The Canadian Report: 2018

Saturday, December 22, 2018

Alberta receives $1.6 billion in government support for slumping Canadian oil prices

Canada column for Sunday, Dec. 23/18

THE CANADIAN REPORT

It is being looked on by some as the Canadian government giving the Alberta oil patch an early Christmas present in the form of a $1.6-billion lifeline in immediate aid.

The oil-rich province is reeling from record-low Canadian oil prices and roadblocks delaying pipeline expansions to move crude to new overseas markets.

The government money includes $1 billion to assist companies invest in new technologies and $500 million in commercial financing initiatives over three years.

There is also $50 million from Canada’s Clean Growth Program that is expected to generate $890 million in investment and $100 million for diversification-related projects.

“We understand that when Alberta hurts, so does Canada,” said Natural Resources Minister Amarjeet Sohi.

The aid package that some are calling “corporate welfare,” does little to fix the pipeline issues crippling the province, said Alberta Premier Rachel Notley.

“We don’t need help finding more markets – we need help moving our product,” she said.

Mike Duffy's lawsuit over dismissal refused by the courts

Canada column for Sunday, Dec. 16/18

THE CANADIAN REPORT

Senator Mike Duffy’s $8-million lawsuit against the Senate has been dismissed by an Ontario Superior Court judge.

Justice Sally Gomery said that allowing a court to revisit the Senate’s decision to dismiss Duffy on accusations of improper spending would “interfere with the Senate's ability to function as an independent legislative body.”

He was cleared of criminal wrongdoing in 2016 and launched the lawsuit claiming his constitutional rights were abused in pursuit of a scapegoat during a Senate expenses’ scandal.

In particular, Duffy, who represents Prince Edward Island, said the disciplinary action to suspend him and cut his pay and benefits before the criminal investigation was completed was “an unprecedented abuse of power.”

His lawyer, Lawrence Greenspon, said the judge relied on a “centuries-old concept” of parliamentary privilege to rule that protections in the Charter of Rights and Freedoms don’t apply to senators.

Duffy said he will continue with a similar lawsuit against the Royal Canadian Mounted Police.

Oil patch price turmoil to hammer Canada's economic outlook: Bank of Canada

Canada column for Sunday, Dec. 9/18

THE CANADIAN REPORT

Turmoil in Western Canada’s oil patch hit by low prices is reverberating across the country’s economy.

Stephen Poloz, Bank of Canada governor, made the comment as the central bank held steady on its trendsetting interest rate upon which banks set their prime lending rates.

Even so, Poloz said he expects interest rate increases will be coming “over time.”

The stronger economy allowed the bank to slowly raise rates but the future will hold more gradual increases due to economic developments.

Leaving the bank rate unchanged at 1.75 percent “remains appropriate for the time being,” Poloz said, but the rate should rise in time to 2.5 to 3.5 percent.

Key factors are the steep slide in Canadian oil prices due to “geopolitical developments,” uncertainty about global growth, expansion of U.S. shale oil production and a decline in business investment.

“It is already clear that a painful adjustment is developing for Western Canada and there will be a meaningful impact on the Canadian macro economy,” Poloz said.

Keeping General Motors' plant in Canada is "futile," politicians say

Canada column for Sunday, Dec. 2/18

THE CANADIAN REPORT

Politicians suggest it will be futile to try to convince General Motors to keep its Oshawa, Ontario plant open beyond a year from now.

The company dropped a bombshell with the announcement the assembly plant just east of Toronto will be closing with the loss of about 3,000 jobs.

It’s a devastating blow to the city of 170,000 people where GM has produced cars and trucks since 1953.

GM said it is one of five plants in Canada and the U.S. to close as it restructures to cut costs and focus more on autonomous and electric vehicles.

It’s a “done deal” and there’s nothing the government can do to change the plan, Ontario Premier Doug Ford said.

Instead, Ford and the federal government will work to help the affected workers with extended jobless benefits and retraining.

Unifor president Jerry Dias said his union is losing much of its manufacturing to low-cost labor in Mexico and wants Prime Minister Justin Trudeau to get tough with GM.

He said the union will put up “the fight of our lives” to keep the plant open.

Canadian politicians vote for bill to end postal workers strikes

Canada column for Sunday, Nov. 25/18

THE CANADIAN REPORT

The Canadian government is working to deliver an end to rotating strikes by postal workers that has backlogged millions of letters and parcels.

Debate is ongoing this weekend as the Liberal government prepares legislation ordering and end to the strike early in the week.

UPDATE: Canada's Senate has approved the back-to-work bill and the rotating strikes are to end at noon on Tuesday (Nov. 27).

Negotiations over the past year failed to find a settlement between Canada Post and the 50,000 members of the Canadian Union of Postal Workers on pay and work conditions.

Labor Minister Patty Hajdu has encouraged both sides to continue bargaining to “still pull a deal off.”

Calling mail delivery an “essential service,” Hajdu said small businesses relying on the postal service to deliver their products over the busy Christmas season could go bankrupt if the situation isn’t remedied quickly.

The union is calling back-to-work legislation unconstitutional and threatens to challenge it in court.

Canada Post said it could take into January to clear the backlog of mail during almost five weeks of rotating strikes.

Online retailers urge an end to rotating postal workers' strikes in Canada

Canada column for Sunday, Nov. 18/18

THE CANADIAN REPORT

c) By Jim Fox

Online retailers led by eBay have called on the Canadian government to end a five-week labor disruption by postal workers as people are being urged not to mail anything to Canada.

There are 407 truckloads of mail and parcels backlogged at Toronto sorting terminals and 100 in Vancouver as rotating strikes continue.

The latest offer to settle the dispute was rejected for the 50,000 workers.

Retailers want to see some effort to end the strike as Black Friday and Cyber Monday’s big selling dates approach.

In a bid to end the job action, the post office sweetened its contract offer but the Canadian Union of Postal Workers said it was “unsatisfactory” and wouldn’t put it to a vote.

Prime Minister Justin Trudeau has warned the Liberal government might be forced to legislate an end to the strikes before they disrupt the holiday shopping and greeting card season.

“We have been forced to request that international posts, including the United States Postal Service, refrain from shipping items until we can clear the backlog,” said Canada Post spokesman Jon Hamilton.

More than 200 cities and towns have been hit by the rotating strikes.

