Government of Canada responds to United States Federal Maritime Commission inquiry

No. H142/11
For release - December 22, 2011

OTTAWA — The Government of Canada today welcomed the opportunity to respond officially to the United States (U.S.) Federal Maritime Commission (FMC) Notice of Inquiry, Docket 11-19. Canada presented a fact-based submission underscoring the importance to both countries of the integrated North American economy and the strong Canada-U.S. trade relationship.

The FMC inquiry was launched at the request of several West Coast members of Congress to study the impact of the U.S. Harbor Maintenance Tax and other factors on the "diversion" of cargo through Canadian and Mexican ports.

The Canada-U.S. bilateral trading relationship is the largest and most important in the world, with well over a million dollars in trade crossing our shared border each minute.

"Canada and the United States are strong partners, allies and friends," said the Honourable Denis Lebel, Minister of Transport, Infrastructure and Communities. "I trust that this submission will address any erroneous perceptions regarding the policies and investments that support Canada's world-class transportation system."

In its submission, the Government of Canada has:  

• provided a fact-based overview of the Canadian transportation system;
• described the economic linkages that underpin the Canada-U.S. bilateral trading relationship;
• emphasized the importance of strategic and collaborative infrastructure planning and investment;
• highlighted the governance and financing characteristics of Canadian ports;
• provided supporting data; and
• stressed the importance of market-based business practices to transportation and trade policy.

"With eight million American jobs dependent on trade with Canada and with over two million Canadian jobs dependent on trade with the U.S., deeper and stronger free trade ties between our countries are fundamental to improving the prosperity of Americans and Canadians alike," said the Honourable Ed Fast, Minister of International Trade and Minister for the Asia-Pacific Gateway. "Our government is committed to standing up for Canadian interests by ensuring taxes are low and trade is open and free, because we know that in these challenging economic times, low taxes and more trade are the best way to create jobs and prosperity for workers and businesses on both sides of our shared border."

To view the FMC Notice of Inquiry, please visit:
www.fmc.gov/assets/1/Documents/Dkt_No_11_19_U.S._Inland_Cargo_Through_Canadian_and_
Mexican_Ports_NOI.pdf

To view the Government of Canada's response to the Notice of Inquiry, please visit:
www.tc.gc.ca/media/documents/policy/Official_Comments_of_the_Government_of_Canada_before
_the_Federal_Maritime_Commission-docket-11-19.pdf

The Government of Canada supports safe, secure, efficient and environmentally responsible supply chains on both sides of the shared border, and respectfully recommends that the facts presented in the submission be reflected in the FMC's final report.

– 30 –

Contacts:

Transport Canada is online at www.tc.gc.ca. Subscribe to e-news at www.tc.gc.ca/e-news or stay connected through RSS, Twitter, Facebook, YouTube and Flickr to keep up to date on the latest from Transport Canada.

This news release may be made available in alternative formats for persons living with visual disabilities.