F R E E T R A D E

G L O B A L I Z AT I O N A N D C A N A D A’ S P L A C E I N T H E N E W W O R L D O R D E R

T H E N E W W O R L D O R D E R

• With the fall of the Berlin Wall in 1989 the world entered a new era of global capitalist unification

• The entire world had officially begun the process of becoming one giant marketplace

G L O B A L I Z AT IO N

The economic, political, social and cultural integration of the nations of the world

An interdependent and integrated world

I N T E R N AT I O N A L T R A D E G R O W T H

W H AT C H A L L E N G E S D O E S G L O B A L I Z AT I O N P O S E F O R A C O U N T R Y L I K E C A N A D A W I T H A S M A L L P O P U L AT I O N A N D L A R G E P O W E R F U L N E I G H B O U R ?

– P R E S I D E N T B A R A K O B A M A

“ “ T H E R E A R E N O C L O S E R F R I E N D S T H AT W E H AV E T H A N T H E C A N A D I A N S . A N D W E S H A R E VA L U E S , W E

S H A R E C U LT U R E . T H E T I E S B E T W E E N O U R P E O P L E A R E E X T R A O R D I N A R Y. W E A R E N AT O A L L I E S , A N D

A C R O S S T H E B O A R D , O U R I N T E R E S T S A L I G N . ”

A N E C O N O M I C S L O W D O W N

A severe recession in the early 1980’s shook Canadian’s confidence and challenged the very survival of our welfare state

Canada needed international markets to keep wealthy, healthy and growing

C A N A D A’ S E X P O R T SG L O B A L I Z AT I O N

T H E C A N A D I A N C A S E F O R F R E E T R A D E

• 80% of Canadian exports already entered the U.S without restriction

• Canada wanted secure and stable access with constantly having to fight countervailing and anti-dumping duties (tariffs)

• Canada wanted a binding dispute settlement mechanism

W H Y D I D T H E U . S W A N T A N A G R E E M E N T ?

• The U.S wanted all services and intellectual property included in the agreement

• The U.S. wanted unlimited access to the Canadian energy sector

• The U.S. wanted their firms to bid on Canadian government contracts

T H E R E S U LT S

• T R A D E G R E W 1 2 % A N N U A L LY F R O M 1 9 9 0 - 1 9 9 5

• C A N A D I A N D E P E N D E N C E O N T H E U . S G R E W - I N 1 9 8 8 7 4 . 5 % O F A L L O U R E X P O R T S W E N T T O T H E U . S - I N 1 9 9 6 T H AT G R E W T O 8 2 %

• I N 1 9 9 4 N A F TA C A M E I N T O E F F E C T I N C L U D I N G M E X I C O I N T O T H E F R E E T R A D E A G R E E M E N T

• C A N A D I A N T R A D E W I T H M E X I C O I N C R E A S E D 8 0 0 % B E T W E E N 1 9 9 3 - 2 0 1 5

•H A S I T B E E N A G O O D D E A L F O R C A N A D A ?

•W H AT D O E S T H E F U T U R E H O L D ?

•H A S C A N A D A’ S P O L I T I C A L , E C O N O M I C A N D C U LT U R A L B E E N E R O D E D ?

•H A S C A N A D I A N S O C I E T Y C H A N G E D A S A R E S U LT O F N A F TA ?