Canadians getting more chances to win tax-free lottery jackpots

Canada column for Sunday, Nov. 11/18

THE CANADIAN REPORT

Canadians will have an additional chance a week to win a tax-free prize that’s being increased to a maximum $70 million – the most ever offered.

Popularity over the chances of winning $60 million prompted the interprovincial lottery game called Lotto Max to raise its jackpot cap to $70 million on a $5 ticket beginning in May.

As well, there will be draws twice a week – Tuesdays and Fridays – instead of just one.

Hitting the jackpot is especially profitable in Canada as lottery and casino gambling winnings are not taxed and are paid all at once, not over a number of years.

Lottery officials say the changes will ensure that jackpots grow more quickly.

Once the jackpot reaches its cap, additional $1 million Maxmillion prizes are offered.

The Lotto Max maximum was last increased in 2015 at $60 million, up $10 million from when the game was introduced in 2009.

Somewhere out there in Edmonton, Alberta, someone is holding a Lotto Max ticket worth $60 million that has gone unclaimed from the Oct. 26 draw.

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Asylum case backlog in Canada means almost a two-year wait

Canada column for Sunday, Nov. 4/18

THE CANADIAN REPORT

Asylum seekers illegally entering Canada from the United States now have to wait almost two years to have their claims processed.

That’s with an additional $74 million from the Canadian government to allow the hiring of 60 more workers to help clear some of the backlog.

The Immigration and Refugee Board said workers are adjudicating refugee claims and appeals, most of which are from the influx of tens of thousands of “irregular” border crossers at non-official entry points.

Wait times are expected to grow with an anticipated 60,000 new claims this year on top of a current inventory of 65,000 to be handled.

Once someone has been determined eligible to make a refugee claim, they normally get access to social assistance payments, education, health services, emergency housing and legal aid.

They can then apply for a work permit after they have undergone medical and security examinations.

Mail stopped in various cities across Canada due to rotating strikes

Canada column for Sunday, Oct. 28/18

THE CANADIAN REPORT

The mail isn’t going through in numerous cities across Canada as postal workers stage rotating strikes to back contract demands.

About 9,000 members of the Canadian Union of Postal Workers left their jobs for two days at the largest sorting plant and customer base in the Greater Toronto Area.

This created delivery delays for tens of thousands of Canadians awaiting letters and parcels across the country.

Canada Post workers also left their jobs in Vancouver, Niagara, Kelowna, Sudbury, Saint John, Calgary, Sherbrooke and Red Deer.

The union says the major issues are health and safety, equality for rural and suburban mail letter carriers and an end to “precarious work.”

Canada Post spokesman John Hamilton the workers have been offered increased pay, job security and improved benefits.

The rotating walkouts continue even as the Canadian government has appointed a mediator, Morton Mitchnick, a former chair of the Ontario Labour Relations Board, to help reach a negotiated settlement.

Gasket, Gunther and Goliath. Edmonton Humane Society

Canada column for Sunday, Oct. 21/18

THE CANADIAN REPORT

Now that marijuana use is legal across Canada, the government is moving to pardon Canadians with previous convictions of simple pot possession.

Business was brisk and parties and celebrations were numerous when the law changed on Wednesday.

For those still puzzled over why the Liberal government is allowing pot use, Prime Minister Justin Trudeau said the rationale is to “protect our kids and to keep the profits out of the pockets of organized crime.”

The provincial government-run Ontario Cannabis Store had 100,000 online orders in the first 24 hours that marijuana was legal.

Unlike other places, Ontario – Canada’s most populous province – will have no brick-and-mortar cannabis stores until April 1.

For now, online is the only way to legally obtain pot, with orders delivered by the Canadian post office in about three days.

The government is also planning to waive the fee of about $631 and waiting periods for pardons.

Canada enters "brave new world" with legal marijuana law

Canada column for Sunday, Oct. 14/18

THE CANADIAN REPORT

It’s being called a “brave new world” as marijuana for recreational use becomes legal throughout Canada on Wednesday.

In anticipation, cannabis producer Aphria Inc. chief executive Vic Neufeld advises there will be shortages in both stores and online sales sites.

Sales will be by government-run and private retailers who are aware there will be product shortfalls initially.

Estimated demand across Canada is about 675 U.S. tons this quarter year, with the forecasted available marijuana supply at 160 tons, said a report by the C.D. Howe Institute.

There are also some concerns about people crossing the border to the U.S. if they use marijuana or work for a cannabis-related company.

At the Canada-U.S. border at Ontario’s Thousands Islands crossing, there is a new sign saying “No cannabis at border crossings.”

The government warns that taking pot in any form across Canada’s international borders will remain illegal and can result in criminal penalties.

USMCA is the new NAFTA; not pleasing all Canadians

Canada column for Sunday, Oct. 7/18

THE CANADIAN REPORT

Reaction is mixed across Canada about the benefits and potential setbacks of the newly negotiated free-trade agreement.

Reached at the final hour before President Donald Trump’s ultimatum for Canada being included in the deal with the U.S. and Mexico, it’s now known as the USMCA (U.S.-Mexico-Canada Agreement).

“It’s a good day for Canada,” Prime Minister Justin Trudeau said in announcing the success after 14 months of negotiations to “modernize” the former North American Free Trade Agreement.

Details include Canada giving concessions on a major U.S. demand to allow more access to the Canadian dairy market and other supply managed farm products.

The U.S. can count wins as well in areas including intellectual property and influence in Canadian and Mexican trade deals with other countries.

The agreement has 34 chapters and 12 side letters. It can be read at the Canadian government website: http://international.gc.ca/trade-commerce/trade-agreements-accords-commerciaux/agr-acc/usmca-aeumc/summary-sommaire.aspx?lang=eng

Canada's central bank chief worries about trade deal

Canada column for Sunday, Sept. 30/18

THE CANADIAN REPORT

Should the U.S. follow through with punishing tariffs on Canadian-built vehicles and auto parts, there would be turmoil in the economy.

Bank of Canada Governor Stephen Poloz made the comment while saying that uncertainty over the fate of the North American Free Trade Agreement has already resulted in a drop in business investment.

In another bout of unflattering remarks about Prime Minister Justin Trudeau and Canadian NAFTA negotiators, President Donald Trump said if Canada isn’t in the new deal he will slap tariffs on autos.

Such a move would hurt Canadian workers as well as Americans since the major auto companies in Canada are owned by the Detroit-based companies.

