By Keith Norbury
If the two Canadian provinces and eight U.S. states that make up the Great Lakes-St. Lawrence Seaway region formed their own country, it would boast the world’s third largest economy. That was one of the notable observations in a recent report commissioned by Chamber of Marine Commerce, an Ottawa-based bi-national association representing shipowners and operators, ports, shippers, and other marine-related companies.
The region’s annual GDP of over US$6 trillion — exceeded only by the U.S. and China — includes domestic cargo moved on either side of the border, and cargo bound for or arriving from overseas. But a fair chunk of that is trade across the border — trade that many transportation industry insiders and experts fear will suffer from the tariff war that has erupted between Canada and the U.S. (more…)
By R. Bruce Striegler
“The Trump Administration is proceeding with unilateral measures to address what it has characterized as “unfair” trade, risking retaliation, but banking on a threat of massive escalation to extract a favourable outcome for itself,” says the C.D. Howe Institute. Released in June, a new report titled “Quantifying the Impacts of the U.S. Section 232 Steel and Aluminum Tariffs”, its authors find that protective trade measures imposed by the United States will reduce U.S. and Canadian GDP, while paradoxically strengthening trade partners outside the North American region through competitive gains. (more…)
By Mike Wackett
Investors are increasingly concerned that, with only 18 months to go until IMO’s 0.5 per cent sulphur cap regulations, container lines still have no clear strategy on how they will comply, and how the change will be paid for. This ‘wait and see’ approach is regarded as a red flag by investors who worry that the lines will stumble into the default solution, in January 2020, of burning the 50 per cent-more-expensive low-sulphur fuel oil (LSFO) in their ships without proper compensation. (more…)
By R. Bruce Striegler
Little did Prime Minister Justin Trudeau realize in November 2016 as he stood before a crowd of reporters in Vancouver announcing his government’s $1.5 billion Oceans Protection Plan, that he would ultimately have to declare in May 2018 the government would be spending a further $4.5 billion to purchase the Trans Mountain pipeline and all of Kinder Morgan Canada’s core assets.
By Brian Dunn
A resurgence in global trade will benefit Canada’s shipping industry, with export growth expected to continue, according to a leading Canadian economist. And he expects trade tensions between the United States and China will be resolved. “Canadian exporters are worried that NAFTA may be cancelled, but I believe cooler heads will prevail,” Stephen Tapp, Deputy Chief Economist, Export Development Canada, said at the annual conference of the Shipping Federation of Canada in Montreal on May 23. Labour markets in Canada and the U.S. are improving, economic slack is being absorbed, while historically low interest rates and inflation are rising, both positive signs for the economy, he added. (more…)
The Chamber of Marine Commerce (CMC) welcomes the submission of the Canadian Pilotage Review’s recommendations and will review these in detail to ensure that it contains the significant changes that are needed to improve a service that has not been overhauled in over 45 years.
“We will be carefully reviewing the recommendations in the report. Canada’s pilotage regime is stuck in the 1970s and significant changes are needed to the Pilotage Act and its regulatory framework to support a modern transportation network that is both safe and efficient,” said Bruce Burrows, President of the Chamber of Marine Commerce. (more…)