Canada Settles Its Anti – “Buy American” Ban

Canadian officials have come up with a resolution that threatened to ban American companies to bid on city contracts because of the ‘Buy American’ push by the United States says Canadian news source, CBC News.

The threat to ban American companies deminished after it was reported that the U.S. would exempt Canada from the “Buy American” created in the Stimulus Plan.

“We are encouraged by the talks now underway between Canadian and U.S. officials and want to give them the time and space to reach a successful outcome,” federation president Basil Stewart said Saturday Oct 3rd.

The resolution created by the Federation of Canadian Municipalities will support cities that adopt policies allowing them to buy only from companies whose home countries don’t impose trade restrictions against Canadian goods. The action was to take effect Sunday.

The “Buy American” provision gives priority to U.S. iron, steel and other manufactured goods for use in public works and building projects funded with taxpayer stimulus money.

Canadian governments and businesses are against the policy, arguing it violates NAFTA.

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