Negotiators continue working to find an agreement but punitive measures such as tariffs could spike inflation and slow the economy, Poloz said.

BULLETIN: A revised NAFTA deal including Canada was reached. Go to: https://www.theglobeandmail.com/politics/article-canada-us-reach-outline-of-nafta-deal-pending-approval-of-trump/

The central bank held off raising its trendsetting interest rate this month but an increase is expected at the next announcement on Oct. 24.

Environmental impact of oil tankers latest attempt to get Trans Mountain pipeline expansion approved

Canada column for Sunday, Sept. 23/18

THE CANADIAN REPORT

The environmental impact of oil tankers shipping crude oil from Alberta to overseas markets is being reviewed to try to get approval to expand the Trans Mountain pipeline.

Natural Resources Minister Amarjeet Sohi said the Canadian government is giving the National Energy Board 22 weeks to complete a thorough review of the environmental impact of oil tankers off the British Columbia coast.

The government bought the existing pipeline from Kinder Morgan for $4.5 billion, approved the project and plans to sell it back when completed to a private buyer.

The Federal Court of Appeal has blocked the expansion saying more consultation and environmental impact studies are needed.

Sohi said he believes the latest plan will “allow us to meet the high standards that Canadians expect when it comes to protecting the environment.”

Under review will be the impact on killer whales with the number of oil tankers rising to 35 a month from the current five.

Canadian marijuana smokers, workers, investors could be banned from the U.S.

Canada column for Sunday, Sept. 16/18

THE CANADIAN REPORT

Canadians who admit smoking marijuana and work or invest in companies producing pot products could be barred for life from entering the United States.

As Canada’s law legalizing pot becomes effective Oct. 17, people need to be careful when crossing the border, officials warn.

The U.S. is not planning to change its rules about border crossings in light of Canada legalizing pot sales and use, said Todd Owen of the U.S. Office of Field Operations.

“Our officers are not going to be asking everyone whether they have used marijuana, but if other questions lead there or if there is a smell coming from the car, they might ask,” Owen told the Politico website.

If asked about past drug use, travelers should not lie because that would be “fraud and misrepresentation, which carries a lifetime ban,” he added.

The U.S. does not recognize those working or investing in the industry as a legal business.

Vancouver venture capitalist Sam Znaimer who told border officers he has invested in U.S. cannabis companies was one of the first given a lifetime entry ban.

NAFTA negotiators try to "milk" a Canada-U.S. deal

Canada column for Sunday, Sept. 9/18

THE CANADIAN REPORT

c By Jim Fox

An agreement to settle the dispute over revamping the North American Free Trade Agreement remains elusive as Canadian and U.S. negotiators try to “milk” a new deal.

Dairy rules remain the big issue as Canada continues to resist allowing more access by the U.S. to its market.

“The word that continues to block the deal is m-i-l-k,” said Larry Kudlow, director of President Donald Trump’s National Economic Council.

His comments came just before talks between U.S. trade czar Robert Lighthizer and Canada’s Foreign Affairs Minister Chrystia Freeland ended for the week in Washington.

“Let go milk, dairy, drop the barriers, give our farmers a break and we can fix some other things,” he added.

For the Canadian dairy industry, protecting its business is particularly politically charged in Ontario and Quebec.

Prime Minister Justin Trudeau said Canada could be willing to be flexible on dairy but Kudlow said it wasn’t enough.

Other differences include culture and the agreement’s dispute resolution mechanism.

Court overturns Canadian government's OK of Trans Mountain pipeline expansion

Canada column for Sunday, Sept. 2/18

THE CANADIAN REPORT

Ruling that native groups were not consulted properly, the Federal Court of Appeal has overturned the Canadian government’s approval of the contentious Trans Mountain pipeline expansion.

The three-member court’s unanimous decision was a major victory for environmentalists and Indigenous groups fighting the project.

They ruled that the National Energy Board’s review of the proposal was flawed and the government could not rely on it to approve the expansion.

The 710-mile Kinder Morgan pipeline carries crude and refined oil to British Columbia ports from Alberta.

This means halting the recently started expansion and sending it back to the review phase to examine impacts of ship tanker traffic and consulting more thoroughly with First Nations.

The decision comes as pipeline shareholders approved a deal to sell the pipeline and expansion project to the Canadian government for $4.5 billion, not including construction costs that could be as high as $9.3 billion.

Prime Minister Justin Trudeau said the government intends to have the pipeline expansion built “in the right way” and accepts the court’s criticism of the approval process.

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Politician Max Bernier says goodbye to the Conservative party; sets out to start his own

Canada column for Sunday, Aug. 26/18

THE CANADIAN REPORT

Disgruntled politician Max Bernier has delivered a political bombshell with a scathing attack on his federal Conservative party.

“This party is too intellectually and morally corrupt to be reformed,” said Bernier as he declared he was quitting.

Bernier from Quebec was unsuccessful in his bid to become Conservative leader after a devastating election loss for the party in 2015.

His startling announcement came at the party’s policy convention in Halifax when he announced he will start his own political party.

“It is clear that Max never accepted the result of the leadership vote and seeks only to divide Conservatives,” said former Prime Minister Stephen Harper.

“His decision allows the Conservative Party to move forward united behind our leader Andrew Scheer,” he added.

Appearing unfazed, Scheer rallied the party members with attacks on Prime Minister Justin Trudeau’s Liberal policies in advance of an expected election next year.

“He (Bernier) has decided that he is more important than his Conservative colleagues and indeed the party,” Scheer said.

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Snowbirds and Canadian sun-seekers can get hot deals from new Swoop airline

Canada column for Sunday, Aug. 19/18

THE CANADIAN REPORT

Snowbirds taking flight to their winter sun destinations in Florida, Nevada and Arizona have a new “ultra-low-cost” way of getting there.

Swoop, a subsidiary of WestJet Airlines, will become Canada’s super low-cost airline to fly to the United States starting in October.

Airline president Steven Greenway said the goal is to use Swoop’s low fares to stimulate demand from people who don’t typically fly.

It will also be a way of regaining business from some of the five-million Canadians who cross the border to fly out of U.S. airports to save money.

Flights began initially in June to Canadian destinations of Abbortsford, Edmonton, Halifax, Hamilton and Winnipeg.

