Home Trade and Investment State Trade Fact Sheets 2003 DC_2003

DC_2003

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In 1989, the Canada-U.S. Free Trade Agreement went into effect, phasing out all tariffs and many non-tariff barriers to trade. Evidence of the benefits of free trade are clear as two-way trade in goods and services between Canada and the United States totaled $440 billion in 2002, the largest bilateral exchange in the world. Furthering the benefits of free trade, the 1994 North American Free Trade Agreement (NAFTA) opened the Mexican market to Canada and the United States.

Washington, D.C. and Canada have a unique trading relationship. In 2002, the nation's capital and Canada traded $78.3 million worth of various products. The District of Columbia exported $5.8 million to Canada and bought $72.5 million in Canadian products. This exchange helped cement the close US-Canada relationship that is key to trade between the two countries.

Equipment and household goods were the District's most important exports. Washington's largest export, household goods worth $1.3 million, was led by $550,000 in sales of books and pamphlets. The District's equipment sales reached $1.2 million in 2002. This included $131,000 in electrical lighting and lamps and $118,000 in service industry equipment.

US-Canadian communication is key. D.C. exported $451,000 in telecommunications products to Canada, led by exports of computers totaled $310,000, with another $16,000 in television and radio sets.

Canada buys a variety of goods. Among its leading purchases from D.C., Canadians bought $530,000 in aircraft engines and parts, and $342,000 worth of meat. Washington, D.C. also exported $351,000 worth of machinery, the bulk of which was $337,000 in construction and maintenance machinery.

Equipment and forest products were Washington D.C.'s largest imports from Canada. Canadian industries sold Washington D.C. $25 million worth of equipment, including electrical lighting equipment worth $2 million and office machines worth another $2 million. Forest imports from Canada totaled $10 million, led by almost $6.3 million in newsprint, which accounted for 9% of purchases from Canada. Also included was $762,000 worth of softwood lumber, and $239,000 in paper other than newsprint.

Agricultural trade continued to expand. Purchases of meat led agricultural sales totaling $3.9 million followed by fresh fish sales of all types totaling $744,000. The District also imported $539,000 in preserved fish and $511,000 in vegetables.

Canada supplies a variety of other goods. Among Washington's leading imports from Canada were $2.6 million in zinc and zinc alloys, $2.5 million worth of clothing, $1.8 million in basic metal products, $1.5 million in firearms and ammunition, and $1.4 million worth of prefabricated buildings and structures.

Tourism adds millions to the exchange. In 2002, Canadians made 103,000 visits to Washington D.C. and spent $42 million. D.C. residents made 57,000 visits to Canada and spent $25 million.

August 2003

Trade, Security & the Border

In 1996, Canada and the United States implemented a comprehensive Shared Border Accord to deepen cooperation on border management issues. Since the September 11th attacks on the United States, Canada and the United States have accelerated those efforts to protect the security and enhance the prosperity of their citizens. The two governments continue to expand threat information sharing, upgrade their crisis response abilities and ensure that the Canada-U.S. border remains secure with an efficient flow of trade. The 30-point Smart Border Action Plan, enacted in December 2001, takes aggressive steps toward building a smart border for the 21st century - a border open for business but closed to terrorists.

For more information on Canada's trade with Washington, D.C., please contact:
Canadian Embassy
501 Pennsylvania Avenue, N.W.
Washington, D.C. 20001
Tel: (202) 682-1740
Fax: (202) 682-7726
www.canadianembassy.org

All figures are for 2002 and are in US dollars. Merchandise trade and tourism figures are from Statistics Canada, converted at the rate of US$1.00=C$1.5704. Canada's export ranking is from the Massachusetts Institute for Social and Economic Research (MISER). Figures may not add up due to rounding.

• Read the 2002 state trade figures