NEWS RELEASES

June 8, 2006 (12:20 p.m. EDT)
No. 63

MINISTER EMERSON OUTLINES NEW GOVERNMENT’S VISION FOR A MORE COMPETITIVE CANADA

International Trade Minister David L. Emerson today met with Canada’s largest national business associations to outline the new government’s priorities for global commerce and to share his vision for increased economic competitiveness.

In a keynote address to the International Trade Day gathering, Minister Emerson emphasized that sustained Canadian prosperity hinges on strengthening the Canada-U.S. relationship, fostering a more competitive North America and making inroads into rapidly expanding Asian markets such as India, China and South Korea—including through the government’s commitment and practical plan for the Asia-Pacific Gateway.

“While Canada’s economy stood its ground in the face of great challenges in 2005, our government understands that, in today’s global economy, complacency is a killer,” said Minister Emerson. “Our job, as political and business leaders, is not to savour Canada’s current successes. Our job is to identify, and get ahead of, the risks and challenges that lie around the corner.”

“If the past few years have taught us anything, it is that, as a nation, we need to adopt a more aggressive, more focused and more disciplined approach to trade and competitiveness,” added the Minister.

International Trade Day brings together professionals from the business community, senior government officials, industry stakeholders and academics to discuss current issues and priorities in international trade and economic policy.

The occasion also marked the launch of two annual publications: the Seventh Annual Report on Canada’s State of Trade and Canada’s International Market Access Priorities 2006.

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A backgrounder featuring highlights from the reports is attached. Online versions of these documents can be accessed through the following website: http://www.itcan.gc.ca/menu-en.asp.

For further information, media representatives may contact:

Jennifer Chiu
Press Secretary
Office of the Minister of International Trade and Minister for the Pacific Gateway and the Vancouver-Whistler Olympics
(613) 992-7332

Media Relations Office
International Trade Canada
(613) 995-1874
http://www.international.gc.ca

Backgrounder

CANADA’S STATE OF TRADE 2006

The Seventh Annual Report on Canada's State of Trade explores Canada’s trade performance at home and abroad in 2005. It covers developments in the world economy that have influenced Canada’s economic performance and summarizes Canadian trade and investment flows by sector and by region of the world.

The report includes the following highlights:

•         The Canadian economy performed well in 2005, with gross domestic product (GDP) growing 2.9 percent and unemployment rates nearing record lows.

•         Exports of goods and services accounted for 37.7 percent of Canadian GDP. Exports increased 5.2 percent to $516 billion in 2005, surpassing the previous record reached in 2000 ($489 billion).

•         The annual goods surplus remained stable at $66.7 billion, with both exports and imports rising by about $24 billion.

•         Exports and imports of goods from all principal trading areas (the U.S., the EU, Japan and other countries) were up in 2005.

•         There was significant growth in merchandise exports to South Korea, Germany, the Netherlands and Mexico.

•         All major categories of goods exports increased, led by energy products (27.9 percent), with the exception of forestry products, automotive products and agricultural and fishing products.

•         Foreign direct investment in Canada increased 9.1 percent in 2005 to reach $415.6 billion, while Canadian direct investment abroad increased 3 percent.

CANADA’S INTERNATIONAL MARKET ACCESS PRIORITIES 2006

Canada’s International Market Access Priorities 2006 outlines Canada’s strategy for achieving improved access for goods, services and investment in key foreign markets for Canadian exporters and investors. This year’s edition introduces a new online database of trade barriers to help Canadian businesses succeed in the global marketplace.

Examples of Canada’s top market access priorities for 2006 include:

•         increasing market access to the U.S. and North America by improving border effectiveness and enhancing continental competitiveness;

•         creating further business opportunities in Asia by pursuing foreign investment promotion and protection agreements with China and India and a free trade agreement with South Korea, and building on the economic framework and ongoing joint study with Japan; and

•         seeking an ambitious outcome for the World Trade Organization’s Doha Development Agenda negotiations.