Excerpts of remarks by Ambassador of the United States of America David Jacobson Economic Club of Canada

October 29, 2009

As prepared for delivery

Ambassador Jacobson spoke at the Economic Club of Canada on October 29, 2009. Photo: From The Economic Club of Canada.

I wanted to come here because Canada and the United States share the richest, the broadest, and the deepest relationship that exists between any two countries on earth.  What would be extraordinary in other countries seems ordinary to us.  The United States and Canada have -- through years of partnership and effort -- created the closest relationship between two sovereign nations in history. 

But we are more than just great neighbors.  More than just steadfast allies.  More than just close friends and business partners.  We are family: family with deep connections across the continent that have developed and flourished over generations.   An estimated 3 million people in the United States trace at least part of their ancestry back to Canada.  And Canada is home to more than a million Americans.  Many families straddle our common border – including President Obama’s, whose sister is married to a man from Burlington, Ontario. 

Because we are family, we’ve always been there for each other.  From Halifax in 1917 to New Orleans in 2005, Americans and Canadians have come to each other's aid.  We have stood shoulder-to-shoulder on the battlefields of Europe and as partners in the defense of North America.  Today American and Canadian soldiers are defending freedom together in southern Afghanistan. And together we built the prosperity of our continent.

North American Prosperity

Trade between the United States and Canada is a critical part of our prosperity. Millions of jobs in the United States and Canada are linked to our trade.  That trade and many of those jobs were made possible by NAFTA --which has served Canada, Mexico and the United States so well.

This year, trade is down and our two economies are hurting. Rebuilding and sustaining the prosperity of the United States was obviously the single greatest challenge facing President Obama and his administration when we took office.  Canada's economy was in a better position when the current crisis erupted but Canada too has suffered job losses and business closures alongside the American economy.  Our two governments have been working very closely together in our efforts to avoid a catastrophe and to restore our economies to health. 

I also understand that there have been some problems along the way.  And none has gotten more attention than the “Buy America” provisions in our stimulus act.  In virtually every conversation I have had with Canadian officials or the Canadian media the first thing they ask me about is Buy America. The President understands, and I understand the concern this provision has caused in your country.  The President is a strong believer in free trade.  He is a strong believer in the fact that free trade is the way out of the difficult economic times we face together.

But as the President has said, it’s also important to put Buy America into the proper perspective.  Buy America only applies to a small part of U.S.- Canada trade: procurement by state and local governments which is paid for with stimulus money.  It has no impact on procurement by my federal government. It has no regulatory impact on the vast bulk of state or local procurement that is not paid for with stimulus money. And it should have no impact on trade between private parties.

There have been on-going high level negotiations to try to put the Buy America issue behind us.  And while there hasn’t been a deal yet, both sides have characterized the discussions as constructive.  Now that I am here as the United States Ambassador, I hope I will be able to facilitate those discussions in a positive way. The United States has no more important trading partner than Canada.

Partners Around the World

The United States and Canada share the same goals around the world.  Together we combat terrorism and the ideology of hate that sustains it. Together we seek to prevent the proliferation of weapons of mass destruction. Together we promote economic growth and broad-based development through open markets. Together we seek to advance human rights, democracy, and good governance.  Above all, together we seek a better, a safer, a more prosperous world. President Obama has asked us to think outside the box.  He's asked us to find creative solutions to our common problems.  His message of hope inspired me when we first met in Chicago years ago.  Now, it has inspired the world. 

He has launched a new era of engagement based on common interests, shared values, and mutual respect.  No country stands closer to the United States in this shared outlook on the world than Canada.  Today, we are combating global challenges of epic proportions.  Rather than balking at these problems, the United States and Canada are working together to build the better world we seek. We’re partners in Afghanistan as we strive to bring peace to that troubled country.  I want to express my deep appreciation for the tremendous effort of the Canadian Forces in Afghanistan.  Their service -- and their sacrifice -- are respected and honored by the President, by me, and by the American people.

I also want to commend the efforts of the Canadian International Development Agency and its programs for helping Afghan farmers.  Last year, CIDA helped six thousand farmers convert from growing opium-producing poppies to wheat.  The result was 350 tons of grain these farmers could use to feed their families and to sell in local markets.  These programs were so successful that I understand CIDA will expand them to reach almost 11 thousand farmers next year.  These are the kinds of innovative projects that will bring stability back to Afghanistan.  And this is kind of creative thinking that brings hope to places where hope is in short supply.

We are partners in the Middle East.  Next week, Secretary of State Clinton will be in Morocco for the 6th “Forum for the Future.”  I am delighted that Foreign Minister Cannon is joining these discussions as Canada assumes the leadership of the G-8.  The Forum for the Future and the Broader Middle East and North Africa Initiative are building a blueprint for how the G-8 and Middle Eastern countries can work together to support grassroots reform in social, political, and economic development.

