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2009 Manitoba

Transportation

Report

Prepared For: Manitoba Infrastructure and Transportation

Transport Institute, University of Manitoba

This report has been financially supported by the Manitoba Department of

Infrastructure and Transportation. The views expressed do not necessarily represent

those of the Department. The Department provides no warranties as to the validity or

accuracy of the information presented herein.

Introduction

The worldwide recession has had a profound impact on all business segments, with every

sector of the economy being affected. The impact on transportation has been significant with the

idling of hundreds of container vessels, abundant capacity in truck fleets, and a significant drop

in rail car loadings. We are only at the beginning of the turnaround with indications of a

strengthening economy appearing weekly.

Major issues being addressed in Canada’s premier conferences in 2009 include Rail Service,

Near-Sourcing, Supply on Demand, and China’s comeback. The need for detailed information

on all aspects of transportation flowing in and through the province of Manitoba has not

diminished but become ever more important for policy and decision makers in the province.

The Manitoba Transportation Report has been developed to fill this need for detailed

transportation information and trends. This report is produced for Manitoba Infrastructure and

Transportation. The target audience is the Minister of Infrastructure and Transportation,

executive officers in the department responsible for policy development and the many policy

analysts that support the department’s activities.

Data presented in this report is the latest available Statistics Canada, Manitoba Bureau of

Statistics, and industry data. This year’s report has been reformatted to better reflect the nature

of the information being presented. Due to the varying release dates of statistics, it is difficult to

present data in a consistent time-frame while still utilizing the most recent data available. In this

edition, all statistics and figures are current to at least 2007, while some further present data

collected in 2008 and 2009. A particular problem in data gathering over the past year has been

the lack of weight data reported by Statistics Canada. UMTI has developed a methodology to

estimate the weights based on historical weight to value relationships. We have been working

with Statistics Canada to reestablish the reporting of weight data in Statistics Canada reporting

systems.

Table of Contents

1. The Economic Impact of Transportation in Manitoba - $3.23 Billion in 2007 ............................ 1

2. Transportation and Warehousing and the Regional Canadian Economy ............................... 18

3. The State of the Macro Economy ................................................................................................... 40

Manitoba Economic Situation ................................................................................................... 46

Economic Indicators ................................................................................................................... 47

Monetary and Energy Indicators .............................................................................................. 59

4. Trade .................................................................................................................................................. 68

Domestic Trade & Infrastructure Utilization .......................................................................... 71

Export Routing and Usage of Transportation Infrastructure ......................................... 71

Usage of Manitoba’s Transportation Infrastructure ........................................................ 77

Manitoban Export Border Crossings ................................................................................. 95

Canadian Export Border Crossings ................................................................................... 99

Manitoban Import Border Crossings ............................................................................... 101

Canadian Import Border Crossings ................................................................................. 105

Manitoba International Trade ................................................................................................. 107

Manitoba’s International Exports ........................................................................................... 107

Manitoba’s International Imports .................................................................................... 113

NASCO Trade ............................................................................................................................ 119

Exports ........................................................................................................................................ 119

Imports ................................................................................................................................. 127

5. International Markets .................................................................................................................... 135

Advanced Markets .................................................................................................................... 135

European Union .................................................................................................................. 137

Japan ..................................................................................................................................... 145

United Kingdom ................................................................................................................. 151

United States ....................................................................................................................... 158

Emerging Markets ..................................................................................................................... 165

Brazil ..................................................................................................................................... 167

China .................................................................................................................................... 174

India ...................................................................................................................................... 180

Mexico .................................................................................................................................. 186

Russia ................................................................................................................................... 192

South Korea ......................................................................................................................... 198

Canadian International Trade ................................................................................................. 204

Exports ................................................................................................................................. 204

Imports ................................................................................................................................. 219

Glossary ................................................................................................................................................... 235

List of Figures ......................................................................................................................................... 239

List of Tables ........................................................................................................................................... 245

1

1. The Economic Impact of Transportation in Manitoba1 - $3.23 Billion in 20072

The activities of various sectors of an economy are intertwined with those of other sectors in an

economy such that the economic impact is magnified or multiplied throughout the overall

economy. Measurement of such effects is undertaken through economic impact models which

attempt to quantify the intersectoral relationships. There are numerous designs of such models,

which vary primarily in the scope of the ‚net‛ which defines the direct impacts of the sector

under investigation.

For this study of transportation in Manitoba, the definition applied is the commercial carriage of

goods and people. This definition is advantageous to producing sound measures of the impact.

It limits criticism of overstatement of the effects by limiting the sectors considered to those

directly performing commercial transportation. It excludes allied sectors such as service

industries (example hotels), repair shops, or equipment manufacturers. When included these

allied sectors open the measured economic impact to criticism since the multiplicative effects of

activities from the direct industry include the impacts on these allied sectors. Overall this more

restrictive definition of the sector minimizes the validity of any criticism of double counting.

The Manitoba Bureau of Statistics regularly updates the parameters of the Input/Output model

which proxies the activities of and interactions among the various sectors of the economy. It is

these interactions which provide the iterative process of the model. While making the model a

more accurate reflection of the economy, these revisions compromise the validity of

comparisons made to previous reports3.

The robustness of economic impact results is dependent on the quality of information acquired

about the direct (or economic impact ‚driver‛) sector, and the quality of the input output matrix

used to derive the indirect and direct effects. Manitoba is a relatively small economy with few

firms in many sectors. The consequence is general weakness of direct and input output data.

Two approaches are available to acquire data for the direct sector. Data can be acquired from

third party data providers or the sector can be directly surveyed. In both cases, estimates of the

economic drivers of the entire population are developed from the survey.

1 Annual data updates along with changes in multipliers, may yield results that are not comparable

among annual reports. 2 The dollar related information in this section is in current dollars. 3 An example of this is found when comparing the 2006 Economic Impact of Transportation between the

2008 and 2009 editions of the Manitoba Transportation Report. In the 2008 edition, this figure was

reported as $3.34 Billion.

2

This analysis uses data acquired from third party data providers, principally Statistics Canada.

This approach reduces costs, allows the creation of historical results and assures greater

consistency of that historical information. The modes included in the analysis are:

For Hire Trucking

Rail

Aviation

Couriers and Local Messengers,4 and

Urban and Interurban Bus

Based upon the ‚driver‛ data provided, the Manitoba Bureau of Statistics generates the indirect

and induced effects using multipliers created by its analysis of intersectoral relationships.

Figure 1.1 summarizes the estimated growth in total GDP for Manitoba that is derived solely

from transportation activities5. Total GDP measured on this basis rose from $2.8 billion in 2003

to $3.23 billion in 2007. Overall annual contribution to GDP has remained fairly stable since

rising to $3.2 billion in 2005.

Figure 1.1: Trend in Total GDP from Transportation in Manitoba

($ Billion)

This total includes the leverage effect of direct activity in transportation on other sectors.

4 Couriers and local messengers include the major international courier companies such as FedEx. 5 These transportation activities comprise aviation, trucking, rail, courier, and bus (urban and other) in

Manitoba.

2.802.89

3.20 3.21 3.23

$0.00

$0.50

$1.00

$1.50

$2.00

$2.50

$3.00

$3.50

2003 2004 2005 2006 2007

3

The total economic impact of transportation is defined as the sum of direct economic activity,

indirect economic activity and induced economic activity. Direct economic activity is measured

by the economic drivers of employment, employment income, and expenditures and

contribution to provincial gross domestic product for the transportation sector. Indirect

activities are those that occur in firms that supply inputs to the direct sector. Induced effects are

the trickle down affects of the expenditures by both the direct and related indirect sector as they

multiply through other sectors of the economy. These are largely driven by consumption

spending. The indirect and induced effects are a measure of the leverage derived from the

direct effect. The higher the amount of leverage, the greater the additional economic activity

spawned from the original source. The total economic impact of the sector can be measured

when the direct and the leverage effects are combined.

Figure 1.2 shows the economic impact of the total Manitoba transportation GDP as a ratio of

direct, indirect, and induced effects.

Figure 1.2: Trend in Total GDP by Leverage Component from Transportation in Manitoba

($ Billion)

$1.00 Direct GDP = $1.95 Total GDP

Leverage Factor = .95

Overall, one dollar of GDP from direct transportation activities results in an additional $0.95

generated through activities in other sectors. In basic terms, the Leverage Factor is determined

by summing the indirect and induced effects and representing that sum as a percentage of the

direct expenditure or effect.

1.43 1.47 1.64 1.64 1.65

0.64 0.660.72 0.72 0.73

0.74 0.76

0.83 0.84 0.84

$0.00

$0.50

$1.00

$1.50

$2.00

$2.50

$3.00

$3.50

2003 2004 2005 2006 2007

Direct Indirect Induced

2.80 2.89

3.20 3.21 3.23

4

Since 2003, total employment attributable to transportation in Manitoba6 increased from about

47,390 to 50,745 FTEs (Figure 1.3).

Figure 1.3: Trend in Total Transportation Employment in Manitoba

(FTEs)

The level of employment in trucking was a major influence in total FTEs associated with

transportation. As shown in Figure 1.4 and Figure 1.5, trucking represents a major and

increasing share of transportation employment in the province. Although appearing to

stabilize, the number of jobs related to trucking has topped 28,000 in 2007.

6 Statistics Canada made significant adjustments to employment to the 2003 employment data for couriers in 2005.

47,39049,105

52,19550,795 50,745

0

10,000

20,000

30,000

40,000

50,000

60,000

2003 2004 2005 2006 2007

5

Figure 1.4: Trend in Total Employment from Trucking in Manitoba7

Figure 1.5: Trend in Total Employment from Aviation, Couriers, Rail, and Bus

in Manitoba

7 As noted, 2009 figures may appear differently than those reported in previous editions of the Manitoba

Transportation Report, due to economic model updates released by the Manitoba Bureau of Statistics.

20,920

23,495

27,675 27,895 28,280

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

2003 2004 2005 2006 2007

9,0758,510

7,1606,680 6,575

4,2303,755 3,760 3,725 3,755

8,100 7,940

8,425

7,500 7,275

5,0655,405 5,175

4,995 4,860

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

2003 2004 2005 2006 2007Aviation Couriers Rail Bus

6

As shown in Figure 1.5, non-trucking sectors have generally declined in employment since 2003.

Aviation-related jobs decreased by 2,500 from 2003 to 2007, while bus related jobs declined by

205 FTEs. Rail and courier-related jobs declined by 825 and 475, respectively.

Figure 1.6 shows the total employment by year broken down between direct, indirect, and

induced effects. For each direct job in transportation an additional .93 jobs are created.

Figure 1.6: Trend in Employment by Leverage Component from Transportation

in Manitoba

Number of Employees

1 Direct Job in 2007 = 1.93 Total Jobs

Leverage Factor = .93

24,285 25,205 26,970 26,275 26,255

10,940 11,31511,930 11,640 11,645

12,16512,585

13,295 12,880 12,845

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

50,000

55,000

2003 2004 2005 2006 2007

Direct Indirect Induced

50,745

47,39049,105

52,195 50,795

7

Total labour income in Manitoba due to the transportation sector rose from $1.68 billion in 2003

to $1.83 billion in 2007 (Figure 1.7).

Figure 1.7: Trend in Total Labour Income from Transportation in Manitoba

($ Billion)

1.681.74

1.86 1.82 1.83

$0.00

$0.20

$0.40

$0.60

$0.80

$1.00

$1.20

$1.40

$1.60

$1.80

$2.00

2003 2004 2005 2006 2007

8

For each dollar of direct labour income in transportation, an additional $.76 in labour income is

created in the Manitoba economy. Figure 1.8 shows the components of labour income since

2003.

Figure 1.8: Trend in Labour Income by Leverage Component from Transportation

in Manitoba

($ Billion)

$1 Direct Labour Income in 2007 = $1.76 Total Labour Income

Leverage Factor = .76

0.95 0.98 1.06 1.03 1.04

0.37 0.390.41 0.4 0.41

0.360.37

0.4 0.39 0.39

$0.00

$0.20

$0.40

$0.60

$0.80

$1.00

$1.20

$1.40

$1.60

$1.80

$2.00

2003 2004 2005 2006 2007

Induced Indirect Direct

1.83

1.681.74

1.861.82

9

Amongst the modes, trucking is the largest transportation sector in Manitoba, contributing

about $1.3 billion to GDP in 2007, as shown in Figure 1.9. This is followed by rail at $0.97 billion

and aviation, which generates $0.54 billion.

Figure 1.9: Total Contribution to Manitoba GDP by Transportation Mode: 2007

($3.23 Billion)

Trucking, $1.29

Rail, $0.97

Bus, $0.20

Aviation, $0.54

Couriers, $0.22

10

Figure 1.10 summarizes the annual contribution to GDP generated by each transportation mode

since 2003.

Figure 1.10: Contribution to Manitoba GDP by Transportation Mode

($ Billion)

Trucking has experienced steady growth over the period covered in Figure 1.10, while couriers

and bus have been fairly stable. Rail has also enjoyed modest growth, although it may have

peaked in 2005 in Manitoba. Aviation’s contribution was fairly stable from 2003 to 2005 but

appears to have dropped to a lower level in 2006 and 2007.

$0.6

1

$0.2

0

$0.9

5

$0.8

7

$0.1

8

$0.6

1

$0.2

1

$1.0

0

$0.8

9

$0.1

8

$0.6

2

$0.2

1

$1.1

3

$1.0

5

$0.1

9

$0.5

4

$0.2

2

$1.2

5

$1.0

0

$0.2

0

$0.5

4

$0.2

2

$1.2

9

$0.9

7

$0.2

0

$0.00$0.10$0.20$0.30$0.40$0.50$0.60$0.70$0.80$0.90$1.00$1.10$1.20$1.30$1.40$1.50$1.60$1.70

Aviation Couriers Trucking Rail Bus

2003 2004 2005 2006 2007

11

Figure 1.11 shows the comparative leverage of each of the modes in terms of contribution to

GDP. Per dollar of GDP generated directly, bus generates the highest level of leverage

throughout the economy at 1.69, followed by aviation at 1.52. Couriers and trucking had lower

leverage effects, at 1.09 and 1.04, respectively. Rail’s leverage for GDP was the lowest of the 5

modes, at 0.56.

Figure 1.11: Leverage Ratios for Manitoba Total GDP by Transportation Mode

1.69

1.52

1.091.04

0.56

0.00

0.20

0.40

0.60

0.80

1.00

1.20

1.40

1.60

1.80

Bus Aviation Couriers Trucking Rail

12

As presented in Figure 1.12 total employment created by the trucking sector is greater than that

created by all the other sectors combined.

Figure 1.12: Contribution to Manitoba Total Employment by Transportation Mode: 2007

Total: 50,745 FTEs

Trucking, 28,280

Rail, 7,275

Bus, 4,860

Aviation, 6,575

Couriers, 3,755

13

Total employment generated by each of the modes from 2003 to 2007 are presented in Figure

1.13. Employment related to trucking had increased from 20,920 to 28,280, an increase of 7,360

FTEs. Aviation-generated employment declined from 9,075 to 6,575, or a loss of 2,500 FTEs.

Rail declined from 8,100 to 7,275. Employment associated with the Bus sector rose slightly from

its 2003 level to a recent high of 5,405, after which it fell to 4,860 FTEs by 2007. Courier sector-

related employment decreased from 4,230 in 2003 to 3,755 in 2004 and has remained fairly stable

since 2004-2007.

Figure 1.13: Total Employment by Transportation Mode

(FTEs)

9,07

5

4,23

0

20,9

20

8,10

0

5,06

58,51

0

3,75

5

23,4

95

7,94

0

5,40

5

7,16

0

3,76

0

27,6

75

8,42

5

5,17

5

6,68

0

3,72

5

27,8

95

7,50

0

4,99

5

6,57

5

3,75

5

28,2

80

7,27

5

4,86

0

0

5,000

10,000

15,000

20,000

25,000

30,000

Aviation Couriers Trucking Rail Bus

2003 2004 2005 2006 2007

14

With respect to leverage in creating jobs throughout the economy, each aviation direct job

generates an additional 1.5 jobs (Figure 1.14). This is followed by trucking at 0.92 FTEs, rail at

.86, bus at .81, and finally courier at .62 FTEs generated for each direct FTE.

Figure 1.14: Leverage Ratios for Manitoba Employment by Transportation Mode

1.49

0.920.86

0.81

0.62

0.00

0.20

0.40

0.60

0.80

1.00

1.20

1.40

1.60

Aviation Trucking Rail Bus Couriers

15

Considering labour income, trucking is also the largest modal contributor to the economy. As

shown in Figure 1.15, the trucking industry overall produced $.86 billion in labour income in

2007. This was followed by rail at $.45 billion, aviation at $.26 billion, bus at $151 million and

couriers at $112 million.

Figure 1.15: Contribution to Manitoba Total Labour Income by Transportation Mode: 2007

$1.83 Billion

Trucking, $0.86

Rail, $0.45

Bus, $0.15

Aviation, $0.26

Couriers, $0.11

16

Labour income generated by each of the transportation sectors from 2003 to 2007 is presented in

Figure 1.16. Labour income generated from trucking increased from $.58 billion to $.86 billion.

Aviation decreased from $.41 billion to $.26 billion. Rail started at $.46 billion, peaked in 2005,

and dropped back to $.45 billion in 2007. Labour income associated with couriers was

essentially stable, while employment associated with the bus sector rose fractionally.

Figure 1.16: Total Labour Income by Transportation Mode

($ Billion)

$0.4

1

$0.1

0

$0.5

8

$0.4

6

$0.1

3

$0.3

7

$0.1

1

$0.6

7

$0.4

5

$0.1

4

$0.3

0

$0.1

1

$0.7

9

$0.5

2

$0.1

4

$0.2

6

$0.1

1

$0.8

4

$0.4

7

$0.1

5

$0.2

6

$0.1

1

$0.8

6

$0.4

5

$0.1

5

$0.00

$0.10

$0.20

$0.30

$0.40

$0.50

$0.60

$0.70

$0.80

$0.90

$1.00

Aviation Couriers Trucking Rail Bus

2003 2004 2005 2006 2007

17

Figure 1.17 provides the leverage ratios for labour income by mode. Aviation provides the

greatest leverage with $1.06 of additional labour income through the economy for every dollar

of direct labour income in aviation. This is followed by trucking ($0.90), couriers ($0.69), rail

($0.56), and finally the bus sector, with $0.45 leveraged from each $1 of labour income spent

directly in the sector.

Figure 1.17: Leverage Ratios for Manitoba Labour Income by Transportation Mode

1.06

0.90

0.69

0.56

0.45

0.00

0.20

0.40

0.60

0.80

1.00

1.20

Aviation Trucking Couriers Rail Bus

18

2. Transportation and Warehousing and the Regional Canadian Economy

Canada comprises the second largest national land mass on the globe, with likely the lowest

population density among industrialized nations. This, coupled with our dependence on

international trade, incorporates a significant spatial element to virtually all aspects of our

economy.

Figure 2.1 shows per capita gross domestic product8 from Transportation and Warehousing in

western Canada versus eastern Canada. GDP related to transportation has increased steadily

from 2003 to 2007 in both eastern and western Canada. Transportation and Warehousing on a

per capita basis is much higher in western Canada however, maintaining a value of $2,444 in

2007 compared to $1,391 in eastern Canada.

Figure 2.1: Per Capita Direct GDP from Transportation and Warehousing by Region9

Figure 2.2 displays the importance of transportation and warehousing in western Canada

relative to eastern Canada. The ratio of gross domestic product per capita from Transportation

8 Gross domestic product (GDP) figures are in 2002 dollars. Previous versions of the MTR used 1997

dollars for determining GDP figures, however these tables from Statistics Canada are no longer in

circulation, as such, some figures in this section may not be comparable to previous versions of the MTR

report. 9 Western Canada includes Manitoba, Saskatchewan, Alberta, British Columbia, Yukon Territory,

Northwest Territories and Nunavut.

$1,584$1,628

$1,674 $1,704 $1,715

$2,162$2,219

$2,327$2,411 $2,444

$1,334 $1,372 $1,389 $1,393 $1,391

$1,000

$1,400

$1,800

$2,200

$2,600

2003 2004 2005 2006 2007

Canada Western Canada Eastern Canada

19

and Warehousing grew steadily from 2003 to 2007. From 2006 to 2007, only a minimal increase

in the ratio of GDP was experienced. The ratio of GDP per capita from Transportation and

Warehousing has grown by 8% from 2003 to 2007. This rate of increase is an indicator that

Transportation and Warehousing is ever increasingly important in western Canada relative to

eastern Canada.

Figure 2.2: Ratio of Per Capita Contribution from Transportation and Warehousing to Direct

GDP: Western Canada Compared to Eastern Canada

162.1% 161.7%

167.6%

173.1%

175.7%

150%

155%

160%

165%

170%

175%

180%

2003 2004 2005 2006 2007

20

Within western Canada, the importance of the Transportation and Warehousing sector varies

by province. Figure 2.3 shows on a per capita basis, direct GDP from Transportation and

Warehousing by province in western Canada.

Figure 2.3: Per Capita Direct GDP from Transportation and Warehousing by Province

Western Canada

On a per capita basis, the sector appears to be most important in Alberta and least important in

Manitoba. In every western Canadian province, the per capita GDP has grown over the last five

years.

$1,968

$2,027

$2,136$2,216 $2,236

$2,479$2,540

$2,682$2,761

$2,803

$2,159 $2,175

$2,194$2,274 $2,271

$1,984

$2,022$2,076

$2,170$2,228

$1,500

$1,750

$2,000

$2,250

$2,500

$2,750

$3,000

2003 2004 2005 2006 2007

British Columbia Alberta Saskatchewan Manitoba

21

Figure 2.4 displays the importance of Transportation and Warehousing as a percentage of total

provincial GDP by province. Among all provinces, Manitoba had the highest share of GDP

related to Transportation and Warehousing at 7.0%, followed by Northwest Territories, British

Columbia and Saskatchewan at 6.7%, 6.4%, and 6.1% respectively. New Brunswick had the

highest share of GDP related to Transportation and Warehousing among the eastern provinces

at 5.1%.

Figure 2.4: Transportation and Warehousing Direct Contribution to GDP by Region: 2007

The importance of Transportation and Warehousing relative to overall GDP in the western

provinces compared to the eastern provinces is clearly evident. The share of GDP from

Transportation and Warehousing in Manitoba is 1.0% higher than the average for western

Canada and 2.4% higher than the national average.

6.4%

5.5%

6.1%

7.0%

3.8%4.2%

5.1%

3.9%

2.4%

2.9% 2.9%

6.7%

1.9%

4.6%

6.0%

3.9%

0.0%

2.0%

4.0%

6.0%

8.0%

22

Figure 2.5 shows the trend in share of GDP for each of the western provinces. As a share of

GDP, transportation and warehousing has been relatively stable in all western provinces.

Manitoba maintained the highest share at 7.0% in 2007, with British Columbia not far behind at

6.4%.

Figure 2.5: Transportation and Warehousing Contribution to Direct GDP by Province: 2007 –

Western Canada

A number of factors contribute to the greater importance of transportation in western Canada

compared to eastern Canada. First, economic growth has been higher in western Canada than

eastern Canada for the last number of years. Second, travel distances tend to be further in

western Canada than eastern Canada. Finally there has been a surge in imports and exports to

the Pacific Rim countries which has increased demand for western Canadian transportation and

warehousing services. This has been a particularly important contributor in British Columbia.

6.3%

6.3%6.4% 6.5% 6.4%

5.3% 5.3%

5.5% 5.5% 5.5%

6.3%

6.1%5.9%

6.1%

6.1%

6.8% 6.8% 6.9% 6.9% 7.0%

5.0%

5.5%

6.0%

6.5%

7.0%

7.5%

2003 2004 2005 2006 2007

British Columbia Alberta Saskatchewan Manitoba

23

Figure 2.6 displays employment in Transportation and Warehousing per thousand population.

Figure 2.6: Direct Employment in Transportation and Warehousing per 1,000 Population by

Region

In western Canada, employment in Transportation and Warehousing has consistently been 22

employees per 1000 persons from 2003 to 2007. In eastern Canada, employment has also been

consistent, averaging 18 employees per 1000 persons from 2003-2007.

19.3 19.4 19.5 19.6 19.8

22.5 22.4 22.322.7 22.9

18.0 18.1 18.2 18.3 18.4

15

17

19

21

23

25

2003 2004 2005 2006 2007

Canada Western Canada Eastern Canada

24

Figure 2.7 shows the ratio of per capita Transportation and Warehousing employment for

western Canada compared to eastern Canada. The ratio of Transportation and Warehousing

employment per capita has remained relatively stable from 2003 to 2007, declining slightly, then

increasing back to previous levels. The ratio of 124.4% in 2007 is only 0.4% lower than the 2003

ratio of 124.8%.

Figure 2.7: Ratio of Per Capita Direct Transportation and Warehousing Employment: Western

Canada Compared to Eastern Canada

124.8%124.0%

122.8%

124.2% 124.4%

110%

115%

120%

125%

130%

2003 2004 2005 2006 2007

25

Figure 2.8 displays direct employment in Transportation and Warehousing per thousand

persons in western Canada.

Transportation and Warehousing employment per thousand persons is highest in Manitoba at

24.3, closely followed by Alberta at 24.2. Manitoba’s Transportation and Warehousing

employment experienced a small drop from 2003 to 2005, and has since recovered slightly,

however this has allowed Alberta to close the gap. British Columbia’s Transportation and

Warehousing employment per thousand persons averaged 21.5 from 2003 to 2007, while

Saskatchewan averaged 19.8.

Figure 2.8: Direct Employment in Transportation and Warehousing per 1,000 Population by

Province: Western Canada

21.5 21.4 21.321.8 21.7

23.0 23.2 23.6 23.724.2

20.1 19.919.4 19.7 19.9

25.525.1

23.8 24.2 24.3

15

20

25

30

2003 2004 2005 2006 2007

British Columbia Alberta Saskatchewan Manitoba

26

Figure 2.9 shows the share of total employment from Transportation and Warehousing for each

region. Among all provinces, the share of jobs related to Transportation and Warehousing was

most important in Manitoba10 at 5.5% followed by New Brunswick at 5.4%. The share of jobs

related to Transportation and Warehousing was more important in western Canada which had

a value of 5.1% compared to 4.4% for eastern Canada and 4.6% nationally.

Figure 2.9: Transportation and Warehousing Contribution to Direct Employment by

Region: 2007

10 While the ratio is higher in both the Northwest Territories and the Yukon, the size of the population

and number of jobs are small.

5.1%

5.0%

4.8% 5.

5%

4.3% 4.5%

5.4%

4.5%

3.3%

4.8%

5.8%

10.5

%

5.2%

4.6% 5.

1%

4.4%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

27

Labour income attributable to Transportation and Warehousing per capita for Canada, western

Canada and eastern Canada are shown in Figure 2.10.

Figure 2.10: Direct Labour Income from Transportation and Warehousing per Capita by

Region

Per capita labour income has risen steadily in western Canada, eastern Canada and nationally

from 2003 to 2007. Per capita labour income from Transportation and Warehousing in western

Canada reached $1,679 per person in 2007, an increase of 31% from 2003. In eastern Canada, per

capita labour income from Transportation and Warehousing was $1,066 in 2007, an increase of

14% from 2003.

Figure 2.11 displays the ratio of per capita income from Transportation and Warehousing in

western Canada relative to eastern Canada.

$1,038

$1,104$1,139

$1,204$1,255

$1,284

$1,385

$1,463

$1,588

$1,679

$932$982 $997

$1,035$1,066

$800

$900

$1,000

$1,100

$1,200

$1,300

$1,400

$1,500

$1,600

$1,700

$1,800

2003 2004 2005 2006 2007

Canada Western Canada Eastern Canada

28

Figure 2.11: Ratio of Direct Per Capita Income Contribution from Transportation and

Warehousing to GDP: Western Canada Compared to Eastern Canada

The ratio has risen steadily from 2003 to 2007 averaging annual growth of approximately 4.9%.

From 2003 to 2007, the ratio has increased by almost 20%. This indicates that in relative terms,

the Transportation and Warehousing industry is becoming an increasingly more important

sector in western Canada than eastern Canada.

137.8%

141.1%

146.8%

153.4%

157.5%

125%

130%

135%

140%

145%

150%

155%

160%

2003 2004 2005 2006 2007

29

Labour income per capita has grown in all western provinces over the past five years as shown

in Figure 2.12. During the previous five years (2003-2007), the per capita direct labour incomes

of each of the western Canadian provinces experienced annual increases. In 2007, Alberta

experienced the highest growth levels among western provinces as labour income per capita

from Transportation and Warehousing reached $2,053 in 2007, an increase of 51% from 2003.

Figure 2.12: Direct Labour Income from Transportation and Warehousing per Capita by

Province: Western Canada

$1,294

$1,364$1,388

$1,484$1,549

$1,361

$1,542

$1,712

$1,908

$2,053

$991 $1,018$1,080

$1,125$1,192$1,258

$1,308 $1,330$1,393

$1,436

$800

$1,000

$1,200

$1,400

$1,600

$1,800

$2,000

$2,200

2003 2004 2005 2006 2007

British Columbia Alberta Saskatchewan Manitoba

30

Figure 2.13 displays the share of labour income generated by Transportation and Warehousing

for each province and territory.

Figure 2.13: Transportation and Warehousing Direct Contribution to Labour Income by

Region: 2007

At 7.1%, Transportation and Warehousing’s share of labour income was highest in Manitoba

and Northwest Territories, followed by British Columbia at 6.7%. Nationally, 5.3% of labour

income was the result of Transportation and Warehousing. In western Canada the share was

6.4%, while in eastern Canada it was 4.7%.

6.7%

6.1% 5.9%

7.1%

4.5%

5.1% 5.3%

4.7%

2.9%

5.0%

4.4%

7.1%

3.5%

5.3%

6.4%

4.7%

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

31

In 2007, Transportation and Warehousing was the fourth most important sector of the Manitoba

economy, contributing $2.7 billion to the provincial GDP11(worth approximately $38.3 billion).

Transportation and Warehousing only trailed the finance and insurance, manufacturing, and

health care and social assistance sectors in terms of direct GDP contribution to the Manitoba

economy. Transportation and Warehousing moved ahead of Public Administration into fourth

place in terms of contribution to GDP, a move up from its fifth place ranking in 2006.

Transportation is a derived demand and as such has a direct relationship with key sectors

(shown by the blue bars in Figure 2.14) such as manufacturing, retail trade, and construction.

When these sectors are included with Transportation and Warehousing, the GDP totals almost

$18 billion.

Figure 2.14: Direct GDP of Sectors of the Manitoba Economy: 2007

11 The GDP measured by Statistics Canada in this section is the direct contribution of Transportation and

Warehousing and directly related sectors. It excludes indirect and induced effects discussed in Section

1.

$7.0

$5.0

$3.1 $2.7 $2.6 $2.6$2.3 $2.0 $1.9 $1.7 $1.6

$1.2 $1.1 $1.0 $0.8 $0.7 $0.7 $0.4

$0.0

$1.0

$2.0

$3.0

$4.0

$5.0

$6.0

$7.0

$8.0

$ B

illi

on

s

32

Figure 2.15 shows the total GDP contribution from Transportation and Warehousing from 2003

to 2007. Transportation and Warehousing has been steadily growing. In 2007, the GDP

contribution was $2.7 billion, a $400 million increase from 2003. Growth in GDP from 2003 to

2007 averaged 3.6% per year.

Figure 2.15: Direct GDP Level Transportation and Warehousing: Manitoba

$2.3$2.4

$2.4$2.6

$2.7

$1.0

$1.5

$2.0

$2.5

$3.0

2003 2004 2005 2006 2007

$ B

illi

on

s

33

As displayed in Figure 2.16, Transportation and Warehousing was 6.96% of the total Manitoban

economy in 2007. This was a slight increase from the previous year. For each year from 2003 to

2007, Transportation and Warehousing’s share of Manitoba GDP has increased.

Figure 2.16: Trend in Share of Manitoba Direct GDP from Transportation and Warehousing

6.8%6.8% 6.9%

6.9% 7.0%

6.0%

6.4%

6.8%

7.2%

7.6%

8.0%

2003 2004 2005 2006 2007

34

In 2007, Transportation and Warehousing directly employed approximately 29,100 persons in

Manitoba (as shown by the red bar in Figure 2.17). In terms of paid employment, Transportation

and Warehousing is the eighth largest sector of Manitoban industry, following such sectors as

health care and social assistance, retail trade, and educational services. It employs more people

than sectors such as construction, wholesale trade, and professional services12. When other key

sectors dependent on transportation are included with Transportation and Warehousing, this

totals almost 244,000 jobs or 46% of the Manitoba workforce.

