Canada, Mexico Have Keen Interest in U.S. Business Success
In a global economy, companies have to be the best to compete, and not just in the U.S., or even just in North America.
Jason Meyers, a commentator on economics from Canada, told state leaders that the three North American countries should work together for long-range success.
“We can grow and make sure we have companies that can take on the rest of the world,” Meyers said during the session, “Jobs and Commerce,” Saturday, Oct. 22, during The Council of State Governments 2011 National Conference and North American Summit. “No other two countries in the world have as much of a stake in your success than Mexico and Canada.”
The northern border, for instance, each day sees $1.5 billion of trade, with 30,000 trucks and 300,000 people crossing the border, 60 percent of whom are traveling for business purposes, according to Meyers
The relationship is not just one built on trade, he said. “This is a very special relationship based on interconnectedness of our supply chains. Competitiveness of U.S. businesses is a very high priority for businesses in Canada and Mexico,” he said.
“We build things together; we innovate together; we provide solutions together and we compete together,” Meyers said.
But more and more, he said, complicated procedures make it more difficult on North American businesses than other international businesses face. For instance, every vehicle made in the United States has seven parts that have crossed the border once, Meyers said. That, plus delays, and redundancies in warehousing and inventory the company must handle, can add as much as $700 to the cost of a vehicle made in North America, Meyers said.
Meanwhile, “Buy American” or “Buy Canadian” restrictions harm and complicate the interwoven relationship, Meyers said.
“This doesn’t benefit anybody,” he said. “You don’t create job opportunities by closing off business, by closing off the market.”