The Calgary Chamber of Commerce has unveiled an 82-point strategy aimed at tackling the challenges posed by what the group identifies as Canada’s weakening domestic economy and competitiveness in the face of U.S. tariffs.
The chamber’s public policy plan focuses on beefing up the potential of Canadian businesses through the development of interprovincial trade corridors. Trade between the provinces would increase productivity and boost the economy, the business association’s report says.
“Canada is at an inflection point. For years, we’ve seen our productivity and competitiveness lag our peers,” Calgary Chamber of Commerce CEO Deborah Yedlin said during a press conference. “Canada has now fallen from the sixth most productive economy globally to the 18th.”
The report, which stems from roundtables, surveys, and national opinion polling, is based on five key themes: competitiveness, trade, entrepreneurship, talent and labour, and community well-being.
The recommendations in the report look at ways to make Canada more productive and competitive, particularly now that the country anticipates being hit with American tariffs this spring.
U.S. President Donald Trump recently gave Canada a 30-day reprieve from the 10 percent tariff on oil and gas, as well as the 25 percent tax imposed on all other imported products after forging a deal with Canadian Prime Minister Justin Trudeau. Trudeau pledged to beef up Canada’s $1.3 billion border security plan with the appointment of a “fentanyl czar” and other measures to prevent cross-border drug trafficking.
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The one-month pause is no guarantee that Canada will not be hit with tariffs in the future, however. Trump may choose to reinstate the tariffs next month if he isn’t happy with Canada’s progress on border security. Trump is also looking at implementing a broad range of tariffs against a number of countries, including Canada, come April.
That uncertainty needs to galvanize the government into taking action, Yedlin said.
“The recent—and still impending—threat of tariffs from the United States has rightfully magnified and focused our attention on this long-standing issue,” she said. “Now, more than ever, Canadians are looking to governments and businesses to seize this moment and take action to protect Canadian jobs and workers, grow the Canadian economy and build a strong future for Canadians from coast-to-coast-to-coast.”
Economic Plan
The chamber’s plan underscores the role of businesses in shaping the economic agenda at the national level.
To that end, the chamber is calling on Ottawa to develop interprovincial trade corridors to decrease the economy’s dependence on the United States for growth.
The chamber report suggested working with provinces to reduce regulatory differences and transportation and labour mobility restrictions while increasing investment in rail, highways, aviation and inland ports, to boost connectivity between provinces.
The chamber is also urging the federal government to cut down on bureaucracy and red tape to help businesses invest more time in productivity and expansion.
Fiscal responsibility is also crucial to the country’s success, the report said. It suggests Ottawa balance spending with saving for the future and reducing the federal debt and deficit.
Reducing the federal debt-to-GDP ratio to less than 40 percent and ensuring government policy takes economic growth and productivity into consideration were also key recommendations.
“Canada has the foundations for success: an enterprising population, abundant natural resources, a world-class reputation, a strong democratic system and rule of law, and a good quality of life. To protect this foundation and unleash our potential, we need to improve our productivity—and do it quickly,” Yedlin said.
“Businesses of all sizes and from all sectors will need to be at the heart of this work. The plan we’ve unveiled today is about supporting those businesses to grow, innovate and be competitive.”
