Our statement on the importance of Canada-UK trade —in response to major global economic turbulence from the US tariffs.

In addition to the resumption of flights between London and Ottawa announced by Air Canada, we were very happy Friday evening to celebrate, with Sir Richard Branson, the resumption of Virgin Atlantic flights from London to Toronto. The partnership between Virgin and West Jet means that all of Canada is now within easy reach for a greater number of Britons. The links between our two great countries are strengthening, even as we face a giant economic and diplomatic stress test. Travel and tourism are very important aspects of the Transatlantic trade between the UK and Canada: from St Johns, Newfoundland and Halifax, Nova Scotia, in the east to the Rockies and Vancouver Island, British Columbia, in the West, Canada has a massive selection of geographic and historic destinations for British tourists to enjoy. Quebec adds a magnificent cultural and linguistic twist to the mix, with the Grand Prix in June a magnetic draw for lovers of speed. 

After Brexit, the UK retained access to a number of markets, including Canada, under terms very similar to those enjoyed by the EU. Over time those old trading terms may become stale or need to be adjusted to new economic conditions or products. The UK’s inclusion in CPTPP at the end of 2024 does not make a massive change to the UK’s trading position in the short term, but it does signal a commitment both to virtually-tariff-free trade and respectful relationships with friendly nations around the globe. As more markets seek to join the CPTPP, the pact will become increasingly important not just to international trade but to the belief in the rule of law, respect for national identities, and the benefits of mutuality in raising the standard of living across the globe. 

The Canadian government has committed to the modernisation of the Canadian surface fleet with the construction of the River-Class Destroyers, based on a design by BAE Systems and similar to ships being built for the UK and Australian Navies. This contract emphasises Canada’s commitment to its NATO obligations and its close relationship with the UK on defence and economic issues. Aerospace and vehicles make up a large section of trade in both directions across the Atlantic. Commodities such as bulk food and oil make up another big portion of our relationship.

We support and stand with Candace Laing, President and CEO, Canadian Chamber of Commerce in hoping "that today’s positioning regarding Canada by the U.S. is part of a path to real negotiation, ultimately leading to long-term partnership focused on continental economic security and resilience."

Financial services, incoherently omitted from the US evaluation of its international balance of trade, make up another enormously valuable link between the UK and Canada: Canadian pension plans are some of the biggest investors in the UK. In fact, one of Rachel Reeves’ first overseas stops was to Canadian investors to ensure the continued interest in the UK but also to learn how Canada’s pension industry has been so successful. Even last week, the Lord Mayor of the City of London was in Toronto speaking to Canadian banks and pension plan administrators to promote the connections between the City and Bay Street.

The current US administration has shown itself to be undependable as a trading partner but that does not mean the end of free-trade, nor the end of strong trading opportunities for Canadian and UK companies. 

British Canadian Chamber of Trade and Commerce 🇬🇧🇨🇦