Using Boeing 737-800 aircraft, Orlando, Tampa Bay, Fort Lauderdale, Las Vegas and Phoenix (Mesa) flights will begin in October.

One-way fares from $149 (Canadian) include taxes and fees through April while 4,100 seats will be offered at $99 and $119 if booked online until Feb. 13.

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Fredericton rocked by four shooting deaths, including two police officers; suspect wounded

Canada column for Sunday, Aug. 12/18

THE CANADIAN REPORT

The idyllic Atlantic Canada capital city of Fredericton, New Brunswick was shattered with the shooting deaths of four people including two police officers.

Constables Robb Costello and Sara Burns were the first two officers to rush to the aid of two people they found shot outside an apartment building early Friday.

As they approached the victims, they were shot by someone inside the building.

Police Chief Leanne Fitch said suspect Matthew Raymond, 48, of Fredericton was seriously injured in a shooting standoff with police.

At a news conference Saturday, police said they were investigating a connection between the shooter and Donald Robichaud, 42, and Bobbie Lee Wright, 32, who were killed.

Costello, 45, was a 20-year police veteran with four children, while Burns, 43, had been an officer for two years and was married with three children.

Neighbors reported shots being fired at 237 Brookside Drive and called the police.

The incident happened four years after three Mounties were killed and two were wounded in Moncton, New Brunswick by a man who had a hatred for the police.

Kelly Craft, U.S. ambassador to Canada, said she was “shocked and troubled” to hear of the Fredericton shooting.

Canada trade surplus with U.S. rises; dips with the world

Canada column for Sunday, Aug. 5/18

THE CANADIAN REPORT

Canada’s merchandise trade surplus with the United States rose in June to $4.1 billion with a record amount of goods shipped south.

The U.S., which is Canada’s largest trading partner, received $37.1 billion in exports, an increase of 2.5 percent that was largely in cars and light trucks.

At the same time, Canada’s imports from the U.S. rose 0.3 percent to $32.9 billion.

Statistics Canada said the country’s merchandise trade deficit with the world dipped to $626 million, the smallest in 17 months.

This improvement, up 4.1 percent in exports, to a record $50.7 billion was mainly because of higher exports of energy products and aircraft.

Energy exports mostly in oil climbed 7.1 percent to $9.9 billion, the highest since October 2014.

Overall, Canada’s imports were down 0.2 percent to $51.3 billion while transportation equipment and parts exports were 18.9 percent higher at a record $2.5 billion largely for business jets.

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Amazon creates buzz of activity by building, creating jobs in Canada

Canada column for Sunday, July 29/18

THE CANADIAN REPORT

Amazon is on a tear across Canada creating new facilities and hiring thousands of workers.

The latest announcement by the Seattle-based e-commerce retailer is a “fulfillment center” in Caledon, north of Toronto, to ship books, electronics and toys.

It will cover one-million square feet and employ 800 people and is Amazon’s sixth facility in Ontario and ninth in Canada.

It is expected to open by the end of next year along with a facility in Ottawa, adding more than 1,400 jobs to the province.

Last April, Amazon said it will expand its Vancouver technology hub and create 3,000 new high-tech jobs.

It will be in a new office tower on the site of the city’s old post office, opening in 2022.

Amazon now employs 6,000 people at facilities in Ontario, British Columbia, Alberta, and Quebec.

Awaited is the decision by Amazon for the location of its second North American headquarters, with Toronto among the 20 finalists.

Canada still prefers a three-country NAFTA deal: Prime Minister Trudeau

Canada column for Sunday, July 22/18

THE CANADIAN REPORT

Prime Minister Justin Trudeau reaffirmed the value of a renegotiated North American Free Trade Agreement as President Donald Trump again attacked Canada’s dairy tariffs.

There are suggestions a deal might be reached between the U.S. and Mexico before one with Canada’s involvement.

Trudeau said, however, an agreement with the three partners is preferred as being the best for all involved for “ensuring prosperity for workers across North America.”

Mexican government officials will be in Washington next Thursday to resume talks but there is no plan for Canada’s Foreign Affairs Minister Chrystia Freeland to join the discussion.

Trudeau told reporters on Friday that a renegotiated NAFTA “is at the centre of everything we do” to create jobs and expand the economy.

The U.S. steel and aluminum tariffs imposed on Canada were in response to the tariffs of up to 270 percent on dairy, Trump said.

Under Canada’s supply-management system, there are domestic production quotas on dairy, eggs and poultry to keep prices stable and guarantee farmers a steady income.

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Interest rate hikes make living costs more for most Canadians

Canada column for Sunday, July 15/18

THE CANADIAN REPORT

By Jim Fox

Canadians are paying more for variable rate mortgages and lines of credit as the central bank raised its key interest rates over free trade concerns.

The Bank of Canada upped the rate by 0.25 percent to 1.5 percent, the fourth increase in a year as the economy heats up with strong employment gains.

Canada’s major banks followed by increasing their prime-lending rates one quarter of a point to 3.7 percent.

Bank Governor Stephen Poloz said the increase was prompted by “the various uncertainties we face” with trade tensions the biggest issue for the country.

As for U.S. tariffs on steel and aluminum, there could be difficulties for some industries and workers but “the effect of these measures on Canadian growth and inflation is expected to be modest,” he said.

Auto, truck tariffs would threaten Canadian jobs, manufacturing

Canada column for Sunday, July 8/18

THE CANADIAN REPORT

Canada’s economy and jobs would take a direct hit should the United States carry out its threat to put tariffs on Canadian-made cars and trucks.

The government retaliated with tariffs on July 1 against President Donald Trump’s new duties on Canadian steel and aluminum.

Prime Minister Justin Trudeau promised quick action on the further threat of a 25-percent tariff on cars and trucks.

The federal strategy on tariffs is to neither back down nor escalate the dispute, said Foreign Affairs Minister Chrystia Freeland.

A CIBC Capital Markets study predicted that U.S. tariffs at 25 percent on foreign auto sales in the U.S. would cut Canadian production by 400,000 vehicles a year.

That number could rise to 900,000 fewer vehicles annually if such a tariff is aimed solely at Canada.

The Canadian Automobile Dealers Association wants the government to resist retaliatory tariffs on autos as it would put up to 30,000 sales jobs at risk in the retail sector.

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Canada retaliates against U.S. tariffs including taxes on ketchup, whisky

Canada column for Sunday, July 1/18

THE CANADIAN REPORT

A ketchup war highlights the tiff between the United States and Canada over trade.

