(NETWORK INDIANA) Indiana is one of Canada’s biggest trading partners.
In 2017, Indiana exported over $13 billion worth of good to Canada and imported almost $6 billion worth of Canadian goods. It’s a good working reciprocal partnership that hinges on the ratification of the USMCA Trade Agreement.
“By comparison, you pick your next six trading partners, none of them quite measure up to the trade Indiana does with Canada,” said Canada’s Consul General to Inside Indiana Business. “It’s a very important relationship.”
The USMCA has now been ratified by both Mexico and the United States with President Trump signing the deal into law on Wednesday. But, the deal cannot take full effect until Canada’s parliament in Ottawa ratifies it.
Comartin said the Canadian government is taking their time in ratifying the deal because of a few concerns.
“One of the things we have some concern about is foreign investment,” he said. “We feel part of that is because of the trading war the U.S. is having with China. Putting that behind us I think will help free up some of those investment dollars.”
Comartin said once the deal is in full effect Indiana will see many more jobs in manufacturing and automotive sectors, areas that he said both Indiana and Canada will benefit greatly from.
For example, NAFTA, which is being replaced by USMCA, required automakers to use 62.5-percent of North American-made parts in their cars to be imported duty-free, the USMCA gradually raises the bar to 75-percent by 2023.
Comartin said that move gives incentive to automakers to increase the amount of North American parts they use in their cars and light trucks.