Figure 2.17: Direct Paid Employment by Sector of the Manitoba Economy:

2007 Paid Employees

(Thousands)

12 Agriculture is not included in the count of paid employees in the Statistics Canada data.

69.2 66.462.4

45.839.9 37.6 37.3

29.125.2 24.7 24.0

19.716.0

12.36.3

0

10

20

30

40

50

60

70

80

35

Figure 2.18 displays the annual paid employment of Transportation and Warehousing workers

in Manitoba.

Figure 2.18: Trend in Transportation and Warehousing’s Direct Total Employment

Paid Employees

(Thousands)

Employment in the Transportation and Warehousing sector experienced a sizeable decrease

from 2003 to 2005 of approximately 1,800 paid employees. This figure has slightly recovered in

recent years, with employment reaching 29,100 in 2007.

29.8

29.5

28.0

28.6

29.1

27

27.5

28

28.5

29

29.5

30

30.5

31

2003 2004 2005 2006 2007

000

Pai

d E

mp

loy

ees

36

Figure 2.19 shows Transportation and Warehousing’s share of total paid employment in

Manitoba from 2003 to 2007. As a percentage of total paid employment, Transportation and

Warehousing’s share fell to 5.58% in 2005, down nearly one percentage point from 2003. This

share then increased slightly the following year. This decreasing share in total paid employment

corresponds to a period of consolidation in the warehousing industry.

Figure 2.19: Trend in Share of Manitoba Direct Paid Employment from Transportation and

Warehousing

5.96%

499,6155.93%

496,267

5.58%

502,090

5.61%

510,5765.53%

526,135

4.0%

4.5%

5.0%

5.5%

6.0%

6.5%

7.0%

7.5%

8.0%

2003 2004 2005 2006 2007

Provincial Employment

% Driect Paid Employment from Transportation and Warehousing

37

Figure 2.20 displays the ranking of total labour income in Manitoba by sector.

Transportation and Warehousing contributed $1.7 billion to the total labour income of the

Manitoba economy in 2007. Transportation and Warehousing ranked seventh among sectors in

Manitoba trailing sectors such as manufacturing, finance and insurance, and retail trade, while

leading sectors such as agriculture, mining-oil-gas, and arts, entertainment and recreation.

Including other sectors which rely on transportation, total labour income increases to $10.9

billion.

Figure 2.20: Direct Total Labour Income by Sector of the Manitoba Economy: 2007

$3.1

$2.9

$2.3$2.1 $2.1

$1.8 $1.7

$1.5 $1.4

$1.0 $0.9$0.7 $0.7 $0.6

$0.4 $0.4 $0.3 $0.3

$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

$3.5

$ B

illi

on

s

38

Figure 2.21 shows that labour income from Transportation and Warehousing has grown in the

last five years from $1.47 billion to $1.72 billion. This represents a 17% increase from 2003 to

2007.

Figure 2.21: Direct Labour Income In Transportation and Warehousing: Manitoba

$1.47

$1.54$1.57

$1.65

$1.72

$1.00

$1.10

$1.20

$1.30

$1.40

$1.50

$1.60

$1.70

$1.80

$1.90

$2.00

2003 2004 2005 2006 2007

$ B

illi

on

s

39

In spite of the growth shown in Figure 2.21, as a share of total labour income in Manitoba,

Transportation and Warehousing has declined from 7.55% in 2003 to 7.09% in 2007 as shown in

Figure 2.22.

Figure 2.22: Trend in Share of Manitoba Labour Income from Transportation and

Warehousing

This decline reflects the fact that although wages have increased for the Transportation and

Warehousing sector, wages from all other industries have collectively increased by a larger

amount.

7.55% 7.50%7.34% 7.30%

7.09%

5.0%

6.0%

7.0%

8.0%

9.0%

10.0%

2003 2004 2005 2006 2007

40

3. The State of the Macro Economy

The macroeconomic perspective presents the performance, structure and behavior of the

national or the regional economies as a whole. This review of the macro economy will cover the

global, the Canadian and the Manitoba economies.

Most of the recent data and reports indicate that the global economy is in a severe global

economic downturn. In January of 2009, the World Economic Situation and Prospects 2009

prepared by the United Nations suggested that ‚the world economy is mired in the worst

financial crisis since the Great Depression. What first appeared as a sub-prime mortgage crack

in the United States housing market during the summer of 2007 began widening during 2008

into deeper fissures across the global financial landscape and ended with the collapse of major

banking institutions, precipitous falls on stock markets across the world and a credit freeze.‛13

It most likely began with the developed economies and then spread to the developing

economies which as mentioned in the UN report, ‚developing economies would be hurt more

through a deeper recession in the developed economies, a steeper fall in commodity prices and

a sharper reversal of capital inflows.‛14

The Global Growth Slowdown

For the past four years the average annual global real GDP growth was greater than 4.5 percent,

but recent data has shown that global growth has slowed in the major industrial countries with

the United States economy in an outright ‚recession‛. The slowdown in global growth kicked

in by the summer of 2007 and continued through the second half of 2008. Any recovery during

2009 will only be gradual.15 According to the United Nations baseline forecast, World Gross

Product (WGP) is expected to slow to 1.0 per cent rate of growth in 2009, a sharp deceleration

from the 2.5 per cent growth estimated for 2008 and well below the more robust growth of

previous years. The baseline forecast assumes that it will take six to nine months for financial

markets in developed countries to return to normalcy, assuming central banks in the United

States, Europe, and Japan provide further monetary stimulus from the end of 2008 and on into

2009.16

13 United Nations. World Economic Situation and Prospects 2009 - Global Outlook 2009. New York:

United Nations, 2009. 14 Ibid 15 Peterson Institute for International Economics. Global Economic Prospects 2008/2009: Hoping for a

Global Slowdown and a US Rescission, (April 2008). 16 United Nations. World Economic Situation and Prospects 2009 - Global Outlook 2009. New York:

United Nations, 2009.

41

Is the United States in Recession?

Based on the definition of recession, the United States is not in a ‚classical recession‛. A

recession has been traditionally defined as two consecutive quarters of economic contraction.

However, the definition by U.S National Bureau of Economic Research (NBER) is broader. It

defines a recession as ‚a significant decline in economic activity spread across the economy,

lasting more than a few months, normally visible in real GDP, real income, employment,

industrial production and wholesale-retail sales.‛ Many economists believe that the United

States is in recession, and the definition should be redefined. However, whether the United

States is in recession or not, the consequences for the global economy have begun. ‚Various

overseas economies are struggling in the global recession, largely due to less demand for their

products in the U.S. and other western nations. Reuters has reported that factory production in

China, Russia, and India has fallen dramatically in recent months. Factories in India are also

said to be cutting jobs, while Russia’s manufacturing drop is worse than it experienced during

the 1998 financial crisis. Also, South Korea is expecting its weakest growth since the beginning

of the decade, while Singapore’s economy could shrink up to two percent in 2009‛.17

‚Yet with the official announcement on December 1st 2008 that America had entered recession

last December, the traditional explanation for recessions is wearing awfully thin. Though it may

end up as one of the longest recessions, if not the longest, of the post-war era, the current

episode still seems to have more in common with the mild downturns of 1990-91 and 2001 than

the more wrenching affairs that came before. Although the recession has not yet been much

deeper than its predecessors, it almost certainly will be by the time it is over. Many economists

expect the recession to continue until mid-2009, which would be longer than those of 1973-75

and 1981-82. Moreover, employment is likely to keep falling after the official end of the

recession.‛18

According to the UN report, World Economic Situation and Prospects 2009, the ‚most developed

economies entered into recession during the second half of 2008, and the economic slowdown

has spread to developing countries and the economies in transition. In a more pessimistic

scenario, both the fire sale of financial assets and the credit crunch would last longer, while

monetary stimulus would prove ineffective in the short run and fiscal stimulus would turn out

to be too little, too late. This would then lead to worldwide recession in 2009, with global output

falling by 0.4 per cent, and postpone recovery to, at best, the following year. In a more

optimistic scenario, a large-scale fiscal stimulus coordinated among major economies would

stave off the worst of the crisis, yet, for the reasons indicated, it would not prevent a significant

slowdown of the global economy in 2009.‛19

17 U.S. recession impacting global economy. <http://www.nasdaq.com/newscontent/20090102/U.S.-

recession-impacting-global-economy.aspx?storyid=18953475> 18 The Economist. A thoroughly modern recession. The current recession fits the pattern of recent ones –

but is likely to last longer. Washington, DC (Dec. 4th 2008).

<http://www.theelectroniceconomist.com/world/unitedstates/displaystory.cfm?story_id=12725124> 19 United Nations. World Economic Situation and Prospects 2009 - Global Outlook 2009. New York:

United Nations, 2009.

42

What Has Caused the Recession?

‚This is another staunchly debated topic, but the general consensus is that it was primarily

caused by the actions taken to control the money supply in the economy. The Federal Reserve

is responsible for maintaining an ideal balance between money supply, interest rates, and

inflation. When the Fed loses balance in this equation, the economy can spiral out of control,

forcing it to correct itself. This is precisely what we have seen in 2007, where the Fed’s

monetary policy of injecting tremendous amounts of money supply into the money market has

kept interest rates lower while inflation continues to rise. This coupled with relaxed policies in

lending practices making it easy to borrow money; the economic activity became unsustainable

resulting in the economy coming to a near halt. It is also said that recession can be caused by

factors that stunt short term growth in the economy, such as spiking oil prices or war.‛20

The Credit Crunch

‚The main message is not to think of the credit problems over the past year as a one-time event,

that once resolved will immediately place the economy back into high growth mode. Relatively

short-lived shocks can have longer lasting effects. The credit problems of today can act as a

financial accelerator whereby a shock is amplified or becomes long lasting by restricting firms

through swings in their balance sheets and spending intentions.‛21

‚The steps to 2007/08 credit crunch:

U.S. mortgage lenders sell many inappropriate mortgages to customers with low income

and poor credit.

There was an incentive to sell mortgages even though they were too expensive and

highly likely to default.

To sell more profitable subprime mortgages, mortgage companies borrowed to be able

to lend mortgages.

These mortgage debts were bought by financial intermediaries. The idea was to spread

the risk, but it actually just spread the problem.

The rating agencies gave these risky subprime mortgages a low risk rating. Therefore,

the financial system denied the extent of risk in their balance sheets.

Many of these mortgages had an introductory period of 1-2 years of very low interest

rates. At the end of this period, interest rates increased.

In 2007, the United States had to increase interest rates because of inflation. This made

mortgage payments, more expensive. Furthermore, many home owners who had taken

out mortgages two years earlier now faced ballooning mortgage payments as their

introductory period ended.

This caused a rise in mortgage defaults, as many new homeowners could not afford

mortgage payments. These defaults also signaled the end of the United States housing

boom.

20 <http://recession.org/definition> 21 TD Economics. TD Quarterly Economic Forecast 2008

43

The number of defaults caused many medium sized United States mortgage companies

to go bankrupt.

The result was that worldwide, it became very difficult to raise funds and borrow

money as the markets ‚dried up‛.

This affected many firms who had been exposed to the subprime lending. It also affected

a wide variety of firms who now have difficulty borrowing money.

The slowdown in borrowing has contributed to a slowing economy with the recession in

the United States.‛22

Decline of the American Dollar

‚The decline in the value of the dollar appears to have had a positive impact. Real imports have

declined and real export growth had accelerated. Moreover, the current account deficit has

begun to improve.‛23 A contrasting option stated that although ‚many think that a declining

currency will fix America’s export problem, they are wrong. The weak currency will not face

the fact that America is consuming far more than Americans produce. It actually could make

the economy much worse. A declining dollar decreases the net-worth of every citizen who

holds it and threatens America’s status as the world’s reserve currency. Once the status as

reserve currency is gone, America will no longer be able to afford the outstanding national and

current account deficits. America’s trade imbalance solution is not a declining dollar.‛24

Fuel Prices

‚The immediate cause of rising oil prices is the weak dollar. Oil-producing countries are

requiring more dollars to purchase the same barrel of oil because the dollar is worth less today

than it was years ago. Rapidly rising oil prices have a number of direct and indirect negative

influences on the U.S. economy. In direct terms, consumers will spend $90 million more on

discretionary spending.‛25

The high oil prices did not just stress American consumers, as reported in North American

Economic Outlook (prepared by MFC Global Investment Management in fall 2008) ‚In contrast,

Canada is a net energy exporter, making the rise in energy prices a boon for a large sector in

Canada’s economy.‛26

22 Credit Crunch Explained <http://www.mortgageguideuk.co.uk/blog/debt/credit-crunch-explained/> 23 Deloitte Research. Global Economic Outlook 2008 24 Economy In Crisis. Low Dollar: Not The Solution to Trade Deficit. 2007

< http://www.economyincrisis.org/articles/show/1159> 25Martin Frost. 2008 <http://www.politico.com/news/stories/0608/10940.html> 26 North American Economic Outlook Fall 2008 MFC Global Investment Management

44

Oil has witnessed a significant fall since July 2008 (almost $150 per/barrel). In early

December’08, oil was trading around $40 US a barrel. By the end of the month the price has

declined to $35 US a barrel.27 ‚On Dec.9, 2008, the U.S. Energy Information Administration

predicted that global demand for oil would fall through 2009, marking the longest contraction

in demand since the oil crisis of the 1970s.‛28 ‚International research firm CapGemini issued a

report on Nov. 24 2008, warning that low oil prices could mean trouble. The report suggested:

Low oil prices will render expensive projects no longer financially viable. This includes

the development of the Alberta oil sands

Cheap oil makes the development of renewable energy sources too expensive to be

worth the investment‛29

In its most recent world energy outlook, the International Energy Agency predicted that global

demand for energy would increase annually by 1.6 per cent until 2030, (about a 45 per cent total

increase from today’s demand). The agency notes that while there’s enough oil underground to

meet the demand, the supply in existing oil fields is declining too quickly to support the

demand. That means a lot more money will have to be devoted to oil exploration and

extraction. Merrill Lynch recently predicted that oil could fall as low as $25 per barrel, if the

recession is as deep or as long as some forecasters fear. That will spell trouble for oil-producing

provinces like Alberta and Newfoundland and Labrador. ‚If oil prices continue at below $60

US per barrel, we could be facing a deficit of several hundred million dollars next year and

could potentially be facing deficits in the years to come.‛ 30

Global Economics Imbalance

A July 2008 report produced by the Global Economic Research Division of the Scotiabank

Group suggested that ‚there is a significant risk that prolonged weak and unbalanced global

growth will heighten friction over trade and foreign direct investment, the principal sources of

global locomotion over the past two decades.‛31 A Deloitte Research study has examined how

the economic imbalance between the United States and China contributed to the housing bubble

in the North America. The bursting of the housing bubble is having important consequences for

the global economy. Among other things it was due to the imbalance that the global economy is

headed towards a recession in 2009.

27The Wall Street Journal. Oil Prices Slide Near Four-Year Low, 2008 28 Cheaper crude: who wins, who doesn’t

<http://www.cbc.ca/consumer/story/2008/12/09/f-oildecline.html> 29 Ibid 30 Ibid 31 Scotiabank. Global Economic Research Scotiabank Group, (July 2008)

45

Inflation

‚Inflation is one of the manifestations of the global crisis, and arises from changes in the

relationship between the volume of commodities and of money in the economy.‛32 Inflation is

driven by record high oil and food prices. Additional factors putting pressure on inflation

included excess capacity utilization and higher wages. In addition, many countries faced the

dilemma of choosing between controlling inflation or stimulating the economy through looser

monetary and fiscal policies. In the baseline outlook for 2009, inflation is expected to slow as

aggregate demand will continue to weak.33

Canada/America Economic Relationship

The Canadian economy’s competitiveness is directly linked to the strength of the relationship

with its closest and largest trading partner, the United States. Weaker American growth and

tighter credit limits have resulted in Canada’s economy falling into a recession. Economic

forecasts have projected zero growth during 2009. Even the most optimistic economic forecasts

predict that in general, Canadians will became poorer in 2009, and as many as 200,000 workers

will lose their jobs as the economic recession deepens.

Strong Domestic Demand and the Weaker Export Market

Canada is a developed nation that is highly dependent on international trade. The U.S.

economic downturn and slowdown has slowed the global economy and has reduced both the

demand and prices of Canadian commodities. The largest drag to real economic growth is a

continued weakness in the Canadian export sector, which accounts for approximately 40% of

the real economy.

Employment Growth

The sharp American slowdown constitutes further economic risks for Canada. The number of

Canadians who lost their jobs in December 2008 was more severe than analysts has expected.

As the recession deepens the Canadian unemployment rate is likely to increase.

32 Vasily Koltashov. 2008. Institute of Globalization and Social Movement. The Crisis of the global

economy. Moscow <http://www.metamute.org/en/the_crisis_of_the_global_economy> 33 United Nations. World Economic Situation and Prospects 2008 - Global Outlook 2008. New York:

United Nations, 2008.

46

Manitoba Economic Situation

Manitoba’s major industries include manufacturing, transportation, agriculture, hydro-

electricity, minerals, finance, and trade. It has recorded the most stable provincial economy in

Canada over the last decade. The Government of Manitoba’s most recent speech from the

throne outlined the provincial response to the growing global financial crisis by committing to

balance this year’s budget, while continuing to reduce personal, corporate, and small business

taxes. Initiatives to boost skills training and an investment of $4.7 billion in provincial

infrastructure over four years have been implemented in an effort to strengthen and grow the

economy and better position the province once stability returns to the world economy.

Although provincial growth is forecasted to slow across Canada, Manitoba’s economy is

forecasted to grow in 2009. Indicators suggest that Manitoba is well positioned to weather the

impacts of a global economic slowdown.

According to Statistics Canada, Manitoba is one of only three provinces that have generated 15

consecutive years of positive employment growth. Among these, Manitoba’s employment

growth has been the most consistent. Manitoba is also unique among provinces with 18

consecutive years of private investment growth. Manitoba’s geographic location has been an

important element in developing a diverse economy. Its economic stability is also rooted in its

relatively large service sector. The service sector tends to be more stable through the business

cycle relative to the goods-producing sector. In the last four years, no service industry in

Manitoba has posted any real decline.34

34 Manitoba Finance: Budget Paper A. The Economy (2008)

47

Economic Indicators

The economic performance indicators listed in this section capture a set of trends in the

economies of Canada and Manitoba between 2004 and 2008. Together, the indicators provide a

context for understanding why and when developments in the transportation sector have

occurred.

Figure 3.1 and Figure 3.2 show the real GDP totals (in millions of dollars) and rates of change in

GDP for Canada and Manitoba.

Figure 3.1: Gross Domestic Product (Canada/Manitoba)

$000,000

From 2004 to 2008, Canada’s GDP increased from over $1.21 trillion to nearly $1.33 trillion.

During this period the annual average rate of growth was approximately 2.28%. Analysts

believe that Manitoba and Saskatchewan appear to be in the best position (among the Canadian

provinces) to weather the global slowdown and outperform the nation as a whole.

$1,211,239 $1,246,064 $1,284,819 $1,319,681 $1,325,718

$37,862 $38,783 $40,344 $41,662 $42,579

$0

$10,000

$20,000

$30,000

$40,000

$50,000

$0

$200,000

$400,000

$600,000

$800,000

$1,000,000

$1,200,000

$1,400,000

2004 2005 2006 2007 2008

$000,000$0

00,0

00

Canada Manitoba

48

Figure 3.2 displays annual changes in the GDP growth rate. During the years of 2004 to 2007

national level of growth has fluctuated while the provincial growth has maintained a steady

overall increase, and in 2008 the rate of growth has dropped.

Figure 3.2: Change in GDP (Canada/Manitoba)

Economic indicators released in early 2008 confirm that the U.S. economy is indeed slowing.

Serious economic weakness in the U.S. has a negative impact on the Canadian economy as a

weaker export sector has spilled over into the non-export components of the Canadian

economy.35 Canadian GDP growth has seen a significant decline from 2007 to 2008, from 2.7% to

0.5%. Meanwhile Manitoba’s economic performance in the last three years has been

exceptionally strong. The GDP growth of Manitoba for the years of 2006 to 2008 has

outperformed the national average. Manitoba real GDP grew by 3.3% in 2007 above the

Canadian growth of 2.7%, and grew 2.2% in 2008 above Canadian growth 0.5%. In 2009,

Manitoba’s economy is expected to grow by 1.9%, above the Canadian growth of 0.8%.36

35 Manitoba Finance: Budget Paper A. The Economy (2008) 36 Manitoba Economic Highlights, 2008

3.1%2.9%

3.1%

2.7%

0.5%

2.2%2.4%

4.0%

3.3%

2.2%

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

4.5%

2004 2005 2006 2007 2008

% C

han

ge

Canada Manitoba

49

Figure 3.3 displays labour income (in millions of dollars) for Canada and Manitoba between

2004 and 2008.

Figure 3.3: Labour Income (Canada/Manitoba)

$000,000

Between 2004 and 2008, Canada’s labour income increased at an average annual growth rate of

5.09% from nearly $154.5 billion to over $188.4 billion. In that same time period, Manitoba’s

labour income increased from $20.49 billion to over $25.72 billion. The average annual growth

rate in Manitoba was 5.85%.

$154,488$164,114

$173,297$181,413

$188,409

$20,491 $21,377$22,603

$24,257$25,723

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

$40,000

$0

$25,000

$50,000

$75,000

$100,000

$125,000

$150,000

$175,000

$200,000

2004 2005 2006 2007 2008

$000,000$000

,000

Canada Manitoba

50

Figure 3.4 shows the rate of change in labour income for Canada and Manitoba between 2004

and 2008.

Figure 3.4: Change in Labour Income (Canada/Manitoba)

From 2004 to 2006, Manitoba maintained a steady rate of change in labour income. In 2007 there

was a significant increase of 1.6% to 7.3%, but slowly fall back to 6.0% in 2008. Although

Canada’s rate of change in labour income saw a substantial increase from 2004 to 2005, a slight

decline occurred in 2006 and continued into 2008.

Figures 3.5 to 3.8 reflect changes in market prices (Consumer Price Index – CPI) and personal

spending in the Canadian and Manitoban economies.

CPI can be used to calculate the effects of inflation in income, benefits, and the price of goods or

commodities used. The higher the CPI means that the goods and the services the consumer

wants to avail is within reach and that they have enough income to spend for their everyday

need.37As a measure of price of a basket of consumer goods, the CPI is often referred to as an

indicator of the price changes (inflation/deflation) in the economy. Figure 3.5 displays the

Consumer Price Indices for Canada and Manitoba.

37How to Read a Consumer Price Index? <http://www.forexfloor.com/consumer-price-index.html>

5.5%

6.2%

5.6%

4.7%

3.9%

5.5%

4.3%

5.7%

7.3%

6.0%

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

2004 2005 2006 2007 2008

% C

han

ge

Canada Manitoba

51

Figure 3.5: Consumer Price Index (Canada/Manitoba)

Between 2004 and 2008, the CPI for the Canadian economy increased from 124.6 to 135.8.

During this period the average annual growth rate was 2.18%. The CPI for Manitoba also

increased in the same time period from 127.8 to 139.6, with the average annual rate 2.23% per

year.

124.6127.3

129.9132.7

135.8127.8

131.2133.7

136.5139.6

100

110

120

130

140

2004 2005 2006 2007 2008

Ind

ex P

oin

ts

Canada Manitoba

52

Figure 3.6 shows the rate of inflation in Canada and Manitoba between 2004 and 2008.

Figure 3.6: Change in CPI (Canada/Manitoba)

In 2006, the Manitoba CPI increased 1.9%, slightly below the 2.0% increase for Canada. In 2008,

the Manitoba CPI only increased 2.3%, same with the national increase. Energy, shelter, food,

and transportation are the major contributions to the increase.38

38 Manitoba Economic Highlights, 2008

1.9%

2.2%

2.0%2.2%

2.3%

2.0%

2.7%

1.9%

2.2% 2.3%

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

2004 2005 2006 2007 2008

% C

han

ge

Canada Manitoba

53

Figure 3.7 displays the changing value of personal expenditures in the Canadian and Manitoba

economies. Personal expenditures represent the portion of GDP that is contributed by the

consumption of consumer goods and services. These goods and services are meant to reflect

household expenditures.

Figure 3.7: Personal Expenditures (Canada/Manitoba)

$000,000

Canada’s personal expenditures increased to over $811 billion in 2008, an increase of over $23

billion from 2007. Between the years of 2004 to 2008 the average annual growth rate was 3.86%.

Manitoba’s personal expenditures increased to nearly $27.4 billion in 2008 from $23.6 billion in

2004 representing an annual average growth rate of 3.85%. Consumer spending will remain

firm as long as commodity prices don’t ‚fall through the floor‛.39

39 MFC Global Investment Management. North American Economic Outlook. (Fall 2008)

$697,566$723,181

$754,179$788,224 $811,690

$23,571$24,273

$25,063$26,311

$27,419

$10,000

$15,000

$20,000

$25,000

$30,000

$0

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

$700,000

$800,000

$900,000

2004 2005 2006 2007 2008

$000,000$0

00,0

00

Canada Manitoba

54

Figure 3.8 shows the trends in personal expenditures for Canada and Manitoba between 2004

and 2008.

Figure 3.8: Change in Personal Expenditures (Canada/Manitoba)

Canada’s rate of change in personal expenditures has slightly increased from 3.3% to 3.0% from

year of 2004 to 2008. During this same period Manitoba’s rate of change in personal

expenditures increased to 4.2% in 2008 from 3.1% in 2004. Robust income growth and a

booming labour market created a backdrop for strong domestic demand in Canada over the

past four years. It was largely expected that this wouldn’t last and that consumer spending

would slow from an unsustainable pace of 4-5%. Due to a national decrease in job creation,

income growth is expected to slow from 5.09% in 2008 to 2.5% in 2009, which will act as a

headwind to consumer spending.40

40TD Economics. TD Quarterly Economic Forecast. (2008)

3.3%3.7%

4.3%

4.5%

3.0%3.1% 3.0%3.3%

5.0%

4.2%

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

2004 2005 2006 2007 2008

% C

han

ge

Canada Manitoba

55

Figure 3.9 presents the number of housing starts in Canada and Manitoba between 2004 and

2008. The housing sector leads the Canadian and Manitoban economies.

Figure 3.9: Housing Starts (Canada/Manitoba)

000’s

In 2008 the number of Canadian housing starts declined to 845.300 from 911,000 in 2007 (a

change of approximately -0.7%). Despite fluctuations in the level of national housing starts

between the year of 2004 to 2008, Canada has a negative average annual growth rate of -2.38%.

The Manitoba housing market strengthened further in 2007 as housing starts achieved a two-

decade high and resale activity accelerated. Housing starts for Manitoba increased from 17,500

to 22,300 during the period of 2004 and 2008, resulting in an average annual growth rate of

6.25%.

930.7896.3 916.5

911.0845.3

17.518.8

20.2

23.0 22.3

0

5

10

15

20

25

0

200

400

600

800

1000

2004 2005 2006 2007 2008

000's000'

s

Canada Manitoba

56

Figure 3.10 shows the rate of change in housing starts in Canada and Manitoba between 2004

and 2008.

Figure 3.10: Change in Housing Starts (Canada/Manitoba)

Growth in Canada’s housing starts diminished with a negative growth rates of -3.7% in 2005,

the Canadian market recovered slightly with an of 2.3% in 2006, but recovered another negative

growth rate of -0.6% in 2007, in 2008 it dropped to -7.2% . Compared to Canadian housing

starts, Manitoban housing starts appear to be stable. From 2004 to 2007 the Manitoban level of

growth has increased annually from 5.4% to 13.9%. In 2008 the growth rate of housing starts in

Manitoba has declined to -3.0%.

6.0%

-3.7%

2.3%

-0.6%-7.2%

5.4%

7.4% 7.4%

13.9%

-3.0%

-10.0%

0.0%

10.0%

20.0%

2004 2005 2006 2007 2008

% C

han

ge

Canada Manitoba

57

Figure 3.11 displays the unemployment rate in Canada and Manitoba between 2004 and 2008.

Figure 3.11: Unemployment Rate (Canada/Manitoba)

Between year of 2004 to 2008, the national unemployment rate declined from 7.2% (2004) to 6.1

% (2008), an average annual rate of growth was -4.03%. In 2007 the Manitoba unemployment

rate experienced a 0.1% increase from 2006 4.4% prior to this, the province had experienced an

annual 2 year decline of approximately 0.5%. Overall, between 2004 and 2008 the

unemployment rate in Manitoba has fallen from 5.3% to 4.2%.

7.2%6.8%

6.3% 6.0% 6.1%

5.3%4.8%

4.3% 4.4% 4.2%

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

2004 2005 2006 2007 2008

% o

f L

abo

ur

Fo

rce

Canada Manitoba

58

Figure 3.12 displays the change in the unemployment rate in Canada and Manitoba between

2004 and 2008. A negative number indicates a decrease in the unemployment rate, resulting

from an increase in employment.

Figure 3.12: Change in Unemployment Rate (Canada/Manitoba)

Canada has experienced a declining unemployment rate since 2004, decreasing by -0.4% in 2004

and further reducing to -0.5% in 2006. This was followed in 2007 with another decrease of -0.3%,

increased to 0.01% in year of 2008. According to a Statistics Canada report the unemployment

rate is at its lowest level in 33 years, with over 400,000 new jobs created since the end of 2006.

The Manitoban unemployment rate has fluctuated both positively and negatively between

years of 2004 to 2008.

-0.4%

-0.5% -0.5%

-0.3%

-0.02%

0.3%

-0.4% -0.5%

0.1%0.1%

-1.00%

-0.50%

0.00%

0.50%

1.00%

2004 2005 2006 2007 2008

% o

f L

abo

ur

Fo

rce

Canada Manitoba

59

Monetary and Energy Indicators

Figure 3.13 shows the trends in the ratio of the Canadian dollar to the U.S. dollar.

Figure 3.13: Quarterly Average Exchange Rates – U.S. dollar

The Canadian dollars’ value against the U.S. dollar rose sharply in 2007 due to the continued

strength of the Canadian economy and the U.S. currency’s weakness on world markets. On

September 28, 2007, the Canadian dollar closed above the U.S. dollar for the first time in 30

years, at USD $1.0052. Subsequently, the Canadian dollar rose to a modern-day high of

USD$1.09 on November 7 before declining to average approximately USD$1.01 through the

remainder of the year.

$1.32$1.25

$1.12 $1.08

$1.00$1.22

$1.25

-11.2%

-7.2%

-2.6%

-6.5%

-10.8%

1.7%

-14.4%

-6.9%

24.6%

24.7%

-20.0%

-15.0%

-10.0%

-5.0%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

$0.00

$0.20

$0.40

$0.60

$0.80

$1.00

$1.20

$1.40

$1.60

% C

han

ge$C

DN

60

Figure 3.14 displays the year to year trends in quarterly average Bank of Canada interest rates.

Figure 3.14: Quarterly Average Interest Rates (Bank of Canada Rate)

Between the first quarter of 2004 and the first quarter of 2009, interest rates stayed between the

2.67% to 1.08% range. Since the middle of 2007, the central bank has adjusted interest rates from

4.5% to 1.0% making the Canadian dollar the fourth lowest yielding G10 currency. The Bank of

Canada cut interest rates to 1.00%, the lowest level ever for the 75 year old central bank, and

signaled that they could reduce interest rates to American levels. The historic move was

motivated by the sharp downturn in the United States economy and the continual slide in oil

prices.

2.67%2.75%

4.42%4.50%

4.08%

3.25%

2.25%

1.08%

-13.5%

-26.3%

3.1%

21.4% 60.6%

35.0%

1.9% -9.3%

-27.8%

-51.8%

-73.5%

-100.0%

-80.0%

-60.0%

-40.0%

-20.0%

0.0%

20.0%

40.0%

60.0%

80.0%

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

% C

han

ge

Inte

rest

Rat

e %

61

The S&P/TSX Composite Index is an index of stock prices for the largest companies on the

Toronto Stock Exchange as measured by market capitalization. The S&P/TSX Composite Index

accounts for approximately 70% of market capitalization for all Canadian based companies

listed on the TSX. The size and extensive economic sector coverage of the S&P/TSX Index has

made it the foremost indicator of market activity for Canadian equity markets.

Transportation changes in the S&P/TSX Composite Index reflect the market view of economic

prospects. Consequently, it is a leading indicator for the economy and the transportation sector.

Figure 3.15 shows the quarterly average S&P/TSX Composite Index between 2004 and 2008.

