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Canada91Ƶs labour unions could play big role in efforts to avert 91ƵBuy American91Ƶ rules

Protectionism is a bigger force in the U.S. than it was even 10 years ago
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President-elect Joe Biden participates in a meeting with the National Governors Association91Ƶs executive committee in Wilmington, Del., Thursday, Nov. 19, 2020. Canada91Ƶs biggest private-sector unions are likely to play a starring role when Joe Biden91Ƶs proposed Buy American rules take centre stage next year. THE CANADIAN PRESS/AP-Andrew Harnik

Canada91Ƶs largest private-sector unions could be among those with their hands on the helm next year when the time comes to navigate the shoals of Joe Biden91Ƶs proposed Buy American rules.

The president-elect, a self-proclaimed 91Ƶblue-collar Joe,91Ƶ makes no secret of his affinity for organized labour, or of his plan to ensure U.S. workers and companies are first in line to reap the benefits of his economic recovery plan.

91ƵI want you know I91Ƶm a union guy. Unions are going to have increased power,91Ƶ Biden said he told corporate leaders during a meeting this week on his strategy for the economy.

91ƵThey just nodded. They understand. It91Ƶs not anti-business. It91Ƶs about economic growth, creating good-paying jobs.91Ƶ

That working-class solidarity could be good news for Canada, where prominent unions like the United Steelworkers and the United Food and Commercial Workers have members on both sides of the border.

91ƵWe91Ƶre going to be a voice, and rightfully so,91Ƶ said Ken Neumann, the national director of the Canadian branch of the United Steelworkers, 225,000 of whose 850,000 North American members live and work north of the border.

91ƵOur union has a long-standing relationship with president-elect Biden 91Ƶ and he knows who the Steelworkers are, so we are going to work hard to say that Canada should not be excluded.91Ƶ

UFCW International president Marc Perrone was among the U.S. labour leaders who took part in Tuesday91Ƶs economic panel with Biden. The union boasts 1.3 million members across North America, including more than 250,000 in Canada.

91ƵWe are currently monitoring the situation and working through our international office to ensure that the views and concerns of our members 91Ƶ on both sides of the border 91Ƶ are front and centre,91Ƶ UFCW Canada president Paul Meinema said in a statement.

Following that meeting, Biden was jarringly clear: no government contracts will be awarded to companies that don91Ƶt manufacture their products in the United States, reprising similar rules he oversaw as Barack Obama91Ƶs vice-president in 2009. The United States was struggling back from the financial crisis and deep recession that followed.

Canada successfully negotiated waivers to those rules 10 years ago. It91Ƶs also likely that Biden91Ƶs unequivocal rhetoric is meant primarily for U.S. ears, considering the extent of domestic tensions in America91Ƶs superheated postelection atmosphere.

But those tensions are real, and protectionism is now more of a force in the U.S. than it was in 2009, regardless of which party is in power, said Dan Ujczo, an Ohio lawyer who specializes in international trade.

91ƵThere91Ƶs almost a universal view that whatever needs to be done has to include some type of a Buy American provision,91Ƶ said Ujczo, chairman of Dickinson Wright91Ƶs Canada-U.S. practice group.

The narrow results of the Nov. 3 election suggest there are plenty of working-class Americans in battleground states like Pennsylvania, Michigan and Ohio who hold no strong allegiance to either party, he said.

91ƵThose are the voters that are still up for grabs by either Democrats and Republicans, and Buy American resonates there. So to me, that is a significant difference 91Ƶ the tide has become even stronger for Buy American.91Ƶ

Jerry Dias, president of Unifor, formerly the Canadian Auto Workers and Canada91Ƶs largest private-sector union, said he91Ƶs confident Biden91Ƶs presidency will herald a new era in relations between the two countries.

91ƵI think the United States is going to head in a much better direction as it relates to the safety of the people,91Ƶ Dias said of the administration91Ƶs incoming efforts to address the COVID-19 pandemic.

91ƵI think it91Ƶll be a kinder, gentler nation within the confines of the United States, and frankly, I think the relationship with Canada will improve.91Ƶ

Indeed, COVID-19 91Ƶ which has laid bare the supply-chain dependency that exists between the two countries 91Ƶ may offer Canada its best chance to forge closer ties, Ujczo said.

Since getting the virus under control will be Biden91Ƶs top priority once he takes office, a shared approach to the production and distribution of personal protective equipment like face masks, gloves and gowns will make a lot of sense 91Ƶ to say nothing of the shared border, which has been closed to non-essential travel since March.

91ƵThere91Ƶs the political space right now to come together and say, 91ƵLet91Ƶs look at how we create a Canada-U.S. market for PPE, for vaccination, et cetera,91Ƶ Ujczo said.

91ƵIf you start there, then you can say, 91ƵWe don91Ƶt need Buy American for that,91Ƶ and then it91Ƶs an easier conversation that has to go to the next thing.91Ƶ

Canada, of course, has its own protectionist sentiments.

Dias, Neumann and others say Canada should be taking a page from the U.S. playbook and doing more to ensure that their Canadian members reap the benefits when taxpayer dollars are spent on infrastructure in their own country.

91ƵIt91Ƶs sad to see that we have bridges in our country that are built with Chinese steel,91Ƶ Neumann said. 91ƵI mean, what don91Ƶt we get?91Ƶ

Don91Ƶt assume that the end of the Trump era will automatically usher in a new era in the U.S., even after Biden takes office, warned Michael Froman, who was U.S. trade representative during Obama91Ƶs second term.

91ƵThere is actually a high risk of miscalculation by our trading partners 91Ƶ who sort of assume that everything is going to be sweetness and light going forward,91Ƶ Froman told a panel discussion Wednesday.

91ƵThe issues that have been at issue between ourselves and our trading partners are very much likely to remain a focus in need of getting resolved, not swept under the carpet.91Ƶ

James McCarten, The Canadian Press


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