Thanks to all of you for inviting me here today. Let me begin by acknowledging the effective work that your Council is doing to develop the personal connections that will sustain greater trade between us.

It has been said that all politics is local. The same is true of trade. And I think it is helpful to remember, when we throw around the huge numbers involved in international trade, that behind those numbers are individual men and women -- your neighbours and mine -- who are producing the goods, offering the services and taking the risks that generate jobs for themselves and for others.

So I commend this Council for keeping that focus on personal relationships.

Today I would like to share just a few thoughts with you on the subject of further strengthening the Korea-Canada trade relationship, and I would like to do that around three themes: liberalizing trade within APEC [Asia-Pacific Economic Cooperation forum], encouraging more Korean investment in Canada and strengthening bilateral trade associations.

First, our joint efforts to liberalize trade through APEC.

We are working on a number of priorities this year.

Trade ministers agreed in Montreal to identify sectors for early liberalization in time for leaders to consider when they meet in November. By doing so, we have effectively accelerated the timetable we put in place in Manila last year.

It is my hope that APEC can agree to a short list of these sectors, so that we can begin to walk the talk in these areas. We also need to keep up the momentum on this initiative, which is part of our long-term goal.

APEC members will also be bringing forward, in November, their revised plans for further domestic measures to liberalize trade in the region.

As well, those of us in APEC can help the cause of liberalized trade by supporting the work of the World Trade Organization [WTO]. Some areas, like financial services negotiations, may need a bit of a push if they are to be brought to completion.

One of the great strengths of APEC is our ability to create consensus around an issue, which in turn can establish momentum for action at the WTO. Just look at what we were able to achieve in the area of information technology, which led to an important agreement at the WTO. APEC must continue this role in bringing down barriers to trade.

All of these initiatives are important steps to liberalizing trade and we welcome them.

But as a complement to trade liberalization, we also need to work on trade facilitation: on making it easier for companies to do business across borders.

Take the area of customs: technology already exists that can link customs authorities and reduce clearance times from weeks to minutes in some areas. This saves not only time, but money -- crucial considerations to small and medium-sized businesses.

To enhance cross-border commerce even more, we need to make standards more comparable and government procurement systems more transparent. This way, companies from any APEC economy will have access to opportunities in every APEC economy.

In November, we will present a blueprint to leaders with a clear 12-point work program on streamlining customs procedures. And I look forward to working with my counterparts in APEC to produce concrete results in these areas in the months ahead.

All of these efforts will help build a stronger, more vibrant trade relationship between Korea and Canada.

And that brings me to my second theme, because another way to do that is to encourage more Koreans to invest in Canada.

As Korean companies continue to look outward for new opportunities, we want a large, red maple leaf to come to mind.

Canada has much to offer Korea, including abundant natural resources that can help to fuel Korea's economic growth. And our leading-edge high-tech companies present exciting opportunities for strategic alliances and technology transfers.

Canada also has an economic climate second to none. With low interest rates, low inflation, a dynamic and diverse economy, world-leading technologies, an educated workforce, superb infrastructure and, of course, tariff-free access to the United States and Mexico, it is not surprising that the International Monetary Fund predicts Canada will lead the G-7 countries in economic growth and job creation both this year and next.

Nor is it surprising that recent studies show that it costs about five and a half per cent less to establish and run a business in Canada than in the United States. Just take the area of health care -- where the major U.S. automakers spend more on health insurance for their workers than they do on steel!

So our competitive advantage is significant, and I would invite you to carefully compare all of the factors that go into deciding where to invest.

The reality is that you will not find a country more ideally suited to trade than Canada. Our economy is heavily based on trade -- it accounts for more than 40 per cent of our GDP [gross domestic product] -- so our economic policies have been developed with trade at the forefront.

Companies investing here will benefit from these policies and profit from Canada's leadership role in opening up new trade opportunities around the world.

Thanks to your efforts, and those of others, Korea and Canada already enjoy a significant trade relationship. Korea is Canada's sixth-largest export market and our third-largest in Asia.

We have also established a strong bilateral relationship through our "Special Partnership," begun by President Kim and Prime Minister Chrétien in 1993.

Through the Special Partnership Working Group, we have found ways to break down old barriers and open up new opportunities. We have enhanced access to one another's markets and identified opportunities for further strategic alliances and commercial partnerships.

This Special Partnership is already bearing fruit: in 1995, Industry Minister John Manley and Korean Minister Park signed an agreement on Industrial and Technological Co-operation. And, as a result of the Team Canada trade mission to Korea in January, we are now working on an agreement in the area of telecommunications equipment procurement.

Our Special Relationship is creating bonds in other ways as well. With the opening of the Canadian Education Centre in Seoul, the number of Korean students studying in Canada has risen from about 640, in 1993, to over 8000 today. Koreans now represent the largest group of international students in our country.

But strong as our ties may be, we also know that Korea and Canada should be trading more and investing more.

Finally, a vital mechanism to enhancing trade between us is to place more emphasis on organizations like yours.

And in this regard, I want you to know that strengthening and diversifying the role played by bilateral business and trade associations is a priority of mine.

I believe this emphasis only makes sense: you're on the ground, you know the markets best, you've got connections in the communities, you see the impediments and you're aware of the opportunities. And small companies often look to you -- not government -- for information about business opportunities abroad.

So we need to co-ordinate better. Because, as governments continue to downsize and redefine their roles, it will be more important than ever for trade associations to work more closely with out trade commissioners and our ambassadors abroad.

We also have to recognize the competitive advantage associations like yours bring to Canada. The multicultural, multilingual, multiethnic reality of Canada is a huge trade asset. People trade with countries they feel most comfortable with, in languages they speak and in cultures they understand. That is one of Canada's biggest advantages -- no part of the world is alien to us.

Therefore, a stronger reliance on our associations will better harness this great diversity and refortify the bridges that connect our two nations.

I welcome your thoughts on how we can help small and medium-sized companies explore the opportunities that await them in Korea.

So these are some of the building blocks of a stronger trade relationship between Korea and Canada: freer trade within APEC, making it easier to do business across borders, more Korean investment in Canada and strengthening trade associations like yours.

I am convinced that by working together and combining our resources, we can dramatically increase the level of trade between our two countries.

As I thought about the benefits of co-operative action, I was reminded of a trip I took some years ago to California.

We had stopped to admire the giant sequoia trees that grow there. A park ranger pointed out that the sequoia actually has very shallow roots -- just barely extending beneath the surface.

One of the members of our group said that that was impossible -- if roots don't grow deep, strong winds will blow the trees over. But the ranger said that sequoia trees were different. They only grew in groves and their roots intertwined under the surface. When the strong winds came, they held each other up.

There's a lesson there for all of us. By working together and combining our efforts, we can hold each other up through the harshest storms.

In the years ahead, we can be sure that many challenging winds will blow across our trading relationship, but let us lock arms and get through them together.

Thank you.

2006 - 2005 - 2004 - 2003 - 2002 - 2001 - 2000 - 1999 - 1998 - 1997 - 1996

Print friendly version - Printing Tips



Last Updated: 2006-10-30	Top of Page	Important Notices