The Canadian International Council and McMillan, present:
The Canada-US Border:
A New Bridge for Old Allies
Expert Panel:
Hon. Perrin Beatty, Praveen Goya, Michael Kergin
Moderated by:
Bill Hearn - Partner, McMillan LLP
Summary by:
Temisan Boyo
March 13, 2009
On Monday, March 9th 2009, the Canadian International Council’s Toronto Branch, in partnership with leading Canadian law firm Mcmillan, held a panel discussion on practical measures to restructure and improve the Canada-US border. In attendance were Michael Kergin, former Canadian Ambassador to the US and Chair of the CIC Working Group on Border Issues, Praveen Goya, Director of US Government Relations at Research in Motion and the Honourable Perrin Beatty, President & CEO of the Canadian Chamber of Commerce.
Ambassador Kergin set the context by highlighting the importance of the Canada-US border to both countries and the interdependent nature of the "largest economic relationship in the world." The economic success of both countries relies on a smooth flow of goods across the border and the current "impediment net" slows processes down, wasting resources and decreasing competitiveness even as foreign regional groups become more integrated. The CIC Working Group Report presented three pillars for a 21st century border: security, infrastructure modernization and enhancing competitiveness. Ambassador Kergin explained that in a post 9/11 world, terrorism and globalization reduce national control over the safety of the products we import, and thus Canada and the US must trust each other’s ability to police their respective share of the border. The two nations must also modernize cross-border infrastructure and transportation in a compatible way to facilitate the smooth flow of goods. Kergin proposed the creation of a Canada-US Infrastructure Working Group as well as increased investment in short sea shipping on the Great Lakes. Enhancing product competitiveness requires the harmonization of small, regulatory differences, leading to initiatives like a coordinated safety regime and increased transparency and openness. Moreover, Ambassador Kergin was optimistic that these changes will be possible under the new American administration.
Mr. Praveen primarily discussed RIM's experience on the border. He focused on North American trade in general and noted that RIM is one of the success stories of the new economy that has benefited from NAFTA. It is a tightly integrated North American and global company that has experienced success on both sides of the border. Even in a negative economic environment, RIM is fast-growing and continues to reinvest in itself with 7% of revenues going towards R&D. Mr. Praveen expressed support for the "common sense" nature of many of the CIC recommendations, including extending highway lanes and creating a safety inspection regime. Now that the US election is over, he hopes for continued dialogue and forward progression on these issues.
Mr. Beatty had two main recommendations: Canada needs a game-changer and now is the time to do it. He expanded on his first point by calling attention to the excess regulation and policing currently at the border, and the way in which the gains made by NAFTA are being lost through consequent delays. According to Mr. Beatty, "insecurity trumps trade" and Canada needs to take security more seriously. As a nation, we must redefine the way we look at the border and ask ourselves the purpose of government at the 49th parallel as well as realize that the border is more than just a physical place. He criticized the establishment of mirror provisions on both sides of the border as a misallocation of security resources that would be better served fighting criminal networks and illegal smuggling. Moreover, the success of NORAD is proof that effective joint-management of the border is possible. Mr. Beatty is optimistic about the new administration and hopes that Canadian support for President Obama will allow Prime Minister Harper to work more closely with the US and resolve these issues. The two countries must look in a pragmatic way at their shared interests and redefine how the border functions.
Following the panellists’ remarks, a lively question and answer period ensued, which underscored the practical complexities of the Canada-US relationship. Topics addressed by the speakers included the notion that security and trade must go hand-in-hand; the importance of taking the defence initiative and creating informative proposals for the American administration; the explicit differences between Canada and Mexico which must dictate distinct Northern and Southern border policies; the idea that Canada must be perceived as a trustworthy partner that is part of the solution; and the significance of improved port security for increased cooperation and integration. The panellists concluded with their belief that the success of border management restructuring depends on political leadership and its desire to set ideology aside and take a pragmatic 21st century review.
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