Close X
Tuesday, January 28, 2025
ADVT 
National

Ottawa threatens to use rare law in Buy America dispute with U.S.

Darpan News Desk The Canadian Press, 19 Jan, 2015 02:14 PM

    OTTAWA — The Canadian government is threatening to block a U.S. construction project in British Columbia after the state of Alaska rejected Ottawa's demands that it ditch the project's Buy America restrictions.

    International Trade Minister Ed Fast says an order was signed today under the Foreign Extraterritorial Measures Act regarding Alaska's plan to build a new ferry terminal in Prince Rupert exclusively with American iron and steel.

    Fast says Alaska's decision to apply protectionist U.S. policy on Canadian soil is unacceptable, and is calling on the state to seek a waiver that would remove the barrier.

    The law says Ottawa can prevent anyone in Canada from complying with policies such as Buy America on the grounds they adversely affect Canadian interests.

    If the bidding process moves forward with the Buy America policy, the Canadian government's order could be exercised against the winning contractor and could lead to a police investigation.

    The Alaska Marine Highway has operated the ferry terminal for more than 50 years and the project's call for tenders is scheduled to close Wednesday.

    The tendering document states the roughly US$15 million project must only use U.S.-manufactured iron and steel, as per Buy America legislation.

    An official for the Alaska Marine Highway has said the contract must comply with Buy America provisions because the funding comes from the U.S. Federal Highway Administration.

    In a statement, Fast said the federal government was ready to exercise the order and called the application of Buy America in Canada an "affront to Canadian sovereignty."

    "Buy America provisions deny both countries' companies and communities the clear benefits that arise from our integrated supply chain and our commitment to freer and more open trade," he said.

    A spokesman in Fast's office says the only other time the federal government used the Foreign Extraterritorial Measures Act was in 1992, after the U.S. tried to restrict trade between Cuba and U.S.-owned subsidiaries based in Canada.

    The Prince Rupert dispute comes after another Buy America controversy over a bridge in Morrison, Colo.

    The U.S. government reversed a decision in October that would have forced the small town of Morrison to dismantle a bridge constructed with a small amount of American steel manufactured in a Canadian plant.

    MORE National ARTICLES

    Alberta to talk about 'consistent' carbon price at climate change conference

    Alberta to talk about 'consistent' carbon price at climate change conference
    EDMONTON — Alberta's environment minister says the province plans to use the upcoming climate change conference in Peru to discuss a uniform price for carbon across Canada and the rest of the continent.

    Alberta to talk about 'consistent' carbon price at climate change conference

    Woman shot in 1989 Montreal Massacre remembers confronting killer

    Woman shot in 1989 Montreal Massacre remembers confronting killer
    MONTREAL — Nathalie Provost will never forget confronting gunman Marc Lepine just before he shot her four times during an armed assault that left 14 women dead at Montreal's Ecole polytechnique.

    Woman shot in 1989 Montreal Massacre remembers confronting killer

    Canada loses 10,700 jobs in November, jobless rate up slightly to 6.6 per cent

    Canada loses 10,700 jobs in November, jobless rate up slightly to 6.6 per cent
    OTTAWA — The overall drop in Canada's job market last month was so small it fell within the survey's rounding error, but experts remained optimistic Friday about the country's labour prospects for the future.

    Canada loses 10,700 jobs in November, jobless rate up slightly to 6.6 per cent

    Northern B.C. First Nations to pursue part ownership of LNG, mining projects

    Northern B.C. First Nations to pursue part ownership of LNG, mining projects
    A group of B.C. First Nations has joined forces in hopes of taking the reins on natural gas and mining projects in the province's resource-rich north.

    Northern B.C. First Nations to pursue part ownership of LNG, mining projects

    Canadian Officials Hope Avian Flu Outbreak Contained To 4 Farms; 35,000 Birds To Be Euthanized

    Canadian Officials Hope Avian Flu Outbreak Contained To 4 Farms; 35,000 Birds To Be Euthanized
    Canadian officials hope an avian flu outbreak has been contained to four quarantined poultry farms in British Columbia.

    Canadian Officials Hope Avian Flu Outbreak Contained To 4 Farms; 35,000 Birds To Be Euthanized

    Veterans deserve special constitutional rights like aboriginals, lawyer argues

    Veterans deserve special constitutional rights like aboriginals, lawyer argues
    VANCOUVER — A lawyer representing six soldiers disabled while fighting for Canada in Afghanistan says veterans deserve special treatment under the constitution in the same way aboriginals are given unique rights.

    Veterans deserve special constitutional rights like aboriginals, lawyer argues