• The Canada-United States-Mexico Agreement (CUSMA) is a cornerstone of the trade relationship, providing a framework for continued economic growth and cooperation. The upcoming 2026 CUSMA review is an opportunity to further strengthen ties.
• There is a need for both nations to adapt to changing global dynamics, including the rise of protectionist sentiments and ongoing trade tensions with China.

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