Figure 3.15: Quarterly Average S&P/TSX Composite Index

The S&P/TSX Composite Index declined 18.2% in terms of total return for the quarter, and the

index’s 12-month return of – 14.4% at quarter end (September 2008). Small cap stocks fared

poorly and, for the same 3 and 12-month periods, the S&P/TSX Small Cap Total Return Index

fell 25.2% and 29.2%, respectively. Resource stocks contributed the most to the Composite’s

decline, as the materials and energy sectors fell 33.6% and 26.9%, respectively, in response to

declining commodity prices. Only one of the ten S&P/TSX Global Industry Classification

Standard sectors recorded a gain. Oddly enough, it was Financials that advanced, rising 2.6%

on a 5.6% increase by Canadian banks.41

41 MFC Global Investment Management. Global Intelligence (2008)

8631.94

9049.22

11914.86

13081.5513362.64

9340.36

8512.77

33.0%

10.0%

25.9%

25.5%

9.8%

10.9%

2.1%

-6.0%

-33.5%

-36.3%-40.0%

-30.0%

-20.0%

-10.0%

0.0%

10.0%

20.0%

30.0%

40.0%

0.00

2000.00

4000.00

6000.00

8000.00

10000.00

12000.00

14000.00

16000.00

% C

han

ge

Ind

ex P

oin

ts

62

Figure 3.16 shows the quarterly average Composite Index of Leading Indicators for Canada

between 2004 and 2008.

Figure 3.16: Quarterly Average Composite Index of Leading Indicators (Canada)

The Organization for Economic co-operation and Development (OECD) has change the way it

presents its Composite Leading Indicator (CLI) beginning in November 2007 in order to make it

easier to interpret. As the CLI is designed to provide early signals of turning points between

upswings and downswings in economic activity, the aim is to communicate more clearly the

future outlook for cyclical developments in economic activity. As the figure shows, during

period between 2004 and 2008, the CLI increased from 189.8 to 227.1. When the series is above

100 index points and continues to increase, the economy is considered to be in expansion.

189.8

204.1215.2 226.1 228.2 227.1

218.6

5.2% 7.2%

6.4%

4.4%5.0% 5.4%

5.2%4.9%

1.2%-0.7%

-4.2%

-6.0%

-4.0%

-2.0%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

0.0

50.0

100.0

150.0

200.0

250.0

300.0

% C

han

ge

Ind

ex P

oin

ts

63

Figure 3.17 displays the average annual composite leading indicator between 2004 and 2008 for

Canada, Germany, Japan, the United States., and the United Kingdom. All five of these OECD

member countries experienced gradual gains in their composite leading indicator. Japan

declined between 2006 & 2007 and overall since 2003.

Figure 3.17: Average Annual Composite Leading Indicator – Canada to Traditional

‚Developed‛ Economies

Canada has the lowest growth rate between the years of 2004 to 2007 among the developed

countries listed. Canada’s leading indicator became to the lowest since 2004. Between 2004 and

2008, Canada’s average annual composite leading indicator decreased from 100.7 to 98.5, while

the United States increased from 101.2 to 97.9.

100.7

98.5

101.2

97.9

100.8

98.9

101.8

98.7

100.9

99.5

95

100

105

2004 2005 2006 2007 2008

Ind

ex P

oin

ts

Canada United States Germany Japan United Kingdom

64

Figure 3.18 displays the average annual composite leading indicator for Canada, Brazil, China,

India, and Russia.

Figure 3.18: Average Annual Composite Leading Indicator Canada to Emerging International

Economies

The contrast between Canada’s leading indicator and the CLI’s of emerging economies is well

evident from this chart. Brazil has shown the largest growth rate in the past five years. As of

2008, Brazil’s average annual composite leading indicator increased to 103.6, followed by

Russian101.3 and India 98.6, while Canada declined to 98.5 with an average annual composite

leading indicator of 99.8. China was the last among these five developing countries in 2008.

100.7

98.5

103.2 103.6

101.7

98.3

99.998.699.9

101.3

94

96

98

100

102

104

106

2004 2005 2006 2007 2008

Ind

ex P

oin

ts

Canada Brazil China India Russia

65

Figure 3.19 displays the trend in quarterly average oil prices between 2004 and 2008.

Figure 3.19: Quarterly Average Price Oil/Barrel ($US)

Oil prices continued to sink on signs of deepening recessions in developed countries and

sharply decelerating growth in emerging markets, the latter accounting for all of the increase in

oil demand during the past few years. Deep recessions in the United States and many other

developed nations and a sharp slowdown in industrial production and construction in

emerging markets will likely reduce global oil demand in 2009 by at least 1.5% to 84.5 million

barrels/day. Given economic and financial uncertainties, oil price volatility will likely remain

high, with the potential for prices remaining well below the $40 mark if OPEC is unable to

achieve its planned cuts or if the global recession is even worse than currently expected. The

return of oil prices to levels based upon longer-term supply cost fundamentals- all-in costs in

the range of $85-$100 for the most expensive barrels – will take a few years.

$47.70 $51.63

$59.68 $74.95

$121.40

$54.66

$44.43

1.3%

45.5%49.4%

28.8%

34.7%

4.9%

7.7%

77.0%

52.6%

-38.3%

-54.2%

-80.0%

-60.0%

-40.0%

-20.0%

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

$0.00

$20.00

$40.00

$60.00

$80.00

$100.00

$120.00

$140.00

% C

han

ge

US

$/B

arre

l

66

Figure 3.20: Quarterly Average Unleaded Fuel Prices (Winnipeg Region)

At the unleaded fuel prices in the Winnipeg region declined to an immediate low of $(CDN)

0.70/litre. The price of the first quarter of 2009 was $(CDN) 0.85/ litre.

At the beginning of the first quarter of 2008, fuel prices had declined to $(CDN) 1.08/litre from

$(CDN) 1.01/litre posted during the fourth quarter of 2007. The price of fuel recovered at the

second quarter of 2008 by selling $1.26/litre. This price decreased through the remainder of the

year, finishing at $(CDN) 0.98/liter at the end of 2008.

$0.70

$1.00

$1.06 $1.08

$1.34

$0.98

$0.85

-5.1%

14.2%

16.1%25.5%

9.1%

17.7%

5.7%

-5.6%

3.0%

16.7%

-3.8%

-21.6%

-30.0%

-20.0%

-10.0%

0.0%

10.0%

20.0%

30.0%

40.0%

$0.00

$0.20

$0.40

$0.60

$0.80

$1.00

$1.20

$1.40

$1.60%

Ch

ang

e$C

DN

/lit

re

67

Figure 3.21: Quarterly Average Diesel Fuel Prices (Winnipeg Region)

Diesel fuel prices in the Winnipeg region have largely followed the same trends as unleaded

fuel prices. In the first quarter of 2005, the average quarterly diesel fuel prices increased 26.6%,

and by the first quarter of 2007 the price has dropped by 19.2%. The price of diesel fuel was

listed as $(CDN) 0.84/litre at the first quarter of 2009.

$0.65

$1.01

$0.81

$0.97 $1.02

$1.35

$1.11

$0.84

-4.6%

20.9%

26.6%11.6%

5.9%

1.0%

25.2%

19.7%

43.5%

8.7%

-24.3%

-30.0%

-20.0%

-10.0%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

$0.00

$0.20

$0.40

$0.60

$0.80

$1.00

$1.20

$1.40

$1.60

% C

han

ge

$CD

N/l

itre

68

4. Trade

Methodology

The major intent of the Manitoba Transportation Report is to convey Manitoba’s relative

position in Canada’s total international trade. Achieving this purpose requires a reliable source

of information relating to Canadian international trade. All trade information presented in

sections 4.0, 5.0, and 6.0 have been provided by Statistics Canada’s International Trade Division

(ITD), which collects annual international trade data for each Canadian province and territory.

Information provided by the ITD is primarily extracted from customs data. The dataset is

extensive and includes identifiers such as commodities traded, origins, destinations, value,

weight, and modal information. As extensive as this database is, there are inherent limitations

to this trade information requiring caveats. These will be discussed below.

Customs Based vs. Balance of Trade Statistics

All trade data presented in this section are Canada Revenue Agency based. This differs from the

second method of trade presentation; the Balance of Payment (BOP) method. The main

difference between the two models is that the data based on Customs involves the physical

movement of goods as is recorded on Customs documents. The BOP method tracks the flow of

money between Canada’s business and government agencies and the rest of the world.

Import vs. Export Data

Import statistics as collected by Customs are based on the Province of Clearance, meaning that

goods are recorded at the province in which they were cleared by Customs. This may not

coincide with the province in which these commodities were ultimately consumed. For

example, imported goods from Asia but cleared through British Columbia can possibly be

consumed in Manitoba. Customs documentation does not track the final provincial

destinations. Export statistics are recorded by Customs by Province of Departure from Canada

(the Export analogue to Imports’ Province of Clearance). Additionally, Province of Origin (the

province where that the goods were grown, extracted, or manufactured) are available for export

data. Province of Origin does not necessarily match Province of Departure. For example,

commodities that originated in Alberta could have exited through Manitoba or vice versa. The

availability of both the origin and departure data offers analysis of Export Data another level of

scrutiny not available to the analysis of Import Data. Any review of trade routing and

provinces’ use of their own and other provinces’ transportation infrastructure is

understandably limited to analysis of Export Data.

Trade by Sector

With the purpose of attempting to quantify sector based trade, the International Trade Division

has created an internal commodity-sector concordance list which allows a basic approximation

of sector trade. Caution must be taken as this is a rather simple measurement in an attempt to

quantify the relative importance of sector-based trade in Manitoba and Canada.

69

Modal Information

When using Customs-based trade statistics, there are caveats on the mode of transport for both

imports and exports.

For imports, information on the transportation mode of a commodity usually refers to the final

mode by which commodities were transported to the Canadian port of clearance and

documented by Customs. This may not always be the mode by which goods arrived at the

Canadian port of entry in the case of inland clearance.

For exports, the mode of transportation recorded represents the final mode used to carry goods

across international borders. This transportation mode may not necessarily be the same mode

used to deliver cargo within Canada, that is, trans-shipment effects are not recorded and are not

readily available. For example, some grain movements to China may not be recorded as

‚Marine‛, but rather as ‚Rail‛ or ‚Other‛.

With various data sources, each with their own limitations, sections 4.0, 5.0, 6.0, and 7.0 will

follow two main paths of analysis:

The first will focus on the content of trade, emphasizing commodity-specific

information, but also source or destination country information.

The second will focus on the movement mechanism of that trade, emphasizing modes of

movement and, logically, routing used (proxied by export data flows).

Weight Approximations

In the first paragraph of this section, weight is included in the list of identifiers in the ITD

dataset. In fact, weight was deleted as a reporting field in the customs forms (a main source of

data for the ITD analysis) in the mid 1990s. Since that time, ITD ‚splinted‛ the weight data

based upon known weight/value relationships from previous years’ data for specific HS

(Harmonized System) commodity codes. However, over time, ITD’s ‚comfort level‛ associated

with the derived weight data declined. The reasons for this shift were twofold:

New HS coded commodities entered into the dataset which lacked any historical data to

support value/weight conversions.

As some commodities’ traits evolved, the established value/weight ratios appeared less

appropriate for supporting conversions.

70

Faced with these limitations, ITD dropped commodity weight as an indicator for the 2007 data

year. To obtain the weights for 2007 there were four layers of calculation, listed in the order of

preference.

The first was the straight forward use of any weight-based unit of measure. In other

words, if the quantity was 100 and the unit was kg, it could be assumed that the weight

is 100 kg.

The second layer was the average weights per quantity of each HS06 code item derived

from the records of 2000 to 2006. This method provided how much one unit of a

particular code could be expected to weigh, which we then multiplied by the quantity of

that item.

The third layer of calculations, and the most complex one, was to find the average value

per quantity of an HS06 code item. This would provide how much one unit of an item

would cost. The 2007 value was then divided by this number and the answer multiplied

by the weight per quantity of that code item (see the second layer above).

The fourth and last layer of calculations was the average value per weight of each HS06

code item. This final method ascertained how much one dollar of a particular item was

expected to weigh which was then multiplied by the value of that item.

71

Domestic Trade & Infrastructure Utilization

Trade flows are not always connected to other nations. There is a considerable amount of

domestic trade that also occurs. This sub-section will deal with rail and road traffic flows

through Manitoba and other provinces. The statistics are from 2001 to 2006 for both modes. This

sub-section assumes that all traffic flows linearly in an East-West West-East fashion.

Export Routing and Usage of Transportation Infrastructure

Canada’s transportation infrastructure is configured to facilitate interprovincial movement as

part of the import and export process. The extreme simplification of this is found in the system

which facilitates movement of bulk goods by rail to seaports where the use of highly cost-

efficient water movement can be maximized. The St. Lawrence Seaway/Great Lakes system

allows water movement to reach to the heart of the continent. On another scale, provinces can

shift commodities through adjacent provinces in order to minimize transport through the more

challenging elements of Canada’s geography. The net effect is that there is a great divergence in

the degree to which provinces can use their own transportation infrastructure to facilitate trade

with other countries (even when the largest trading partner shares our southern border).

The series of bar charts in this subsection (Figures 4.1 through 4.7) summarize the degree to

which provinces ship their exports essentially using their own transportation infrastructure. It

should be noted that the hydroelectric and petrochemical sectors tend to use dedicated

infrastructures. Therefore, for the purposes of discussions about load on infrastructure, those

sectors (the ‚Powerline and Pipeline‛ sector) are excluded from this discussion. In essence,

these charts follow a template by which the percentage of a jurisdiction’s exports (quantified by

value or tonnage and listed beside the jurisdiction’s name in the chart label) departs Canada

from that jurisdiction’s ports. For example, 87.4% of Ontario’s $201 billion in exports leaves

Canada from Ontario’s ports (Figure 4.1). Over 3 quarters (83.9%) of New Brunswick’s $11.1

billion in exports leave Canada from New Brunswick ports, while 82.2% of British Columbia’s

$28.9 billion in exports leaves from British Columbia’s ports.

At the other end of the spectrum, less than 13% of exports from Prince Edward Island, Yukon,

or Nunavut leave Canada directly from those jurisdictions.

72

Figure 4.1: Percentage of Province/Territories’ Exports Leaving Canada From Original

Province (2007)

(Total Non-Pipeline & Energy Exports: $384.4 Billion)

As noted in previous editions, provinces such as Alberta and Saskatchewan appear quite

dependent on other provinces’ transportation infrastructure to, at least in part, move their

export - particularly in contrast to their third prairie neighbour, Manitoba. Alberta only moves a

value of commodities equal to 30% of its exports via its own ports, and Saskatchewan’s share is

even lower at 17%. In contrast, Manitoba moves over half (53%) of its export value via its own

ports. Relative to 2006, this represented a slight decline for Manitoba from 55%, a decline for

Saskatchewan from 21%, but an increase in Alberta’s transportation self-sufficiency from 26%.

On a weight basis (perhaps a better indicator of load on transportation infrastructure), there

appears to be a much better defined cusp between jurisdictions with a well-defined trade

infrastructure capacity (British Columbia, Ontario, Nova Scotia, Quebec, New Brunswick and

Manitoba – all above 50%) and jurisdictions which depend heavily on other jurisdictions’

infrastructure (Nunavut, Saskatchewan, Prince Edward Island, Alberta, Newfoundland &

Labrador, Northwest Territories, and Yukon – all moving less than half of their exports by

weight through their own ports) (Figure 4.2).

7.8%

9.1%

12.6%

16.9%

30.0%

39.2%

53.1%

62.4%

65.0%

71.2%

82.2%

83.9%

87.4%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

NU ($436 K)

YT ($2.0 M)

PE (101.4 M)

SK ($2.3 B)

AB ($9.1 B)

NS ($1.8 B)

MB ($5.8 B)

QC ($42.8 B)

NL ($7.5 B)

NT ($1.2 B)

BC ($23.7 B)

NB ($9.2 B)

ON ($176.3 B)

73

Figure 4.2: Percentage of Province/Territories’ Exports Leaving Canada From Original

Province (2007)

(Total Non-Pipeline & Energy Exports: 412.9 Million Tonnes)

On the following pages, Figures 4.3 through 4.8 repeat this representation specifically for road,

rail, and marine exports. Of Ontario's $117 billion that is exported by road, 93.2% is exported

directly from Ontario's road infrastructure rather than using other provinces' roads. This

represented only a slight decline from the 95% level of 2006 (Figure 4.3)

In road-based exports, Manitoba maintained its third place ranking behind BC, moving freight

equal to 86.2% of its exports through its own ports. It retains a substantial lead over the other

prairie provinces (61.6% for Alberta and 50.3% for Saskatchewan – with both of these provinces

recording declines relative to 2006). On a weight basis (Figure 4.4), Manitoba closely follows BC

and Ontario, shipping 89.7% of its road exports (by weight) through its own ports.

In terms of rail, Ontario stands alone, handling almost all of its rail exports (97.6% by value)

without using other provinces’ infrastructure (Figure 4.5). On a weight basis, Manitoba follows

behind Ontario (Figure 4.6), moving 45.9% of its rail exports out of the country using its own

ports.

Regarding marine, provinces such as British Columbia, New Brunswick, Quebec, and Nova

Scotia (on value) are, as one would expect, those jurisdictions with modal self-sufficiency. While

modal self-sufficiency for exports is not necessarily a determinant in definition of a ‚portal‛ or

corridor ‚hub‛, it may be a desirable trait. If so, Canada’s seaport provinces are portals or hubs,

but so too is Ontario a rail portal or hub, and Manitoba is the Canadian Prairie’s road portal.

4.4%

14.1%

21.0%

23.7%

37.2%

38.5%

38.8%

50.8%

76.1%

77.3%

83.2%

88.3%

89.8%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

YT (930)

SK (5.8 M)

PE (1.4 K)

AB (11.9 M)

NU (4.5 K)

NL (11.4 M)

NT (4.5 K)

MB (6.0 M)

QC (50.7 M)

NS (12.0 M)

NB (13.0 M)

BC (57.0 M)

ON (104.3 M)

74

Figure 4.3: Percentage of Province/Territories’ Exports Leaving Canada From Original

Province (2007)

(Road Exports: $180.3 Billion)

Figure 4.4: Percentage of Province/Territories’ Exports Leaving Canada From Original

Province (2007)

(Road Exports: 74.7 Million Tonnes)

0.0%

0.0%

0.0%

0.2%

0.3%

7.9%

49.8%

50.3%

61.6%

80.8%

86.2%

88.3%

93.2%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

NT ($1.4 M)

NU ($465 K)

PE ($458.9 M)

NL ($541 K)

NS ($6.7 M)

YT ($1.4 M)

QC ($16.4 B)

SK ($1.0 B)

AB ($5.3 B)

NB ($1.6 B)

MB ($4.7 B)

BC ($7.4 B)

ON ($109.5 B)

0.0%

0.0%

0.0%

0.1%

0.2%

4.4%

36.1%

54.7%

62.9%

83.3%

89.7%

91.5%

93.8%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

NT (-)

NU (-)

PE (-)

NL (49.4)

NS (1.0 K)

YT (754.8)

SK (957.3 K)

QC (8.3 M)

AB (2.9 M)

NB (1.5 M)

MB (2.8 M)

BC (5.1 M)

ON (37.9 M)

75

Figure 4.5: Percentage of Province/Territories’ Exports Leaving Canada From Original

Province (2007)

(Rail Exports: $74.2 Billion)

Figure 4.6: Percentage of Province/Territories’ Exports Leaving Canada From Original

Province (2007)

(Rail Exports: 71.5 Million Tonnes)

0.0%

0.0%

0.0%

0.0%

0.0%

0.5%

11.4%

25.8%

27.8%

33.5%

37.6%

37.7%

97.6%

0% 20% 40% 60% 80% 100%

NL (-)

NT (-)

NU (-)

PE (-)

YT (-)

NS ($2.6 M)

AB ($1.0 B)

SK ($893.5 M)

MB ($571.5 M)

NB ($343.5 M)

BC ($2.2 B)

QC ($4.0 B)

ON ($39.9 B)

0.0%

0.0%

0.0%

0.0%

0.0%

0.1%

10.1%

23.3%

36.2%

38.2%

44.9%

45.9%

90.6%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

NL (-)

NT (-)

NU (-)

PE (-)

YT (-)

NS (643.8)

AB (1.5 M)

SK (3.3 M)

NB (537.8 K)

BC (4.1 M)

QC (4.4 M)

MB (1.7 M)

ON (13.6 M)

76

Figure 4.7: Percentage of Province/Territories’ Exports Leaving Canada From Original

Province (2007)

(Water Exports: $81.5 Billion)

Figure 4.8: Percentage of Province/Territories’ Exports Leaving Canada From Original

Province (2007)

(Water Exports: 191.1 Million Tonnes)

0.0%

0.0%

0.0%

0.0%

0.0%

0.6%

8.2%

15.1%

66.2%

81.6%

90.3%

90.9%

97.1%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

AB (-)

NT (-)

NU (-)

SK (-)

YT (-)

MB ($17.8 M)

PE ($10.3 M)

ON ($2.7 B)

NL ($7.2 B)

QC ($9.0 B)

NS ($1.4 B)

NB ($6.9 B)

BC ($11.7 B)

0.0%

0.0%

0.0%

0.0%

0.0%

1.8%

19.6%

36.7%

57.3%

84.1%

87.3%

88.2%

99.3%

0% 20% 40% 60% 80% 100%

AB (-)

NT (-)

NU (-)

SK (-)

YT (-)

MB (63.5 K)

PE (30.8 K)

NL (10.5 M)

ON (10.2 M)

NS (10.9 M)

NB (9.4 M)

QC (25.3 M)

BC (42.3M)

77

Usage of Manitoba’s Transportation Infrastructure

Manitoba’s infrastructure appears to be well utilized in facilitating the province’s export

obligations. However, the previous section indicates that some of our neighbours are less

successful in meeting their own export requirements under the confines of their own

infrastructure. In 2007, about $17 Billion in exports passed out of Canada with Manitoba as the

point of exit (Figure 4.9). Of this amount, nearly 40% originated in Alberta, with Manitoba

responsible for about another 40%.

Figure 4.9: 2007 Provincial Exports Leaving Via Manitoba (By Value)

($16.5 Billion)

In the context of transportation infrastructure, discussions should exclude the powerline and

pipeline sectors. These modes function separately from the more traditional road, rail, air and

water modes, and their inclusion would only serve to ‚muddy the waters‛ – particularly in the

context of Alberta’s substantial oil and gas exports.

After removing these sectors, the situation in the context of transportation infrastructure

becomes clearer (Figure 4.10). Over half (58%) of exports (by value) leaving via Manitoba

originated in Manitoba in 2007 (the same level as in 2006, and up from 56% in 2005). Alberta

and Saskatchewan sourced commodities represented the next largest segments (each 12.9%),

followed by Ontario (11.9%). This represented a slight reduction from 2006’s 14% from Alberta

and a slight recovery from 11% from Saskatchewan. Overall, the value of exports leaving via

Manitoba dropped about 3% from 2006, after an increase from 2005 to 2006 of about 8%.

BC

2.5%

AB

39.2%

SK

10.9%

MB

39.6%ON

7.3%

Other

0.4%

78

Figure 4.10: 2007 Provincial Exports Leaving Via Manitoba,

Excluding Powerline and Pipeline Sectors (By Value)

($10.1 Billion)

Figure 4.11: 2007 Mode of Exports Leaving Via Manitoba,

Excluding Powerline and Pipeline Sectors (By Value)

($10.1 Billion)

Of the exports leaving via Manitoba, 71.6% (by value) departed by road in 2007 (Figure 4.11),

followed by rail, which contributed 20.5% of exports by value.

BC

4.1%

AB

12.9%

SK

12.9%

MB

57.6%

ON

11.9%

Other

0.7%

Air

4.4%

Other

1.8%

Rail

20.5%

Road

71.6%

Water

1.7%

79

On a tonnage basis (Figure 4.12), Manitoba is the dominant source of exports leaving via

Manitoba (46.1%), followed by Saskatchewan (32.7%). In 2006, those two provinces each

contributed slightly above one-third of exports leaving via Manitoba (by weight). Alberta’s

contribution has dropped from 17% in 2006 to 12% in 2007.

Figure 4.12: 2007 Provincial Exports Leaving Via Manitoba, Excluding Powerline and

Pipeline Sectors (By Weight)

(13.1 Million Tonnes)

Figure 4.13: 2007 Mode of Exports Leaving Via Manitoba,

Excluding Powerline and Pipeline Sectors (By Weight)

13.1 Million Tonnes)

BC

3.2%

AB

11.9%

SK

32.7%

MB

46.1%

ON

5.6% Other

0.5%

Air

0.7%

Other

11.3%

Rail

50.1%

Road

33.2%

Water

4.6%

80

Considering a tonnage basis, rail carries half (50.1%) of the exports leaving via Manitoba,

remaining unchanged from 2006, and ahead of the 33.2% by road. This may be due to a

disproportionate focus on rail for moving Saskatchewan’s exports through Manitoba to US

markets.

With Manitoba’s self-sufficiency in road export movement, an apparent lack of such self-

sufficiency for Saskatchewan and Alberta, and a significant usage of Manitoba as the portal for

prairie exports (Figures 4.10 and 4.12), a ‚Trucking Weight Surplus/Deficit‛ construct was

developed (Figure 4.14).

This value is created by netting out a province’s road-based exports with the road-based exports

exiting Canada via that province. For example, 1.2 million more tonnes left via Manitoba’s

ports than could be accounted by Manitoba’s road-based exports. In contrast, nearly 1.1 million

tonnes of Alberta’s road-based exports were not able to leave directly through Alberta’s road

infrastructure, rather requiring the use of other provinces’ roads. A similar deficit of 1.02

million tonnes was calculated for Saskatchewan. It is likely this value would have been much

higher had it not been for the propensity to use rail rather than road for Saskatchewan exports.

Figure 4.14: 2007 Prairie Provinces’ Road Export Weight Surplus/Deficit

(Exported by Road From Prairies 10.6 Million Tonnes)

Figure 4.14 presents a ‚net‛ view of the use of road infrastructure of the Prairie provinces. The

following table presents the provincial/territorial relationships in more detail.

-1.093

-1.020

1.210

-1.25 -1.00 -0.75 -0.50 -0.25 0.00 0.25 0.50 0.75 1.00 1.25

Alberta

Saskatchewan

Manitoba

81

Table 4.1: 2007 Provincial/Territorial Usage of Jurisdictions’ Road Infrastructure

(‘000 Tonnes)

Province of Departure from Canada Weight of Prov's

Road Exports

(‘000 Tonnes) BC AB SK MB ON Other

Ori

gin

atin

g P

rov

ince

British

Columbia

5,138 42 84 141 127 87 5,617

91.5% 0.7% 1.5% 2.5% 2.3% 1.5% 100%

Alberta 514 2,979 462 390 259 130 4,734

10.9% 62.9% 9.8% 8.2% 5.5% 2.7% 100%

Saskatchewan 60 474 957 724 203 236 2,655

2.2% 17.9% 36.1% 27.3% 7.7% 8.9% 100%

Manitoba 44 27 73 2,847 135 47 3,173

1.4% 0.8% 2.3% 89.7% 4.2% 1.5% 100%

Ontario 315 113 56 269 37,910 1,752 40,415

0.8% 0.3% 0.1% 0.7% 93.8% 4.3% 100%

Other

Prov/Terr

42 6 2 12 7,106 11,034 18,202

0.2% 0.0% 0.0% 0.1% 39.0% 60.6% 100%

Total Weight of

Exports Leaving via

Prov. (‘000 Tonnes)

6,112 3,641 1,635 4,384 45,739 13,287 74,797

Percent of Weight

of Prov's Road

Exports Leaving via

Own Prov

Infrastructure

108.8% 76.9% 61.6% 138.1% 113.2% 73.0%

Province's Surplus

or Deficit (‘000

Tonnes)

495 -1,093 -1,020 1,210 5,324 -4,915

Main Beneficiaries

of Port Province's

Infrastructure

BC

AB

ON

AB

SK

SK

AB

MB

SK

AB

ON

QC42

"Other"

‚Other‛

ON

Since Saskatchewan’s road deficit is quite small, Figure 4.14 may give the impression that the

large Manitoba surplus is as a result of a large amount of exports being trucked from Alberta to

Manitoba and then being exported via Manitoba. However, Table 4.1 reveals a more complex

relationship, and more of an ‚ice cube tray‛ effect. Alberta only ships 390,000 tonnes of road

exports through Manitoba, but ships 462,000 tonnes via Saskatchewan. Saskatchewan, in turn,

ships 724,000 tonnes via Manitoba. As the ‚ice cube tray‛ tilts to the east, ‚water‛

(commodities) pours out of Alberta into Saskatchewan, which is itself in the process of pouring

into Manitoba in order to facilitate truck trade southward.

Table 4.1 also illustrates that in 2007, Manitoba maintained the largest road freight surplus (by

weight) among the Western provinces. One could argue that, on balance, other western

42 Included in ‚Other‛

82

provinces benefit from the presence of Manitoba’s road infrastructure to a greater extent than

Manitoba benefits from the other western provinces’ road infrastructure (at least in terms of

facilitating international road-based exports).

The view presented for road in Figure 4.14 is repeated for Rail in Figure 4.15. It is also a ‚net

effect‛ presentation, showing Manitoba’s net positive rail surplus. As with trucking, it is a

complex net effect, with Alberta moving 4.5 million tonnes through Saskatchewan to the United

States while Saskatchewan moves 3.2 million tonnes through the rail bed in Manitoba. Alberta

also uses rail in Manitoba to a level of 890,000 tonnes. Conversely, only 86,000 tonnes of

Manitoba’s rail exports leave Canada via Alberta, and 171,000 tonnes of Manitoba rail exports

leave via Saskatchewan.

Overall, in 2007, the ‚ice cube tray‛ analogy still holds for road and rail, although

Saskatchewan’s load in Manitoba’s infrastructure was somewhat more direct than it had been in

2006, with the central prairie province contributing a greater percentage directly to Manitoba

than had been the case in 2006.

Figure 4.15: 2007 Prairie Provinces’ Rail Export Weight Surplus/Deficit

(Exported by Rail From Prairies 33.2 Million Tonnes)

When all provinces’ exports by rail are viewed, only Manitoba and Ontario have net rail

surpluses (by weight), such that rail departing from Ontario and Manitoba exceeds the weight

of those provinces’ own exports leaving by rail. Manitoba (and Canada in general) is a trade-

based economy and gains significantly from markets outside its borders. However, it would

appear that other provinces may gain significantly, and disproportionately, from access to

markets through Manitoba’s transportation infrastructure.

-12.750

-5.032

2.883

-14.0 -12.0 -10.0 -8.0 -6.0 -4.0 -2.0 0.0 2.0 4.0

Alberta

Saskatchewan

Manitoba

83

Rail Commodity Traffic Flows

Figures 4.16 to 4.20 show the breakdown of rail traffic flow in and through the provinces of

Alberta, Saskatchewan, Manitoba, Ontario, and Quebec. Intra-provincial flows are those that

originate in the same province as their eventual destination, East- and West-bound flows are

those that are just passing through, while the other two categories are more province-specific.

For example, for the Manitoba chart MB-Origin refers to those goods that originated in

Manitoba and are destined for another province while MB-Destination are those that came from

another province with the destination of Manitoba for final consumption.

Figure 4.16: Rail Traffic Flows In/Through Manitoba, 2001-2007 (by Weight)

In 2007, roughly 14% of the rail traffic flowing in or through Manitoba originated from

Manitoba, with the remaining 86% from other provinces. Most of the rail traffic from other

provinces was not intended for Manitoba. Eastbound traffic accounted for 68% of the rail traffic

flows at 20.4 million tonnes, and Westbound traffic accounted for 32% of rail traffic at 9.5

million tonnes.

8,28

0

19,5

38

256

6,54

1

3,89

4

8,68

8

19,2

67

355

6,48

6

3,98

2

9,04

5

19,7

37

657

6,16

0

4,42

6

9,36

5

21,0

79

516

5,64

5

4,14

7

9,74

9

21,1

91

442

5,16

1

4,22

0

9,69

8

21,1

16

437

5,16

7

4,10

7

9,47

8

20,4

28

242

5,40

5

4,11

2

0

5,000

10,000

15,000

20,000

25,000

Westbound Eastbound Intraprovincial MB-Origin MB-Destination

To

nn

es (

000)

2001 2002 2003 2004 2005 2006 2007

84

Figures 4.17 to 4.20 show the breakdown of rail traffic through Alberta, Saskatchewan, Ontario,

and Quebec from 2001-2007.

