Initiative Fosters Business Growth Between U.S. and Canada

Martha Lewand
International Communications Intern, U.S. Chamber of Commerce

Published

August 01, 2024

As longstanding allies and neighboring nations, the U.S. and Canada enjoy one of the largest bilateral commercial relationships in the world. U.S. goods and services trade with Canada totaled an estimated $908.9 billion in 2022, including $427.7 billion in exports and $481.2 billion in imports.

The Chamber launched the U.S.-Canada Business Initiative (USCBI) in February 2024 to sustain this bilateral business growth and align advocacy efforts. During these past few months, the USCBI, in collaboration with the Chamber’s Center for Global Regulatory Cooperation (GRC), has championed policies concerning innovation, digital trade, supply chain resiliency, and national economic security that improve Canada’s competitiveness, stability, and overall business environment.

From conducting a successful delegation visit in Ottawa to delivering a staunch testimony in the Canadian parliament, the USCBI has rapidly progressed on its policy initiatives that ensure regional growth and resilience. Here are the USCBI’s accomplishments and highlights, along with a look at what’s next on their agenda.

USCBI Highlights

a group of people sitting at a table — USCBI convened with the Canadian Minister of Innovation, Science and Industry François-Philippe Champagne during a delegation visit to Ottawa.

Productive Delegation Visit to Canada

From June 12-13, 2024, the U.S. Chamber visited Ottawa, Canada, with the intention of strengthening the bilateral commercial relationship during the inaugural delegation visit. The USCBI held convenings with two cabinet-level officials, one senator, nine members of Canada’s House of Commons, and an advisor to the Canadian Prime Minister. Important matters discussed include the U.S-Mexico-Canada Agreement (CUSMA/USMCA) compliance, Canada’s digital policy agenda, and the revitalization of the U.S.-Canada Regulatory Cooperation Council (RCC).

Additionally, the USCBI partnered with GRC and AmCham Canada to host the ‘AI Policy Dialogue’ at the U.S. Embassy in Ottawa, which convened U.S., Canadian, and Japanese government officials and members of the private sector to share regulatory best practices and explore opportunities for cooperation on AI research, development and adoption.

a man in a suit and tie sitting at a microphone — Senior Vice President Sean Heather provides a testimony on trade and regulations to the Canadian House of Commons.

Standing Up for Digital Trade

Chamber Senior Vice President for International Regulatory Affairs and Antitrust Sean Heather testified on USMCA before the Canadian House of Commons Standing Committee on International Trade. Heather emphasized the Chamber’s commitment to upholding the bilateral commercial relationship through USMCA and advocated for strong enforcement mechanisms that allow the trade agreement to reach its full potential.

Following the testimony, the Chamber denounced Canada’s Digital Services Tax Act, citing that the policy violates Canada’s duties under USMCA and harms businesses in both nations. The USCBI is dedicated to opposing consequential trade policies that deter economic growth and innovation.

Looking Ahead

a group of people sitting at a table in a room with a projection screen — The U.S. and Canadian Chambers of Commerce discuss North American Economic Security in a roundtable discussion event.

Through the end of the year, the USCBI looks forward to continuing conversations with the Canadian Embassy and government about digital trade and IP policy that boosts two-way trade and prosperity. Fortifying Canada’s digital innovation is essential for its economic growth, as AI is expected to create 97 million jobs globally, and only 9% of Canadian SMEs have adopted AI.

Public and private industry collaboration will bolster innovation and growth in Canada’s healthcare sector. The USCBI will continue to seek opportunities to strengthen supply chain resiliency in North America, as well as work with our Canadian counterparts to ensure that Canada remains an attractive destination for R&D and pharmaceutical manufacturing.

Critical minerals and energy will continue to be key markets for Canada, and the USCBI hopes to expand its advocacy in these areas, especially regarding the sourcing of critical minerals for EV batteries and manufacturing.

Considering global security concerns and the advancements made at the Chamber’s NATO Summit Defense Industry Forum, the USCBI remains adamant that the U.S. and Canadian governments must encourage public-private partnerships that will effectively ramp up defense production and contribute to more robust cyber security.

As the Initiative looks ahead, diversifying the policy agenda, raising Canada’s commercial profile, enhancing U.S.-Canada relations, and growing public-private partnerships in critical sectors will be top priorities. USCBI welcomes new members. If you are interested in learning more or joining, please contact Americas Program Executive Director Lizeth Cordova.