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Canada Wont Benefit From Trade Accord With Korea, Studies Say

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Canada Wont Benefit From Trade Accord With Korea, Studies Say

Canada probably wouldnt benefit from a free trade agreement its negotiating with South Korea as part of a strategy to increase business with Asia, according to two studies posted on the Canadian trade ministrys Web site.

The studies focused on the automobile industry, which accounts for about a fifth of trade between the two countries, and found that a trade accord would have either a negligible or a negative impact on the Canadian economy. Still, the studies are more favorable than others released today by the Canadian Auto Workers Union, saying a pact may cost Canada 4,000 jobs.

Even with the most positive scenario, Canada breaks even - - no advantage shown by the governments own studies, Canadian Auto Workers President Buzz Hargrove told reporters today in Ottawa after meeting with Trade Minister David Emerson. Our studies show an incredibly negative impact.

More : bloomberg.com

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