Figure 4.17: Rail Traffic Flows In/Through Alberta, 2001-2007 (by Weight)

Figure 4.18: Rail Traffic Flows In/Through Saskatchewan, 2001-2007 (by Weight)

16,8

33

5,81

4

3,12

0

30,4

56

6,82

8

13,6

64

6,97

3

3,19

6

26,5

15

6,94

8

14,9

94

7,58

3

2,73

9

25,8

82

7,00

9

17,7

05

8,29

4

3,01

2

29,1

40

7,00

6

19,8

88

8,71

5

3,27

7

29,9

99

7,34

8

19,6

96

8,51

3

3,28

1

36,6

06

7,94

7

21,2

97

9,21

8

3,18

0

37,8

12

8,23

5

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

Westbound Eastbound Intraprovincial AB-Origin AB-Destination

To

nn

es (

000)

2001 2002 2003 2004 2005 2006 2007

9,89

2

10,6

19

152

24,3

00

1,97

7

10,2

37 12,2

34

242

18,9

68

1,94

0

9,93

1 12,7

98

217

20,9

51

2,01

6

9,79

9

13,6

57

197

24,0

36

1,78

6

10,1

12

13,9

17

185

25,8

24

1,77

8

10,3

80 12,9

63

165

25,9

07

1,79

5

10,3

12 13,2

81

192

26,5

04

1,83

6

0

5,000

10,000

15,000

20,000

25,000

30,000

Westbound Eastbound Intraprovincial SK-Origin SK-Destination

To

nn

es (

000)

2001 2002 2003 2004 2005 2006 2007

85

Figure 4.19: Rail Traffic Flows In/Through Ontario, 2001-2007 (by Weight)

Figure 4.20: Rail Traffic Flows In/Through Quebec, 2001-2007 (by Weight)

A considerable amount of Canadian rail tonnage traveled west to east; resulting in Manitoba

being used as a route for rail through-traffic. Overall, approximately 75.4% of all rail traffic in

Manitoba was flow-through. In comparison, flow-through traffic in Saskatchewan and Alberta

accounted for 45.3% and 38.3% of each provinces total rail tonnage, while Ontario and Quebec

flow-through traffic was considerably lower (17.6% and 6.3%, respectively).

2,69

42,

782 5,

316 7,

872

14,2

83

24,7

10

2,93

5 5,7

12

7,42

0

14,9

58

25

,77

9

3,14

3 6,35

4

8,0

37

14,7

75

26,3

45

3,14

8

6,43

2

7,82

1

14,6

99

25,8

91

3,32

1 6,40

1

5,75

3

14,6

12

25,3

86

3,36

7 6,23

5

5,71

7

14,6

46

24,7

11

0

5,000

10,000

15,000

20,000

25,000

30,000

Westbound Eastbound Intraprovincial ON-Origin ON-Destination

To

nn

es (

000)

2001 2002 2003 2004 2005 2006 2007

1,40

6

2,40

2

6,62

3 9,41

1

28,2

30

1,45

3

2,26

7

6,38

4 10,1

78

28,6

14

1,67

2

2,32

5

6,45

6

10,9

80

31,4

36

1,61

0

2,33

3 5,86

2

10,9

15

27,8

72

1,52

6

2,11

2 5,21

0

11,1

03

32,9

39

1,48

2

1,94

9 4,93

8

11,1

60

32,9

59

1,26

5

1,86

0 4,96

7

10,8

41

30,9

54

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

Westbound Eastbound Intraprovincial QC-Origin QC-Destination

To

nn

es (

000)

2001 2002 2003 2004 2005 2006 2007

86

Table 4.2 displays the Westbound and Eastbound traffic flows for Alberta, Saskatchewan,

Manitoba, Ontario and Quebec. West and East bound traffic shows the flow through traffic

only, which is traffic that originates in one province, and goes through the represented province

to arrive at the destination province on the other side.

Alberta supported 30.5 million tonnes and Saskatchewan supported 23.6 million tonnes.

Manitoba was the second most affected by flow through traffic with 29.9 million tonnes flowing

through the province, 68% of which was Eastbound, while the remaining 31% was Westbound.

Ontario and Quebec fared better with only 9.6 million and 3.1 million tonnes respectivly.

Table 4.2: Rail Traffic Flows Through Selected Canadian Provinces, 2007

Tonnes (000)

Province AB SK MB ON QC

Westbound 21,297 10,312 9,478 3,367 1,265

Eastbound 9,218 13,281 20,428 6,235 1,860

Total Flow-Through 30,514 23,593 29,906 9,601 3,126

% Westbound 71% 34% 31% 11% 4%

% Eastbound 31% 44% 68% 21% 6%

Total Traffic 79,742 52,124 39,665 54,676 49,888

Figure 4.21 shows the rail traffic flows in and through Manitoba by province of origin for 2007.

Figure 4.21: Rail Traffic Flows In/Through Manitoba, by Originating Province, 2007

(by Weight)

(39.6 Million Tonnes)

28.9%

10.5%

28.3%

17.9%21.6%

9.1%

0.7%

1.2%

3.4%

4.6%

0.8%

3.1%

1.2%

0.1%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

BC AB SK MB ON QC ATL

Per

cen

tag

e o

f T

ota

l M

anit

ob

a T

raff

ic

Flow Through Manitoba Destined for MB

87

Only 0.6% of the rail traffic that originated in Manitoba remained in Manitoba. Of the 5.4

million tonnes that were destined for other Canadian provinces, approximately 28.3% were

shipped West and the remaining 67.4% were shipped East. The provinces with the largest

contribution to flow through Manitoba were British Columbia (22.0%), Saskatchewan (21.5%),

and Ontario (16.4%).

Figure 4.22 displays the Westbound rail fraffic flowing through Manitoba form 2001-2007.

Figure 4.22: Westbound Rail Traffic Flowing Through Manitoba, Destined for

SK, AB, BC, 2001-2007 (by Weight)

In 2007, the majority of rail tonnage that flowed through Manitoba originated in Ontario (6.5

million tonnes). Over half of this traffic was destined for Alberta (53.7%) while 40.3% was

shipped to British Columbia. Nearly 2.8 million tonnes was shipped west from Quebec, while

just over 204,000 tonnes originated from the Atlantic provinces.

SKSK

SK

AB

AB

AB

BC

BC

BC

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

45.0%

ATL QC ON

Origin

2001 2002 2003 2004 2005 2006 2007

88

Figure 4.23 displays the Eastbound traffic flows from 2001-2007.

Figure 4.23: Eastbound Rail Traffic Flowing Through Manitoba, Destined for

ATL, QC, ON, 2001-2007 (by Weight)

Of the 20.4 million tonnes of rail traffic flowing east through Manitoba, the majority was

destined for Ontario (72.8%); nearly half of which originated from Saskatchewan (48.5%).

Overall, traffic from British Columbia and Saskatchewan represented the majority of east bound

rail tonnage flowing through Manitoba (42.7% and 41.8% respectively).

ATL ATL ATL

QC QC

QC

ON

ON

ON

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

45.0%

50.0%

SK AB BC

Origin

2001 2002 2003 2004 2005 2006 2007

89

Truck Commodity Traffic Flows

Figures 4.24 to 4.28 show the breakdown of truck traffic flow in and through the provinces of

Alberta, Saskatchewan, Manitoba, Ontario, and Quebec. Intra-provincial flows are those that

originate in the same province as their eventual destination, East and West bound flows are

those that are flowing through, while the other two categories are more province-specific. For

example, for the Manitoba chart MB-Origin refers to that goods that originated in Manitoba and

are destined for another province while MB-Destination are those that came from another

province with the destination of Manitoba for final consumption.

The data for truck traffic flows only goes back to 2004 because between 2003 and 2004 there was

an alteration made to the statistical collection method that would make comparison of the data

virtually meaningless.

Figure 4.24: Truck Traffic Flows In/Through Manitoba, 2004-2007 (by Weight)

In 2007, roughly 42% of the truck traffic flowing in or through Manitoba originated in Manitoba,

with the remaining 58% oringinated from other provinces. Most of the truck traffic from other

provinces was not intended for Manitoba. Eastbound traffic accounted for 12% of the truck

traffic flows (3.0 million tonnes), while Westbound traffic accounted for 17% of truck traffic (4.0

million tonnes).

3,47

3

2,32

8

8,29

2

2,94

2

5,38

9

4,63

3

1,95

7

9,77

3

2,99

7

4,31

4

4,63

2

2,26

1

9,54

7

3,01

8

3,57

1

4,04

8

3,01

2

10,2

63

2,85

7 4,00

1

0

2,000

4,000

6,000

8,000

10,000

12,000

Westbound Eastbound Intraprovincial MB-Origin MB-Destination

To

nn

es (

000)

2004 2005 2006 2007

90

Figure 4.25: Truck Traffic Flows In/Through Alberta, 2004-2007 (by Weight)

Figure 4.26: Truck Traffic Flows In/Through Saskatchewan, 2004-2007 (by Weight)

1,62

2

1,48

3

77,7

16

10,8

04

9,96

9

2,18

5

1,20

3

77,4

52

10,0

08

11,0

50

1,62

2

1,58

9

80,7

32

7,65

3

10,8

53

1,92

4

2,55

4

96,8

84

8,30

7

14,2

31

0

20,000

40,000

60,000

80,000

100,000

120,000

Westbound Eastbound Intraprovincial AB-Origin AB-Destination

To

nn

es (

000)

2004 2005 2006 2007

4,16

1

3,92

9

14,8

08

6,50

3

5,30

2

5,15

9

3,21

9

20,3

77

4,82

7

3,66

7

4,89

1

3,39

1

22,0

84

4,34

7

3,64

7

4,45

5

4,03

8

16,6

87

8,80

6

4,32

8

0

5,000

10,000

15,000

20,000

25,000

Westbound Eastbound Intraprovincial SK-Origin SK-Destination

To

nn

es (

000)

2004 2005 2006 2007

91

Figure 4.27: Truck Traffic Flows In/Through Ontario, 2004-2007 (by Weight)

Figure 4.28: Truck Traffic Flows In/Through Quebec, 2004-2007 (by Weight)

Most truck traffic is intraprovincial, due primarily to the fact that truck traffic is most efficient

for short haul transport. Flow through traffic accounts for only 4% of Alberta’s traffic , 22% of

Saskatchewan’s traffic, 1% of Ontario’s traffic and 4% of Quebec’s truck traffic. This is in

comparison to Manitoba’s 29% flow through traffic.

850

805

144,

880

16

,95

1

18,0

04

1,06

3

843

154,

644

20,7

84

19,8

28

1,25

7

867

171,

071

20,0

59

17,4

63

1,27

0

724

167,

259

17,7

37

15,4

20

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

Westbound Eastbound Intraprovincial ON-Origin ON-Destination

To

nn

es (

000)

2004 2005 2006 2007

1,58

9

2,55

8

72,9

14

17,4

61

14,2

90

1,47

5

2,28

5

83,8

61

19,5

19

16,3

21

1,39

4

2,73

0

90,0

57

17,3

40

15,4

35

1,61

1

3,36

5

81,4

68

14,6

07

13,1

27

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

Westbound Eastbound Intraprovincial QC-Origin QC-Destination

To

nn

es (

000)

2004 2005 2006 2007

92

Table 4.3 displays the West bound and East bound traffic flows for Alberta, Saskatchewan,

Manitoba, Ontario and Quebec. West and East bound traffic shows the flow through traffic

only, which is traffic that originates in one province, and goes through the represented province

to arrive at the destination province on the other side. Alberta was the fourth most affected by

flow through traffic with 4.5 million tonnes, Saskatchewan was the most affected by flow

through traffic with 8.5 million tonnes 48% East bound and 52% West bound. Manitoba is the

second most affected by flow through traffic with 7.0 million tonnes flowing through the

province, 43% East bound, 57% West bound. Ontario and Quebec fared better with only 2.0

million and 5.0 million tonnes respectivly.

Table 4.3: Truck Traffic Flows Through Selected Canadian Provinces, 2007

Tonnes (000)

Province AB SK MB ON QUE

Westbound 1,924 4,455 4,048 1,270 1,611

Eastbound 2,554 4,038 3,012 724 3,365

Total Flow-Through 4,478 8,494 7,060 1,994 4,976

% Westbound 43% 52% 57% 64% 32%

% Eastbound 57% 48% 43% 36% 68%

Total Traffic 123,899 38,315 24,181 202,410 114,178

Figure 4.29 shows the truck traffic flows in and through Manitoba by province of origin for

2007.

Figure 4.29: Truck Traffic Flows Destined For/Through Manitoba, by Originating Province,

2007

(by Weight)

(24.2 Million Tonnes)

7.4% 4.1% 1.0%11.8% 12.9%

3.3% 0.5%

1.3%3.9%

5.3%

42.4%

4.6%

1.2% 0.2%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

BC AB SK MB ON QUE ATL

Per

cen

tag

e o

f T

ota

l M

anit

ob

a T

raff

ic

Flow Through Manitoba Destined for Manitoba

93

Over 42% of the truck traffic that originated in Manitoba was destined for Manitoba. The

provinces with the largest contribution to flow through were British Columbia (7%), Alberta

(4%), Ontario (13%), and Quebec (3%).

Figure 4.30 displays the Westbound truck traffic flowing through Manitoba from 2001-2007.

Figure 4.30: Westbound Truck Traffic Flowing Through Manitoba, Destined for

SK, AB, BC 2004-2007 (by Weight)

In 2007 the majority of the traffic originated in Ontario (3.1 million tonnes). Ontario to Britsh

Columbia ranked second as the largest portion at 27%. Ontario to Alberta was the largest

portion of through traffic at 43%, while Quebec to Alberta traffic accounted for third place with

11%, at 465,000 tonnes.

SKSK

SK

AB

AB

AB

BC

BC

BC

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

45.0%

50.0%

ATL QC ON

Origin

2004 2005 2006 2007

94

Figure 4.31 displays the Eastbound traffic flows from 2001-2007.

Figure 4.31: Eastbound Truck Traffic Flowing Through Manitoba, Destined for

ATL, QUE, ON 2001-2007 (by Weight)

British Columbia to Ontario truck traffic flows were the largest, accounting for 53% or 1.5

million tonnes. Alberta to Ontario truck traffic flows were the second largest, accounting for

23% or roughly 690,000 tonnes of Eastbound traffic.

ATLATL

ATLQC

QC

QCON

ON

ON

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

SK AB BC

Origin

2004 2005 2006 2007

95

Manitoban Export Border Crossings

Figure 4.32 displays the value and weight of goods that exit Canada by Manitoba’s ports by rail,

regardless of the province of origin. There are some border crossings that are more popular than

others, due to efficiencies, location, or other factors.

Figure 4.32: Rail Exports Border Crossings in Manitoba in 2007

Value Weight

($000’s 2007 CAD) (Tonnes)

The most travelled border crossing by both value and weight is Emerson with 2.79% of

Canada’s total rail export value, and 9.25% of Canada’s total rail export weight. The second

most travelled border crossing is Sprague with 0.0105% of Canada’s total rail export value, and

0.0018% of Canada’s total rail export weight. In total Manitoba’s borders handle 2.8% of

Canada’s total rail export value, and 9.25% of Canada’s total rail export weight.

Emerson

$2,073,694

99.62%

Sprague

$7,801

0.37%

South

Junction $6

0.00%

Winkler $6

0.00%

Emerson

6,608,910

99.98%

Sprague

1,332 0.02%

Winkler 14

0.00%

South

Junction 9

0.00%

96

The major (by value and weight) border crossings by rail for the western provinces are

displayed in Figure 4.33.

Figure 4.33: Major Rail Exports Border Crossings in 2007 for Canadian Western Provinces

by Value and Weight

British Columbia’s Pacific Highway exported 4.0% the value and 8.0% of the weight of Canada’s

rail traffic and Kingsgate handled 1.1% of the value and 4.5% of the weight of Canada’s rail

exports. British Columbia in total handled 5.6% the value and 13.5% of the weight of Canada’s

rail exports.

Alberta’s Coutts exported 1.7% the value and 3.0% of the weight of Canada’s rail traffic.

$2,9

90,8

16

$815

,154

$4,9

10,1

79

$122

$1,2

51,0

97

$2,0

73,6

94

$7,8

01

5,70

8,70

6

3,21

1,38

6

9,56

0,69

8

89

2,14

1,72

1

6,60

8,91

0

1,33

2

0

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

Pacific

Highway

Kingsgate North

Portal

Northgate Coutts Emerson Sprague

BC SK AB MB

$ 00

0s 2

007

CA

D

To

nn

es

Value Weight

97

Saskatchewan’s North Portal exported 6.6% the value and 13.4% of the weight of Canada’s rail

traffic and Northgate handled 0.0002% of the value and 0.0001% of the weight of Canada’s rail

exports. Saskatchewan in total handled 6.6% the value and 13.4% of the weight of Canada’s rail

exports.

Manitoba’s Emerson exported 2.8% the value and 9.2% of the weight of Canada’s rail traffic and

Sprague handled 0.011% of the value and 0.002% of the weight of Canada’s rail exports.

Manitoba in total handled 2.8% the value and 9.2% of the weight of Canada’s rail exports.

Canadian Pacific Rail crosses into the United States from Saskatchewan at North Portal, which

is responsible for 6.6% of the value and 13.4% of the weight of Canada's rail exports. CNR

crosses into the United States from Manitoba at Emerson, which is responsible for 2.8% of the

value and 9.2% of the weight of Canada's Rail exports.

Figure 4.34 shows the value and weight of goods that exit Canada by Manitoba’s ports by road

regardless of the province of origin. There are some border crossings that are more popular than

others, due to efficiencies, location, or other factors. Because Emerson dwarfs the other border

crossings with $6.5 billion worth of 3.3 million tonnes of goods Emerson has been excluded

from the chart to give a clearer picture of the activity in the other border crossings.

Figure 4.34: Road Exports Border Crossings in Manitoba (Excluding Emerson) in 2007

Value Weight

($000’s 2007 CAD) (Tonnes)

The most travelled Manitoba border crossing by both value and weight is Emerson with 3.59%

of Canada’s total road export value, and 4.44% of Canada’s total road export weight. The

second most travelled border crossing is Boissevain with 0.22% of Canada’s total road export

value, and 0.63% of Canada’s total road export weight. In total Manitoba accounts for 4.03% of

Canada’s total road export value, and 5.86% of Canada’s total road export weight.

Boissevain

$389,947

48%

South

Junction

$114,276

14%

Gretna

$83,389

11%

Other

$219,935

27%

Boissevain

468,221

44%

Gretna

220,965

21%

Winkler

138,377

13%

Other

236,588

22%

98

The major (by value and weight) border crossings by road for the western provinces are

displayed in Figure 4.35.

Figure 4.35: Major Road Exports Border Crossings in 2007 for Canadian Western Provinces

by Value and Weight

British Columbia’s Pacific Highway exported 4.6% the value and 4.0% of the weight of Canada’s

road traffic and Huntington handled 1.1% of the value and 2.2% of the weight of Canada’s road

exports. British Columbia in total handled 5.6% the value and 8.2% of the weight of Canada’s

road exports.

Alberta’s Coutts exported 4.2% the value and 4.8% of the weight of Canada’s road traffic and

Edmonton43 (ranking 2nd in value and 3rd in weight) handled 0.03% of the value and 0.01% of the

weight of Canada’s road exports. Carway (ranking 3rd in value and 2nd in weight) handled 0.01%

of the value and 0.04% of the weight of Canada’s road exports. Alberta in total handled 3.6% the

value and 4.9% of the weight of Canada’s road exports.

Saskatchewan’s North Portal exported 1.2% the value and 1.4% of the weight of Canada’s road

traffic and Regway handled 0.2% of the value and 0.6% of the weight of Canada’s road exports.

Saskatchewan in total handled 1.3% the value and 2.2% of the weight of Canada’s road exports.

43 Despite not being a physical border crossing, Edmonton will be listed on some Customs records as the

point of departure/entry, representing the point at which the good left/entered Canada .

$6,9

43,1

09

$1,7

41,6

71

$6,4

61,8

39

$48,

955

$22,

648 $1

,898

,060

$358

,372

$6,4

69,4

22

$389

,9472,

994,

563

1,63

6,27

7

3,58

9,57

6

10,5

58

28,6

39

1,01

8,69

5

414,

383

3,31

9,56

3

468,

221

01,000,0002,000,0003,000,0004,000,0005,000,0006,000,0007,000,0008,000,000

Pac

ific

Hig

hw

ay

Hu

nti

ng

ton

Co

utt

s

Ed

mo

nto

n

Car

way

No

rth

Po

rtal

Reg

way

Em

erso

n

Bo

isse

vai

n

BC AB SK MB

$ 00

0s 2

007

CA

D

To

nn

es

Value Weight

99

Manitoba’s Emerson exported 4.2% the value and 4.4% of the weight of Canada’s road traffic

and Boissevain handled 0.3% of the value and 0.6% of the weight of Canada’s road exports.

Manitoba in total handled 4.0% the value and 5.9% of the weight of Canada’s road exports.

Canadian Export Border Crossings

There are some border crossings that are more popular than others, due to efficiencies, location,

or other factors.

Table 4.4 shows the top 15 ports of exit, ranked by value, for 2007.

Table 4.4: Top 15 Canadian Exports Border Crossings in 2007 by Value

Top 15 Ports of Exit Province

Value

($ Millions

2007 CAD)

% of

Canada

Total

Windsor - Ambassador Bridge Ontario $78,888 17.6%

Sarnia Ontario $51,149 11.4%

Fort Erie Ontario $43,480 9.7%

Vancouver Marine Operations British Columbia $26,214 5.8%

Toronto - Pearson Int. Airport Ontario $19,941 4.4%

Carway Alberta $19,151 4.3%

Lacolle Quebec $18,099 4.0%

Montréal - Main Long Room Quebec $14,602 3.3%

Emerson Manitoba $12,473 2.8%

Coutts Alberta $10,922 2.4%

Pacific Highway British Columbia $10,365 2.3%

Fort Frances Ontario $8,365 1.9%

North Portal Saskatchewan $8,169 1.8%

Lansdowne Ontario $7,805 1.7%

Montréal - Mirabel Int. Airport Quebec $7,505 1.7%

Total of the Top 15 Ports $337,127 75.2%

The most utilized border crossing by value is the Windsor-Ambassador Bridge in Ontario,

exporting 17.6% of Canada’s goods. The next most utilized border crossing by value is Sarnia in

Ontario, exporting 11.4% of Canada’s goods. The third most utilized border crossing by value is

For Erie in Ontario, exporting 9.7% of Canada’s goods.

100

Table 4.5 shows the top 15 ports of exit, ranked by weight, for 2007.

Table 4.5: Top 15 Canadian Exports Border Crossings in 2007 by Weight

Top 15 Ports of Exit Province

Weight

(000s

Tonnes)

% of

Canada

Total

Vancouver Marine Operations British Columbia 74,169 14.1%

Windsor - Ambassador Bridge Ontario 59,082 11.2%

Carway Alberta 33,989 6.5%

Sarnia Ontario 31,708 6.0%

Sept-Îles Quebec 28,858 5.5%

Lacolle Quebec 19,399 3.7%

Emerson Manitoba 17,896 3.4%

Coutts Alberta 17,201 3.3%

Fort Erie Ontario 16,726 3.2%

Fort Frances Ontario 15,945 3.0%

North Portal Saskatchewan 14,140 2.7%

Pacific Highway British Columbia 13,815 2.6%

Kingsgate British Columbia 13,528 2.6%

Halifax Nova Scotia 10,722 2.0%

Monchy Saskatchewan 10,259 1.9%

Total of the Top 15 Ports 377,438 71.7%

The most travelled border crossing by weight is Vancouver Marine Operations in British

Columbia, exporting 14.1% of Canada’s goods. The next most travelled border crossing by

weight is the Windsor-Ambassador Bridge in Ontario, exporting 11.2% of Canada’s goods. The

third most used border crossing by weight is Carway, Alberta, exporting 6.5% of Canada’s

goods.

101

Manitoban Import Border Crossings

The most travelled border crossing by both value and weight is Winnipeg44 with 1.7% of

Canada’s total rail import value, and 7.1% of Canada’s total rail import weight. The second

most travelled border crossing is Emerson with 0.24% of Canada’s total rail import value, and

0.57% of Canada’s total rail import weight. In total, Manitoba accounts for 1.89% of Canada’s

total rail import value, and 7.68% of Canada’s total rail import weight.

Figure 4.36 displays the value and weight of goods that enter Canada by Manitoba’s ports by

rail, regardless of the province of final destination.

Figure 4.36: Rail Imports Border Crossings in Manitoba in 2007

Value Weight

($000’s 2007 CAD) (Tonnes)

44 It is important to note that Winnipeg is a Customs Clearance Point. While technically a border crossing,

it is considered one for the purposes of Customs Canada and Statistics Canada records.

Winnipeg

$517,040

87.41%

Emerson

$74,399

12.58%

Boissevain

$34

0.00%

Winnipeg -

Int. Airport

$12

0.00%

Winnipeg

2,101,812

92.52%

Emerson

169,750

7.47%

Boissevain

78

0.00%

Winnipeg -

Int. Airport

0.3

0.00%

102

The major (by value and weight) border crossings by rail among the western provinces are

displayed in Figure 4.37.

Figure 4.37: Major Rail Imports Border Crossings in 2007 for Canadian Western Provinces

by Value and Weight

British Columbia’s Vancouver – Main Long Room (Van. – MLR) imported 4.2% the value and

6.6% of the weight of Canada’s rail traffic and Kamloops (ranking 2nd in value and 3rd in weight)

handled 0.3% of the value and 0.6% of the weight of Canada’s rail imports. Paterson (ranking 3rd

in value and 2nd in weight) handled 0.2% of the value and 0.6% of the weight of Canada’s rail

imports. British Columbia in total handled 2.5% the value and 4.2% of the weight of Canada’s

rail imports.

Alberta’s Edmonton imported 6.7% the value and 8.0% of the weight of Canada’s rail traffic and

Calgary handled 5.7% of the value and 7.8% of the weight of Canada’s rail imports. Alberta in

total handled 6.4% the value and 8.9% of the weight of Canada’s rail imports.

Saskatchewan’s Regina imported 1.6% the value and 2.9% of the weight of Canada’s rail traffic

and Saskatoon (ranking 2nd in value and 3rd in weight) handled 0.7% of the value and 1.4% of

the weight of Canada’s rail imports. North Portal (ranking 3rd in value and 2nd in weight)

handled 0.1% of the value and 1.5% of the weight of Canada’s rail imports. Saskatchewan in

total handled 1.2% the value and 2.8% of the weight of Canada’s rail imports.

Manitoba’s Winnipeg imported 1.7% the value and 7.1% of the weight of Canada’s rail traffic

and Emerson handled 0.2% of the value and 0.6% of the weight of Canada’s rail imports.

Manitoba in total handled 0.9% the value and 3.8% of the weight of Canada’s rail imports.

$1,3

20,5

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$90,

251

$46,

955

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103

Figure 4.38 shows the value and weight of imports by the various border crossing points in

Manitoba for 2007. Because Emerson dwarfs the other border crossings with $9.9 billion worth

of 4.0 million tonnes of goods Emerson has been excluded from the chart to give a clearer

picture of the activity in the other border crossings.

Figure 4.38: Rail Imports Border Crossings in Manitoba (Excluding Emerson) in 2007

Value Weight

($000’s 2007 CAD) (Tonnes)

The most travelled border crossing by both value and weight is Emerson with 4.42% of

Canada’s total road import value, and 3.32% of Canada’s total road import weight. The second

most travelled border crossing is Winnipeg with 0.28% of Canada’s total road import value, and

0.29% of Canada’s total road import weight. In total Manitoba accounts for 4.91% of Canada’s

total road import value, and 4.03% of Canada’s total road import weight.

Winnipeg

$619,023

57.22%

Boissevain

$177,329

16.39%

South

Junction

$126,161

11.66%

Other

$159,276

14.72%

Winnipeg

354,469

41.24%

Boissevain

266,273

30.98%

Gretna

140,608

16.36%

Other

98,227

11.43%

104

The major (by value and weight) border crossings by road for the western provinces are

displayed in Figure 4.39.

Figure 4.39: Major Road Imports Border Crossings in 2007 for the Canadian Western

Provinces

by Value and Weight

British Columbia’s Pacific Highway imported 4.7% the value and 5.2% of the weight of

Canada’s road traffic and Vancouver – Main Long Room (Van. – MLR) (ranking 2nd in value and

3rd in weight) handled 1.2% of the value and 0.7% of the weight of Canada’s road imports.

Huntington (ranking 3rd in value and 2nd in weight) handled 0.5% of the value and 0.9% of the

weight of Canada’s road imports. British Columbia in total handled 8.0% the value and 9.7% of

the weight of Canada’s road imports.

Alberta’s Coutts imported 2.9% the value and 2.1% of the weight of Canada’s road traffic and

Edmonton handled 0.3% of the value and 0.2% of the weight of Canada’s road imports. Alberta

in total handled 3.5% the value and 2.5% of the weight of Canada’s road imports.

Saskatchewan’s North Portal imported 2.5% the value and 1.7% of the weight of Canada’s road

traffic and Regina (ranking 2nd in value and 3rd in weight) handled 0.04% of the value and 0.19%

of the weight of Canada’s road imports. Regway (ranking 3rd in value and 2nd in weight)

handled 0.1% of the value and 0.1% of the weight of Canada’s road imports. Saskatchewan in

total handled 2.6% the value and 2.0% of the weight of Canada’s road imports.

$10,

529,

348

$2,7

56,9

36

$1,1

78,3

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$6,6

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59

$748

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105

Manitoba’s Emerson imported 4.4% the value and 3.3% of the weight of Canada’s road traffic

and Winnipeg handled 0.3% of the value and 0.3% of the weight of Canada’s road imports.

Manitoba in total handled 4.9% the value and 4.1% of the weight of Canada’s road imports.

Canadian Import Border Crossings

There are some border crossings that are more popular than others, due to efficiencies, location,

or other factors.

Table 4.6 shows the top 15 ports of clearance, ranked by value, for 2007.

Table 4.6: Top 15 Canadian Imports Border Crossings in 2007 by Value

Top 15 Ports of Exit Province

Value

($ Millions

2007 CAD)

% of

Canada

Total

Windsor - Ambassador Bridge Ontario $69,315 17.1%

Sarnia Ontario $37,806 9.3%

Toronto - Pearson Int. Airport Ontario $35,245 8.7%

Montréal - Main Long Room Quebec $31,734 7.8%

Toronto - Main Long Room Ontario $27,014 6.6%

Fort Erie Ontario $20,386 5.0%

Vancouver - Main Long Room British Columbia $18,562 4.6%

Niagara Falls Ontario $13,011 3.2%

Montreal-Pierre Elliott

Trudeau-International Airport Quebec $11,970 2.9%

Pacific Highway British Columbia $10,660 2.6%

Windsor - Main Long Room Ontario $10,605 2.6%

Emerson Manitoba $10,095 2.5%

Hamilton Ontario $8,607 2.1%

Lacolle Quebec $8,303 2.0%

Québec Quebec $7,676 1.9%

Total of the Top 15 Ports $320,988 79.0%

The most travelled border crossing by value is the Windsor-Ambassador Bridge in Ontario,

importing 17.1% of Canada’s goods. The next most travelled border crossing by value is Sarnia

in Ontario, importing 9.3% of Canada’s goods. The third most used border crossing by value is

Toronto-Pearson Airport in Ontario, importing 8.7% of Canada’s goods.

106

Table 4.7 shows the top 15 ports of clearance, ranked by weight, for 2007.

Table 4.7: Top 15 Canadian Imports Border Crossings in 2007 by Weight

Top 15 Ports of Exit Province

Weight

(000s

Tonnes)

% of

Canada

Total

Montréal - Main Long Room Quebec 31,547 10.2%

Windsor - Ambassador Bridge Ontario 30,618 9.9%

Sarnia Ontario 25,846 8.4%

Niagara Falls Ontario 21,120 6.8%

Hamilton Ontario 20,781 6.7%

Sault Ste. Marie Ontario 18,699 6.1%

Halifax Nova Scotia 17,024 5.5%

Québec Quebec 13,568 4.4%

Toronto - Main Long Room Ontario 11,812 3.8%

Vancouver - Main Long Room British Columbia 10,321 3.3%

Fort Erie Ontario 8,739 2.8%

Saint John New Brunswick 7,730 2.5%

Pacific Highway British Columbia 6,377 2.1%

Toronto - Pearson Int. Airport Ontario 6,067 2.0%

Ontario Ontario 5,034 1.6%

Total of the Top 15 Ports 235,283 76.2%

The most travelled border crossing by weight is Montréal Main Long Room in Quebec,

importing 10.2% of Canada’s goods. The next most travelled border crossing by weight is

Windsor - Ambassador Bridge Ontario, importing 9.9% of Canada’s goods. The third most used

border crossing by weight is Sarnia Ontario, importing 8.4% of Canada’s goods.

107

Manitoba International Trade

Manitoba’s International Exports

As with other provinces, Manitoba also gains significantly from markets outside its borders. In

2007, Manitoba exported over $11.8 billion worth of goods produced within the province to

other countries, a decrease of almost 0.8% compared to the $11.9 billion (Real 2007 CAD) export

level of 2006. The mix of commodities exported continued to be very diverse, as the ‚Top 10‛

export commodities collectively accounted for about 42% of that value (Table 4.8).

Top 10 Export Commodities by Value and Weight

The top ten commodities by value accounted for 42% of the total Manitoban exports by value.

