Last week, the Coalition of Concerned Manufacturers and Businesses Canada (CCMBC), where this author is President, had its annual Gala dinner. It was a wonderful event, with a very interesting panel comprised of Conrad Black, Sam Cooper and Travis Dhanraj. Issues discussed included the current state of Canada-U.S. relations, the threat of China and the role of the subsidized media in Canada today.
The discussions were interesting, and the predominant theme was that Canadian small- and medium-sized businesses (SMEs) want a trade deal with the U.S. urgently. The main message was that the uncertainty caused by not having a deal with the U.S. had gone on long enough, and that the lack of a deal was increasingly causing job loss, business failure and an exodus of both businesses and highly talented professional Canadians to the U.S.
When the uncertainty of reaching a trade deal with the U.S. first emerged last year – after Prime Minister Mark Carney had won the 2025 election on the promise to reach such a deal – businesses told us they could hang in for a while dealing with the U.S. tariffs and uncertain future of trade relations. After a year of this situation, with no resolution in sight, businesses are now at their end of their rope. They are now finding themselves unable to cope with the uncertain climate and Canadian policies that damage their competitiveness.
Global crises such as the war in Iran merely worsen the climate of uncertainty. As well, Canada’s strategic partnership agreement with Communist China has alarmed many businesses which have been victims of unfair competition with China and their dumping of products into Canada. The topic of unfair trade practices came up with virtually every business owner. The complaints focused on China exporting products to Canada at lower prices than the raw materials would have cost (dumping), theft of intellectual property including putting versions of Canadian companies’ logos on Chinese products to fool the buyer and not complying with Canadian safety standards.
Business owners noted that when they complained about these illegal trade practices by China to the relevant Liberal minister or their Liberal MP, they were given the brush-off and letters they sent did not even receive the decency of a reply. Some Liberal ministers said that dealings with China were very sensitive so they couldn’t act on the complaints. How pathetic that our own government doesn’t have the courage to act on behalf of Canadian businesses because they are afraid of upsetting China. The fact Carney has refused to reveal the contents of the strategic partnership agreement with China is of great concern to our member businesses. If this agreement is reasonable, why would Carney insist on such secrecy?
The reality is Canada will not get a deal with the U.S. until we resolve issues such as Chinese dumping and using Canada as a gateway for products subsidized by the Chinese Communist Party in an attempt to put North American manufacturers out of business. Another priority is to stop China using Canada as a means of distributing illegal substances such as fentanyl or its components.
The federal Liberal government continues to claim that attracting investment, after years of declines, is a key objective. This will not happen with the uncertainty of Canada-U.S. trade relations hanging over Canada. It appears the federal and some provincial governments do not consider reaching an agreement with the U.S. a priority as partisan political interests are served by keeping the U.S. government as the enemy to attract votes.
Meanwhile, Canadian businesses and the economic interests of all Canadians suffer. Carney and some provincial premiers continue to pretend that diversifying trade is the main objective. Although diversifying trade is always a good goal, it is dishonest for any political leader to imply Canada can move significantly away from the U.S. as its major trading partner easily or quickly, if ever. The extensive, positive history of our relationship with the U.S. will not be altered without serious long-term damage to Canada.
Many Canadian firms are establishing business premises in the U.S. or seriously considering it. This was going on well before Trump’s second term and was a result of an uncompetitive business climate in Canada. Talented young people are also leaving Canada for greener pastures south of the border. This exodus needs to end. Businesses and individuals that leave rarely return. Federal and provincial governments should be looking at their own destructive policies that have caused our economy to decline in the past decade instead of fighting with our largest trading partner.
Putting short-term partisan politics ahead of the long-term well-being of Canadians is irresponsible and a betrayal of all Canadians. It must end as soon as possible. Canadian business needs a trade deal with the U.S.
She has published numerous articles in journals, magazines & other media on issues such as free trade, finance, entrepreneurship & women business owners. Ms. Swift is a past President of the Empire Club of Canada, a former Director of the CD Howe Institute, the Canadian Youth Business Foundation, SOS Children’s Villages, past President of the International Small Business Congress and current Director of the Fraser Institute. She was cited in 2003 & 2012 as one of the most powerful women in Canada by the Women’s Executive Network & is a recipient of the Queen’s Silver & Gold Jubilee medals.