Here in the Americas, the United States and Canada have worked together to bring hope to the people of Haiti.  Our governments are exploring ways we can work together to rehabilitate Haiti's electricity sector.  On Honduras, Canada's Minister of State for Foreign Affairs, Peter Kent, is playing a key role along with the United States, Mexico, and Costa Rica in the effort to restore the constitutional order through negotiations. 

Iran poses a very real and critical challenge to the international community – one the United States and Canada are facing together.  President Obama has made nuclear disarmament a key element of his Administration's foreign policy.  And he has made clear that all nations must enter the non-nuclear future together.  Canada has been a partner in this effort.  I might add that we will always remember Canada's courageous support to the Americans in Tehran during one of our darkest hours.

Energy and the Environment

I believe it is important to address our shared energy and environmental future. Canada is a pillar in the energy security of the United States.  It is no surprise to any of you that Canada is the largest supplier of all forms of energy to the United States.  And Canada is our most secure and our most reliable source of energy in the world.

The oil sands of Alberta, which I visited recently, are the second largest proven petroleum reserves in the world -- after Saudi Arabia.  The oil sands will – no doubt – play a role in our energy security. But we must never forget that our close partnership on energy requires an equally close partnership on the environment.  Together we face environmental challenges and must make difficult choices as we seek to develop clean technologies to reduce carbon emissions. 

Our two countries must share the results of our research, development, and innovation in order to protect our environment and to meet our energy needs.  This is exactly what the Clean Energy Dialogue – agreed to by President Obama and Prime Minister Harper last February – is all about.  And it is through opportunities like Copenhagen that the world can come together to address what each of us can do to ensure our common future. We are stewards of shared resources.  We breathe the same air.  Drink the same water.   We cannot address these issues in isolation. 

Protecting North America and our Publics

President Obama has made it clear that protecting the people of the United State is his first priority.  Likewise your leaders understand the importance of protecting the Canadian people.  We are working together to address the threats to both of our countries.  This is nothing new.  Ever since the Ogdensburg Declaration, issued by President Roosevelt and Prime Minister King on August 18, 1940, the United States and Canada have recognized that the defense of North America is an inseparably shared responsibility. 

Our military partnership – in NATO, which just celebrated its 60th Anniversary and in NORAD, which marked its 50th anniversary last year – is unprecedented.  No two militaries are more integrated or more compatible than ours. As Prime Minister Harper stated during his press conference with President Obama earlier this year: "The view of this government is unequivocal:  threats to the United States are threats to Canada."  The reverse is also true.  A threat to Canada is a threat to the United States.

Our cooperation and our shared defense have served both countries well for generations.  We are now working together to ensure that our common defense is adequate to protect us from the threats of the 21st century.  Part of addressing the new threats of the 21st century necessitates new requirements at the border.  Programs like the Western Hemisphere Travel Initiative are intended to facilitate the movement of legitimate travelers. 

I believe that security for both the American and Canadian people, and efficiency at the border is not a zero-sum game.  We do not need to choose either security or trade.  If we approach this intelligently, we can have both.  Part of the issue at the border is that much of our border infrastructure is outdated.  Some predates the Second World War. We need to improve it and make better use of new technologies.   Fortunately, significant amounts of money were allocated in the U.S. stimulus package for border infrastructure. Canada too has allocated resources to this issue.

A Word of Perspective

The closeness of our relationship, just as in many families, produces wonderfully supportive structures.  But from time-to-time it also produces some dust-ups. I have talked about a few of them today.  When the dust-ups occur, they are fodder for those who love to speculate about the daylight between the United States and Canada. But it is important to keep these dust-ups in perspective.

I believe that the measure of a relationship is not whether there are problems from time to time, but rather whether both countries demonstrate the resolve to address those issues in a constructive fashion, and to move forward in our search for what my new Canadian counterpart in Washington, Gary Doer refers to as our mutual best interests.  And by that standard, the relationship between the United States and Canada is as strong as it has ever been.

As my President wisely says, when we have disagreements: "There must be a sustained effort to listen to each other; to learn from each other; to respect one another; and to seek common ground." You have my word that I will do everything in my power to try to meet the standard my President has set for me.

We share so much.  As President Kennedy -- another hero of mine -- said in words that are literally carved into the granite walls of my embassy in Ottawa: "Geography has made us neighbors. History has made us friends. Economics has made us partners, and necessity has made us allies."  Today we should reaffirm our relationship as neighbors, as friends, as partners, and as allies.

Thank you very much.