Transcript Slides for Obama presentation

Obama and Canada
Alexander Moens
Movements in Canadian and U.S. Economic Growth
(% ∆ in Real GDP 1980-2008)
Annual Economic Growth (% Change in
Real GDP)
8
6
4
Canada
2
USA
0
1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008
-2
-4
Year
Source: Industry Canada & Bureau of Economic Analysis,
2008
Canadian trade balance with the United States (2000-2007)
400,000
Exports
Imports
Trade Balance
350,000
Real CND $ (millions)
300,000
250,000
200,000
150,000
100,000
50,000
0
2000
Source: Industry Canada,
2008
2001
2002
2003
2004
2005
2006
2007
Canadian Trade Balance with the Rest of World (2000-2007)
Exports
Imports
Trade Balance
250,000
200,000
Real CND $ (in millions)
150,000
100,000
50,000
0
2000
2001
2002
2003
2004
-50,000
-100,000
-150,000
Year
Source: Industry Canada, 2008
2005
2006
2007
Canadian exports, by industrial grouping (2000-2007)
120,000
Industrial goods
and materials
100,000
Real C$ (Millions)
80,000
M achinery and
equipment
Automotive
products
60,000
Energy products
Forestry products
40,000
Agricultural and
fishing products
20,000
Other consumer
goods
0
2000
2001
2002
2003
2004
Year
Source: Foreign Affair and International Trade
Canada, 2008.
2005
2006
2007
U.S. Foreign Direct Investment in Canada
CAN FDI in US
US FDI in CAN
350,000
300,000
FDI (Millions of C$)
250,000
200,000
150,000
100,000
50,000
0
2000
2001
2002
2003
2004
Year
Source: Foreign Affairs and
International Trade Canada,
2008,
2005
2006
2007
Canada-U.S Energy Trade
Canada – U.S. Trade
•
Energy exports rose from $50 billion in 2002 to over $90 billion in 2007
•
Canada is the largest foreign supplier crude oil and refined products to the
US, accounting for 18% of oil imports in 2007
•
Approximately 71% of Canada’s total oil production is exported to the US,
flowing mainly from Western Canada to consumers in the US Midwest and
Pacific Northwest
•
Surplus natural gas production in Canada’s Western Sedimentary Basin is
used to supply roughly 85% of US imports, accounting for 16% of total US
consumption
•
On average, Canada exports between 6% and 10% of total electricity
production to the US
Importance of the SPP in Canada and the US
• 51% of total Canadian exports to the US, and 77% of total imports
coming into Canada from the US are transported across the border
by truck
• The cost to trade of security at border crossings was estimated at
2.6% of GDP in 2005
• Measures to provide lower-cost border crossings will greatly benefit
trade flows
• Regulatory harmonization and product standard compatibility will
make North American industries more competitive globally
• The ultimate goal should be to create a North American Standards
and Regulatory Area (NASRA)