POLITICS: Canada Considering Trade Tarriffs on U.S.

The Canadian federal government is considering trade tarriffs on the United States in light of the recent ongoing softwoodlumber talks. The issue stems from recent talks over $5 billion dollars owed to Canada by the United States.



In my opinion, this is a very difficult issue, and its been going on for many many years. Canada does have the right to demand this money (the $5 billion) as the United States has collected it illegally.

The issue has been ongoing, and talks have been demanding from both sides. The importance of this is because it not only effects softwood lumber, but free trade between the nations itself.

With Canada being a large supplier of oil and products and services in general for the United States, a trade war can have massive economic impact.

Related News Links:
www.canada.com
ca.today.reuters.com
www.theglobeandmail.com
www.washingtonpost.com

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[edit on 23-8-2005 by Dulcimer]

"Dear Mr. XXXXXXXXXXX

On behalf of the Right Honourable Paul Martin, I would like to thank you
for your e-mail, in which you raised an issue that falls within the
portfolio of the Honourable Jim Peterson, Minister of International
Trade.

Please be assured that the statements you made have been carefully
reviewed. I have taken the liberty of forwarding your e-mail to Minister
Peterson so that he too may be made aware of your comments. I am certain
that the Minister will give your views every consideration.

L.A. Lavell
Executive Correspondence Officer
Agent de correspondance
de la haute direction"

Dunno, but its a matter of fairness I feel.

Dallas

Im not surprised the Canadians are going this far. The Europeans have been at this point over tarrifs and so have the Australians. There is only one rule book in international trade, not two. If the United States has broken international trade laws then they should be fined like every other nation would be.

Nobody wins in a trade war but when a schoolyard bully punches you in the nose you have no choice but to smack him right back. The U.S. has disregarded all legal rulings including the final one by the tribunal that they themselves insisted be mandatory. Not the U.S's finest hour.

If only our government would walk away from NAFTA. It's not that hard to do.

NAFTA Article 2205 states:

A Party may withdraw from this Agreement six months after it provides written notice of withdrawal to the other Parties. If a Party withdraws, the Agreement shall remain in force for the remaining Parties.

I think it's time to return to the 'good ol days' of GATT/WTO.

I'm glad to see this submitted as a news item...this situation can only get worse as the issue stays unresolved. There is so much more at risk by keeping it that way.
Can $5 Billion be such a terrible cost if it could cause the destruction of Nafta and the $trillions$ it represents?
It galls me to think it, but someone is getting ready to toss the baby out with the bathwater...

Canada should withdraw from nafta, and join Opec.