U.S., Canada trade essential for country, province: local politicians

According to two local politicians, a good trade relationship between Canada and the United States isn’t just good for the country; it’s necessary for Saskatchewan’s economy.

Tensions are high in Ottawa as U.S. President Donald Trump has said he plans to either renegotiate the North American Free Trade Agreement, or terminate it, according to the New York Times. The first blow came when the U.S. announced new tariffs on Canadian softwood lumber, which is expected to cost forestry companies millions with possible job losses to come.

The news comes when the province is already facing financial hardships following the decline in oil prices.

Member of the Legislative Assembly (MLA) Nicole Rancourt, NDP, Prince Albert Northcote, said she was disappointed with the U.S. decision as it puts more pressure on the province.

“We hear about job losses every day it seems and our unemployment rate is getting higher and higher,” she said. “The economy in Saskatchewan isn’t doing very well. It’s very crucial we make a good relationship with the U.S. definitely for our country but for Saskatchewan because we rely on a lot of the trade agreements we have with them.”

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Rancourt didn’t believe the U.S. should be the only option Canada considers. She’s advocating for improved relationships with other countries and between provinces.

She also stressed the importance of diversifying the province’s economy and argued the forestry sector needs more support.

“It is seeming really dire right now,” she said. “We know, especially in the Prince Albert area and the North, but our forestry industry is very important and it has been underutilized for years. I think this coming to light has maybe brought more attention to the government about how important it is.”

She added she had confidence Prime Minister Justin Trudeau would make the softwood industry a priority.

Prince Albert Conservative MP Randy Hoback said he’s frustrated with the Liberal party because trade issues with the Americans aren’t going to go away. He criticized Trudeau for not taking steps to improve trade when former-president Barack Obama was in the White House.

Because of those delays, Canadians will continue to see more U.S. tariffs, he said.

“The best thing we can do right now is negotiate a new deal with the U.S. that brings some stability back to the markets,” he said. “At least then people know what they are dealing with. Being in a state of flux is almost worse than knowing exactly where things lie. Right now it’s hard to make a business decisions because the variables are changing as we speak.”

He said the forestry sector in Saskatchewan was just starting to rebound but because of the instability everything is essentially on hold.

Hoback doesn’t believe a trade war with the U.S. is on the horizon. Instead, he said Canada needs to make it clear that trading is to the benefit of Americans.

“They made it harder now for Americans to buy a house,” he added. “So that’s what you need to make the conversation about. By putting the tariff on Canadian wood, you actually made it harder for somebody, a young family or somebody with a job to go and buy their first or re-buy a house.”

Hoback added Canadians have always taken for granted the relationship with Americans and that can’t happen anymore.

Jeff.labine@jpbg.ca

On Twitter: @labinereporter

Editor’s Note: This story has been corrected to reflect the fact that Nicole Rancourt is an MLA, not an MP as previously stated.