Canada’s Liberal government, retaliating for President Donald Trump’s punishing tariffs on steel and aluminum, is hitting back with fees on $16.6 billion on products from the U.S. effective today (Sunday).

At the same time, the government of Prime Minister Justin Trudeau announced a $2-billion financial-aid package to support workers and industries in the vulnerable steel, aluminum and manufacturing sectors.

Foreign Affairs Minister Chrystia Freeland unveiled a list of U.S. products facing reciprocal tariffs already on steel and aluminum imports from the U.S.

The items subject to new duties of 10 to 25 percent are from a wide range of sectors, including ketchup, maple syrup and whisky, lawn mowers, motorboats, playing cards and screws.

Canada’s dollar-for-dollar countermeasures are reciprocal retaliation to “illegal” and “absurd” tariffs, Freeland said.

Trudeau will visit Leamington, Ontario today – Canada’s 151st birthday – where U.S. based Heinz closed its ketchup plant with the loss of 700 jobs in 2014.

French’s then began making its ketchup from those Canadian tomatoes and opened a plant in Toronto as Heinz now ships its U.S. ketchup north and faces new duties.

Governments sort out how marijuana legalization will work in Canada

Canada column for Sunday, June 24/18

THE CANADIAN REPORT

Provincial governments are scrambling to determine how it will all work as Prime Minister Justin Trudeau announced that Canadians will be able to legally use recreational marijuana.

The legalization of pot becomes effective across Canada on Oct. 17.

The move was promised in the Trudeau Liberals’ election platform and the launch date had been set for July 1, Canada Day, but procedural issues and delays prevented meeting the target.

The Cannabis Bill was passed by Parliament, the Senate and given Royal Assent by the Governor-General ending Canada’s near-century-old prohibition.

Governments in the provinces and territories can decide where and how the products will be sold, either in private stores or government facilities such as liquor stores.

The age restriction for legal use is 19 but a year younger in Quebec and Alberta and there will be strict regulations on where it can be consumed.

The government also passed a bill with harsher penalties for driving while impaired by alcohol or drugs.

Buy Canadian movement is catching on after U.S. tariffs, threats

Canada column for Sunday, June 17/18

THE CANADIAN REPORT

Canadians are being urged to stay cool as they react to punishing tariffs, threats and verbal knocks from U.S. officials.

An online movement urges a boycott of U.S. goods and vacations and buying T-shirts saying “Buy Canadian Eh” (www.teespring.com/shop/buy-canadian-eh) that is gaining momentum.

Economists suggest that a trade war could only make matters worse.

Things heated up after the G7 conference in Quebec last weekend when U.S. President Donald Trump objected to Prime Minister Justin Trudeau saying that Canada wouldn’t be pushed around by the U.S.

He tweeted that Trudeau was “dishonest” and “weak” while White House trade advisor Peter Navarro went further to comment that there is “a special place in hell” for Trudeau.

Trump later said Trudeau’s comments would cost Canadians “a lot of money.”

The Canadian government plans strategic retaliatory tariffs on July 1 to counter the U.S. fees on steel and aluminum and there are threats to expand that to the automotive sector.

Social media hashtags such as #BuyCanadian, #BoycottUSA and #BoycottUSProducts include #ThanksCanada for Americans to show support for Canadians.

Conservatives devastate opponents in Ontario election with Premier-elect Doug Ford

Canada column for Sunday, June 10/18

THE CANADIAN REPORT

Promising to “put more money in your pocket,” Doug Ford led his Conservatives to a sweeping victory in the Ontario provincial election.

The popularity of the brash former Toronto city councillor along with citing a need for change after 15 years of Liberal rule, voters gave Ford’s party a majority government.

The Conservatives had 76 members elected while the socialist New Democrats led by Andrea Horwath will form the Official Opposition with 40 elected.

With a series of scandals, spending concerns and high energy costs, voters failed to give the ruling Liberals even official party status with just seven elected to the Ontario Legislature.

Liberal Premier Kathleen Wynne, who was narrowly re-elected in her Toronto district, resigned as party leader.

Green Party Leader Mike Schreiner made history being the first member of the party elected in Ontario.

The victory sends a clear message that “Ontario is open for business” and there will be an “era of economic growth and prosperity,” Ford said.

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Punitive U.S. tariffs on Canada called "ridiculous" by Trudeau

Canada column for Sunday, June 3/18

THE CANADIAN REPORT

Prime Minister Justin Trudeau said the punitive tariffs President Donald Trump placed on Canada are “ridiculous” and will backfire.

In what was called the worst case of anti-Canadian sentiment in history, the U.S. imposed punishing tariffs on steel and aluminum imports from Canada, Mexico and the European Union.

Canada responded with retaliatory dollar-for-dollar “countermeasures” on up to $16.6 billion in U.S. imports.

Trump said the days of the U.S. being taken advantage of in trade deals “are over” at a time of an impasse in the renegotiation of the North American Free Trade Agreement.

“We’re actually going to see hardship happening on both sides, particularly on the American side of the border, as the unintended consequences of putting trade tariffs on their closest ally and trading partner begin to be felt,” Trudeau said Friday.

It’s not known if Trump will expand on his comments next week at the G7 summit Trudeau is hosting in Quebec.

Canada’s tariffs will make a long list of U.S. products more expensive beginning July 1.

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Two bombers sought after 15 hurt in blast at Toronto-area Indian restaurant

Canada column for Sunday, May 27/18

THE CANADIAN REPORT

Three people remain in Toronto-area hospitals with “critical injuries” after a crude bomb was detonated in an Indian restaurant.

Twelve other diners injured in the blast were treated at hospitals and released after the incident at the Bombay Bhel restaurant in Mississauga during two birthday celebrations.

Videos showed two men who had their faces covered entering the restaurant and detonating a bomb and then running away.

Police said so far there is no indication the explosion was an act of terrorism or a hate crime.

“Every police resource available” is trying to track down those responsible for this “horrendous act,” said Peel Regional Police Chief Jennifer Evans.

The owners of the well-known and popular restaurant called the bombing “extremely horrific and sad.”

The Consulate General of India in Toronto has opened a helpline to assist.

Consul General Dinesh Bhatia said those injured were Indian or Indo-Canadian and long-time residents of Canada.