These same commodities accounted for 28% of the total exported weight. The top ten

commodities by weight accounted for 59% of the total Manitoban exports by weight. The same

commodities accounted for only 14% of the total value. These numbers are shown in more

detail in Tables 4.8 and 4.9 below.

Table 4.8: Top 10 Export Commodities from Manitoba (by Value)

Top 10 Export Commodities Value

($ Millions) %

Nickel unwrought, not alloyed $1,458 12%

Copper unrefined, copper anodes for electrolytic refining $683 6%

Electrical energy $556 5%

Wheat nes45 and meslin $528 4%

Aircraft parts, nes $314 3%

Petroleum oils and oils obtained from bituminous minerals, crude $299 3%

Diesel powered buses with a seating capacity of nine persons $292 2%

Low erucic acid rape or colza seeds, whether or not broken $282 2%

Bovine, live except pure-bred breeding $280 2%

Medicaments nes, in dosage $278 2%

Total of Top 10 $4,971 42%

Total of all Export Commodities $11,851

The most valuable export Manitoba had in 2007 was pure nickel at 12% of the total exports,

followed by copper at 6% and electrical energy at 5%. Wheat was the 4th ranking commodity by

value, accounting for 4% of Manitoba’s total exports. As in the past, major export commodities

comprised primary or extractive industry goods such as crop products, metals and energy

resources. Nickel exports, a commodity tending towards ‚peaks and valleys‛, rose to first place

ranking in 2006, and retained that lead position in 2007. Petroleum oils ranking 2nd in 2006,

dropped to 6th place for 2007.

45 Not Elsewhere Specified (NES)

108

Table 4.9 shows the top 10 export commodities leaving Manitoba by weight.

Table 4.9: Top 10 Export Commodities from Manitoba (by Weight)

Top 10 Export Commodities Weight

(Tonnes) %

Wheat nes and meslin 2,002,378 16%

Low value transactions and confidential commodities 1,405,425 11%

Axles and wheels and parts 1,020,608 8%

Low erucic acid rape or colza seeds, whether or not broken 667,819 5%

Petroleum oils and oils obtained from bituminous minerals, crude 560,268 4%

Oats 439,154 4%

Rape/colza seed oil-cake of low erucic acid &amp; o solid

residue,w/n ground/pellet 370,692 3%

Potatoes prepared or preserved other than by vinegar or acetic

acid, frozen 332,774 3%

Urea/ammonium nitrate mx in aqueous or ammoniacal sol in pack

of &gt; 10 kg 314,069 3%

Low erucic acid rape (canola) or colza oil and its fractions, refined 233,309 2%

Total of Top 10 7,346,498 59%

Total of all Export Commodities 12,493,201

In 2007, Manitoba’s largest export (in terms of tonnage) was wheat. This accounted for

approximately 16% of the total tonnage of all exports leaving Manitoba. This was followed by

exports of ‚low value transactions and confidential commodities (approximately 11% of the

total Manitoba export tonnage), automobile parts (approximately 8%) and canola seeds

(approximately 5%). Overall, Manitoba exported approximately 12.4 million tonnes in 2007.

Oats exports while holding 4th place in 2006, dropped to 6th place in 2007. Low erucic acid rape

of colza seeds (also called canola) held 3rd place in 2006 and dropped to 4th place in 2007.

Petroleum oils ranking 2nd in 2006, dropped to 5th place for 2007.

109

Top 10 International Export Partners by Value and Weight

The transportation system in Manitoba was responsible for delivering $11.9 billion and 12.5

million tonnes of exports in 2007.

The top ten trade partners by value account for 89% of the total Manitoban exports by value.

These same partners account for 83% of the total exported weight. The top ten trade partners by

weight account for 86% of the total Manitoban exports by weight, while accounting for 85% of

the total value.

Table 4.10: Top 10 Export Partners of Manitoba (by Value and Weight)

Top 10 Export

Partners

Value

($ Millions

2007)

% Top 10 Export

Partners

Weight

(000s Tonnes) %

United States $8,381 71% United States 8,740 70%

China $547 5% Japan 583 5%

Japan $439 4% Mexico 383 3%

Mexico $332 3% China 262 2%

Hong Kong $296 2% Indonesia 210 2%

Taiwan $193 2% United Kingdom 137 1%

Belgium $122 1% Iraq 126 1%

United Kingdom $118 1% Korea, South 124 1%

Korea, South $72 1% Sri Lanka 110 1%

South Africa $71 1% Bangladesh 105 1%

Total of Top 10 $10,570 89% Total of Top 10 10,780 86%

Total of all

Export Partners $11,851

Total of all

Export Partners 12,493

China moved ahead of Japan in 2007, although it’s 4.6% represents a distant second place

behind the USA. Japan ranks third, although its share of Manitoba exports is essentially

unchanged from the 3.7% level of 2006. Mexico obtained a third place ranking in 2007, moving

marginally ahead of Hong Kong, which moves from 4th place to 5th ranking.

110

Figures 4.40 and 4.41 show the data from Table 4.10 in pie chart form.

Figure 4.40: Top 10 Export Partners of Manitoba (by Value)

($11.8 Billion)

Figure 4.41: Top 10 Export Partners of Manitoba (by Weight)

(12.4 Million Tonnes)

The United States accounted for 71% of Manitoba’s export value and 70% of Manitoba’s export

weight, thus leading the export rankings in both value and weight. China also made the top 10

of both value (5%) and weight (2%), earning 2nd and 4th place respectively. Japan was in the top

10 for both value (4%) and weight (5%) as well, achieving 3rd and 2nd place rankings

respectively.

United States, 71%

China, 5%

Japan, 4%

Mexico, 3%

Hong Kong, 2%

Taiwan, 2%

Belgium, 1%

United Kingdom, 1%

Korea, South, 1%South Africa, 1%

United States, 70%

Japan, 5%

Mexico, 3%

China, 2%

Indonesia, 2%United Kingdom, 1%Iraq, 1%Korea, South, 1%Sri Lanka, 1%Bangladesh, 1%

111

China’s share of Manitoba’s exports by weight falls well short of China’s share of Manitoba’s

exports by value, suggesting that, on average, China is the recipient of higher value (per weight)

products.

Mode of International Exports for Manitoba in 2007

The mode by which an item gets to its location can be as important as the location itself. In the

case of 2007, the primary mode of transportation out of Manitoba by value was road, capturing

47% of the total value and 25% of the total weight. This indicates that the commodities are

travelling a relatively short distance and are heavy enough to exclude air transportation, but

valuable enough to warrant a truck rather than the bulk-haul rail system. Rail accounted for

roughly 17% of the value and 29% of the weight of exports of 2007. Water transportation from

Manitoba was used for 24% of the value and 29% of the weight. Air transportation was the least

utilized mode of transportation, capturing only 4% of the value and 1% of the weight. Pipeline

& Energy transmission accounted for 7% of the value. The ‚other‛ category was used for the

remaining 1% of the value and 11% of the weight.

Figure 4.42: Manitoba’s Mode of Exports (by Value and Weight)

Value Weight

($11.8 Billion) (12.4 Million Tonnes)

Between 2006 and 2007 very little changed in respect to the modal breakdown by value. The

modes of road and rail each increased by 2%, while the modes of air, water, and power and

pipeline declined by 1%, 2%, and 3% respecitively. The level of transports classified as ‚other‛

did not change.

In terms of weight, the proportion of tonnage shipped by air (1%) has not changed from 2006.

Water and rail seem to have traded places between 2006 and 2007; in 2006 water accounted for

43% of exports by weight and rail accounted for 25%; in 2007 those numbers were exactly

reversed. Road inceased by 4% from 21% and pipeline (power and pipeline) dropped by 4%.

Air, 4%

Other, 1%

Pipeline &

Energy, 7%

Rail, 17%

Road, 47%

Water, 24%Air, 1%

Other, 11%

Pipeline &

Energy, 4%

Rail, 30%

Road, 25%

Water, 29%

112

Mode of Exports for Manitoba Historic Comparison

The modal shift in Manitoba has been a slow process over many years. This chart shows that the

relative importance of the different modes has not changed much in terms of value in the past 5

years. Figure 4.43 displays the relative value of the modes of export from 2000 to 2007.

Figure 4.43: Manitoba’s Modes of Exports Historical (by Value)

The two modes to decrease in exports value were road and other, while all other modes enjoyed

slight increases. Figure 4.44 displays the relative weight of the modes of export from 2000 to

2007

Figure 4.44: Manitoba’s Modes of Exports Historical (by Weight)

$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

$8,000

2000 2001 2002 2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

Air Other Rail Road Water

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2000 2001 2002 2003 2004 2005 2006 2007

000s

To

nn

es

Air Other Rail Road Water

113

The variation by mode in terms of weight is much more pronounced than by value. The ‚other‛

mode has been decreasing the weight shipped since 2002, with a slight upturn in 2005 and 2006.

The weight shipped by water went up between 2002 and 2004, dropped slightly in 2005 and

again in 2007. The rail mode has enjoyed continual growth with 2007 being a year of dramatic

increase.

Manitoba’s International Imports

Due to the difficulty of tracking a single item past the port of clearance it is important to note

that these imports are merely imports to Canada that use Manitoba as a port of clearance.

Top 10 Import Commodities by Value and Weight

Tables 4.11and 4.12 display the top 10 commodities imported through Manitoba based on value

and weight, respectively.

Table 4.11: Top 10 Import Commodities to Manitoba (by Value)

Top 10 Import Commodities Value

($ Millions 2007) %

Dump trucks designed for off-highway use $281 2%

Wheeled tractors nes $218 2%

Newspapers, journals and periodicals, nes $217 2%

Parts of turbo-jets or turbo-propellers $173 1%

Snowmobiles, golf cars and similar vehicles $162 1%

Automobiles with reciprocating piston engine displacing not more

than 1000 cc $149 1%

Front end shovel loaders $147 1%

Herbicide, anti-sprouting &amp; plant-growth regs, forms/pack f

retail sale or prep/art $142 1%

Machinery, plant or laboratory equip for treat of mat by a change

of temp nes $137 1%

Parts of cranes, work-trucks, shovels, and other construction

machinery $137 1%

Total of Top 10 $1,763 13%

Total of all Import Commodities $13,143

The most valuable import Manitoba had in 2007 were dump trucks at 2% of the total value of

imports, followed by wheeled tractors (2%), newspapers and journals (2%), parts of turbo-jets

(1%) and snowmobiles (1%). In 2007, the value of Manitoba’s imports exceeded the value of

Manitoba exports by about 9%. The single largest group of imports into Manitoba, ‚dump

trucks designed for off-highway use‛ account for about 2.1% of Manitoba’s imports by value

(up fractionally from 1.7% in 2006). Wheeled tractors held at 1.7% of the total imports, while

rising in the ranks from 3rd place in 2006 to 2nd place in 2007. Parts for turbo props and turbo jets

rose from 8th place in 2006 at 1.2% of the total imports to 4th place and 1.3% of the total imports.

114

Table 4.12: Top 10 Import Commodities to Manitoba (by Weight)

Top 10 Import Commodities Weight

(Tonnes) %

Axles and wheels and parts 1,833,100 24%

Maize (corn), nes 458,700 6%

Soya-bean oil-cake and other solid residues, whether or not ground

or pellet 284,410 4%

Railway maintenance-of-way service vehicles 194,160 3%

Low value import transactions and confidential commodities 192,800 3%

Offset printing machinery, nes 189,080 2%

Monoammonium phosphate &amp; mx thereof with diamonium

phosphate, in pack &gt; 10kg 169,250 2%

Low erucic acid rape or colza seeds, whether or not broken 144,990 2%

Waste and scrap, of alloy steel, other than stainless 127,760 2%

Brewing or distilling dregs and waste 108,970 1%

Total of Top 10 3,703,220 48%

Total of all Import Commodities 7,645,606

By weight Manitoba’s heaviest import and export was ‚axles and wheels and parts‛, at 24% of

the total import weight. This was followed by corn at 6%, and soya-bean oil at 4% of the total

weight.

115

Top 10 International Import Partners by Value and Weight

The provincial economy is not tied to any one trade partner, but rather holds a diversified

portfolio of trade partners. As such it is important to review in depth exactly who Manitoba

trades with, and exactly what we are trading.

Table 4.13: Top 10 Import Partners for Manitoba (by Value and Weight)

Top 10 Import

Partners

Value

($ Millions

2007)

% Top 10 Import

Partners

Weight

(000’s Tonnes) %

United States $10,518 80.0% United States 6,812 89.1%

China $575 4.4% China 287 3.8%

Mexico $291 2.2% Japan 73 1.0%

Germany $267 2.0% Russia 69 0.9%

Italy $227 1.7% Germany 64 0.8%

Japan $160 1.2% Mexico 52 0.7%

Canada46 $143 1.1% Italy 45 0.6%

Malaysia $112 0.8% Taiwan 30 0.4%

Taiwan $96 0.7% Canada48 20 0.3%

United Kingdom $93 0.7% Netherlands 19 0.2%

Total of Top 10 $12,481 95.0% Total of Top 10 7,471 97.7%

Total of all

Import Partners $13,143

Total of all

Import Partners 7,646

The top 10 import partners account for 95% of the total value and 97.7% of the total weight of

imports into Manitoba.

46 Imports from Canada often represent goods that were produced in Canada, exported to another

country for sale, and then re-entered Canada unchanged.

116

Figures 4.45 and 4.46 show the Top 10 Import Partners for Manitoba by value and weight

respectively.

Figure 4.45: Top 10 Import Partners of Manitoba (by Value)

($13.1 Billion)

Figure 4.46: Top 10 Import Partners of Manitoba (by Weight)

(7.6 Million Tonnes)

The United States accounted for 80% of Manitoba’s import value and 89% of Manitoba’s import

weight, thus leading the import rankings in both value and weight. China reached the list of the

top 10 with 4% of the total value and 4% of the total weight of Manitoba’s imports ranking 2nd

overall. Japan achieved 6th and 3rd place ranking for value and weight respectively with 1% and

1%.

United States, 80%

China, 4%

Mexico, 2%

Germany, 2%

Italy, 2%Japan, 1%Canada, 1%Malaysia, 1%Taiwan, 1%

United Kingdom, 1%

United States, 89%

China, 4%

Japan, 1%Russia, 1%Germany, 1%Mexico, 1%Italy, 1%Taiwan, 0.4%Canada, 0.3%Netherlands, 0.2%

117

Mode of International Imports for Manitoba in 2007

The mode by which an item gets to its location can be as important as the location itself. In the

case of 2007 the primary mode of transportation into Manitoba was Road, capturing 84% of the

total value and 65% of the total weight. Rail accounted for roughly 5% of the value and 30% of

the weight of imports in 2007. Water transportation to Manitoba, was responsible for 3% of the

value and 3% of the weight. Air transportation was utilized for 7% of the value and 1% of the

weight. Pipeline & Energy transmission was responsible for less than 1% of the value of the

total imports. The ‚Other‛ category captured the remaining 1% of the value and 1% of the

weight.

Figure 4.47: Manitobas Modes of Imports (by Value and Weight)

Value Weight

($13.1 Billion) (7.6 Million Tonnes)

Between 2006 and 2007 very little changed in respect to the modal breakdown by value. The

value of road imports decreased by 1%, and the air mode has increased by 1%, no other mode

had much change. The mode of road increased weight traffic by 2%, pipeline decreased by less

than 1%, the other mode has decreased by 2%, and water, rail and air modes did not change.

Air, 7%

Other, 1%

Pipeline &

Energy, 0.4%

Rail, 5%

Road, 84%Water, 3%

Air, 1%Other, 1%

Pipeline &

Energy, 0.6%

Rail, 30%

Road, 65%

Water, 3%

118

Mode of Imports for Manitoba Historic Comparison

The modal composition has not altered much over time, with road experiencing a slight

increase in value since 2003, and all other modes changing very slightly over time save for a

peak of the air mode from 2001 to 2003.

Figure 4.48: Manitoba’s Modes of Imports Historical (by Value)

Figure 4.49: Manitoba’s Modes of Imports Historical (by Weight)

Rail experienced an increase from 2002 to 2006, but dropped in 2007. Imports by water

experienced an increase from 2002 to 2004, a slight decrease between 2004 and 2006 and a 95%

reduction between 2006 and 2007. The road imports were slightly decreasing between 2004 and

2006 and rose by 78% between 2006 and 2007.

$0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

2000 2001 2002 2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

Air Other Rail Road Water

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2000 2001 2002 2003 2004 2005 2006 2007

000'

s T

on

nes

Air Other Rail Road Water

119

NASCO Trade

This section is dedicated to the North American Super Corridor Coalition (NASCO), analyzing

the most common cross-border trade partners and what commodities and modes are most

common in these trades.

The NASCO corridor connects a wide array of rail services. In Canada, this includes both the

Canadian National and Canadian Pacific railways. In the United States, the Union Pacific,

Kansas City Southern, Burlington Northern Santa Fe, and Canadian National railways. In

Mexico, the Kansas City Southern and Ferromex rails. The main highways of the NASCO are

Highway 1 and Manitoba Highway 75 in Canada, the I-35, I-94 and I-29 in the United States and

in Mexico the 80, 86, 40, 57, and the 70. Not to mention connecting numerous cities, ports, and

inland ports (6 of the 9 inland ports in the United States are part of the corridor). The American

states in the corridor are Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri,

Nebraska, North and South Dakota, Oklahoma, Texas, and Wisconsin. In Canada the NASCO

connection is Manitoba, making Manitoba perfectly situated for cross-border trade with both

the United States and Mexico.

Exports47

Figure 4.50 displays the value of Manitoba exports by road to the NASCO member states.

Figure 4.50: Manitoba Exports to NASCO Partners, by Road

($ Millions 2007 CAD)

47 Exports refer to goods which depart through Manitoba borders. Some of these goods originate from

other Canadian provinces.

$5,943

$5,009 $5,063

$4,732

$4,452 $4,480

66.7%

63.5% 63.7%

62.2%

58.6%

62.3%

54.0%

56.0%

58.0%

60.0%

62.0%

64.0%

66.0%

68.0%

$4,000

$4,500

$5,000

$5,500

$6,000

$6,500

2002 2003 2004 2005 2006 2007

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Total Road Exports to NASCO % of Total Road Exports to United States

120

In 2007, road exports to the NASCO members were valued at over $4.4 billion. Of these,

approximately 98.0% were destined to the United States. Over the previous five years, the

export value of NASCO road traffic has been decreasing, declining by 24.6% since 2002.

Exports by road to the NASCO states have annually averaged 62.8% of the total road exports to

the United States through Manitoba borders (between 2002 and 2007). Figure 4.51 displays the

distribution of NASCO exports by road in millions of 2007 CAD.

Figure 4.51: Distribution of NASCO Exports from Manitoba, by Road

($ Millions 2007 CAD)

In 2007 the majority of Manitoba’s NASCO exports were to Minnesota, North Dakota, Illinois,

Nebraska, Iowa and Texas. Together, these 6 states made up over 45% of the road export traffic

to the NASCO states in 2007. Between 2006 and 2007, the (value) growth of goods cleared

through Manitoba (to NASCO members), ranged from -19.3% (Illinois) to 33.0% (Nebraska).

Overall, the total value of goods exported to the NASCO partners through Manitoba increased

by approximately 0.63%.

Between 2002 and 2007, (road) exports to Minnesota have experienced a decline of

approximately 40.3%. This appears to be primarily due to a decrease in exports of buses and

motor coaches. The largest commodity (based on value) exported to Minnesota was classified as

‚bodies for tractors, buses, trucks and special purpose vehicles‛ (approximately 14.2% of total

export value to Minnesota in 2007). Overall, exports of this commodity have declined by 17.4%

over the past five years. In addition, the export of engines (class 250cc-1000cc) have declined by

80.2% since 2002.

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2002 2003 2004 2005 2006 2007

121

The export of bus and motor coach building materials to North Dakota have also experienced a

decline. Over the pervious five years, export growth of ‚bus bodies‛ has fluctuated between

-63.4% to 128.89% (approximately -57.6% since 2002). Although the value of exports to North

Dakota has declined 29.1% since 2002, 2007 experienced a growth of 16.7%. This could be

attributed to the increased export of alternative agriculture crops such as sunflower seeds

(288.9% from 2006) and soya beans (1225.8% from 2006). Although exports of motor coach and

bus bodies have declined, exports of assembled buses increased by 372.2% from the previous

year, representing nearly 5% of the total value of exported goods to North Dakota.

In 2007, approximately $88 million worth of goods was exported from Manitoba to Mexico by

road. This was an increase of 9.3% from 2006. Between 2003 and 2005, the value of exported

goods (via road) increased 73.5% (approximately $40 million). This appears primarily due to

increased exports of pork. The value of these exports declined in 2006, which contributed to an

overall decrease of 13.5% (in terms of export value). In 2007, 28.5% of the total value of

exported goods consisted of canola seed and canola oil. In 2006, these commodities were

primarily shipped by rail.

Figure 4.52 displays exports to the NASCO partners by road in respect to the weight of exports.

Figure 4.52: Manitoba Exports to NASCO Partners, by Road

(000’s Tonnes)

In 2007, the tonnage of road exports from Manitoba had increased by 625 tonnes (an increase of

approximately 21.8%) to a total of nearly 3.500 tonnes. Of this, approximately 3.1% of the total

tonnage (107,000 tonnes) was destined for Mexico. Between 2002 and 2007, approximately 3,000

tonnes were annually exported on average.

2,988

2,949 3,180

2,986 2,869

3,494

80.2%

78.8% 79.2%

75.9%76.4%

80.2%

73%

74%

75%

76%

77%

78%

79%

80%

81%

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

2002 2003 2004 2005 2006 2007

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Total Road Exports to NASCO % of Total Road Exports to United States

122

The tonnage of road exports leaving from Manitoba to the NASCO states represented

approximately 80.2% of the total tonnage destined for the United States in 2007. Over the last

five years, the annual exported tonnage to the NASCO states has represented between 76-80%

of the total weight of United States destined exports, cleared through Manitoba.

Figure 4.53 displays the distribution of the NASCO exports by road through Manitoba to each

of the NASCO partners.

Figure 4.53: Distribution of NASCO Exports from Manitoba, by Road

(000’s Tonnes)

In 2007, the tonnage of road exports to North Dakota, Minnesota, Illinois, and South Dakota

represented approximately 63.7% of NASCO road export tonnage and 52.8% of total road

export tonnage from Manitoba to the United States. Overall, the tonnage of NASCO road

exports increased by 21.8% from 2006. Each of the NASCO members experienced positive

growth levels ranging from 7.4% (Texas) to 58.4% (Mexico).

Export tonnage to Mexico increased by 58.4% in 2007. This is largely attributed to the increased

export of canola seed and canola oil.

Overall, major commdoities (in terms of tonnage) exported by road from Manitoba included

livestock (e.g. swine, bovine, etc.), agriculture products (e.g. soya beans, sunflower seeds,

potatoes, canola, etc.), petroleum and fossil fuels, and timber and forestry products.

0

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2002 2003 2004 2005 2006 2007

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Figure 4.54 displays the value of Manitoba exports by rail to the NASCO partners.

Figure 4.54: Manitoba Exports to NASCO Partners, by Rail

($ Millions 2007 CAD)

Despite experiencing declines in 2003 (-22.3%) and 2006 (-8.4%), the total value of NASCO

goods exported by rail through Manitoba reached a five year high of over $1.4 billion in 2007

(an increase of approximately 13.4% from 2002).

On average, between 2002 and 2007, NASCO goods have represented approximately 62.7% of

the total annual value of American bound goods, exported through Manitoba.

In 2007, major commodities (based on value) that were shipped throughout the NASCO

corridor from Manitoba by rail included agriculture products (e.g. canola products, oats, wheat,

barley, etc.), timber and forestry products, fossil fuels, and auto-parts.

$1,287

$1,000

$1,200 $1,225 $1,123

$1,460

64.8%

60.8%

58.9%

61.5%62.1%

68.2%

54.0%

56.0%

58.0%

60.0%

62.0%

64.0%

66.0%

68.0%

70.0%

$-

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2002 2003 2004 2005 2006 2007

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Total Rail Exports to NASCO % of Total Rail Exports to United States

124

Figure 4.55 displays the distribution of NASCO exports by rail in millions of 2007 CAD.

Figure 4.55: Distribution of NASCO Exports from Manitoba, by Rail

($ Millions 2007 CAD)

The majority of the value of Manitoba’s NASCO exports are to Illinois, Iowa, Minnesota, North

Dakota, Wisconsin and Texas. In 2007, these 6 states represented over 75% of the total rail

export traffic to the NASCO states and approximately 52.4% of total Manitoban cleared rail

exports to the United States. Between 2006 and 2007, the rate of growth in the value of goods

exported by rail to NASCO states ranged from -23.8% (Missouri) to 242.0% (Oklahoma). On

avereage, the value of goods exported to these states increased by 59.2%.

In 2007, exports to Minnesota increased by 17.4% from 2006 (approximately $48 million).

Although no single commodity appears to be responsible for this increase, exports of cereal

crops (e.g. oats, wheat, barley, rye) experienced large growths in export (in terms value).

The value of exports to North Dakoata also increased in 2007 (approximately 83.1%). Similar to

Minnesota, it appears that this increase occurred due to increased exports of cereal crops such

as canola (seed) (increased 111.1% from 2006), barley (increased 175.5%) and linseed (increased

270.8%).

Iowa experienced an increase in export value of 131.0% (approximately $59.8 million) from

2006. This appears to be primarily due to the increased export of oats (increased 84.7%), canola

oil (1951.2%), and potassium chloride (241.5%). Overall, exports to Iowa in 2007 were worth

approximately $105.5 million.

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Of the total value of goods exported by rail through the NASCO corridor from Manitoba,

approximately 10.3% ($151 million) was destined for Mexico. This was an increase of

approximately 50.3% from 2006. During the previous five years, major spikes in export value to

Mexico can be attributed largely to canola seed. In 2004, canola seed represented approximately

64.9% of the total value of NASCO exports to Mexico ($104.6 million, an increase of 5469% from

the previous year. In 2006, export value again increased as canola seed exports increased by

34.5% to $22.5 million. In 2007, canola seed represented 49.3% of all NASCO exports to Mexico

(an increase of 229.3%, approximately $74.2 million).

Figure 4.56 displays exports to the NASCO partners by rail by the weight of exports.

Figure 4.56: Manitoba Exports to NASCO Partners, by Rail

(000’s Tonnes)

In 2007, approximately 4.2 million tonnes of goods were exported by rail from Manitoba along

the NASCO network. Among these goods, high ‚tonnage‛ commodities included minerals

(specifically those that can be used for fertizer, e.g. potassium chloride, urea, ammonium

sulphate, etc.), cereals (e.g. oats, wheat, canola, barley, etc.), timber and forestry products, and

automotive parts.

Between 2002 and 2007, NASCO exports have represented approximately 66,3% of the total

tonnage of goods exported by rail through Manitoba to the United States. Following a two year

decline in 2005 and 2006 (approximately -27.2% from 2004), the total tonnage of goods exported

by rail to the NASCO states increased by 42.7% in 2007. This was an increase of approximately

1.200 tonnes, which resulted in a total of over 4.200 tonnes of exported goods.

3,716 3,671

4,064 3,763

2,975

4,257 74.7%

79.1%

77.4%71.0%

59.3%66.3%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

-

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

2002 2003 2004 2005 2006 2007

Total Rail Exports to NASCO % of Total Rail Exports to United States

126

Figure 4.57 displays the distribution of the NASCO exports by rail from Manitoba to each of the

NASCO partners.

Figure 4.57: Distribution of NASCO Exports from Manitoba, by Rail

(000’s Tonnes)

In 2007, the top NASCO destinations (by tonnage) of goods exported by rail were Illinois, North

Dakota, and Minnesota. Together, these three states represented approximately 66.0% of the

tonnage of NASCO exports (by rail) and 43.8% of the total tonnage of American rail exports

cleared through Manitoba.

Export tonnage to Illinois has fluctuated during the previous five years. This appears to be due

to decreasing exports of potassium chloride (decreasing 68.6% between 2004 and 2007) and

increasing exports of automotive parts (e.g. axles and wheels) (becoming the leading export

item to Illinois from Manitoba in 2007).

The level of export tonnage to North Dakota increased by 26.4% in 2007. This was primarily due

to an increase in export of canola seeds (increased 70.6%), and fertilizer components urea

(25.1%) and potassium chloride (50.0%). Decreased export of these commodities also appears to

be the primary cause of the 25.0% tonnage decline between 2004 and 2005.

Approximately 2.5% of the total tonnage exported through NASCO in 2007 was destined for

Mexico. Of this, approximately 51.3% of the total tonnage consisted of canola seeds.

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127

Imports48

Figure 4.58 displays the value of Manitoba imports by road from NASCO partners.

Figure 4.58: Manitoba Imports from NASCO Partners, by Road

($ Millions 2007 CAD)

In 2007, road imports from NASCO into Manitoba were worth approximately $5.9 billion. This

was an increase of approximately 1.2% from the previous year. Following a 7.4% decline in

imports between 2002 and 2004 ($400 million), the value of imports has since increased by

17.4%.

Major commodities imported (from NASCO members) through Manitoba by road in 2007

included industrial vehicles (e.g. dump trucks, tractors, front end loaders), recreation vehicles

(e.g. snowmobiles, golf carts, trailers for camping), automobiles, and media publications.

Imports by road from the American NASCO states have averaged 61.4% of the total value of

road imports from the United States to Manitoba.

48 Imports refer to goods that are cleared through Manitoba borders. Some of these goods may be

destined for other provinces.

$5,478

$5,085

$5,075 $5,670

$5,883 $5,956

61.4%

61.4%

60.7%

61.8%

61.2%

61.7%

60.0%

60.5%

61.0%

61.5%

62.0%

$4,000

$4,200

$4,400

$4,600

$4,800

$5,000

$5,200

$5,400

$5,600

$5,800

$6,000

2002 2003 2004 2005 2006 2007

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128

Figure 4.59 displays the distribution of NASCO imports by road in millions of 2007 CAD.

Figure 4.59: Distribution of NASCO Imports to Manitoba, by Road

($ Millions 2007 CAD)

Consistently, the majority of Manitoba’s NASCO imports have originated from Illinois,

Minnesota, Wisconsin, Texas, Iowa, and Indiana. Together, these 6 states represented over

74.5% of the road import traffic from the NASCO corridor in 2007.

Imports from Illinois have increased significantly from 2004. This is primarily due to increased

imports of ‚dump trucks designed for off highway use‛. In 2005, imports of this commodity

increased from $26 million to $115 million (approximately 342.2%). Since 2005, this has been the

leading commodity (in terms of value) imported from Illinois. Despite a continued increase of

60.1% in imports of this commodity (approximately $79.9 million), the total value of Illinois

imports did not appear to change (less than 1%) between 2006 and 2007. This is due to a

decrease in the import of other industrial/agricultural machinery (e.g. graders, front end

loaders, excavators, combines, etc.) and engines. Overall, imports from Illinois represent 21.2%

of the total value of imports from the NASCO cooridoor.

In 2007, approximately 4.3% of the total value of NASCO imports originated from Mexico. This

was an increase of approximately 17.5%. Major commodities that originated from Mexico

included cigarettes, parts for motor vehicles, and furniture.

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129

Figure 4.60 displays imports from the NASCO partners by road in respect to the weight of

imports.

Figure 4.60: Manitoba Imports from NASCO Partners, by Road

(000’s Tonnes)

In 2007, the total tonnage of imported goods crossing the Manitoba border (by road) from

NASCO was approximately 3.300 tonnes. This was a decline of approximately 16% or 639,000

tonnes from 2006. Prior to 2007, the tonnage of goods imported from the NASCO states had

been increasing annually between 2004 and 2006 (growing approximately 54.5% from 2003).

In 2007, the tonnage of goods originating from the NASCO states represented approximately

66.2% of all American road exports cleared through Manitoba. This was a decline of

approximately 22.3% from 2006. Over the past five years (2002-2007), approximately 74.4% of all

road imports from the United States entering Canada via Manitoba originiated from the

NASCO states.

Nearly 50,000 tonnes arrived from Mexico in 2007. This represented approximately 1.5% of the

total tonnage arriving from NASCO by road into Manitoba. Major commodities among these

imports included automotive parts (e.g. tires, seats, etc.), cigarettes, and produce (e.g.

watermelons, tomatoes, cucumbers, etc.).

2,743 2,5782,764

3,074

3,9823,343

75.7% 75.4% 72.1% 69.7%

88.5%

66.2%

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

0

1,000

2,000

3,000

4,000

5,000

2002 2003 2004 2005 2006 2007

Total Road Imports from NASCO % of Total Road Imports from United States

130

Figure 4.61 displays the distribution of the NASCO imports by road to Manitoba from each of

the NASCO partners.

