Crisis or Catalyst? Canada’s Moment of Reckoning

Ajay Gupta, CCLP, discusses the opportunities and challenges for Canada in the context of the current trade & tariff dilemma with the United States.

This opinion piece was written by Ajay Gupta, CCLP, MBA, P.Log, PAIn as part of a presentation at the Green Freight Forum. View the slide presentation here. Opinion pieces published on this website are offered for perspective and do not necessarily reflect the positions of CITT.

Vladimir Lenin famously said "There are decades where nothing happens; and then there are weeks where decades happen" 

Are we facing a serious crisis ? -  You bet.

Is it an existential one ? – Quite likely, so.

Canada is at cross-roads and, literally, the trillion-dollar question is : Will we Canadians – as a collectivity – come together to orchestrate a spectacular paradigm shift, OR will we simply waste this crisis ?
Let us kick that around a bit. We are embroiled in a ‘David vs Goliath’ fight and the road ahead is going to be very, very tough, either way – no question about it.  But the conditions have never been so ripe for a complete transformation of Canada into a global powerhouse.

Canada has a new government – with little baggage – that has a clear mandate for instituting drastic changes, and has earned a near-majority.  

And, to quote Jagmeet Singh, ‘Canadians in unprecedented numbers are wrapping themselves in the maple leaf’. The Federal Government has shared a bold new vision, articulating seven* very crisp and clear priorities that address the need of the hour.  Incidentally, number two in the list is “Removing interprovincial trade barriers and expediting major infrastructure projects.” 

And, to quote our newly minted Prime Minister, Canadians can do more for themselves than any other country can take away. The external threat – or, threats, if you will – has resulted in Canadians banding together like never before. Canadians are in no mood to brook any partisanship, or political bickering and finger pointing at this critical juncture.  And, remember, Canada has always punched above its weight on a global scale: after all, Peace Keeping / Blue Helmets are Canada’s humble gift to the world, just to cite one outstanding example.  There is absolutely no reason why we can not shoot for big, hairy, audacious goals domestically.

Finally, our national finances are in reasonably decent shape, as measured by the Debt-to-GDP ratio.

Hence, my contention that the societal conditions are definitely ripe, with the concomitant political will, to boot.  

Next, let us briefly examine what else is necessary to achieve extraordinary success?
To put it bluntly, we as a collectivity, have grown somewhat complacent over the last three to four decades.  Our productivity – as measured by GDP per Capita – has been falling. We need to re-kindle our burning desire to succeed, get out of our own way, and unleash the unimaginable talent that we uniquely possess.  

Canada boasts a sizable, proficiently trained workforce, which is at the cutting edge of technology in multiple niche sectors, an educated population, an internet savvy environment, and that quintessential mature spirit of compromise, apart from considerable soft power, internationally. A laser-sharp focus on our priorities,  targets, and an uncompromising spirit of collaboration is de riguer.  That applies equally to the three levels of government, the private sector, the NGO’s, and – surprise, surprise – us Canadians at an individual level.

Specifically, our private sector needs to grow even more ambitious in terms of diversifying our markets.  Remember, the highest number of free-trade agreements were forged during the Stephen Harper years.  Yet, our national share of exports to the US has barely moved – from an estimated 78% at the turn of the century to the current 75% or so.  We need to at least quadruple that geographical shift, and in very short order. 

 What that means is that it takes more than just pious intentions to succeed in the fiercely competitive international market.  And, Canada simply has no choice in this matter – we are a trading nation and hence, MUST make quantum leaps in developing international markets at this watershed moment in our history.

Let us seize the moment and give ourselves the marching orders to forge ahead like there was no tomorrow.
If we give it all we have – AND, more – there is little doubt that history will judge this phase as the moment when Canada remade itself.  Let us not waste this crisis!



*Seven Priorities : 
1. Renegotiating Canada's relationship with the United States and strengthening relations with other countries; 
2. Removing interprovincial trade barriers and expediting major infrastructure projects; 
3. Helping Canadians with the cost of living; 
4. Making housing more affordable and catalyzing a modern housing industry; 
5. Building the Canadian military and reinforcing domestic security; 
6. Refocusing immigration; and 
7. Reducing the cost of government operations.