N.S. businesses hope Trump tariff threat prompts action on provincial trade barriers
The recent pause on a possible trade war between the United States and Canada has shifted the focus to internal trade barriers within Canada. Nova Scotia businesses that export to the U.S. are now looking to find new markets within Canada to overcome these long-standing impediments to trade.
Ryan Manucha, a researcher at the C.D. Howe Institute, emphasized the importance of reducing internal trade barriers, stating that there is a wealth of ideas to resolve issues ranging from apparel to construction codes. With the threat of tariffs looming, provinces have been urged to work towards harmonizing standards and streamlining rules to facilitate smoother trade.
With Prime Minister Justin Trudeau announcing a pause on tariffs after Canada’s commitments to border security, the push to address interprovincial barriers has gained momentum. Manucha believes that the current political climate presents a unique opportunity to make significant progress in this area.
Karl Coutinho, president of Avondale Sky Winery in Nova Scotia, highlighted the challenges faced by wineries in accessing markets within Canada. Despite being able to sell and ship to Manitoba and British Columbia, other provinces remain largely off-limits. Coutinho stressed the need to eliminate these barriers to facilitate easier and cheaper trade for winemakers.
Similarly, Chris Cowper-Smith, founder of Spring Loaded, a Nova Scotia company specializing in custom-built knee braces, pointed out the hurdles faced by medical device manufacturers due to varying provincial regulations. He emphasized the need for a more streamlined approach to accessing markets within Canada, citing the complexities that currently hinder businesses in this sector.
As the conversation around internal trade barriers gains traction, businesses are hopeful that the current economic landscape will spur action towards achieving greater trade harmony within Canada. The focus on reducing red tape and improving access to markets is seen as essential for fostering growth and innovation in domestic industries.