Figure 4.61: Distribution of NASCO Imports to Manitoba, by Road

(000’s Tonnes)

In 2007, the major origins of road imports among the NASCO states were Illinois, Minnesota,

and North Dakota. Together, these three states represented approximately 62.0% of the total

tonnage of NASCO (road) imports into Manitoba and 41.0% of the total import tonnage from

the United States into Manitoba.

Overall, the total tonnage of imports from the NASCO states decreased by -16.1% from the

previous year. This was largely due to a 44.0% decrease in import tonnage from Minnesota. This

large decrease in imports from Minnesota appears to be primarily due to a large movement

(approximately 853,000 tonnes) of ‚Silica Sands and Quartz Sands‛ in 2006, which accounted

for approximately 54.3% of the total state import tonnage. In 2007, approximately 18,805 tonnes

of this commodity was imported from Minnesota (a decrease of -8.3% from 2005). If no change

were recorded in the tonnage of Minnesota imports, total NASCO tonnage would have

increased by 1.5% between 2006 and 2007.

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Figure 4.62 displays Manitoba imports by rail from the NASCO member states in millions of

2007 CAD.

Figure 4.62: Manitoba Imports from NASCO Partners, by Rail

($ Millions 2007 CAD)

In 2007, rail imports from the NASCO corridor into Manitoba were worth approximately $256

million (an increase of 1.7% from 2006). The top commodities (based on value) were quite

diverse and not limited to a single category or industry. These included copper, automobiles,

herbicide, rail tankers, automobile parts, and vegetable oil.

Imports by rail from the NASCO states have annually accounted for 40-50% of the total value of

rail imports from the United States into Manitoba. The value of imports has been steadily rising

over time since 2004. Between 2002 and 2007 imports by rail have increased by $30 million.

Approximately 3.6% of the total value of rail imports for 2007 originated from Mexico ($9

million), this was a decline of 53.1% from the previous year. This decline was primarily due to a

reduction in imports of automobiles (a decline of $11 million or -56.8% from 2006). Major

imports (in terms of value) included automobiles, home appliances and fixtures, and industrial

compounds (e.g. zinc oxide, ethyl acetate, etc.).

$244 $270

$215

$332

$251 $256

50.4%55.6%

47.6%

50.6%42.5% 43.5%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

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132

Figure 4.63 displays the distribution of NASCO imports by rail in millions of 2007 CAD.

Figure 4.63: Distribution of NASCO Imports to Manitoba, by Rail

($ Millions 2007 CAD)

Over the previous five years, the value of goods imported by rail from each of the NASCO

members has fluctuated.

In 2006, the value of imports from Illinois experienced a sharp 34.7% decline (approximately $22

million). This was largely due to a decrease in imports of railway cars and tankers. During this

period, the value of this commodity declined by $18.1 million (approximately 83.7% of the total

value decline in 2006). In 2007, the value of imports from Illinois increased by 42.4% (a decline

of only 7.0% from 2005). This was primarily due to an increase in imports of railway cars,

automotive parts, and industrial excavators.

The value of imports from Michigan surged (an increase of over 300%) in 2005 with

transporting of over $53.6 million worth of petrolium (representing approximately 65.3% of the

total value of Michigan rail imports) into Manitoba. This appears somewhat of an anomaly, as

2004 imports of this commodity were worth less than $1 million, while no instances of imports

of this commodity were reported in 2006. Imports from Michigan improved in 2007

(approximately 15.3%), primariliy due to an increase in copper imports.

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133

In 2007, the value of rail imports from Texas decreased by nearly half (49.5%). This was due to a

84.2% reduction in the import of petrolium and no importing of liquified fossil fuel gases. The

value of imports from Texas rose sharply in 2005 and 2006 (approximately 41.4% and 16.6%

respectively) due to increased levels of imports of these two commodities.

Figure 4.64 displays imports from the NASCO partners by rail in respect to the weight of

imports.

Figure 4.64: Manitoba Imports from NASCO Partners, by Rail

(000s Tonnes)

In 2007, the total tonnage of goods imported from NASCO states by rail decreased by 37.0% to

1.1 million tonnes. During the previous five years, the tonnage of imports through the NASCO

corridor has fluctuaed, experiencing a period of decline between 2002 and 2004 (approximately

-21.2%) and a recent period of growth between 2005 and 2006 (approximately 155.7%).

During the past five years (2002-2007), rail imports from the NASCO states into Manitoba have

accounted for approximately 64.0% of the total tonnage imported into the province by rail. In

2007, tonnage from the NASCO states represented nearly half (49.4%) of all Manitoban rail

imports.

In 2007, just over 1,000 tonnes of goods were imported from Mexico by rail. This accounted for

less than 0.1% of all imported NASCO tonnage. Among those commodities that were imported

included automobiles, home appliances and fixtures, and industrial compounds (e.g. zinc oxide,

ethyl acetate, etc.). Over the past five years, only 0.27% of the total import tonnage that passed

through the NASCO corridor originated from Mexico.

869 806685

1,489

1,751

1,101

83.0%74.6%

54.9%

75.4%

60.8%

49.4%

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

0

500

1,000

1,500

2,000

2002 2003 2004 2005 2006 2007

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Total Rail Imports from NASCO % of Total Rail Imports from United States

134

Figure 4.65 displays the distribution of the NASCO imports by rail to Manitoba from each of the

NASCO partners.

Figure 4.65: Distribution of NASCO Imports to Manitoba, by Rail

(000s Tonnes)

In 2007, rail imports from Illinois, Kansas, and Minnesota contributed approximately 78.7% of

the tonnage from NASCO states and 38.9% of the tonnage of rail imports from the United

States. Between 2006 and 2007, the tonnage of imports originating from the NASCO states

declined by 37.1%. During this period, growth levels (in terms of tonnage) ranged from -98.7%

(Oklahoma) to 507.1% (Missouri). A large proportion of this difference is due to a decline in the

import of ‚Axles and Wheels and Parts‛. This commodity represents the leading rail import (by

tonnage) to Manitoba from Iowa, Kansas, and Minnesota. Between 2005 and 2006, there was

tremendous growth in the level of tonnage (of this commodity) exported to Manitoba, with

Kansas and Minnesota increasing at rates of 25.1% and 50.2% respectively, while Iowa increased

by over 3000%. The following year (2007), imports of this commodity decreased substantially,

approximately -28.2% (Minnesota), -55.1% (Kansas), -95.0% (Iowa). Between 2005 and 2007, this

commodity annually represented approximately 73.6% of rail import tonnage from Minnesota,

Kansas, and Iowa, and between 36.8%-58.4% of all NASCO rail import tonnage.

-

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2002 2003 2004 2005 2006 2007

135

5. International Markets

This section will look at Canada’s trade with many of the leading world economies. The value,

weight, major commodities, and modes of transport will be analyzed.

Advanced Markets

In the globalized marketplace the actions of any one nation can have an effect on one or all of

the other nations worldwide. The larger the national economy; the larger the ripples in the

global economy will be. The world markets now revolve around the US Dollar, the British

Pound, the Japanese Yen, and the European Union Euro.

Figure 5.1 compares the GDP in real 2007 CAD for some of the world’s leading ‚advanced‛49

economies, with the nations that were using the Euro as of 2007 counting as one economic

entity, the European Union 13 (EU13 for short).

Figure 5.1: Canada and Advanced International Economies GDP

($ Billions of 2007 CAD)

49 Advanced economies as listed by the IMF, Aug, 2008

<http://www.imf.org/external/datamapper/index.php>

$11,

256

$8,4

16

$2,7

38

$18,

224

$1,3

72

$11,

458

$8,6

45

$2,8

28

$18,

888

$1,4

14

$11,

633

$8,8

07

$2,8

82

$19,

466

$1,4

53

$11,

939

$9,0

02

$2,9

62

$20,

026

$1,4

93

$12,

191

$9,2

02

$3,0

43

$20,

427

$1,5

30

$0

$5,000

$10,000

$15,000

$20,000

$25,000

European

Union 13

Japan United

Kingdom

United States Canada

$ B

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2003 2004 2005 2006 2007

136

Figure 5.2 compares the GDP in terms of rate of change for some of the world’s leading

‚advanced‛ economies, including Canada.

Figure 5.2: Advanced Economies Rate of Change 2003-2007

For the years 2003 to 2007 each of the displayed advanced economies posted positive rates of

change to their economies.

Canada does not seem to be unduly influenced by any one nation’s GDP fluctuations, but rather

has a rate of change consistent with the global economy as a whole. For example, note how the

general economy grew at increasing rates from 2003 to 2004, and all but Canada slowed their

growth while Canada’s growth grew at a faster rate than the rest. While the majority of

Canadian trade is with the United States, even this large local economy does not exert a great

deal of influence over the Canadian GDP rate of change in either a direct or delayed fashion.

Canada is considered an advanced economy and displayed the 7th largest GDP of the 31

‚Advanced Economies‛ as listed by the IMF50 in 2007, when counting all the EU13 nations as

independent economies. Canada has a positive rate of change and a real GDP of $1,530 billion in

2007 as compared to the United States at $20,427 billion, the European Union 13 at $12,191

billion, the United Kingdom at $3,043 billion, and Japan at $9,202 billion.

The United States, Japan, United Kingdom, and the European Union (see trade analysis later in

this section) are world leaders in research and production through a variety of industries. As a

result these are major trading partners for Canadian products. To get a better understanding of

Canada’s trade relationship with each of these advanced economies, detailed outlines have been

included.

50 Advanced economies as listed by the IMF, Aug, 2008

<http://www.imf.org/external/datamapper/index.php>

0.0%

1.0%

2.0%

3.0%

4.0%

2003 2004 2005 2006 2007

Rat

e o

f C

han

ge

European Union 13 Japan United Kingdom United States Canada

137

European Union

Imports

2007

2007

Rank

2006

Rank Growth

Exports

2007

2007

Rank

2006

Rank Growth

Value

($ Millions

2007 CAD)

$32,436 3 3 -2% $19,814 2 2 13%

Weight

(000s Tonnes) 16,681 3 3 36% 26,778 2 2 -68%

The first profile will not be of a specific nation, but rather of a collection of nations that form a

political and economic bloc; the European Union. In 2007 the EU13 (the thirteen nations that use

the euro as their currency as of 2007) was comprised of Austria, Belgium, Finland, France,

Germany, Greece, Ireland, Italy, Luxembourg, Netherlands, Portugal, Slovenia, and Spain.

Although the EU is not a single national trading partner, it is far more than a free-trade

association and it has many nation-like attributes: its own flag, anthem, founding date,

currency, and foreign and security policy in its dealings with other nations.

138

Table 5.1 is a breakdown of the trade flows with the EU member states including imports and

exports as per their value and weight.

Table 5.1: 2007 European Union Members, Canadian Trade Data

Exports (From Canada) Imports (To Canada)

Value Weight Value Weight

($ Millions

2007 CAD)

(000s

Tonnes)

($ Millions

2007 CAD)

(000s

Tonnes)

Austria $408 101 $1,429 4,320

Belgium $2,841 2,304 $2,353 2,119

Finland $716 500 $843 371

France $3,125 3,137 $5,048 1,482

Germany $3,881 10,111 $11,534 3,951

Greece $155 133 $135 111

Ireland $347 268 $2,453 101

Italy $2,564 3,871 $5,070 2,091

Luxembourg $234 10 $107 64

Netherlands $4,042 4,597 $1,765 1,080

Portugal $174 146 $351 114

Slovenia $93 219 $81 22

Spain $1,233 1,381 $1,267 854

139

Figure 5.3: Value, Weight, Ranks, and Rate of Change of Canadian Exports to European

Union

Exports (Value):

In 2007, Canada Exported $19.8 billion to the European Union. The value of Canada’s exports

to the European Union has been stable over the past five years, rising by a little under 1% up to

13% each year.

Table 5.2 displays the top 5 commodities, as ranked by value, exported from Canada to the

European Union and the percentage of the total value of Canada’s exports to the European

Union represented by each commodity.

Table 5.2: Top 5 Exported Commodities to the European Union (by Value)

Commodity Value

($ Millions) %

Natural uranium & its compounds; mixtures containing natural

uranium or its compounds $1,223 6%

Nickel unwrought, not alloyed $793 4%

Aircraft nes of an unladen weight exceeding 15,000 kg $687 3%

Aluminum unwrought, not alloyed $644 3%

Diamonds, unsorted $574 3%

2 2 22 2

2

2 2 2

2

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

140

Exports (Weight):

In 2007, Canada Exported 26.8 million tonnes of commodities and goods to the European

Union. The weight of Canada’s exports to the European Union growing slowly from 2002 to

2005, taking a slight down turn in 2006 at -2%. In 2007 the rate of change of the weight of

exports to the European Union was -68%; of the 58.1 million tonnes of difference between 2006

and 2007 57.2 million tonnes was due to the drop of weight in goods classified as ‚Low Value

Export Transactions and Confidential Commodities‛.

Table 5.3 displays the top 5 commodities, exported from Canada to the European Union (by

weight).

Table 5.3: Top 5 Exported Commodities to the European Union (by Weight)

Commodity Weight

(000s Tonnes) %

Bituminous coal, whether or not pulverized but not agglomerated 5,068 19%

Iron ores and concentrates, other than roasted iron pyrites,

agglomerated 4,641 17%

Iron ores and concentrates, other than roasted iron pyrites, non-

agglomerated 4,522 17%

Low value export transactions and confidential commodities 4,301 16%

Durum wheat 853 3%

The Canadian exports to the European Union are displayed in terms of value and weight by

province of origin in Figure 5.4.

Figure 5.4: Province of Origin, Canadian Exports to European Union

Value ($ Millions) and Weight (000s Tonnes)

$1,8

78

$1,4

04

$887

$313

$5,6

78 $6,8

48

$325

$6

4

$311 $1

,073

$0

$1,0

31

$1,3

28

6,21

5

763 1,

668

253

1,82

1

10,5

28

221

18 40

4

4,88

1

0 1 5

0

2,000

4,000

6,000

8,000

10,000

12,000

BC AB SK MB ON QC NB PE NS NF YT NT NU

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Weight

141

Listed from west to east, the provincial contributions to the national export value were British

Columbia with 9.5%, Alberta with 7.1%, Saskatchewan with 4.5%, Manitoba with 1.6%, Ontario

with 28.7%, Quebec with 34.6%, New Brunswick with 1.6%, Prince Edward Island with 0.3%,

Nova Scotia with 1.6%, Newfoundland with 5.4%, the Yukon with 0%, the Northwest

Territories with 5.2%, and Nunavut with 0%.

Listed from west to east, the provincial contributions to the national exports by weight were

British Columbia with 23.2%, Alberta with 2.8%, Saskatchewan with 6.2%, Manitoba with 0.9%,

Ontario with 6.8%, Quebec with 39.3%, New Brunswick with 0.8%, Prince Edward Island with

0.1%, Nova Scotia with 1.5%, Newfoundland with 18.2%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

The Western Region (British Columbia, Alberta, Saskatchewan, and Manitoba) exported 22.7%

of the value and 33.1% of the weight. The Central Region (Ontario and Quebec) exported the

bulk of the value (63.3%) and a large portion of the weight (46.1%) in 2007. The Atlantic Region

(New Brunswick, Prince Edward Island, Nova Scotia, and Newfoundland) exported 8.9% of the

value and 20.6% of the weight and the Territories (Yukon, Northwest Territories, and Nunavut)

exported the remaining 5.2% of the value and roughly 0% of the weight. This is further

displayed in Figures 5.5 and 5.6.

The distribution of Canadian export value by region between the years 2003 and 2007 is

displayed in Figure 5.5.

Figure 5.5: Region of Origin, 2003-2007 Canadian Exports to European Union – Value

($ Millions)

Since 2003 the large majority of the value of Canadian exports to the European Union were from

Central Canada, with the second largest export region being Western Canada.

$3,812 $4,059 $4,225 $3,961 $4,481

$8,798 $8,618 $9,290 $11,320 $12,526

$1,176 $1,593 $1,437 $1,228 $1,774$532 $739 $829 $926 $1,033

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

142

In 2007 the value of exports from the Central region rose by $1,206 million; the value from the

Western region increased $520 million; the Atlantic region increased exports by $546 million,

and the Territories increased their exports by $107 million.

The distribution of Canadian exports by weight by region since the year 2003 is displayed in

Figure 5.6.

Figure 5.6: Region of Origin, 2003-2007 Canadian Exports to European Union - Weight

(000s Tonnes)

Between 2003 and 2006 the large majority of the weight of Canadian exports to the European

Union were from Central Canada, with the second largest export region being Western Canada.

This changed in 2007 when the Western region exported the largest portion.

In 2007 exports from the Western region experienced a decrease of 1,.2 million tonnes, the

Central region experienced a sharp decrease of 50,5 million tonnes, the Atlantic region

experienced a decrease of 372,000 tonnes and the Territories experienced a decrease of 5,000

tonnes.

9,873 10,770 10,680 10,113

8,898

61,400 66,713 67,623 68,84412,349

7,115 7,121 7,974 5,8965,524

6 7 10 11 6

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

143

Figure 5.7 displays the value, weight, rankings, and rates of change of the Canadian imports

from the European Union by value and weight.

Figure 5.7: Value, Weight, Ranks, and Rate of Change of Canadian Imports from European

Union

Imports (Value):

In 2007, Canada Imported $32.4 billion from the European Union. The value of Canada’s

imports from the European Union changed little from 2003 to 2007 during which time the

European Union unofficially ranked as Canada’s second largest source of imports in terms of

value. This changed in 2006 with an increase in imports from China.

2 2 23 3

2

2 2

3

3

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

144

Table 5.4 displays the top 5 commodities, imported to Canada from the European Union (by

weight).

Table 5.4: Top 5 Imported Commodities from the European Union (by Value)

Commodity Value

($ Millions) %

Medicaments nes, in dosage $2,905 9%

Automobiles with reciprocating piston engine displacing > 1500 cc

to 3000 cc $1,512 5%

Light oils & prep obtained from bitumi- nous min, o/t crude etc,

o/t waste $1,497 5%

Automobiles with reciprocating piston engine displacing > 3000 cc $934 3%

Grape wines nes, incl fort & grape must, unfermented by add alc

in ctnr † 2 l $738 2%

Imports (Weight):

In 2007, Canada Imported 16.7 million tonnes from the European Union. The weight of

Canada’s imports from the European Union experienced significant gains in 2003 (76%) and

2004 (73%), then starting a period of decline in 2005 (-3%) and 2006 (-46%) ending with a

rebound in 2007 (36%).

Table 5.5 displays the top 5 commodities, imported to Canada from the European Union (by

weight).

Table 5.5: Top 5 Imported Commodities from the European Union (by Weight)

Commodity Weight

(000s Tonnes) %

Low value export transactions and confidential commodities 4,961 30%

Light oils & prep obtained from bitumi- nous min, o/t crude etc,

o/t waste 1,663 10%

Offset printing machinery nes 1,549 9%

Liq dielectric transf having a power handling capacity exceeding

10,000 KVA 565 3%

Petroleum oil and oil,o/t light,obt from bituminous min,o/t

crude,etc,o/t waste 332 2%

145

Japan

Imports

2007

2007

Rank

2006

Rank Growth

Exports

2007

2007

Rank

2006

Rank Growth

Value

($ Millions

2007 CAD)

$15,446 4 4 -2% $9,155 4 3 -6%

Weight

(000s Tonnes) 4,880 11 8 14% 21,537 2 5 8%

After its defeat in World War II Japan recovered to become an economic power and ally of the

United States. The economy experienced a major slowdown starting in the 1990s following

three decades of unprecedented growth, but Japan still remains a major economic power, both

in Asia and globally. Japan has become a world leader in manufacturing and technology and

imports most of its raw materials and energy resources.

Figure 5.8: Value, Weight, Ranks, and Rate of Change, Canadian Exports to Japan

2 2 2 3 4

4 55

5

2

0

5,000

10,000

15,000

20,000

25,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

146

Exports (Value):

In 2007, Canada Exported $9.2 billion to Japan. Canada’s exports to Japan experienced growth

from 2004 to 2006, peaking at 3% in 2005, and slowing to 1% in 2006. Both 2003 and 2007 were

years of decline both experiencing a 6% decrease.

Table 5.6 displays the top 5 commodities exported from Canada to Japan (by value).

Table 5.6: Top 5 Exported Commodities to Japan (by Value)

Commodity Value

($ Millions) %

Bituminous coal, whether or not pulveri- sed but not

agglomerated $966 11%

Low erucic acid rape or colza seeds, w/n broken $845 9%

Lumber, coniferous (softwood) of a thickness exceeding 6 mm $763 8%

Copper ores and concentrates $754 8%

Swine cuts, frozen nes $402 4%

Exports (Weight):

In 2007, Canada Exported 21.5 million tonnes to Japan. The weight of Canada’s exports to

Japan has been mostly growth following a decline of -15% in 2003. In 2007, the value of

Canadian exports to Japan increased by 8%.

Table 5.7 displays the top 5 commodities exported from Canada to Japan (by weight).

Table 5.7: Top 5 Exported Commodities to Japan (by Weight)

Commodity Weight

(000s Tonnes) %

Bituminous coal, whether or not pulveri- sed but not

agglomerated 10,524 49%

Low erucic acid rape or colza seeds, w/n broken 1,915 9%

Iron ores and concentrates, other than roasted iron pyrites,

agglomerated 1,200 6%

Lumber, coniferous (softwood) of a thickness exceeding 6 mm 948 4%

Wheat nes and meslin 887 4%

147

The Canadian exports to Japan are displayed in terms of value and weight by province of origin

in Figure 5.9.

Figure 5.9: Province of Origin, Canadian Exports to Japan

Value ($ Millions) and Weight (000s Tonnes)

Listed from west to east the provincial contributions to the national export value were British

Columbia with 45.1%, Alberta with 16.0%, Saskatchewan with 7.4%, Manitoba with 4.8%,

Ontario with 14.6%, Quebec with 8.4%, New Brunswick with 0.7%, Prince Edward Island with

0.2%, Nova Scotia with 0.9%, Newfoundland with 1.8%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

Listed from west to east the provincial contributions to the national exports by weight were

British Columbia with 51.2%, Alberta with 21.9%, Saskatchewan with 8.8%, Manitoba with

2.7%, Ontario with 2.5%, Quebec with 3.7%, New Brunswick with 0.3%, Prince Edward Island

with 0%, Nova Scotia with 0.6%, Newfoundland with 8.4%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

The Western Region exported 73.3% of the value and 84.6% of the weight. The Central Region

exported 23.1% of the value and 6.1% of the weight. The Atlantic Region exported 3.6% of the

value and 9.3% of the weight while the Territories exported less than 1% of both the value and

weight.

$4,1

32

$1,4

66

$674

$439 $1

,338

$773

$69

$18

$84

$160

$0 $0

$711

11

,02

4

4,72

2

1,88

9

583

528

787

59

7 134

1,80

3

0 0 0

0

2,000

4,000

6,000

8,000

10,000

12,000

BC AB SK MB ON QC NB PE NS NF YT NT NU

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Weight

148

The distribution of Canadian export value by region since the year 2003 is displayed in Figure

5.10.

Figure 5.10: Region of Origin, 2003-2007 Canadian Exports to Japan – Value

($ Millions)

Since 2003 the majority of the value of Canadian exports to Japan were from Western Canada,

with the second largest export region being Central Canada. In 2007 the value of exports from

the Central region decreased by $104 million; the value from the Western region decreased $495

million; the Atlantic region increased exports by $21 million, and the Territories exports were

stable.

The distribution of Canadian exports by weight by region since the year 2003 is displayed in

Figure 5.11.

Figure 5.11: Region of Origin, 2003-2007 Canadian Exports to Japan – Weight

(000s Tonnes)

$6,453 $6,681 $6,865 $7,207 $6,712

$2,241 $2,232 $2,397 $2,215 $2,111$480 $399 $373 $310 $331

$1 $1 $0 $1 $1

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

15,30914,258 16,183 17,624 18,219

708 2,180 1,310 926 1,316

903 969 963 1,407 2,0030 0 0 0 0

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

149

Since 2003 the majority of the weight of Canadian exports to Japan were from Western Canada,

with the second largest export region being Central Canada.

In 2007 exports from the Western region experienced an increase of 595,000 tonnes, the Central

region experienced an increase of 390,000 tonnes, the Atlantic region experienced an increase of

596,000 tonnes and the Territories were unchanged.

Figure 5.12: Value, Weight, Ranks, and Rate of Change, Canadian Imports from Japan

3

44

4 4

16

9

148

11

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

150

Imports (Value):

In 2007, Canada Imported $15.4 billion from Japan. The value of Canada’s imports from Japan

has experienced slight growth from 2005 to 2006, experiencing a drop in 2007 of -2% and has

ranked 4th among Canadian import partners since 2004.

Table 5.8 displays the top 5 commodities imported to Canada from Japan (by value).

Table 5.8: Top 5 Imported Commodities from Japan (by Value)

Commodity Value

($ Millions) %

Automobiles with reciprocating piston engine displacing >

1500 cc to 3000 cc $2,857 18%

Automobiles with reciprocating piston engine displacing > 3000 cc $966 6%

Automobiles with reciprocating piston engine displacing >

1000 cc to 1500 cc $881 6%

Shovels and excavators with a 360 revolving superstructure $449 3%

Aircraft parts nes $430 3%

Imports (Weight):

In 2007, Canada Imported 4.9 million tonnes from Japan. The weight of Canada’s imports

from Japan has experienced some recent erratic shifts, going from 142% growth in 2004, to 22%

growth in 2006, and experiencing decline of -12%, and -28% in 2003 and 2005 respectively. In

2007 the growth rate was 14%.

Table 5.9 displays the top 5 commodities imported to Canada from Japan (by weight).

Table 5.9: Top 5 Imported Commodities from Japan (by Weight)

Commodity Weight

(000s Tonnes) %

Offset printing machinery nes 922 19%

Condensers for steam or vapour power units 591 12%

Axles and wheels and parts 446 9%

Petroleum oil and oil,o/t light,obt from bituminous min,o/t

crude,etc,o/t waste 185 4%

Video games of a kind used with a television receiver 182 4%

151

United Kingdom

Imports

2007

2007

Rank

2006

Rank Growth

Exports

2007

2007

Rank

2006

Rank Growth

Value

($ Millions

2007 CAD)

$11,406 6 6 2% $12,983 2 2 25%

Weight

(000s Tonnes) 10,359 5 6 17% 6,958 6 9 -12%

The United Kingdom of Great Britain and Ireland was the dominant industrial and maritime

power of the 19th century and at its peak spanned over one-fourth of the earth's surface. The

20th century saw the UK's strength depleted by war and nation states withdrawal from the

union. The UK rebuilt itself into a modern and prosperous European nation. It is one of five

permanent members of the UN Security Council, a founding member of NATO, and of the

Commonwealth. A member of the EU, it chose to maintain its own currency.51

Figure 5.13: Value, Weight, Ranks, and Rate of Change, Canadian Exports to the United

Kingdom

51 ‚United Kingdom‛, The World Factbook. Central Intelligence Agency. 23 March 2009

<https://www.cia.gov/library/publications/the-world-factbook/geos/uk.html#top>

3

33

2

2

99

10

9

6

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

152

Exports (Value):

In 2007, Canada Exported $13 billion to the United Kingdom. The value of Canada’s exports to

the United Kingdom experienced double digit growth every year between 2003 and 2007, with

the exception of 2004 which only experienced 4% growth.

Table 5.10 displays the top 5 commodities exported from Canada to the United Kingdom (by

value).

Table 5.10: Top 5 Exported Commodities to the United Kingdom (by Value)

Commodity Value

($ Millions) %

Gold in unwrought forms non-monetary $2,887 22%

Natural uranium & its compounds; mix- tures cntg natural

uranium or its compds $2,145 17%

Nickel oxide sinters and other inter- mediate products of nickel

metallurgy $1,393 11%

Diamonds, unsorted $528 4%

Ash containing precious metal or precious metal compounds $519 4%

Exports (Weight):

In 2007, Canada Exported 7 million tonnes to the United Kingdom. The weight of Canada’s

exports to the United Kingdom went from -15% in 2003 to 14% in 2006 and back down to -12%

in 2007.

Table 5.11 displays the top 5 commodities exported from Canada to the United Kingdom (by

weight).

Table 5.11: Top 5 Exported Commodities to the United Kingdom (by Weight)

Commodity Weight

(000s Tonnes) %

Iron ores and concentrates, other than roasted iron pyrites,

agglomerated 1,623 23%

Bituminous coal, whether or not pulveri- sed but not

agglomerated 1,492 21%

Iron ores and concentrates, other than roasted iron pyrites, non-

agglomerated 1,133 16%

Low value export transactions and confidential commodities 860 12%

Wheat nes and meslin 504 7%

153

The Canadian exports to the United Kingdom are displayed in terms of value and weight by

province of origin in Figure 5.14.

Figure 5.14: Province of Origin, Canadian Exports to the United Kingdom

Value ($ Millions) and Weight (000s Tonnes)

Listed from west to east the provincial contributions to the national export value were British

Columbia with 3.4%, Alberta with 2.3%, Saskatchewan with 8.5%, Manitoba with 0.9%, Ontario

with 62%, Quebec with 13.1%, New Brunswick with 0.6%, Prince Edward Island with 0.2%,

Nova Scotia with 3.0%, Newfoundland with 1.4%, the Yukon with 0%, the Northwest

Territories with 4.6%, and Nunavut with 0%.

Listed from west to east the provincial contributions to the national exports by weight were

British Columbia with 20.6%, Alberta with 6.2%, Saskatchewan with 3.7%, Manitoba with 2.0%,

Ontario with 15.7%, Quebec with 38.1%, New Brunswick with 1.3%, Prince Edward Island with

0.1%, Nova Scotia with 1.6%, Newfoundland with 10.6%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

The Western Region exported 15.1% of the value and 32.5% of the weight. The Central Region

exported 75.1% of the value and 53.8% of the weight. The Atlantic Region exported 5.2% of the

value and 13.7% of the weight and the Territories exported the remaining 4.6% of the value and

0% of the weight.

$435

$304

$1,1

03

$1

18

$8,0

49

$1,7

01

$83

$27 $3

86

$1

84

$0

$592

$8071,

432

431

260

137

1,09

6

2,65

1

93

8 110 74

0

0 0

0

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

BC AB SK MB ON QC NB PE NS NF YT NT NU

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Weight

154

The distribution of Canadian export value by region since the year 2003 is displayed in Figure

5.15.

Figure 5.15: Region of Origin, 2003-2007 Canadian Exports to the United Kingdom - Value

($ Millions)

Since 2003 the majority of the value of Canadian exports to the United Kingdom came from

Central Canada, with the second largest export region being Western Canada. In 2007 the value

of the Territories increased by $100 million, ranking last after the Atlantic region. Previously,

the Territories ranked 2nd after Central Canada, in 2003 and 2004, and later ranked 3rd after

Western Canada in 2005 and 2006.

In 2007 the value of exports from the Central region increased by $1,597 million; the value from

the Western region increased by $671 million; the Atlantic region increased exports by $243

million, and the Territories increased their exports by $100 million.

$794 $885 $1,041 $1,289 $1,960

$4,519 $5,967 $6,379 $8,153 $9,750

$358$414

$454$438 $681$1,187

$1,041$764

$493 $593

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

155

The distribution of Canadian export weight by region from the year 2003 to 2007 is displayed in

Figure 5.16.

Figure 5.16: Region of Origin, 2003-2007 Canadian Exports to the United Kingdom - Weight

(000s Tonnes)

From 2003 to 2006 the majority of the weight of Canadian exports to the United Kingdom

originiated from Central Canada, with the second largest export region being Western Canada.

In 2007 exports from the Central region experienced a decrease of 884,000 tonnes; Western

region experienced an increase of 120,000 thousand tonnes, the Atlantic region experienced a

decrease of 169,000 tonnes and the Territories experienced a decrease of 4,000 tonnes.

1,661 1,6132,356

2,140 2,260

4,338 4,0283,804

4,631 3,747

980 796 767 1,120 951

13 8 7 4 0

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

156

Figure 5.17: Value, Weight, Ranks, and Rate of Change, Canadian Imports from the United

Kingdom

Imports (Value):

In 2007, Canada Imported $11.4 billion from the United Kingdom. The value of Canada’s

imports from the United Kingdom has experienced slight growth 2003 to 2007, going from -8%

in 2003 to 4% in 2005 and back down to 2% in the 2007.

Table 5.12 displays the top 5 commodities imported to Canada from the United Kingdom (by

value).

