Canada's Performance 2005: The Government of Canada's Contribution

3. Canada's Place in the World

Introduction

Canada's place in the world has changed over the course of the past decade. The U.S. remains the world's pre-eminent super power, but a more global economy is rapidly developing with the expansion of the European Union-which added 10 new members in 2004-and with emerging economies such as China, India, and Brazil assuming increasingly important roles in trade and foreign policy.

Intra-state conflicts, such as the civil wars that occurred in the Former Republic of Yugoslavia, Sierra Leone, Somalia, and Sudan, pose new security challenges to the global community. In addition, since the events of September 11, 2001, the world's attention has been focussed on the threat posed by terrorism. Every terrorist attack-Bali, Istanbul, Madrid, and London, among others-reminds us that the international campaign against terrorism is not over.

Though the global economy is strong, many of the world's 6 billion people are not benefiting. Reducing poverty has become a cornerstone of the global development agenda as elaborated in the Millennium Development Goals. In September 2000, world leaders adopted the historic Millennium Declaration, pledging themselves to an international framework of concrete actions toward poverty reduction. This framework has become central to Canada's long-term vision of sustainable international development through avenues such as increased development assistance, debt relief, increased market access to Canada by least developed countries, improved environmental sustainability, and improved access for developing countries to affordable and essential drugs.

The Government of Canada's role in the world

In April 2005, the Government of Canada released its International Policy Statement, "A Role of Pride and Influence in the World." This document outlines Canada's first integrated plan to strengthen Canada's role in the world by bringing together the country's diplomatic, defence, development, trade, and investment strategies to meet international challenges and opportunities.

The federal government is working with Canadian partners and the global community to bring peace, stability, and development to many countries around the world. Through Canada's foreign and defence policies, Canada is involved in numerous international organizations and peace support operations worldwide. Canada further supports these global efforts and broader development objectives through bilateral and multilateral investments in development assistance, support to non-governmental organizations as well as through emergency humanitarian relief. Other areas in which the government plays a role include international negotiations and treaties on trade, the environment, human rights and humanitarian law, and funding for science and technology.

This chapter tracks the Government of Canada's contribution to four outcomes related to Canada's place in the world:

1. a strong and mutually beneficial North American partnership;

2. a prosperous global economy that benefits Canadians and the world;

3. a safe and secure world; and

4. global poverty reduction through sustainable development.

Performance context

To set its programs, expenditures, and performance in context, the Government of Canada is tracking key measures of long-term progress in the area of a strong and mutually beneficial North American partnership. In the electronic version of the report, clicking on the indicator in the Performance Highlight table will lead you to detailed information about current performance and trends.

Note: The legend summarizing the symbols used in the table above can be found in the introduction, on page 2.

The Government of Canada's contribution to a strong and mutually beneficial North American partnership

With a combined population of about 430 million people, Canada, the U.S. and Mexico share the vast North American continent. The three sovereign partners are committed to the social well-being, the economic success, and the safety and security of citizens across the continent.

In March 2005, the Security and Prosperity Partnership between Canada, the U.S., and Mexico was established. This partnership focusses on developing and implementing a North America cargo security strategy, enhancing intelligence sharing, public health co-ordination, regulatory co-operation, and improving co-ordination on biosafety management, thereby improving the North American Free Trade Agreement.

Although this partnership will better co-ordinate the Government of Canada's activities in the areas of security and prosperity, each of the three partners still has its own job to do in these areas. In terms of security, Canada issued its first-ever National Security Policy (NSP) in April 2004. Since then, several initiatives have been announced. For example, Canada is working with the U.S. to establish a North American cyber-threat early warning system and to pursue closer co-operation to enhance the collective marine defence and security of the two countries. Budget 2005 provides over $1 billion to support further investments in areas related to the NSP. A progress report on the implementation of the NSP was released in May 2005.

While the Government of Canada decided not to take part in the ballistic missile defence system, Canada's work with the U.S. through the North American Aerospace Defence Command (NORAD) is evidence that Canada is prepared to do its part in the defence of North America. Canada reaffirmed its commitment to NORAD in August 2004 by amending the NORAD Agreement so that its missile warning capabilities would be made available to U.S. commands responsible for missile defence.