Canadian leader pitches NAFTA in New York visit

Canada column for Sunday, May 20/18

THE CANADIAN REPORT

Canadian Prime Minister Justin Trudeau made his best pitch yet at Yankee Stadium for an agreement on a revised North American Free Trade Agreement.

As Canada, the United States and Mexico looked for a speedy resolution of the talks, Trudeau was making a commencement speech to New York University graduates at the ball park.

It was the 16th time Trudeau has taken a working trip to the U.S. since becoming prime minister in 2015 to tell his audiences that the Canada-U.S. trade relationship is critical for both countries.

Despite his best efforts and optimism that a deal was close, Trudeau also spoke with U.S. President Donald Trump who earlier threatened to end the agreement.

The U.S. then rebuffed Trudeau’s hope for deal for the pact first signed in 1994 and for which negotiations to modernize it began last August.

U.S. trade czar Robert Lighthizer said a deal wasn’t imminent due to differences on intellectual property, agriculture, online purchases, energy, labor, rules of origin and other issues.

While in New York, Trudeau received an honorary degree from the university.

Flights to Caribbean islands to resume in time for the winter by Canadian airlines

Canada column for Sunday, May 13/18

THE CANADIAN REPORT

Canadians airlines are heading back to the Caribbean after repairs to airports and key infrastructure from devastating hurricanes.

Air Transat’s seasonal flights will return to St. Martin/St. Maarten and San Juan, Puerto Rico from Montreal and Toronto before Christmas for four months.

Transat’s Debbie Cabana said the destinations are mainly embarkation ports for cruises.

Air Canada expects to operate its normal schedule to the winter destinations along with WestJet while Sunwing wants to get back early next year to St. Maarten where many of the hotels are being repaired.

Islands hardest hit by the storms were Puerto Rico, U.S. Virgin Islands, British Virgin Islands, Anguilla, St. Barthelemy, St. Martin, St. Maarten, Barbuda, Cuba and Dominica.

Places with less damage such as Grand Cayman, St. Lucia and St. Vincent and the Grenadines benefited with additional visitors.

A study said the hurricane season resulted in a loss of 826,100 visitors to the Caribbean and about 740 million in spending.

Canada trying to cope with massive asylum-seeking migrants at border

Canada column for Sunday, May 6/18

THE CANADIAN REPORT

Some critics are suggesting that Prime Minister Justin Trudeau asked for what he is seeing with a massive refugee influx.

Trudeau said last year: “To those fleeing persecution, terror and war, Canadians will welcome you, regardless of your faith. Diversity is our strength.”

Since then, the illegal refugee influx at the U.S./Canada border, largely in Quebec, is becoming unmanageable.

There are so many – 4,000 migrants crossing into Quebec recently – that the Mounties are having to build a police station along the border to cope.

More than 80 percent of the immigrants are going through the U.S. from Haiti, with the rest including people from India, Mexico, Colombia and Turkey.

In the past year, there have been more than 20,000 illegal border crossings into Canada by those seeking asylum.

Those entering the country illegally are subject to arrest but are released to await hearings and appeals to stay in Canada while they are allowed to work, have access to “free” health care, schools and receive welfare payments.

With the arrival of warm weather, the number of border crossers in Quebec alone, near Champlain, N.Y., is expected to reach more than 400 a day.

Toronto police are investigating "incel" possible involvement in horrendous van massacre

Canada column for Sunday, April 29/18

THE CANADIAN REPORT

By Jim Fox

Toronto police are investigating whether a recently graduated college student was inspired by a California mass murderer after a speeding van ran down and killed 10 people and injured 16 others.

Alek Minassian, 25, of suburban Richmond Hill, faces first-degree murder and attempted murder charges in the incident on the sidewalk of busy Yonge Street in North Toronto.

The victims, eight of them women who appeared to be targeted by the driver, ranged in age from 22 to 94 years old.

Police homicide Inspector Bryan Bott said a “cryptic” message on a Facebook profile just moments before the incident began refers to “incel,” an online community of the “involuntarily celibate.”

It draws inspiration from Elliot Rodger, 22, who killed six people in California in 2014 after posting a video angered about his rejection by women and sexual frustration.

After trying to flee from the van, Constable Ken Lam confronted the driver who challenged him to shoot claiming he had a gun.

Lam is being praised for his cool action in ordering the man to surrender without a shot being fired.

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Record high gas prices could follow pipeline fallout, dollar dip in Canada

Canada column for Sunday, April 15/18

THE CANADIAN REPORT

Canadian drivers could be paying record-high gas prices – even hitting $2 a liter out west – this summer as a dispute over a crude oil pipeline project heats up.

Also at play, says Dan McTeague, an analyst at Gas Buddy, are rising global oil prices and a lower-valued Canadian dollar.

“The world is getting its oil fundamentals back in balance and supply and demand are looking a lot closer,” McTeague said.

With gas prices topping an average of $1.30 a liter, or $4.94 (Canadian) for a U.S. gallon, it’s almost 18 cents a liter higher than a year ago.

A major concern is the Alberta’s government threat to reduce the flow of crude oil to neighboring British Columbia in a feud over the expansion of the Trans Mountain pipeline.

Environmental protesters have been hampering progress on the pipeline work to west coast ports even though it has been approved by the federal government.

The British Columbia government is also opposing the project, leading owner Kinder Morgan to suspend work until the end of May and to threaten to cancel the project.

Possible breakthrough in NAFTA talks makes Canadian prime minister "cautiously optimistic"

Canada column for Sunday, April 8/18

THE CANADIAN REPORT

Canadian Prime Minister Justin Trudeau is “cautiously optimistic” of a breakthrough in free trade talks with the U.S. and Mexico.

Speaking in Quebec City, Trudeau said negotiations for a revamped North American Free Trade Agreement are making “good progress” in spite of challenges.

“I believe we’re in a moment where we’re moving forward in a significant way,” Trudeau said, even as U.S. President Donald Trump has been dampening expectations for a breakthrough in the coming week.

While Trump predicted the three countries would have something to announce “fairly soon,” he added: “We get it done right or we’ll terminate (NAFTA).”

The talks are now involving higher-level players as Foreign Affairs Minister Chrystia Freeland met Friday in Washington with U.S. trade representative Robert Lighthizer and Mexican Economy Secretary Ildefonso Guajardo.

