Healthy trade relationship with U.S. ‘a high priority’, Kinew says

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This article was published 08/01/2024 (706 days ago), so information in it may no longer be current.

A cross-border charm offensive to defend Manitoba’s trade interests in the U.S. ahead of November’s presidential election is in the works.

“This issue’s already on my radar and it’s high on our priority list,” Premier Wab Kinew said in a Jan. 5 interview.

Manitoba is on board with the Canadian Chamber of Commerce’s December call on Ottawa and the provinces to launch a co-ordinated campaign to protect trade relations as the American 2024 election campaign ramps up, and to guard against protectionist policies that would sideline Canada.

“It’s a high priority for us to have a really strong trade relationship with the United States,” said Kinew.

During his 2023 election bid, Kinew said he’d appoint former Manitoba premier and Canadian ambassador Gary Doer as U.S. trade adviser, if the NDP formed government. The NDP won a majority Oct. 3.

“He’s giving us a lot of high-quality advice,” Kinew said of Doer’s voluntary role. “As we formalize our plan and start to put the specific dates and contours around this charm offensive, then we’ll definitely be sharing that information with the public.”

Winnipeg Chamber of Commerce president and chief executive officer Loren Remillard said his national chamber counterparts sent a “gentle reminder” to the federal government to get a jump on promoting Canada-U.S. trade as mutually beneficial.

“It’s about maintaining and building a relationship — not waiting for someone to say, ‘I’m about to rip up a trade agreement.’ We can’t wait for that… This relationship is too important to wait for a problem to emerge. We need to make sure that we have a strong relationship to prevent problems.”

After Donald Trump became U.S. president in 2017, and threatened to end the North American Free Trade Agreement that had been in place since 1994, Ottawa launched a widescale effort to convince Americans of its benefits.

Both Trump (Republican) and President Joe Biden (Democrat) have touted protectionist policies popular with U.S. voters and bad for Canadian businesses that rely on American markets, Remillard said.

“I think what we did learn in recent times is just how important it is to not just have the ear of the White House, but how critical the state relationships are. How critical it is to make sure you have strong voices and allies in the Senate and Congress, that it can’t just be about the White House,” said Remillard.

Kinew said in addition to the 2024 U.S. presidential election being a “big deal” when it comes to Canada-U.S. trade, the United States-Mexico-Canada Agreement (NAFTA’s replacement) is up for renewal in 2026.

If it’s not renewed by consensus that year, it dies.

“It’s going to be a big priority of mine and of our administration to make sure that (U.S.) states, the federal government, business leaders in the U.S. understand the importance of Manitoba to their own economic interests. I want that case to be made very clear as we head into those renegotiations for this super-important trade deal,” the premier said.

“It’s something that I’m talking about with Mr. Doer. As you would imagine, he’s got a very high-level understanding and really good insight into how we could advance Manitoba’s economic interests in the States.”

As adviser on trade, Doer said by phone Jan. 5, he’s had preliminary discussions with the premier and Canadian ambassador to the U.S. Kirsten Hillman about a Manitoba delegation travelling to Washington, D.C., to connect with U.S. government representatives.

“I’ve already chatted to people I think will be helpful,” said Doer, rattling off several names, including Democrat Sen. Amy Klobuchar (Minnesota), as well as Republicans. “In a very partisan year, it’s good to have contacts in all political parties.”

The 75-year-old Doer, who served as ambassador from 2009 to 2016, said he still has lots of contacts. “You relate first and negotiate second. That’s how you deal with any trade challenges.”

However, the affable Doer bristled at the term “charm offensive.”

“We’re not talking about a charm offensive, per se. We’re talking about co-operative, constructive, creative ways of continuing our mutual benefit of trade.”

Kinew said Manitoba-U.S. trade relations are a high priority for the premier’s business and jobs group that includes major employers such as Winnipeg-based Price Industries Ltd. and NFI Group Inc.

“I want to work with them as business leaders and large employers to come up with a co-ordinated strategy. They have a presence in Georgia, Arizona, California and so many other states,” the premier said. “I want the state leaders, I want the federal leaders in the U.S. to understand the importance of Manitoba.”

NFI Group CEO Paul Soubry declined to comment on the launch of a U.S. trade charm offensive.

“Given that (more than) 60 per cent of our total bus and motor coach manufacturing revenue is (from) U.S. transit agencies, who use U.S. federal funds to buy buses and coaches, we have been living in a U.S. protectionist environment (with) ‘Buy America’ requirements for decades,” Soubry said in an email.

“Currently, 70 per cent of all our material and parts must be of U.S. origin and all final assembly is required to be completed in the U.S.”

carol.sanders@freepress.mb.ca