Boosting Canadian Prosperity Through Interprovincial Trade: Insights from the Calgary Chamber of Commerce

The Calgary Chamber of Commerce has revealed an 82-point strategy aimed at addressing the challenges posed by what the group identifies as Canada’s weakening domestic economy and competitiveness in the face of U.S. tariffs.

The chamber’s public policy plan focuses on enhancing the potential of Canadian businesses through the development of interprovincial trade corridors. Trade between the provinces would increase productivity and boost the economy, the business association’s report says.

“Canada is at an inflection point. For years, we’ve seen our productivity and competitiveness lag our peers,” Calgary Chamber of Commerce CEO Deborah Yedlin said during a press conference. “Canada has now fallen from the sixth most productive economy globally to the 18th.”

The recommendations in the report look at ways to make Canada more productive and competitive, especially now that the country anticipates facing American tariffs this spring.

U.S. President Donald Trump recently granted Canada a 30-day pause from the 10 percent tariff on oil and gas, as well as the 25 percent tax imposed on all other imported products after reaching an agreement with Canadian Prime Minister Justin Trudeau. Trudeau vowed to enhance Canada’s $1.3 billion border security plan with the appointment of a “fentanyl czar” and other measures to prevent cross-border drug trafficking.

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The one-month pause does not guarantee that Canada will not face tariffs in the future, though. Trump may decide to reinstate the tariffs next month if he is not satisfied with Canada’s progress on border security. Trump is also considering implementing a wide range of tariffs against several countries, including Canada, in April.

That uncertainty should prompt the government to take action, Yedlin said.

“The recent—and still impending—threat of tariffs from the United States has rightly amplified and focused our attention on this long-standing issue,” she said. “Now, more than ever, Canadians are looking to governments and businesses to seize this moment and take action to protect Canadian jobs and workers, grow the Canadian economy, and build a strong future for Canadians from coast-to-coast-to-coast.”

Economic Plan

The chamber’s plan underscores the role of businesses in shaping the economic agenda at the national level.

To that end, the chamber is calling on Ottawa to develop interprovincial trade corridors to reduce the economy’s reliance on the United States for growth.

The chamber report suggested collaborating with provinces to minimize regulatory differences and transportation and labor mobility restrictions while increasing investment in rail, highways, aviation, and inland ports to enhance connectivity between provinces.

The chamber is also urging the federal government to streamline bureaucracy and red tape to help businesses invest more time in productivity and expansion.

Fiscal responsibility is also vital to the country’s success, the report said. It recommends that Ottawa balance spending with saving for the future and reduce the federal debt and deficit.

Bringing the federal debt-to-GDP ratio below 40 percent and ensuring government policy takes economic growth and productivity into account were also key recommendations.

“Canada has the foundations for success: an enterprising population, abundant natural resources, a world-class reputation, a strong democratic system, and rule of law, and a good quality of life. To protect this foundation and unleash our potential, we need to improve our productivity—and do it quickly,” Yedlin said.

“Businesses of all sizes and from all sectors will need to be at the heart of this work. The plan we’ve unveiled today is about supporting those businesses to grow, innovate, and be competitive.”