There’s speculation there could be an announcement when Trudeau, Trump and Mexican President Enrique Pena Nieto meet in Peru at the Summit of the Americas, April 13 and 14.

Canadians rankled by President Trump's comments on pipeline, trade deficit: Fake news

Canada column for Sunday, April 1/18

THE CANADIAN REPORT

Canadians are trying to be good neighbors to its United States’ ally in spite of more “questionable” comments by President Donald Trump.

Mild-mannered Canadians tend to let things go but the latest “misinformed” comments have rankled many over the planned Keystone XL pipeline.

“Trump tells another tall tale,” said the Canadian Broadcasting Corp. after he said he wasn’t thanked by the head of TransCanada for approving the controversial line to the U.S. from Alberta.

“The boss of whatever the hell company it is never actually called me to say thank you,” Trump said in a speech promoting his infrastructure spending plan.

“But that’s OK, we’ll remember,” he added.

Not true, the Canadian Press news service reported, noting that when Trump signed an executive order for the project, TransCanada’s Russ Girling was next to him in the Oval Office and he thanked him twice, videos show.

“Thank you, Mr. President. This is a very, very important day for us, for our company,” Girling said.

Also in March, Trump boasted that he made up facts about a (not true) U.S. trade deficit with Canada while speaking to Prime Minister Justin Trudeau.

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Canada to crack down on gun sale practises and firearm crimes

Canada column for Sunday, March 25/18

THE CANADIAN REPORT

The Canadian government plans to get tough with people buying guns and crimes.

While not an epidemic in this country, gun crimes are increasing with 223 firearm-related deaths in 2016, up 44 from a year earlier.

A wide-ranging firearms bill outlined in the House of Commons would assist police in investigating gun trafficking and other crimes, Public Safety Minister Ralph Goodale said.

At a time when a survey finds 69 percent of Canadians support an outright ban on guns in urban areas, the government wants to also respect law-abiding firearm owners.

The bill would tighten Canada’s firearms law with enhanced background checks for anyone seeking a firearms license and mandatory record-keeping for gun sellers.

Police would conduct a more extensive background check and follow-up to include criminal, mental health, addiction and domestic violence records.

Canadian crime rates have been declining for more than 20 years but firearm offenses – homicides, domestic and gender-based violence involving guns, criminal gang activity and gun thefts – are up significantly, Goodale said.

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Trudeau assures steelworkers as President Trump says he tried to "mislead" Canada

Canada column for Sunday, March 18/18

THE CANADIAN REPORT

Prime Minister Justin Trudeau has assured steelworkers that he “has their backs” in the event of punishing tariffs threatened by U.S. President Donald Trump.

Trudeau’s assurances came during visits to steel plants in Hamilton and Sault Ste. Marie, Ontario, Quebec and Saskatchewan.

Canada and Mexico have been temporarily reprieved from worldwide tariffs of 25 percent on steel and 10 percent on aluminum as the North American Free Trade Agreement negotiations continue.

Trump, however, now admits trying to mislead Canada by insisting to Trudeau that the U.S. has a massive trade deficit with Canada.

In a fundraising speech, Trump said he “had no idea” of the numbers, adding: “I said, ‘wrong, Justin’ . . . I didn’t even know.”

Figures from the 2018 White House Economic Report signed by the President says the U.S. has a trade surplus of $2.6 billion with Canada on a balance-of-payments basis.

Canada sells about 85 percent of its steel and aluminum to the U.S. as the country’s largest foreign provider.

Trans Mountain pipeline expansion will go ahead despite protests: Trudeau says

Canada column for Sunday, March 11/18

THE CANADIAN REPORT

* News Update *

Doug Ford wins Ontario Conservative Party nomination for leader.

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The $7.9-billion expansion of the Trans Mountain pipeline will be built despite widespread protests in British Columbia, Prime Minister Justin Trudeau says.

The Kinder Morgan project, approved by the Trudeau government in 2016, would triple the amount of crude oil shipped to the west coast port of Burnaby from Edmonton, Alberta to 890,000 barrels a day.

“This project is in the national interest and it will get built,” Trudeau said.

“We will continue to ensure that we are protecting the environment while growing the economy and working across the country to ensure the projects that are in the national interest move forward,” he added.

Permit disputes and environmental concerns have delayed construction as political leaders from both provinces warn of trade-war sanctions.

British Columbia said it will not allow increased oil shipments until it does more research on pipeline safety and responses to possible spills.

Alberta Premier Rachel Notley said there has been a loss of millions of dollars in revenue and thousands of jobs due to bottlenecks in the existing pipeline.

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Trump accuses Canada of "smooth" moves in trade as steel, aluminum tariffs loom

Canada column for Sunday, March 4/18

THE CANADIAN REPORT

Canada’s a “smooth” operator when it comes to trade with the U.S., says President Donald Trump.

His comments come as U.S. lobbyists are pushing to spare Canada from punishing tariffs on steel and aluminum.

Such penalties to be detailed in the coming week are “ill-conceived and counter-productive” as Canada buys more American steel than any other country, the Wall Street Journal commented.

“Mr. Trump is punishing our largest trading partner in the middle of a NAFTA renegotiation that he claims will result in a much better deal,” it added.

The United Steelworkers union is calling for Canada to be excluded from the tariffs that are primarily aimed at China.

“We have an integrated economy and if it gets undone, America will pay a heavy price,” the union said.

Despite a cozy relationship with Prime Minister Justin Trudeau, Trump is unwavering.

“We lose a lot with Canada – people don’t know it. Canada is very smooth. They have you believe that it’s wonderful – and it is – for them. Not wonderful for us,” he said.

Ontario wants to retaliate against states with Buy American provisions

Canada column for Sunday, Feb. 25/18

THE CANADIAN REPORT

Retaliation against U.S. “protectionist measures” has already begun by the Ontario government.

Premier Kathleen Wynne said her Liberal government will target states that adopt Buy American provisions with regulations that reduce procurement opportunities proportional to the restrictions imposed.

International Trade Minister Michael Chan said the policy outlined in a bill will “ensure that Ontario businesses and workers have access to other markets and are treated fairly when operating within those markets.”

The aim is to create a “level playing field” for Ontario and the U.S. but opposition politicians say it could be a risky move.

Such issues should be dealt with by the Canadian government, not the provinces, as it “might cause some bigger problems for the nation,” said socialist New Democratic Party Leader Andrea Horwath.