Table 5.12: Top 5 Imported Commodities from the United Kingdom (by Value)

Commodity Value

($ Millions) %

Petroleum oils and oils obtained from bituminous minerals, crude $4,377 38%

Medicaments nes, in dosage $781 7%

Aircraft parts nes $627 5%

Turbo-jets of a thrust exceeding 25 KN $398 3%

Parts of gas turbines nes $247 2%

5 55 6

6

33

5

6

5

0

2,000

4,000

6,000

8,000

10,000

12,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

157

Imports (Weight):

In 2007, Canada Imported 10.4 million tonnes from the United Kingdom. The weight of

Canada’s imports from the United Kingdom fluctuated between 2003 to 2007. In 2003 the rate of

change was -19%, it rose to -3% in 2004 and 4% in 2005. The rate of change then dropped back to

-13% in 2006 and rose again to 17% in 2007.

Table 5.13 displays the top 5 commodities imported to Canada from the United Kingdom (by

weight).

Table 5.13: Top 5 Imported Commodities from the United Kingdom (by Weight)

Commodity Weight

(000s Tonnes) %

Petroleum oils and oils obtained from bituminous minerals, crude 6,295 61%

Low value export transactions and confidential commodities 2,893 28%

Offset printing machinery nes 173 2%

Light oils & prep obtained from bitumi- nous min, o/t crude etc,

o/t waste 126 1%

Kaolin and other kaolinic clays, whether or not calcined 75 1%

158

United States

Imports

2007

2007

Rank

2006

Rank Growth

Exports

2007

2007

Rank

2006

Rank Growth

Value

($ Millions

2007 CAD)

$220,426 1 1 -2% $354,210 1 1 -4%

Weight

(000s Tonnes) 167,452 1 1 -14% 382,285 1 1 5%

After the collapse of the Soviet Union in the 1990’s, the United States became the world

superpower. The United States has the world’s single largest economy, it is a leader in research

and manufacturing, and has many firms that are positioned as world leaders in the

pharmaceutical, biomedical, aerospace and computer industries. The United States also has a

wide range of natural resources. Due to the geographic proximity and relative ease of border

crossing, the United States is Canada’s largest trading partner.

Figure 5.18: Value, Weight, Ranks, and Rate of Change, Canadian Exports to the United

States

11 1

111

1 1 11

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

159

Exports (Value):

In 2007, Canada Exported $354 billion to the United States. Between 2004 and 2005 the exports

from Canada to the United Stated experienced marginal growth in value; then in 2006 and 2007

exports value has experienced mild decline.

Table 5.14 displays the top 5 commodities, exported from Canada to the United States (by

value).

Table 5.14: Top 5 Exported Commodities to the United States (by Value)

Commodity Value

($ Millions) %

Petroleum oils and oils obtained from bituminous minerals, crude $41,741 12%

Automobiles with reciprocating piston engine displacing > 3000 cc $32,226 9%

Natural gas in gaseous state $26,538 7%

Goods of US origin, not advanced in value, returning to the

United States $8,754 2%

Gas powered trucks with a GVW not exceeding five tonnes $8,020 2%

Exports (Weight):

In 2007, Canada Exported 382.3 million tonnes to the United States. The weight of Canada’s

exports to the United States has been predominantly growing, with -0.2% being the lowest rate

of change in the years 2003 to 2007.

Table 5.15 displays the top 5 commodities, exported from Canada to the United States (by

weight).

Table 5.15: Top 5 Exported Commodities to the United States (by Weight)

Commodity Weight

(000s Tonnes) %

Petroleum oils and oils obtained from bituminous minerals, crude 72,294 19%

Low value export transactions and confidential commodities 70,289 18%

Natural gas in gaseous state 51,882 14%

Lumber, coniferous (softwood) of a thickness exceeding 6 mm 12,891 3%

Potassium chloride, in packages weighing more than 10 kg 10,023 3%

160

The Canadian exports to the United States are displayed in terms of value and weight by

province of origin in Figure 5.19.

Figure 5.19: Province of Origin, Canadian Exports to United States

Value ($ Millions) and Weight (000s Tonnes)

Listed from west to east the provincial contributions to the national export value were British

Columbia with 5.4%, Alberta with 19.7%, Saskatchewan with 3.4%, Manitoba with 2.4%,

Ontario with 47.8%, Quebec with 14.7%, New Brunswick with 2.8%, Prince Edward Island with

0.2%, Nova Scotia with 1.2%, Newfoundland with 2.5%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

Listed from west to east the provincial contributions to the national exports by weight were

British Columbia with 9.0%, Alberta with 31.9%, Saskatchewan with 8.1%, Manitoba with 2.3%,

Ontario with 26.4%, Quebec with 11.1%, New Brunswick with 3.5%, Prince Edward Island with

0.1%, Nova Scotia with 3.8%, Newfoundland with 3.8%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

The Western Region exported 30.9% of the value and 51.2% of the weight. The Central Region

exported 62.5% of the value and 37.6% of the weight. The Atlantic Region exported 6.6% of the

value and 11.2% of the weight and the Territories exported the remaining 0% of the value and

0% of the weight.

$19,

097

$69,

784

$12,

174

$8,3

81

$169

,193

$5

2,1

49

$9,8

45

$563

$4,1

32

$8,8

66

$20

$5 $7

45

34,2

96

121,

800

30,8

21

8,74

0

101,

032

42,5

67

13,4

31

522 14

,402

14,6

44

21

5 6

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

BC AB SK MB ON QC NB PE NS NF YT NT NU

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Weight

161

The distribution of Canadian export value by region between 2003 and 2007 is displayed in

Figure 5.20.

Figure 5.20: Region of Origin, 2003-2007 Canadian Exports to United States - Value

($ Millions)

Since 2003 the large majority of the value of Canadian exports to the United States came from

Central Canada, with the second largest export region being Western Canada. In 2007 the value

of exports from the Central region decreased by $14,400 million; the value from the Western

region decreased $7,409 million; the Atlantic region increased exports by $6,237 million, and the

Territories increased their exports by $15 million.

$95,410 $104,330 $118,196 $116,845 $109,436

$254,739 $257,862 $249,806 $235,742 $221,342

$17,847 $17,910 $18,393 $17,170 $23,407

$77 $61 $21 $10 $25

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

162

The distribution of Canadian exports by weight by region between 2003 and 2007 is displayed

in Figure 5.21.

Figure 5.21: Region of Origin, 2003-2007 Canadian Exports to United States – Weight

(000s Tonnes)

Since 2003, the large majority of the weight of Canadian exports to the United States were from

Western Canada, with the second largest export region being Central Canada.

In 2007 exports from the Western region experienced an decrease of 33.9 million tonnes, the

Central region experienced an increase of 40.8 million tonnes, the Atlantic region experienced

an increase of 9.5 million tonnes and the Territories experienced an increase of 29,000 tonnes.

207,965 221,123 223,753 229,599195,656

101,600 105,388 107,302 102,745143,599

38,824 37,155 35,150 33,081 42,999

25 3 2 2 31

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

163

Figure 5.22: Value, Weight, Ranks, and Rate of Change, Canadian Imports from United States

Imports (Value):

In 2007, Canada Imported $220.4 billion from the United States. The value of Canada’s

imports from the United States has experienced marginal decrease between 2003 and 2007, with

the United States ranking as the top import partner by value during the same time period.

Table 5.16 displays the top 5 commodities, imported to Canada from the United States (by

value).

Table 5.16: Top 5 Imported Commodities from the United States (by Value)

Commodity Value

($ Millions) %

Automobiles with reciprocating piston engine displacing > 3000 cc $7,499 3%

Automobiles with reciprocating piston engine displacing > 1500 cc

to 3000 cc $7,263 3%

Gas powered trucks with a GVW not exceeding five tonnes $6,058 3%

Parts and accessories of bodies nes for motor vehicles $5,444 2%

Engines, spark-ignition reciprocating displacing more than 1000 cc $5,097 2%

1 1 1 1 1

1

1

1

1

1

0

50,000

100,000

150,000

200,000

250,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

164

Imports (Weight):

In 2007, Canada Imported 167.5 million tonnes from the United States. The weight of

Canada’s imports from the United States experienced growth between 2003 and 2005 peaking at

31% in 2005 then declining to -8% in 2006 and -14% in 2007.

Table 5.17 displays the top 5 commodities, imported to Canada from the United States (by

weight).

Table 5.17: Top 5 Imported Commodities from the United States (by Weight)

Commodity 000s Tonnes %

Injection-moulding machines for working rubber or plastics nes 20,125 12%

Bituminous coal, whether or not pulveri- sed but not

agglomerated 8,196 5%

Coal nes, whether or not pulverised but not agglomerated 7,414 4%

Iron ores and concentrates, other than roasted iron pyrites,

agglomerated 7,235 4%

Low value export transactions and confidential commodities 6,547 4%

165

Emerging Markets

In addition to the established markets, many developing economies are growing to become

major players on the international economic stage; the top six of which, as measured by GDP in

2007, are China, Brazil, India, Mexico, and Russia. South Korea has been added to this list even

though the IMF counts it as an advanced economy52 for consistency with previous Manitoba

Transportation Reports.

Figure 5.23 compares the GDP in real 2007 CAD for some of the world’s leading ‚emerging‛53

economies, including Canada.

Figure 5.23: Canada and Emerging Economies GDP

($ Billions of 2007 CAD)

52 Emerging economies as listed by the IMF, Aug, 2008

<http://www.imf.org/external/datamapper/index.php>

53 Ibid

$1,2

00

$2,7

56

$962

$1,0

49

$543

$1,0

37 $1,3

72

$1,2

68

$3,0

34

$1,0

28

$1,0

93

$582

$1,0

86 $1,4

14

$1,3

05

$3,3

50

$1,1

15

$1,1

24

$619

$1,1

31 $1,4

53

$1,3

54

$3,7

09

$1,2

19

$1,1

78

$660

$1,1

88 $1,4

93

$1,4

08

$4,1

03

$1,3

28

$1,2

17

$705

$1,2

43 $1,5

30

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

$4,000

$4,500

Brazil China India Mexico Russia South

Korea

Canada

$ B

illl

ion

s (2

007)

CA

D

2003 2004 2005 2006 2007

166

Each of the developing economies shown here has enjoyed positive growth over the past five

years, at various rates of growth. Though Canada is considered an advanced economy, it is

barely larger then Brazil in terms of GDP. However, it should be noted that Canada had the 6th

largest GDP of the world when counting the EU13, so these numbers are not reason to start

thinking of Canada as a developing nation, but rather to acknowledge our position as a world

leader and a bridge between the developed and developing worlds.

Figure 5.24 compares the GDP in terms of rate of change for some of the world’s leading

‚emerging‛ economies, including Canada.

Figure 5.24: Emerging Economies Rate of Change

Every nation displayed has shown positive rates of change since 2003. China with a consistent,

high rate of growth that continues to increase with a measure of stability not displayed in any of

the other displayed economies. Canada’s rate of change appears relatively independent. This

shows that Canada has a diversified trade portfolio that insulates it from many of the global

shocks and strains that may occur. However, given Canada’s erratic rate of change it is clear

that it experiences its own boom-bust cycles.

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

2003 2004 2005 2006 2007

Rat

e o

f C

han

ge

Brazil China India Mexico Russia South Korea Canada

167

Brazil

Imports

2007

2007

Rank

2006

Rank Growth

Exports

2007

2007

Rank

2006

Rank Growth

Value

($ Millions

2007 CAD)

$3,341 14 13 -5% $1,513 17 17 10%

Weight

(000s Tonnes) 5,102 10 5 -44% 4,700 9 10 -18%

Since the early 1800’s Brazil has gone from being a Portuguese protectorate to an independent

monarchy to a military republic to a populist state to a civilian led nation. Brazil continues to

pursue industrial and agricultural growth and development of its interior. Exploiting vast

natural resources and a large labour pool, today it is South America's leading economic power

and a regional leader.

Figure 5.25: Value, Weight, Ranks, and Rate of Change of Canadian Exports to Brazil

16 1717

17 17

11

10 1110

9

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

168

Exports (Value):

In 2007, Canada Exported $1.5 billion to Brazil. The value of Canada’s exports to Brazil have

consistently experienced double digit growth each year between 2003 and 2007 with the

exception of 2004 (3%).

Table 5.18 displays the top 5 commodities exported from Canada to Brazil (by value).

Table 5.18: Top 5 Exported Commodities to Brazil (by Value)

Commodity Value

($ Millions) %

Potassium chloride, in packages weighing more than 10 kg $215 14%

Bituminous coal, whether or not pulveri- sed but not

agglomerated $157 10%

Newsprint, in rolls or sheets $153 10%

Wheat nes and meslin $85 6%

Sulphur of all kinds, o/t sublimed, precipitated and colloidal

sulphur $55 4%

Exports (Weight):

In 2007, Canada Exported 4.7 million tonnes to Brazil. The weight of Canada’s exports to

Brazil have fluctuated, ranging from -7% in 2003 to 19% in 2004 and back to decreasing rates for

2005 to 2007.

Table 5.19 displays the top 5 commodities exported from Canada to Brazil (by weight).

Table 5.19: Top 5 Exported Commodities to Brazil (by Weight)

Commodity Weight

(000s Tonnes) %

Bituminous coal, whether or not pulveri- sed but not

agglomerated 1,449 31%

Potassium chloride, in packages weighing more than 10 kg 1,179 25%

Sulphur of all kinds, o/t sublimed, precipitated and colloidal

sulphur 606 13%

Wheat nes and meslin 328 7%

Newsprint, in rolls or sheets 221 5%

169

The Canadian exports to Brazil are displayed in terms of value and weight by province of origin

in Figure 5.26.

Figure 5.26: Province of Origin, Canadian Exports to Brazil

Value ($ Millions) and Weight (000s Tonnes)

Listed from west to east the provincial contributions to the national export value were British

Columbia with 16.0%, Alberta with 11.0%, Saskatchewan with 14.8%, Manitoba with 1.6%,

Ontario with 25.4%, Quebec with 24.1%, New Brunswick with 4.5%, Prince Edward Island with

0.1%, Nova Scotia with 2.2%, Newfoundland with 0.2%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

Listed from west to east the provincial contributions to the national exports by weight were

British Columbia with 36.9%, Alberta with 17.7%, Saskatchewan with 23.0%, Manitoba with

1.2%, Ontario with 3.6%, Quebec with 6.2%, New Brunswick with 6.7%, Prince Edward Island

with 0%, Nova Scotia with 1.2%, Newfoundland with 3.4%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

The Western Region exported 43.4% of the value and 78.7% of the weight. The Central Region

exported 49.6% of the value and 9.9% of the weight. The Atlantic Region exported 7.0% of the

value and 11.4% of the weight and the Territories exported the remaining 0% of the value and

0% of the weight.

$242

$166

$2

24

$25

$385

$3

65

$68

$2 $34

$2 $0 $0 $54

1,73

2

831

1,08

0

58 17

1 293

316

2 55

162

0 0 0

0

500

1,000

1,500

2,000

BC AB SK MB ON QC NB PE NS NF YT NT NU

$ M

ilio

ns

(200

7) C

AD

000s

To

nn

es

Value Weight

170

The regional distribution of Canadian export value by region between 2003 to 2007 is displayed

in Figure 5.27.

Figure 5.27: Region of Origin, 2003-2007 Canadian Exports to Brazil – Value

($ Millions)

Since 2003 the slim majority of the value of Canadian exports to Brazil were from Central

Canada, with the second largest export region being Western Canada.

In 2007 the value of exports from the Central region increased by $51 million; the value from the

Western region increased by $98 million; the Atlantic region decreased exports by $14 million,

and the Territories did not change.

$535 $511$492 $559 $657

$374$394 $559 $699 $750

$99 $135 $112 $120 $106

$0 $0 $0 $0 $0

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

171

The regional distribution of Canadian export weight by region between 2003 to 2007 is

displayed in Figure 5.28.

Figure 5.28: Region of Origin, 2003-2007 Canadian Exports to Brazil – Weight

(000s Tonnes)

From 2003 to 2007 the large majority of the weight of Canadian exports to Brazil were from

Western Canada, with the second largest export region being Central Canada.

In 2007 exports from the Central region experienced a decrease of 1.4 million tonnes; Western

region experienced an increase of 330,000 tonnes, the Atlantic region experienced a decrease of

17,000 tonnes and the Territories did not change.

3,5273,472 3,290 3,371

3,701

1,0462,176 2,462 1,861

464

597 508 385 518 535

0 0 0 0 0

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

172

Figure 5.29: Value, Weight, Ranks, and Rate of Change of Canadian Imports from Brazil

Imports (Value):

In 2007, Canada Imported $3.3 billion from Brazil. The value of Canada’s imports from Brazil

experienced consistent growth from 2003 to 2006 and slowed to -5% in 2007.

Table 5.20 displays the top 5 commodities imported to Canada from Brazil (by value).

Table 5.20: Top 5 Imported Commodities from Brazil (by Value)

Commodity Value

($ Millions) %

Aircraft nes of an unladen weight exceeding 15,000 kg $721 22%

Aluminium oxide, other than artificial corundum $358 11%

Raw sugar, cane $208 6%

Orange juice, unfermented, not spirited, whether or not

sugared/sweet, frozen $117 4%

Automobiles with reciprocating piston engine displacing > 1500 cc

to 3000 cc $114 3%

1615

13 13 14

8

7

8

5

10

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

173

Imports (Weight):

In 2007, Canada Imported 5.1 million tonnes from Brazil. The weight of Canada’s imports

from Brazil has experienced double digit growth every year from 2003 to 2006, dropping to -

44% in 2007. Table 5.21 displays the top 5 commodities imported to Canada from Brazil (by

weight).

Table 5.21: Top 5 Imported Commodities from Brazil (by Weight)

Commodity Weight

(000s Tonnes) %

Aluminium ores and concentrates 1,683 33%

Aluminium oxide, other than artificial corundum 972 19%

Raw sugar, cane 852 17%

Kaolin and other kaolinic clays, whether or not calcined 358 7%

Axles and wheels and parts 165 3%

174

China

Imports

2007

2007

Rank

2006

Rank Growth

Exports

2007

2007

Rank

2006

Rank Growth

Value

($ Millions

2007 CAD)

$38,285 2 2 8% $9,284 3 4 18%

Weight

(000s Tonnes) 14,515 2 2 12% 18,183 3 4 -16%

China is one of the largest and fastest growing economies in the world. Currently China

possesses a GDP that surpasses Canada and continues to plan toward increasing economic

expansion.

Figure 5.30: Value, Weight, Ranks, and Rate of Change of Canadian Exports to China

4

4 4 43

6

4

3

4

3

0

5,000

10,000

15,000

20,000

25,000

30,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

175

Exports (Value):

In 2007, Canada Exported $9.3 billion to China. The value of Canada’s exports to China have

consistently grown between 2003 and 2007, experiencing double digit growth every year except

2005 and 2006 when it slowed to 3% and 6% respectively. Table 5.22 displays the top 5

commodities exported from Canada to China (by value).

Table 5.22: Top 5 Exported Commodities to China (by Value)

Commodity Value

($ Millions) %

Ethylene glycol (ethanediol) $1,034 11%

Nickel unwrought, not alloyed $835 9%

Chemical wood pulp, soda or sulphate, coniferous, semi-bl or

bleached, nes $831 9%

Potassium chloride, in packages weighing more than 10 kg $415 4%

Wood pulp obtained by a combination of mechanical & chemical

pulping processes $404 4%

Exports (Weight):

In 2007, Canada Exported 18.2 million tonnes to China. The weight of Canada’s exports to

China experienced double digit growth from 2003 to 2005, but turned in 2006 and has been

experiencing double digit decline for 2006 and 2007. Table 5.23 displays the top 5 commodities

exported from Canada to China (by weight).

Table 5.23: Top 5 Exported Commodities to China (by Weight)

Commodity Weight

(000s Tonnes) %

Iron ores and concentrates, other than roasted iron pyrites,

agglomerated 2,650 15%

Sulphur of all kinds, o/t sublimed, precipitated and colloidal

sulphur 2,475 14%

Potassium chloride, in packages weighing more than 10 kg 2,348 13%

Iron ores and concentrates, other than roasted iron pyrites, non-

agglomerated 1,838 10%

Chemical wood pulp, soda or sulphate, coniferous, semi-bl or

bleached, nes 1,183 7%

176

The Canadian exports to China are displayed in terms of value and weight by province of origin

in Figure 5.31.

Figure 5.31: Province of Origin, Canadian Exports to China

Value ($ Millions) and Weight (000s Tonnes)

Listed from west to east the provincial contributions to the national export value were British

Columbia with 19.4%, Alberta with 30.4%, Saskatchewan with 9.3%, Manitoba with 5.9%,

Ontario with 18.4%, Quebec with 10.7%, New Brunswick with 0.5%, Prince Edward Island with

0%, Nova Scotia with 1.0%, Newfoundland with 3.9%, the Yukon with 0%, the Northwest

Territories with 0.3%, and Nunavut with 0%.

Listed from west to east the provincial contributions to the national exports by weight were

British Columbia with 15.1%, Alberta with 30.6%, Saskatchewan with 18.9%, Manitoba with

1.4%, Ontario with 4.3%, Quebec with 10.2%, New Brunswick with 0.3%, Prince Edward Island

with 0%, Nova Scotia with 0.3%, Newfoundland with 18.8%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

The Western Region exported 65.0% of the value and 66.0% of the weight. The Central Region

exported 29.1% of the value and 14.5% of the weight. The Atlantic Region exported 5.5% of the

value and 19.5% of the weight and the Territories exported the remaining 0.3% of the value and

0% of the weight.

$1,8

06

$2,8

21

$862

$547

$1,7

12

$994

$48

$4 $95 $3

63

$0 $31 $3

79

2,74

8

5,55

7

3,43

6

262 79

1

1,84

7

58

1 55

3,42

5

0 2 1

0

1,000

2,000

3,000

4,000

5,000

6,000

BC AB SK MB ON QC NB PE NS NF YT NT NU

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Weight

177

The distribution of Canadian export value by region between 2003 to 2007 is displayed in Figure

5.32.

Figure 5.32: Region of Origin, 2003-2007 Canadian Exports to China – Value

($ Millions)

Since 2003, the majority of the value of Canadian exports to China were from Western Canada,

with the second largest export region being Central Canada. In 2007 the value of exports from

the Central region increased by $116 million; the value from the Western region increased by

$1,331 million; the Atlantic region decreased exports by $50 million, and the Territories

decreased exports by $8 million.

The 2003-2007 regional distribution of Canadian exports by weight is displayed in Figure 5.33.

Figure 5.33: Region of Origin, 2003-2007 Canadian Exports to China - Weight

(000s Tonnes)

$2,783$4,637 $4,590 $4,704 $6,035

$2,167$2,169 $2,303 $2,590

$2,706

$419 $415 $462 $561 $511

$0 $1 $95 $40 $32

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

6,25112,216

13,369 10,390

12,004

4,0526,080

8,8316,976

2,637

2,077 2,222 3,959 4,353 3,540

0 0 64 3 2

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

178

Between 2003 to 2007 the large majority of the weight of Canadian exports to China were from

Western Canada, with the second largest export region being Atlantic Canada (Newfoundland,

New Brunswick, Prince Edward Island, and Nova Scotia).

In 2007 exports from the Central region experienced a decrease of 4.3 million tonnes; Western

region experienced an increase of 1.6 million tonnes, the Atlantic region experienced a decrease

of 813,000 tonnes and the Territories decreased exports by 1,000 tonnes.

Figure 5.34: Value, Weight, Ranks, and Rate of Change of Canadian Imports from China

2

2

2

2

2

6

6

32

2

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

179

Imports (Value):

In 2007, Canada Imported $38.3 billion from China. The value of Canada’s imports from China

experienced consistent double digit growth from 2003 to 2006, slowing to 8% in 2007.

Table 5.24 displays the top 5 commodities imported to Canada from China (by value).

Table 5.24: Top 5 Imported Commodities from China (by Value)

Commodity Value

($ Millions) %

Portable adpm, wt <= 10 kg, with cpu, keyboard and display $1,936 5%

Whld toys;dolls/their carriages;o toys; reduced-size

models,wrkng/not;puzzles $1,081 3%

Video games of a kind used with a television receiver $879 2%

Monitors,o/t CRTM,used in automatic data processing systems of

heading 84.71 $752 2%

Telephones for cellular networks or for other wireless networks $534 1%

Imports (Weight):

In 2007, Canada Imported 14.5 million tonnes from China. The weight of Canada’s imports

from China experienced double digit growth every year from 2003 to 2007 with a low in 2007 of

12%. Table 5.25 displays the top 5 commodities imported to Canada from China (by weight).

Table 5.25: Top 5 Imported Commodities from China (by Weight)

Commodity Weight

(000s Tonnes) %

Video games of a kind used with a television receiver 1,666 11%

Moulds, injection or compression types, for rubber or plastics 1,333 9%

Offset printing machinery nes 613 4%

Sodium hydroxide (caustic soda) in aqueous solution 263 2%

Bars & rods, i/nas, hr, hd or he, cntg indent, ribs, etc, prod dur

rp/tar, nes 187 1%

180

India

Imports

2007

2007

Rank

2006

Rank Growth

Exports

2007

2007

Rank

2006

Rank Growth

Value

($ Millions

2007 CAD)

$1,979 22 22 0% $1,761 13 14 2%

Weight

(000s Tonnes) 523 36 40 -14% 4,789 8 13 11%

India is one of the largest and fastest growing economies in the world. With a large population

and a rising standard of living, India could become a very important trade partner in the years

to come.

Figure 5.35: Value, Weight, Ranks, and Rate of Change, Canadian Exports to India

The increase in export weight in 2005 is noteable as it marked an increase in the export tonnage

of Canadian goods to India. This initially was due to a large shipment of ‚Reel Fed Offset

Printing Machinery‛, that was exported from Ontario in 2005. Although exports of this

commodity declined in 2006 (-80.1%), total export tonnage only declined by 5.8% (attributed to

increased export of wheat). Export tonnage increased by 11.5% in 2007 due to increased exports

of agricultural products (e.g. peas, lentils, etc.) and industrial machinery (horizontal lathes).

1818

18

14 1317

16

13

13

8

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

5,000

2003 2004 2005 2006 2007

Mil

lio

ns

(200

7) C

AD

000s

To

nn

es

Value Value Rank Weight Weight Rank

181

Exports (Value):

In 2007, Canada Exported $1.8 billion to India. The value of Canada’s exports to India

experienced double digit annual growth between 2003 and 2006 and recorded a five year low of

2% in 2007. Table 5.26 displays the top 5 commodities exported from Canada to India (by

value).

Table 5.26: Top 5 Exported Commodities to India (by Value)

Commodity Value

($ Millions) %

Peas dried, shelled, whether or not skinned or split $257 15%

Potassium chloride, in packages weighing more than 10 kg $177 10%

Newsprint, in rolls or sheets $132 8%

Copper ores and concentrates $109 6%

Wheat nes and meslin $94 5%

Exports (Weight):

In 2007, Canada Exported 4.8 million tonnes to India. The weight of Canada’s exports to India

experienced double digit growth in 2003 and 2004 and grew to 139% in 2005. In 2006 Canada’s

annual export tonnage declined at a rate of -6%, rising back to 11% in 2007. Table 5.27 displays

the top 5 commodities exported from Canada to India (by weight).

Table 5.27: Top 5 Exported Commodities to India (by Weight)

Commodity Weight

(000s Tonnes) %

Peas dried, shelled, whether or not skinned or split 1,072 22%

Horizontal lathes numerically controlled for removing metal 1,047 22%

Potassium chloride, in packages weighing more than 10 kg 999 21%

Wheat nes and meslin 315 7%

Newsprint, in rolls or sheets 208 4%

182

The Canadian exports to India are displayed in terms of value and weight by province of origin

in Figure 5.36.

Figure 5.36: Province of Origin, Canadian Exports to India

Value ($ Millions) and Weight (000s Tonnes)

Listed from west to east the provincial contributions to the national export value were British

Columbia with 13.7%, Alberta with 6.8%, Saskatchewan with 32.0%, Manitoba with 3.7%,

Ontario with 18.3%, Quebec with 15.7%, New Brunswick with 3.7%, Prince Edward Island with

0.1%, Nova Scotia with 2.7%, Newfoundland with 2.1%, the Yukon with 0%, the Northwest

Territories with 1.2%, and Nunavut with 0%.

Listed from west to east the provincial contributions to the national exports by weight were

British Columbia with 5.0%, Alberta with 3.9%, Saskatchewan with 50.3%, Manitoba with 1.2%,

Ontario with 29.1%, Quebec with 6.9%, New Brunswick with 1.7%, Prince Edward Island with

0%, Nova Scotia with 1.5%, Newfoundland with 0.4%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

The Western Region exported 56.2% of the value and 60.4% of the weight. The Central Region

exported 34.0% of the value and 36.0% of the weight. The Atlantic Region exported 8.5% of the

value and 3.6% of the weight and the Territories exported the remaining 1.2% of the value and

0% of the weight.

$242

$119

$564

$65 $3

22

$277

$65

$2 $47

$36

$0 $20 $1

35239

187

2,41

0

55

1,39

1

333

80

1 73

19

- 0

0

0

500

1,000

1,500

2,000

2,500

3,000

BC AB SK MB ON QC NB PE NS NF YT NT NU

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Weight

183

The distribution of Canadian export value by region between 2003 to 2007 is displayed in Figure

5.37.

Figure 5.37: Region of Origin, 2003-2007 Canadian Exports to India - Value

($ Millions)

Since 2003 the majority of the value of Canadian exports to India were from Western Canada,

with the second largest export region being Central Canada. In 2007 the value of exports from

the Central region increased by $107 million; the value from the Western region decreased by

$81 million; the Atlantic region increased exports by $12 million, and the Territories decreased

exports by $1 million.

The distribution of Canadian exports by weight by region since the year 2003 is displayed in

Figure 5.38.

Figure 5.38: Region of Origin, 2003-2007 Canadian Exports to India – Weight

(000s Tonnes)

$401 $444 $597$1,071 $990

$368 $403$427

$492 $599

$92 $109 $103 $138 $150$0 $0 $8 $22 $21

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

1,147 1,295

1,857

3,0612,892

287 461

2,562

1,0191,724

146 152 142 216 173

0 0 1 0 0

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

184

From 2003 to 2006 the large majority of the weight of Canadian exports to India were from

Western Canada, with the second largest export region being Central Canada.

In 2007 exports from the Central region increased by 705,000 tonnes; the Western region

decreased by 169,000 tonnes, the Atlantic region decreased by 43,000 tonnes and the Territories

did not change.

Figure 5.39: Value, Weight, Ranks, and Rate of Change, Canadian Imports from India

2221

2222 22

43

35

29

4036

0

500

1,000

1,500

2,000

2,500

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

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es

Value Value Rank Weight Weight Rank

185

Imports (Value):

In 2007, Canada Imported $2 billion from India. The value of Canada’s imports from India

experienced steady growth between 2003 to 2007. In 2005 imports to India experienced an

increase in growth rate to 10% before slowing back to 5% and 0.1% in 2006 and 2007

respectively.

Table 5.28 displays the top 5 commodities imported to Canada from India (by value).

Table 5.28: Top 5 Imported Commodities from India (by Value)

Commodity Value

($ Millions) %

Diamonds non-industrial nes excluding mounted or set diamonds $120 6%

Articles of jewellery & pts thereof of/o prec met w/n plated/clad w

prec met $55 3%

T-shirts, singlets and other vests, of cotton, knitted $50 3%

Shrimps and prawns, frozen, in shell or not, including boiled in

shell $49 2%

Derivatives of ketones and quinones $40 2%

Imports (Weight):

In 2007, Canada Imported 0.5 million tonnes from India. The weight of Canada’s imports from

India experienced growth rates of 13%, 58%, and 56% in 2003, 2004 and 2005 respectively. The

growth rates then turned to decline with rates of -21% and -14% in 2006 and 2007 respectively.

Table 5.29 displays the top 5 commodities imported to Canada from India (by weight).

Table 5.29: Top 5 Imported Commodities from India (by Weight)

Commodity Weight

(000s Tonnes) %

Tiles etc rect or not <7 cm etc; arti coloured

granules/chippings/powder 27 5%

Rice, semi-milled or wholly milled, whether or not polished or

glazed 26 5%

Refractory bricks etc >50% alumina Al2O3, silica SiO2 or mixture

etc 19 4%

Monumental/building stone, cut/sawn flat or even, granite 19 4%

Scarifiers, cultivators, weeders and hoes 17 3%

186

Mexico

Imports

2007

2007

Rank

2006

Rank Growth

Exports

2007

2007

Rank

2006

Rank Growth

Value

($ Millions

2007 CAD)

$17,173 3 3 4% $4,890 5 5 8%

Weight

(000s Tonnes) 7,358 8 7 27% 5,145 7 11 -5%

Mexico has a free market economy in the trillion dollar class. It contains a mixture of modern

and outmoded industry and agriculture, increasingly dominated by the private sector. Recent

administrations have expanded competition in seaports, railroads, telecommunications,

electricity generation, natural gas distribution, and airports.54 Mexico is a member nation of the

NASCO Corridor and NAFTA, and is therefore an important trade partner.

