Trade Clippings - June 30 to July 6, 2014

Dear International Trade and Investment Committee Members, 

Here are the international trade and investment articles and publications of interest for the week of June 30 to July 6. Andrew Lanouette has curated this week’s edition. Andrew is International Trade Counsel at Cassidy Levy Kent in Ottawa, practising in the areas of international trade law and public procurement. He is also the Co-Chair of the International Trade and Investment Committee.

News

Julius Melnitzer, “Canadian institutions scramble in race to comply with FATCA”, Financial Post (2 July 2014)

• The incorporation of the U.S. Foreign Tax Compliance Act into Canadian law is proving very costly for large Canadian financial institutions and an expensive administrative nightmare for smaller ones.

Kayo Mimzuka, “TPP nations set to meet in Ottawa as U.S. pushes for deal”, The Japan Times (2 July 2014)

• Officials from the 12 countries involved in a Pacific free trade initiative will seek to advance their stalled talks during a meeting in Ottawa starting Thursday, following U.S. President Barack Obama’s call for an agreement on the framework by November.

CBC News, “Canadian exports expand 3.5%, narrowing trade deficit” (3 July 2014)

• Canada's exports advanced 3.5 per cent in May helping to narrow the trade deficit to $152 million and continuing a period of sustained growth in both exports and imports.

Steven Chase, “Tories say TPP talks shifted to Ottawa to save money, not stymie protests”, The Globe and Mail (3 July 2014)

• The Harper government moved controversial Pacific Rim free trade talks to Ottawa from Vancouver to save more than $150,000 in hosting costs and not because a last-minute shift to Canada’s capital might thwart planned protests, a spokeswoman says.

Government Announcements/Press Releases

World Trade Organization, “Trade Policy Review: China” (3 July 2014)

• The fifth review of the trade policies and practices of China takes place on 1 and 3 July 2014. The basis for the review is a report by the WTO Secretariat and a report by the Government of China.

Commentary

Kate Heartfield, “Free-trade rhetoric and free-trade reality”, The Ottawa Citizen, (2 July 2014)

• You’d never know it from the government’s near-total silence on the matter, but this week, Canada has a chance to shape the world order of the 21st century. Negotiators from 11 countries are arriving in Ottawa for the next round of talks in the Trans-Pacific Partnership, that begin July 3. Of course it isn’t all up to us, but this key round is on our turf. And Canada’s positions on sticking points such as agricultural market access could help determine whether this experiment will succeed or fail.

Jack M. Mintz, “Canada’s ‘wonderful partnership’ with the United States in desperate need of repair”, Financial Post (2 July 2014)

• With Canada Day and Independence Day celebrations this week in Canada and the United States, you would think that two close neighbours sharing a 9,000-kilometre border and $675-billion in two-way trade would also be celebrating a remarkable peaceful co-existence. Instead, the Canada-U.S. relationship has sunk to a new low in recent years despite years of progress since two countries successfully negotiated their 1987 trade agreement.

Michael Geist, “Why the secrecy on Canadian trade talks? Because there’s something to hide: Geist”, Toronto Star (4 July 2014)

• Trade agreements have emerged in recent years as one of the federal government’s most frequently touted accomplishments. Having concluded (or nearly concluded) free trade deals with the likes of the European Union and South Korea, senior government ministers such as International Trade Minister Ed Fast and Industry Minister James Moore have held dozens of events and press conferences across the country promoting the trade agenda.