“When jobs and opportunities for Ontario workers are threatened, my government will always respond,” Wynne said.

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Ontario Conservative's turmoil continues; Patrick Brown seeks to regain leadership

Canada column for Sunday, Feb. 18/18

THE CANADIAN REPORT

The Ontario Conservative party’s disarray continues after former leader Patrick Brown seeks to win his job back and clear his name of sexual misconduct allegations.

Brown, 39 and single, has entered the race to select a new leader on March 10 even as interim leader Vic Fedeli expelled him from the party.

He left his job on Jan. 25 after CTV News reported that two young unnamed Barrie, Ontario women accused him of inappropriate behavior from years ago.

Staunchly denying the allegations and after some of the report’s facts have been challenged for accuracy, Brown said he is suing the network.

“You lied – you defamed me,” an embattled Brown said after several witnesses have also contested the allegations by the women who have not taken their complaints to the police, as Brown has urged them to do.

Others in the leadership race are Tanya Granic Allen, Christine Elliott, Doug Ford and Caroline Mulroney ahead of the June 7 provincial election.

Meanwhile, Ontario Premier Kathleen Wynne said she is looking into “troubling allegations” of sexual assault complaints against a former unidentified Liberal cabinet minister from 12 years ago.

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Oh, say can you see the new gender neutral words in O Canada?

Canada column for Sunday, Feb. 4/18

THE CANADIAN REPORT

“O Canada,” the country’s national anthem, is going to be reworked to make it more gender neutral.

For the sake of political correctness, the Senate has approved a bill to change the second line of the anthem from “in all thy sons command” to “in all of us command.”

The change fulfills the dying wish of Liberal politician Mauril Belanger who had sought the change for years.

It gained more urgency when he was diagnosed with Lou Gehrig’s disease and it was passed by the Commons two months before his death.

Also in a case of correctness, Halifax councillors decided to immediately remove a statue of Edward Cornwallis from a downtown park.

This followed protests to end the reverence of colonial figures as part of reconciliation with the country’s native people.

After a 12-4 vote, the bronze figure of Halifax’s contentious military founder was placed in storage until a decision is made on its fate.

Cornwallis is viewed by some as a brave leader while others say he was the commander of a bloody and barbaric extermination campaign against Mi’kmaq inhabitants.

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Ontario Conservative leader quits after sexual misconduct claims

Canada column for Sunday, Jan. 28/18

THE CANADIAN REPORT

The Ontario Conservative party has been thrown into disarray after leader Patrick Brown abruptly resigned over sexual misconduct claims by two unidentified women.

Brown, 39, a bachelor, denies being involved in inappropriate actions with the young women about 10 years ago.

In his fall from power, Brown says he will remain a politician for Simcoe North as he fights the accusations.

The bombshell comes just months before Brown was to lead his party into the June 7 provincial election as a favorite against the ruling Liberals and New Democrats.

The Conservatives appointed finance critic Vic Fedeli to be interim leader while naming Brown’s successor will be done by March 31.

Fedeli suggested that Brown take a leave of absence to defend himself, adding that he “believes the women.”

Meanwhile, Kent Hehr has resigned from the federal cabinet as sport and disabilities minister after being accused of making inappropriate sexual remarks while a provincial politician a decade ago.

“Harassment of any kind is unacceptable and Canadians have a right to live and work in environments free from harassment,” Prime Minister Justin Trudeau said.

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Bank of Canada boosts trendsetting interest rate

Canada column for Sunday, Jan. 21/18

THE CANADIAN REPORT

The cost of borrowing has gone up again as Canada’s central bank raised its trendsetting interest rate.

The jump by one-quarter percent by the Bank of Canada is the third increase since last summer and the highest rate in nine years.

An impressive increase in economic numbers led the bank to raise the rate but it warned of the potential impact of uncertainties about rewriting the North America Free Trade Agreement.

There’s speculation the bank will increase the rate at least twice more this year but potential negatives about the agreement’s outcome could affect its outlook.

The bank said “some continued monetary policy accommodation will likely be needed” to keep the economy operating close to its full potential.

“We can't just relax and assume that it would be a small shock,” said bank governor Stephen Poloz.

Trade impacts of the deal’s demise might not have such a major impact on Canada but would likely impact the amount of investment in the country.

Canada’s major banks almost immediately raised their prime lending rate by 0.25 percent to 3.45 percent.

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Protests over Tim Hortons shops cutting employee benefits over $14 minimum wage

Canada column for Sunday, Jan. 14/18

THE CANADIAN REPORT

Protesters have gathered outside the iconic Tim Hortons coffee shops encouraging a customer boycott.

They’re upset that some of the chain’s franchisees have eliminated paid breaks and reduced health benefits for employees to compensate for having to pay a higher minimum wage.

That was explained as a way to cope with higher costs with the Jan. 1 increase in Ontario’s minimum to $14 an hour from $11.60 and to $15 next year by the provincial government.

Parent company Restaurant Brands International denounced the action against the workers, saying it doesn’t reflect its values.

Many franchised owners say, however, they have “no alternative” but to implement such cost-saving measures “in order to survive.”

Restaurant Brands has confirmed that some Hortons locations as well “in select markets have slightly increased prices for some breakfast menu items.”

The Canadian-based multinational fast food restaurant, founded by Horton, the late Toronto Maple Leafs’ hockey player, has more than 4,600 outlets in 90 countries.

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Baby it's cold outside; Canada caught in the deep freeze

Canada column for Sunday, Jan. 7/18

THE CANADIAN REPORT

They’re talking about the weather in eastern Canada but unable to do much about it aside from keeping warm and away from blizzard “bombs.”

Unrelenting frigid air has much of Canada in its grip, setting record low temperatures in Toronto and many places.

In Atlantic Canada, a ferocious storm cut power to 150,000 customers, flooded coastal roads, battered sailboats and downed trees with hurricane-force winds.

Affected by the “weather bomb” with up to 20 inches of snow were Nova Scotia, New Brunswick and Prince Edward Island.

Just as things appeared to be warming after Toronto set a record -23 C (-10 F) overnight Friday, plus wind chill, Environment Canada issued a province-wide warning to prepare for more cold and snow.

Toronto has opened additional warming centers and is using armouries as shelters for the homeless.

The so-called polar vortex with frigid Arctic air has turned the usual free-flowing Niagara Falls into a frozen spectacle.

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