The protection of Canadian sovereignty is an enduring priority of the Canadian government. Defence relations between Canada and the U.S. have evolved rapidly since September 11, 2001. For example, NORAD has increased its operational readiness and is addressing threats both inside and outside North America. The two countries have also created the Bi-National Planning Group, which is aimed at reinforcing co-operation on land and at sea in response to possible terrorist attacks and natural disasters.

In addition, co-operation between Canadian and U.S. authorities to counter security threats, including organized crime, resulted in the creation of 15 multi-agency integrated border enforcement teams targeting cross-border criminal activity. Joint efforts against drug trafficking have led to successful joint operations. The eighth annual Canada-U.S. Cross-Border Crime Forum, held in October 2004, brought together senior officials from Canada and the U.S. to discuss issues such as smuggling, organized crime, mass-marketing fraud, cyber-crime, and terrorism.

The Government of Canada has also taken other measures to strengthen the efforts of the Canadian Forces (CF) to enhance national and continental security. The government created the Joint Nuclear, Biological and Chemical Defence Company to support both domestic and international operations; established the new Counter-Terrorism Technology Centre at Defence Research and Development Canada to provide enhanced training to first responders and CF personnel; enhanced Joint Task Force 2, Canada's special operations and counter-terrorism unit; and strengthened the Disaster Assistance Response Team (DART), a joint medical and engineering emergency response team.

Since the terrorist attacks of September 11, 2001, the U.S. focus on homeland security has necessitated enhanced Canada-U.S. co-operation in a way that does not impede the flow of cross-border commerce. Both countries recognize they have a stake in each other's economy and security, and they are working closely to improve security while facilitating the flow of commerce and people. Since Canada and the U.S. signed the Smart Border Declaration in December 2001, they have been implementing a detailed 32-point Action Plan to enhance the security of the flow of goods and people and to strengthen intelligence and law enforcement co-operation. Investments through the Border Infrastructure Fund are quickly making these security enhancements operational, while easing constraints related to the movement of goods and people. To continue building a stronger border for the 21st century, the government provided an additional $433.0 million over five years to strengthen the government's capacity to deliver secure and efficient border services in Budget 2005.

Canada and the U.S. are among the world's largest trading partners. The value of trade in goods and services that crosses the border each day is now close to $1.9 billion and is supported by the daily cross-border activity of half a million people and 37,000 trucks. With the signing of the North American Free Trade Agreementt (NAFTA) in 1994, the Canada-United States Free Trade Agreement (1989) was expanded to include Mexico. In addition, in 2004 Canada grew to become Mexico's second largest merchandise export market and Mexico became Canada's fifth.

Furthermore, the three North American countries work co-operatively in implementing the North American Agreement on Environmental Cooperation (NAAEC), the environmental side accord to the NAFTA. The NAAEC created the North American Commission for Environmental Cooperation, which addresses environmental issues of continental concern, with particular attention to the environmental challenges and opportunities presented by continent-wide free trade.

Although the vast majority of Canada-U.S. trade is free of disputes, issues such as softwood lumber and bovine spongiform encephalopathy (BSE) have affected the cross-border relationship. The Government of Canada continues its efforts to resolve the softwood lumber dispute through litigation, retaliation, if necessary, and high level advocacy. Regarding the issue of BSE, however, the U.S. administration published a rule to re-establish trade in a variety of beef and cattle products that, following a delay resulting from a legal challenge, came into effect in July 2005.

Several departments, agencies, and Crown corporations contribute to a strong and mutually beneficial North American partnership through their respective departmental strategic outcomes or Crown mission statements. Clicking on the links in the electronic version of the following table will lead you to planning, performance, and resource information, which is contained in the organizations' departmental performance reports and reports on plans and priorities as well as in the Annual Report to Parliament on Crown Corporations and Other Corporate Interests of Canada. The Strategic Outcomes Database, which can be found at http://www.tbs-sct.gc.ca/rma/krc/so-rs_e.asp, also leads to relevant audits and evaluations.

Supplemental Information

Canadian diplomatic representation in the U.S.

Progress in the Smart Border Discussions