U.S. President Donald Trump has made good on his campaign promise to leave the Trans-Pacific Partnership as part of his saving U.S. jobs.
Only hitch is it’s bad for business not just for Americans, but Canadians as well.
That’s according to Professor Werner Antweiler of the Sauder School of Business, who says it’s a bad move for the U.S. because its increasing isolationism will hamper U.S. exports.
That’s bad for Canada because more than 70 per cent of our trade is linked with the U.S.
“Whatever happens south of the border affects us in a very, very immediate way,” Antweiler says.
“We can’t unlink ourselves from that because we need to maintain our trading relationship with the United States and by proxy essentially this policy extends to our trade situation with other countries.”
He says trade is a two-way relationship.
The controversial TPP is a trade deal between now 11 Pacific Rim countries to counter the booming Chinese economy.
WATCH: President Trump signs order to withdraw U.S. from TPP
B.C. Premier isn’t surprised by decision
Premier Christy Clark says it’s no surprise the Americans pulled the plug on TPP.
But she touts her Jobs plan to diversify the economy and break down trade barriers to keep jobs going.
“Back in the day when our only customers for lumber was pretty much the U.S., we were at their mercy when it came to trade, but we’ve grown our trade with China and lumber by over 1,000 present. Fifty per cent of our trade balance, many months, somewhere between 40 and 50 per cent doesn’t go south of the border anymore. That’s how we protect ourselves from protectionist regimes from countries around the world.”
Clark admits TPP would have been good for British Columbia, and it would have helped the province get better access to international markets.
With files from Emily Lazatin