The CEO of the Canadian Trucking Alliance told a U.S. business audience this week that the trading relationship between the United States and Canada -- the world's largest trade partnership
-- is an economic boon to both countries and is worth nurturing and protecting.
"While we know that in the present circumstances security trumps trade," says David Bradley, "we have to focus on ways to enhance security at our shared border and within the supply chain without choking off the growth in trade that has occurred since NAFTA came into being 10 years ago."
Bradley pointed out that not only is one-third of Canada's GDP dependent upon trade with the U.S., but 39 states list Canada as their No. 1 foreign export market. In addition, Bradley says that the U.S.-Canada trade relationship is founded on proximity, convenience and capacity utilization -- not cheaper labor costs. "Canada is not a low-wage country like China and India. The jobs resulting from Canada-US trade stay in North America," he said.
Since most of the trade between the two countries moves by truck, it is essential, Bradley says, "that we not clog the arteries that are our border crossings and highways. We need bilateral border management systems and strategic infrastructure investment. The gains from NAFTA and its future economic promise could hit some pretty significant speed bumps."
"NAFTA is not perfect. For example, how can we talk about free trade when both countries cling to outdated and inefficient cabotage rules in truck transportation? But where would we be without NAFTA?"
Bradley was the keynote speaker for the International Trade Club of Greater Kansas City's annual NAFTA conference.