Canada’s First Ministers have pledged to take decisive action to strengthen the domestic economy by reducing barriers to internal trade and labour mobility. The commitment follows the United States’ recent decision to impose tariffs on Canadian goods, a move the First Ministers described as unjustified.
“In the face of the United States’ unjustified decision to impose tariffs on Canadian goods, Canada’s First Ministers recognize this is a pivotal moment for Canada to take bold and united action. We must increase our economic resilience, reduce dependence on one market, and strengthen our domestic economy for the benefit of Canadian workers and businesses now and in the future. One key step is to make it easier for Canadians to do business with each other from coast to coast to coast.”
During a meeting on March 4, the Prime Minister and premiers agreed to build on the work of the Committee on Internal Trade by enhancing trade within Canada and supporting greater labour mobility.
“At their meeting yesterday, the Prime Minister and Canada’s premiers agreed to build on the foundational work of the Committee on Internal Trade and strengthen Canada’s domestic economy by reducing barriers to internal trade and labour mobility across the country. All First Ministers agreed that now is the time to take meaningful action to further liberalize and support the Canadian market so that goods, services, and workers can move freely.”
The First Ministers emphasized the importance of credential recognition to facilitate workforce mobility.
“First Ministers agreed that certified professionals with credentials in one jurisdiction should be able to work anywhere in Canada. Whether relocating for family reasons or pursuing job opportunities elsewhere, workers should be free to do what they are trained to do and contribute to the Canadian economy. Due to its linguistic specificity among other things, Quebec, while adhering to the overall goal of increasing workforce mobility, intends to implement measures for credentials recognition when it deems it in line with its own objectives.”
The Committee on Internal Trade, in collaboration with the Forum of Labour Market Ministers, has been directed to establish a 30-day service standard for credential recognition and develop a comprehensive plan by June 1.
“The Prime Minister and premiers directed the Committee on Internal Trade to work with the Forum of Labour Market Ministers, to develop a service standard of 30 days or better to get people working faster, and provide a plan for Canada-wide credential recognition, while taking into account jurisdictional specificities such as language provisions, by June 1.”
The First Ministers also agreed on the importance of ensuring Canadian-made goods are accessible across the country. They welcomed efforts by Internal Trade Ministers to review exceptions under the Canadian Free Trade Agreement and reduce regulatory differences, particularly in the trucking and consumer goods sectors. Most First Ministers also committed to allowing direct-to-consumer alcohol sales for Canadian products.
“First Ministers also agreed that now is the time to choose Canada. We must ensure that all Canadians have access to Canadian-made goods, no matter where they are in the country. The Prime Minister and premiers applauded Internal Trade Ministers for undertaking a review of exceptions under the Canadian Free Trade Agreement by June 1 in addition to those removed by governments in recent years, and for their efforts to reconcile and reduce regulatory differences between jurisdictions, particularly through the negotiation of mutual recognition requirements in the trucking sector and the movement of consumer goods. Most First Ministers also committed to allowing direct-to-consumer alcohol sales for Canadian products. These efforts will benefit Canadian businesses and citizens by opening new domestic markets, reducing the cost of consumer goods at a time when U.S. tariffs will impact affordability.”
The elimination of these barriers is expected to boost the domestic economy by creating new market opportunities and attracting foreign investment.
“First Ministers recognized that removing these barriers will make it easier for businesses in Canada to access new revenue and market opportunities here at home, while attracting greater foreign investment and trade.”
The Prime Minister and premiers reaffirmed their commitment to working together on implementing these initiatives.
“The Prime Minister and the premiers agreed to continue working together as they implement the shared plan to strengthen internal trade in Canada. Team Canada stands firm, united, resolute, and ready to face this challenge, and any others that come our way.”
Federal officials say more than $530 billion worth of goods and services moved across provincial and territorial borders last year, accounting for nearly 20 per cent of Canada’s gross domestic product.
Eliminating internal trade barriers is expected to increase productivity, lower prices, and add up to $200 billion to the Canadian economy.
The Canadian Free Trade Agreement (CFTA), in effect since July 1, 2017, aims to reduce and eliminate barriers to the free movement of persons, goods, services, and investments within Canada.
Federal officials added a “Team Canada” strategy to promote domestic trade and encourage businesses to access new opportunities across provincial and territorial markets through trade missions.
These commitments mark a significant step toward a more integrated and resilient Canadian economy, Federal officials added.
