Inbound Logistics | July 2023

The strength of the trade relationship between the neighboring countries is illustrated daily in border crossings, where freight handled by experienced logistics providers moves seamlessly both ways.

C anada and the United States are joined at the hip—geographically, culturally, and economically. And in remarks to the Canadian Parliament in spring 2023, U.S. President Joe Biden went even further than that. “Americans and Canadians are two people, two countries, in my view, sharing one heart,” he said. Canada, Mexico, and China are the United States’ top three trading partners. Measured by logistics alone, however, the American relationship with Canada enjoys a status all its own. “Canada and the United States share the longest land border in the world,” Canadian Prime Minister Justin Trudeau said in remarks following Biden’s address to Parliament. “We share three oceans and the Great Lakes.” INTERTWINED AND INSEPARABLE Those geographical links and the longstanding friendship between the two countries translate into a uniquely cooperative experience in border crossings—for both freight and people. Just ask vacationing Americans who cross from Niagara Falls, New York, to Niagara Falls, Ontario, and back again with ease. Likewise, logistics providers on both sides of the Canada-U.S. border attest to the relatively seamless nature of the customs procedure as products move between the countries. Logistics companies and shippers that have experience with, and knowledge of, the rules and regulations governing the process are routinely on top of any changes and adjustments in real time. No wonder. The two countries are more than mere neighbors and friends. President Biden puts it this way: “Our destinies are intertwined and they’re inseparable.” All indications point to a bond that is not going to change anytime soon. Trudeau puts it this way: “Whether it’s protecting our shared waters, including

In 2021, the White House announced the creation of the Supply Chain Disruptions Task Force to address pandemic-era road and rail bottlenecks around borders and major ports. Among other things, the task force has worked to increase digital information ow between private companies operating logistics supply chains. Meanwhile, Canada established its own Supply Chain Task Force to solicit recommendations regarding short- and long-term solutions to supply chain challenges from industry experts, businesses, and workers. The result of all this has been the establishment and, when necessary, adjustment of requirements that enable manufacturers and shippers to comply with regulations free of undue stress—so long as the companies making the actual crossings are sufciently prepared. U.S.- and Canada-based logistics providers with rich experience in border crossings, such as FLS Transportation and Polaris Transportation Group, stand ready to provide those services. FORGING AHEAD The pandemic served to underline, strengthen, and illuminate the mutually benecial trade relationship between the United States and Canada. And in the aftermath of the pandemic, that relationship is more important than ever. “We’ve seen a lot more business repatriated to North America,” explains Dave Cox, president of Polaris Transportation Group, a Toronto area- based industry leader in transit to and from the United States. While driving on a business trip from Polaris headquarters just outside Toronto in Mississauga, Ontario, to the Cleveland suburb of Mentor, Ohio, Cox reects on how the bonds between the North American neighbors grow year after year, through all challenges and changes.

in the Arctic, conserving biodiversity, or building strong net-zero economies, Canada and the United States will continue to work together as partners.” The partnership between the two countries is especially strong in commerce and trade. Biden has said the United States has no closer friend or ally than Canada. Nearly $2.6 billion in goods and services crossed the shared border every day in 2022, an almost 20% increase over the previous year. This trade is vital to the economies of both countries, supporting millions of jobs on both sides of the border. KEYS TO STRENGTHENING THE PARTNERSHIP Both countries strive to keep border crossings as smooth and efcient as possible. To that end, both governments established the U.S.-Canada Supply Chain Working Group to support the “Roadmap for a Renewed U.S.-Canada Partnership,” a blueprint created in 2021 to strengthen U.S.-Canada supply chain security and to “reinforce the deeply interconnected and mutually benecial economic relationship between our two countries.” In a joint statement, Biden and Trudeau explained: “It creates a partnership on climate change, advances global health security, bolsters cooperation on defense and security, and reafrms a shared commitment to diversity, equity, and justice. Bound by history and geography, the partnership between the United States and Canada endures because we invest in each other’s success.” The Supply Chain Working Group focuses on enhancing cooperation in key areas, including trade, with the objective of reaching greater alignment and identifying potential vulnerabilities. The Working Group has initiated a Joint Economic Analysis to map supply chains and explore issues such as skills development and regulatory cooperation.

July 2023 • Inbound Logistics 167

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