Figure 5.40: Value, Weight, Ranks, and Rate of Change, Canadian Exports to Mexico

54 ‚Economy – ‘Mexico’, The World Factbook. Central Intelligence Agency. 23 March, 2009

<https://www.cia.gov/library/publications/the-world-factbook/geos/mx.html#Econ>

65 5

5 5

14

12

6

11 7

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

187

Exports (Value):

In 2007, Canada Exported $4.9 billion to Mexico. The value of Canada’s exports to Mexico

experienced growth from 2004 to 2007, with a high of 32% in 2006, slowing down to 8% in 2007.

Table 5.30 displays the top 5 commodities exported from Canada to Mexico (by value).

Table 5.30: Top 5 Exported Commodities to Mexico (by Value)

Commodity Value

($ Millions) %

Low erucic acid rape or colza seeds, w/n broken $451 9%

Wheat nes and meslin $215 4%

Automobiles with reciprocating piston engine displacing > 1500 cc

to 3000 cc $202 4%

Gear boxes (transmissions), for motor vehicles and parts thereof $182 4%

Motor vehicle parts nes $177 4%

Exports (Weight):

In 2007, Canada Exported 5.1 million tonnes to Mexico. The weight of Canada’s exports to

Mexico experienced double digit growth from 2003 to 2004, 270% in 2005, and has been

experiencing decline for 2006 (-65%) and 2007 (-5%).

Table 5.31 displays the top 5 commodities exported from Canada to Mexico (by weight).

Table 5.31: Top 5 Exported Commodities to Mexico (by Weight)

Commodity Weight

(000s Tonnes) %

Low erucic acid rape or colza seeds, w/n broken 1,114 22%

Low value export transactions and confidential commodities 956 19%

Wheat nes and meslin 814 16%

Bituminous coal, whether or not pulverised but not agglomerated 230 4%

Bars & rods, alloy steel, o/t stainless nfw than hot

rolled/drawn/extruded, nes 166 3%

188

The Canadian exports to Mexico are displayed in terms of value and weight by province of

origin in Figure 5.41.

Figure 5.41: Province of Origin, Canadian Exports to Mexico

Value ($ Millions) and Weight (000s Tonnes)

Listed from west to east the provincial contributions to the national export value were British

Columbia with 4.2%, Alberta with 15.7%, Saskatchewan with 8.1%, Manitoba with 6.8%,

Ontario with 49.7%, Quebec with 13.7%, New Brunswick with 0.7%, Prince Edward Island with

0.1%, Nova Scotia with 0.7%, and Newfoundland, the Yukon, the Northwest Territories, and

Nunavut each exported less than 0.1%.

Listed from west to east the provincial contributions to the national exports by weight were

British Columbia with 7.6%, Alberta with 21.6%, Saskatchewan with 21.4%, Manitoba with

7.4%, Ontario with 20.0%, Quebec with 8.1%, New Brunswick with 2.6%, Prince Edward Island

with 0.1%, Nova Scotia with 11.2%, and Newfoundland, the Yukon, the Northwest Territories,

and Nunavut each exported less than 0.1%..

The Western Region exported 34.8% of the value and 58.0% of the weight. The Central Region

exported 63.3% of the value and 28.1% of the weight. The Atlantic Region exported 1.8% of the

value and 13.9% of the weight and the Territories exported less than 0% of the value and 0% of

the weight.

$207

$766

$398

$332

$2,4

29

$668

$34

$3 $52

$0 $0 $0

$29739

1

1,11

1

1,10

1

38

3

1,02

8

41

6

134

3

578

0 0 1 0

0

500

1,000

1,500

2,000

2,500

3,000

BC AB SK MB ON QC NB PE NS NF YT NT NU

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Weight

189

The 2003 to 2007 regional distribution of Canadian export value is displayed in Figure 5.42.

Figure 5.42: Region of Origin, 2003-2007 Canadian Exports to Mexico – Value

($ Millions)

Since 2005 the majority of the value of Canadian exports to Mexico were from Western Canada,

with the second largest export region being Central Canada. In 2007 the value of exports from

the Central region increased by $77 million; the value from the Western region increased by

$290 million; the Atlantic region increased exports by $9 million, and the Territories decreased

exports by $1 million.

The distribution of Canadian export weight by region between 2003 to 2007 is displayed in

Figure 5.43.

Figure 5.43: Region of Origin, 2003-2007 Canadian Exports to Mexico – Weight

(000s Tonnes)

$1,054$1,611

$1,333$1,412 $1,702

$1,367$1,593

$2,025$3,020 $3,097

$71 $44 $23 $81 $90$0 $0 $39 $1 $0

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

2,4463,605

2,912

3,419 2,986

512 493

12,473

1,3111,444

220 85 74 676 715

0 0 10 0 1

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

190

For 2003, 2004, 2006 and 2007 the large majority of exports to Mexico were from Western

Canada, but in 2005 the vast majority of the Canadian exports to Mexico were from the Central

region.

In 2005 Ontario produced and exported ‚Injection Moulding Machines for Rubber or Plastic‛

which were worth $27.2 million and weighed 11.6 million tonnes.

In 2007 exports from the Central region increased by 133,000 tonnes; Western region decreased

by 433,000 tonnes, the Atlantic region increased by 39,000 tonnes and the Territories increased

1,000 tonnes.

Figure 5.44: Value, Weight, Ranks, and Rate of Change, Canadian Imports from Mexico

4

33

33

711

9 7

8

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

191

Imports (Value):

In 2007, Canada Imported $17.2 billion from Mexico. Following a period of decline in 2003 the

value of Canada’s imports from Mexico started experiencing growth in 2004 at 7%. Growth

rates remained stable between 2004 and 2007 staying between 4% and 7%.

Table 5.32 displays the top 5 commodities imported to Canada from Mexico (by value).

Table 5.32: Top 5 Imported Commodities from Mexico (by Value)

Commodity Value

($ Millions) %

O television receivers,colour,w/n incorp radio-broad

rece/sound/vid rec/repro app $1,766 10%

Automobiles with reciprocating piston engine displacing > 1500 cc

to 3000 cc $1,200 7%

Petroleum oils and oils obtained from bituminous minerals, crude $728 4%

Ignition wiring sets & ot wiring sets of a kind used in vehicles,

aircraft etc $715 4%

Diesel powered trucks with a GVW not exceeding five tonnes $603 4%

Imports (Weight):

In 2007, Canada Imported 7.4 million tonnes from Mexico. The weight of Canada’s imports

from Mexico experienced consistent, growth from 2003 to 2007. The lowest growth rate was

experienced in 2003 at 3%, while the highest was in 2007 at 27%.

Table 5.33 displays the top 5 commodities imported to Canada from Mexico (by weight).

Table 5.33: Top 5 Imported Commodities from Mexico (by Weight)

Commodity Weight

(000s Tonnes) %

Liq dielectric transf having a power handling capacity exceeding

10,000 KVA 2,522 34%

Petroleum oils and oils obtained from bituminous minerals, crude 1,226 17%

Salt (including table salt & denatured salt) pure sodium chloride &

sea water 350 5%

Lifting, handling, loading or unloading machinery, nes 272 4%

Transformers electric having a power handling capacity exceeding

500 KVA, nes 202 3%

192

Russia

Imports

2007

2007

Rank

2006

Rank Growth

Exports

2007

2007

Rank

2006

Rank Growth

Value

($ Millions

2007 CAD)

$1,437 30 31 1% $1,146 20 20 28%

Weight

(000s Tonnes) 2,226 17 13 -28% 413 50 48 1%

Russia is the largest country in the world, covering more than 17 Million Sq. Km. and with over

140 Million people it is the ninth largest population (not counting the European Union as a

single entity). It extends across the whole of northern Asia and a great range of environments

and landforms. Russia has a wide natural resource base including major deposits of oil, natural

gas, coal, and many strategic minerals, and timber.55

Figure 5.45: Value, Weight, Ranks, and Rate of Change, Canadian Exports to Russia

55 ‚Russia‛, World Fact Book. Central Intelligence Agency. 23 March 2009.

< https://www.cia.gov/library/publications/the-world-factbook/geos/RS.html >

31

30

24

20

20

49 52

4648 50

0

200

400

600

800

1,000

1,200

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

193

Exports (Value):

In 2007, Canada Exported $1.1 billion to Russia. The value of Canada’s exports to Russia

experienced double digit growth between 20003 and 2007 with rates ranging from 20% (2004) to

51% (2006).

Table 5.34 displays the top 5 commodities exported from Canada to Russia (by value).

Table 5.34: Top 5 Exported Commodities to Russia (by Value)

Commodity Value

($ Millions) %

Parts of boring or sinking machinery, whether or not self-

propelled $71 6%

Swine cuts, frozen nes $67 6%

Seeders, planters and transplanters $44 4%

Hams, shoulders and cuts thereof, of swine, bone in, frozen $36 3%

Shrimps and prawns, frozen, in shell or not, including boiled in

shell $32 3%

Exports (Weight):

In 2007, Canada Exported 0.4 million tonnes to Russia. The rate of change for the weight of

Canada’s exports to Russia has experienced constant growth ranging from 118% in 2003 to 1%

in 2007.

Table 5.35 displays the top 5 commodities exported from Canada to Russia (by weight).

Table 5.35: Top 5 Exported Commodities to Russia (by Weight)

Commodity Weight

(000s Tonnes) %

Sulphur of all kinds, o/t sublimed, precipitated and colloidal

sulphur 47 12%

Swine cuts, frozen nes 37 9%

Seeders, planters and transplanters 30 7%

Hams, shoulders and cuts thereof, of swine, bone in, frozen 22 5%

Boring or sinking machinery nes, not self-propelled 15 4%

194

The Canadian exports to Russia are displayed in terms of value and weight by province of

origin in Figure 5.46.

Figure 5.46: Province of Origin, Canadian Exports to Russia

Value ($ Millions) and Weight (000s Tonnes)

Listed from west to east the provincial contributions to the national export value were British

Columbia with 6.3%, Alberta with 21.8%, Saskatchewan with 6.7%, Manitoba with 3.6%,

Ontario with 30.8%, Quebec with 25.2%, New Brunswick with 0.2%, Prince Edward Island with

0.0%, Nova Scotia with 2.6%, Newfoundland with 2.8%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

Listed from west to east the provincial contributions to the national exports by weight were

British Columbia with 6.3%, Alberta with 26.1%, Saskatchewan with 9.3%, Manitoba with 2.6%,

Ontario with 24.7%, Quebec with 25.0%, New Brunswick with 0.1%, Prince Edward Island with

0%, Nova Scotia with 2.0%, Newfoundland with 3.9%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

The Western Region exported 38.3% of the value and 44.4% of the weight. The Central Region

exported 56.0% of the value and 49.6% of the weight. The Atlantic Region exported 5.6% of the

value and 6.0% of the weight and the Territories exported roughly 0% of the value and 0% of

the weight.

$72

$250

$77

$41

$354

$289

$2 $0

$29

$32

$0 $0

$139

26

108

38

11

102

103

0 0 8 16

0 - 0

$0

$50

$100

$150

$200

$250

$300

$350

$400

BC AB SK MB ON QC NB PE NS NF YT NT NU

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Weight

195

The distribution of Canadian export value by region between 2003 to 2007 is displayed in Figure

5.47.

Figure 5.47: Region of Origin, 2003-2007 Canadian Exports to Russia – Value

($ Millions)

Since 2003 the majority of the value of Canadian exports to Russia were from Central Canada,

with the second largest export region being Western Canada. In 2007 the value of exports from

the Central region increased by $125 million; the value from the Western region increased by

$120 million; the Atlantic region increased exports by $4 million, and the Territories decreased

exports by $1 million.

The 2003 to 2007 regional distribution of Canadian exports by weight is displayed in Figure

5.48.

Figure 5.48: Region of Origin, 2003-2007 Canadian Exports to Russia - Weight

(000s Tonnes)

$116 $135$223 $319 $439

$248 $292$339 $517 $642

$12 $23 $32 $60 $64

$0 $0 $0 $1 $0

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

24

140 217204 183

184

75 113183 205

11 15 12 23 25

0 0 0 0 0

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

196

In 2003 and 2007 the majority of the weight of exports to Russia was from Central Canada, but

in 2004 to 2006 the majority of the weights of the Canadian exports to Russia were from the

Western region.

In 2007 exports from the Central region increased by 22,000 tonnes while exports from the

Western region decreased by 21,000 tonnes, the Atlantic region’s exports increased by 2,000

tonnes and the Territories remain unchanged.

Figure 5.49: Value, Weight, Ranks, and Rate of Change, Canadian Imports from Russia

35

23

24

31 30

15

15

13

13

17

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

197

Imports (Value):

In 2007, Canada Imported $1.4 billion from Russia. The value of Canada’s imports from Russia

experienced strong positive growth in 2003 (106%) slowing to 66% in 2004 and further slowing

to 21% in 2005 reaching decline in 2006 with -22% and slowly returning to growth in 2007 with

1%.

Table 5.36 displays the top 5 commodities imported to Canada from Russia (by value).

Table 5.36: Top 5 Imported Commodities from Russia (by Value)

Commodity Value

($ Millions) %

Petroleum oils and oils obtained from bituminous minerals, crude $840 58%

Light oils & prep obtained from bitumi- nous min, o/t crude etc,

o/t waste $100 7%

Vodka $52 4%

Palladium in other semi-manufactured forms $43 3%

Petroleum oil and oil,o/t light,obt from bituminous min,o/t

crude,etc,o/t waste $34 2%

Imports (Weight):

In 2007, Canada Imported 2.2 million tonnes from Russia. The weight of Canada’s imports

from Russia experienced growth from 2003 (255%) to 2005 (12%) and decline in 2006 (-12%) and

2007 (-28%).

Table 5.37 displays the top 5 commodities imported to Canada from Russia (by weight).

Table 5.37: Top 5 Imported Commodities from Russia (by Weight)

Commodity Weight

(000s Tonnes) %

Petroleum oils and oils obtained from bituminous minerals, crude 1,251 56%

Anthracite, whether or not pulverised but not agglomerated 279 13%

Axles and wheels and parts 233 10%

Light oils & prep obtained from bituminous min, o/t crude etc, o/t

waste 121 5%

Ammonium nitrate, whether or not in aqeuous sol in pack

weighing > 10 kg 92 4%

198

South Korea

Imports

2007

2007

Rank

2006

Rank Growth

Exports

2007

2007

Rank

2006

Rank Growth

Value

($ Millions

2007 CAD)

$5,365 7 7 -10% $3,004 10 7 -11%

Weight

(000s Tonnes) 1,215 25 17 -22% 8,451 5 6 -43%

Since WWII there has been tensions between the then-formed North and South Korean nations.

With an armistice signed in 1953, South Korea has achieved rapid economic growth. In 1993,

KIM Young-sam became South Korea's first civilian president following 32 years of military

rule. South Korea today is a fully functioning modern democracy.56

Figure 5.50: Value, Weight, Ranks, and Rate of Change Canadian Exports to South Korea

56 ‚Korea, South‛, The World Factbook. Central Intelligence Agency. July 7, 2009

<https://www.cia.gov/library/publications/the-world-factbook/geos/KS.html>

8 87

7 10

8

7

8

6

5

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

199

Exports (Value):

In 2007, Canada Exported $3.0 billion to South Korea. From 2004 to 2006 the value of Canada’s

exports to South Korea experienced growth at 13%, 20%, and 14% consecutively. However, in

2007 the exports experienced a decline of -11%, the first decline since the -7% in 2003.

Table 5.38 displays the top 5 commodities exported from Canada to South Korea (by value).

Table 5.38: Top 5 Exported Commodities to South Korea (by Value)

Commodity Value

($ Millions) %

Bituminous coal, whether or not pulveri- sed but not

agglomerated $549 18%

Nickel oxide sinters and other inter- mediate products of nickel

metallurgy $169 6%

Wood pulp obtained by a combination of mechanical & chemical

pulping processes $151 5%

Chemical wood pulp, soda or sulphate, coniferous, semi-bl or

bleached, nes $127 4%

Chemical wood pulp, soda or sulphate, non-coniferous, semi-bl or

bleached, nes $125 4%

Exports (Weight):

In 2007, Canada Exported 8.5 million tonnes to South Korea. From 2004 to 2006 the weight of

Canada’s exports to South Korea experienced rapid growth at 21%, 47%, and 16%

consecutively. However, in 2007 the exports experienced a decline of -43%, the first decline

since the -4% in 2003.

Table 5.39 displays the top 5 commodities exported from Canada to South Korea (by weight).

Table 5.39: Top 5 Exported Commodities to South Korea (by Weight)

Commodity Weight

(000s Tonnes) %

Iron ores and concentrates, other than roasted iron pyrites,

agglomerated 1,623 23%

Bituminous coal, whether or not pulveri- sed but not

agglomerated 1,492 21%

Iron ores and concentrates, other than roasted iron pyrites, non-

agglomerated 1,133 16%

Low value export transactions and confidential commodities 860 12%

Wheat nes and meslin 504 7%

200

The Canadian exports to South Korea are displayed in terms of value and weight by province of

origin in Figure 5.51.

Figure 5.51: Province of Origin, Canadian Exports to South Korea

Value ($ Millions) and Weight (000s Tonnes)

Listed from west to east the provincial contributions to the national export value were British

Columbia with 44.6%, Alberta with 15.6%, Saskatchewan with 1.6%, Manitoba with 2.4%,

Ontario with 22.5%, Quebec with 10.4%, New Brunswick with 1.4%, Prince Edward Island with

0.1%, Nova Scotia with 0.9%, Newfoundland with 0.6%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

Listed from west to east the provincial contributions to the national exports by weight were

British Columbia with 70.8%, Alberta with 16.8%, Saskatchewan with 1.8%, Manitoba with

1.5%, Ontario with 2.0%, Quebec with 6.1%, New Brunswick with 0.9%, Prince Edward Island

with 0%, Nova Scotia with 0.1%, Newfoundland with 0.1%, the Yukon with 0%, the Northwest

Territories with 0%, and Nunavut with 0%.

The Western Region exported 64.1% of the value and 90.9% of the weight. The Central Region

exported 32.9% of the value and 8.1% of the weight. The Atlantic Region exported 3.0% of the

value and 1.1% of the weight and the Territories exported less than 0% of the value and weight.

$1,3

39

$470

$47

$72 $6

75

$313

$42

$2 $26

$18

$0 $0 $29

5,98

4

1,42

2

149

12

4

167 51

5

75

1 9 5 0

0

0

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

BC AB SK MB ON QC NB PE NS NF YT NT NU

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Weight

201

The distribution of Canadian export value by region since 2003 is displayed in Figure 5.52.

Figure 5.52: Region of Origin, 2003-2007 Canadian Exports to South Korea - Value

($ Millions)

Since 2003 the majority of the value of Canadian exports to South Korea originated from Central

Canada, with the second largest export region being Western Canada.

In 2007 the value of exports from the Central region decreased by $239 million; the value from

the Western region decreased $128 million; the Atlantic region increased exports by $4 million,

and the Territories did not change.

The distribution of Canadian export weight by region between 2003 and 2007 is displayed in

Figure 5.53.

Figure 5.53: Region of Origin, 2003-2007 Canadian Exports to South Korea - Weight

(000s Tonnes)

$1,439 $1,623 $2,054$2,055 $1,927

$627 $743 $823$1,227 $988

$71 $96 $85 $85 $89

$45 $0 $0 $0 $0

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

5,4275,635 7,567

7,011

7,678

1,355

2,8434,854

7,704

682

220 196 374 110 91181 0 0 0 0

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

202

From 2003 to 2006 the weight of the exports from the Central region were on the rise, growing

from 1.4 million tonnes in 2003 to 7.7 million tonnes in 2006. However, in 2007 the weight of

exports from the Central region experienced a drop of 7.0 million tonnes.

In 2007 exports from the Western region experienced an increase of 667,000 tonnes, the Atlantic

region experienced a decrease of 19,000 tonnes and the Territories remained unchanged.

Figure 5.54: Value, Weight, Ranks, and Rate of Change Canadian Imports from South Korea

7

7

87

7

2521 22

1725

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Value Rank Weight Weight Rank

203

Imports (Value):

In 2007, Canada Imported $5.4 billion from South Korea. The rate of change of the value of

Canada’s imports from South Korea has been very unstable between 2003 and 2007. The rate

went from 2% and 10% growth in 2003 and 2004 respectively, dropping to -11% in 2005 and

bouncing back to 5% growth in 2006 and back down to -10% in 2007.

Table 5.40 displays the top 5 commodities imported to Canada from South Korea (by value).

Table 5.40: Top 5 Imported Commodities from South Korea (by Value)

Commodity Value

($ Millions) %

Automobiles with reciprocating piston engine displacing > 1500 cc

to 3000 cc $1,287 24%

Telephones for cellular networks or for other wireless networks $427 8%

EIC procsr & cntlr,w/n combi w mem,con- vert,logic ctr,o

ctr,ampli,clock,etc $368 7%

Automobiles with reciprocating piston engine displacing > 3000 cc $169 3%

Electronic integrated circuits, memories $147 3%

Imports (Weight):

In 2007, Canada Imported 1.2 million tonnes from South Korea. The rate of change of the

weight of Canada’s imports from South Korea has been very unstable between 2003 and 2007.

The rate went from -5% in 2003 to 24% in 2004, slowing back to 6% growth in 2005, jumping

back up to 25% growth in 2006 and dropping back to -22% growth in 2007.

Table 5.41 displays the top 5 commodities imported to Canada from South Korea (by weight).

Table 5.41: Top 5 Imported Commodities from South Korea (by Weight)

Commodity Weight

(000s Tonnes) %

Low value export transactions and confidential commodities 185 15%

Sections, H, i/nas, nfw than hot rolled, drawn or extruded, hght

80mm or more 107 9%

Automobiles with reciprocating piston engine displacing > 1500 cc

to 3000 cc 98 8%

Paper & paperboard, woodfree, clay coated,f writing/print/o

graphic, nes 25 2%

Light oils & prep obtained from bitumi- nous min, o/t crude etc,

o/t waste 25 2%

204

Canadian International Trade

Exports

The total value of Canada’s exports for 2007 was $448.5 Billion with a total weight of 526.3

Million Tonnes.

Figure 5.55 shows the value and weight of Canadian exports from 2003 to 2007, as well as the

rate of change for those years.

Figure 5.55: Value, Weight, and Rate of Change, Total Canadian Exports

The distribution of Canadian export value by region between 2003 to 2007 is displayed in Figure

5.56.

0

100,000

200,000

300,000

400,000

500,000

600,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Weight

205

Figure 5.56: Region of Origin, 2003-2007 Canadian Exports – Value

($ Millions)

Since 2003 the majority of the value of Canadian exports were from Central Canada, with the

second largest export region being Western Canada.

In 2007 the value of exports from the Central region decreased by $8,518 million; the value from

the Western region decreased by $3,373 million; the Atlantic region increased exports by $7,228

million, and the Territories increased exports by $217 million.

The distribution of Canadian export weight by region between 2003 to 2007 is displayed in

Figure 5.57.

Figure 5.57: Region of Origin, 2003-2007 Canadian Exports - Weight

(000s Tonnes)

Since 2003 the majority of the weight of Canadian exports were from Western Canada, with the

second largest export region being Central Canada.

$119,922 $132,941 $147,765 $148,946 $145,573

$285,414 $291,839 $287,613 $280,535 $272,017

$21,964 $22,505 $23,185 $22,024 $29,252 $1,800 $1,847 $1,642 $1,505 $1,722

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007

Western Central Atlantic Territories

269,134 292,122 302,019 311,049 280,296

187,539 200,136 226,702 215,651 182,823

55,471 52,451 53,620 52,505 63,161

45 19 20 23 45

0%

20%

40%

60%

80%

100%

2003 2004 2005 2006 2007Western Central Atlantic Territories

206

In 2007 the weight of exports from the Central region decreased by 32.8 million tonnes; the

value from the Western region increased by 30.7 million tonnes; the Atlantic region increased

exports by 10.6 million tonnes, and the Territories increased by 23,000 tonnes.

Table 5.42 and 5.43 outline the top 10 Canadian export commodities by value and weight

respectively.

Table 5.42: Top 10 Canadian Export Commodities for 2007

by Value and Percentage of Total Export Value

Top 10 Export Commodities Value

($ Millions) %

Petroleum oils and oils obtained from bituminous minerals, crude $42,002 9%

Automobiles with reciprocating piston engine displacing &gt;

3000 cc $32,586 7%

Natural gas in gaseous state $26,538 6%

Goods of US origin, not advanced in value, returning to the

United States $8,754 2%

Gas powered trucks with a GVW not exceeding five tonnes $8,138 2%

Petroleum oils &amp;oils,o/t light,obt from bituminous min(o/t

crude) etc &amp; o/t waste $7,384 2%

Automobiles with reciprocating piston engine displacing

&gt;1500cc but&lt;=3000 cc $7,227 2%

Lumber, coniferous (softwood) of a thickness exceeding 6 mm $7,081 2%

Low value import transactions and confidential commodities $6,724 1%

Light oils &amp; prep obtained from bitumi- nous min,o/t crude

etc, o/t waste $5,869 1%

Total of Top 10 $152,304 34%

Total of all Export Commodities $448,565

207

Table 5.43: Top 10 Canadian Export Commodities for 2007

by Weight and Percentage of Total Export Weight

Top 10 Export Commodities Weight

(000s Tonnes) %

Low value import transactions and confidential commodities 80,400 19%

Petroleum oils and oils obtained from bituminous minerals, crude 73,082 17%

Natural gas in gaseous state 51,882 12%

Bituminous coal, whether or not pulveri- sed but not agglomerated 30,424 7%

Iron ores and concentrates, other than roasted iron pyrites,

agglomerated 18,641 4%

Potassium chloride, in packages weighing more than 10 kg 17,292 4%

Lumber, coniferous (softwood) of a thickness exceeding 6 mm 14,806 4%

Wheat nes and meslin 13,733 3%

Petroleum oils &amp;oils,o/t light,obt from bituminous min(o/t

crude) etc &amp; o/t waste 10,014 2%

Iron ores and concentrates, other than roasted iron pyrites, non-

agglomerated 9,635 2%

Total of Top 10 319,909 61%

Total of all Export Commodities 526,325

208

Table 5.44 shows the export break down by province of origin, showing which provinces

produced the most goods for export.

Table 5.44: Value and Weight of Goods Exported by Province of Origin

Province of Origin

Value

($ Millions

2007 CAD)

%

Weight

(000s

Tonnes)

%

British Columbia $32,116 7% 69,782 13%

Alberta $81,507 18% 144,877 28%

Saskatchewan $20,099 4% 53,143 10%

Manitoba $11,851 3% 12,493 2%

Ontario $202,198 45% 116,220 22%

Quebec $69,819 16% 66,602 13%

New Brunswick $11,184 2% 15,668 3%

Prince Edward Island $804 0% 704 0%

Nova Scotia $5,615 1% 17,072 3%

Newfoundland $11,649 3% 29,716 6%

Yukon $22 0% 21 0%

Northwest Territories $1,694 0% 12 0%

Nunavut $6 0% 12 0%

Total $448,565 526,325

209

Table 5.45 shows the export break-down by province of exit, showing which provinces were the

most used as an international trade hub.

Table 5.45: Value and Weight of Goods Exported by Province of Exit

Province of Exit

Value

($ Millions

2007 CAD)

%

Weight

(000s

Tonnes)

%

British Columbia $57,414 13% 125,983 24%

Alberta $32,127 7% 51,720 10%

Saskatchewan $18,190 4% 33,177 6%

Manitoba $16,538 4% 24,681 5%

Ontario $226,105 50% 161,780 31%

Quebec $67,748 15% 80,602 15%

New Brunswick $13,252 3% 17,309 3%

Prince Edward Island $102 0% 149 0%

Nova Scotia $7,593 2% 19,134 4%

Newfoundland $8,022 2% 11,717 2%

Yukon $205 0% 43 0%

Northwest Territories $1,268 0% 25 0%

Nunavut $1 0% 5 0%

Total $448,565 526,325

210

Top 10 International Export Partners by Value and Weight

Canada has a widely diversified trade portfolio, but even so, the bulk of the value and weight of

Canada’s trade is with roughly 10 nations.

Table 5.46 shows the major export partners of Canada by value and weight.

Table 5.46: Top 10 Export Partners of Canada (by Value and Weight)

Trade Partner

Value

($ Millions

2007 CAD)

% Trade Partner Weight

(000s Tonnes) %

United States $354,210 79.0% United States 382,285 72.6%

United Kingdom $12,983 2.9% Japan 21,537 4.1%

China $9,284 2.1% China 18,183 3.5%

Japan $9,155 2.0% Germany 10,111 1.9%

Mexico $4,890 1.1% Korea, South 8,451 1.6%

Netherlands $4,042 0.9% United Kingdom 6,958 1.3%

Germany $3,881 0.9% Mexico 5,145 1.0%

Norway $3,684 0.8% India 4,789 0.9%

France $3,125 0.7% Brazil 4,700 0.9%

Korea, South $3,004 0.7% Netherlands 4,597 0.9%

Total of Top 10 $408,257 91.0% Total of Top 10 466,756 88.7%

Total of all Export

Partners $448,565

Total of all Export

Partners 526,325

The top ten trade partners by value account for 91.0% of the total Canadian export value. The

top ten trade partners by weight account for 88.7% of the total Canadian export weight.

211

Figures 5.58 and 5.59 show the data from Table 5.46 in pie chart form.

Figure 5.58: Top 10 Export Partners of Canada (by Value)

($448.5 Billion)

Figure 5.59: Top 10 Export Partners of Canada (by Weight)

(526.3 Million Tonnes)

The nations that achieved Top 10 ranking in value but not weight were Norway and France;

while Brazil and India achieved Top 10 ranking in weight but not value.

United States, 87%

United Kingdom, 3%

China, 2%

Japan, 2%

Mexico, 1%Netherlands, 1%Germany, 1%Norway, 1%France, 1%Korea, South, 1%

United States, 82%

Japan, 5%

China, 4%

Germany, 2%

Korea, South, 2%

United Kingdom, 1%Mexico, 1%India, 1%Brazil, 1%Netherlands, 1%

212

Mode of International Exports for Canada in 2007

Figure 5.60 shows the breakdown of Canada’s exports by mode by value and weight.

Figure 5.60: Canadian Exports by Mode

Value Weight

($448.5 Billion) (526.3 Million Tonnes)

Road

In 2007, roughly $180.4 billion worth of goods weighing 74.8 million tonnes were shipped via

road. Approximately 96.7% of the value and 89.6% of the weight were exported to the United

States. Mexico received approximately 1.0% of the value and 0.8% of the weight of the exports.

Road accounted for 40% of the total value and 14% of the total weight of exports.

Table 5.47: Top 5 Export Commodities by Road

(By Value and Percentage of Total Value of Exports)

Commodity Value

($ Millions 2007 CAD) %

Automobiles with reciprocating piston engine displacing &gt;

3000 cc $14,958 8%

Goods of US origin, not advanced in value, returning to the

United States $6,746 4%

Medicaments nes, in dosage $3,831 2%

Parts and accessories of bodies nes for motor vehicles $3,672 2%

Motor vehicle parts, nes $2,617 1%

Air,

9% Other,

2%

Pipeline &

Energy,

14%

Rail,

17%Road,

40%

Water,

18%

Air,

1%Other,

13%

Pipeline &

Energy,

22%

Rail,

14%

Road,

14%

Water,

36%

213

Table 5.48: Top 5 Export Commodities by Road

(By Weight and Percentage of Total Weight of Exports)

Commodity

Weight

(000s Tonnes) %

Blow moulding machines for working rubber or plastics nes 3,954 5%

Lumber, coniferous (softwood) of a thickness exceeding 6 mm 2,598 30%

Newsprint, in rolls or sheets 1,768 2%

Low value import transactions and confidential commodities 1,384,684,382 2%

Parts and accessories of bodies nes for motor vehicles 1,158,571,741 2%

Rail

In 2007, roughly $74.3 billion worth of goods weighing 71.5 million tonnes were shipped via

rail. Approximately 97.3% of the value and 96.8% of the weight were exported to the United

States with 1.8% of the value and 2.0% of the weight being exported to Mexico by rail. Rail

accounted for 17% of the total value and 14% of the total weight of exports.

Table 5.49: Top 5 Export Commodities by Rail

(By Value and Percentage of Total Value of Exports)

Commodity Value

($ Millions 2007 CAD) %

Automobiles with reciprocating piston engine displacing &gt;

3000 cc $17,462 24%

Gas powered trucks with a GVW not exceeding five tonnes $7,067 10%

Automobiles with reciprocating piston engine displacing

&gt;1500cc but&lt;=3000 cc $4,595 6%

Lumber, coniferous (softwood) of a thickness exceeding 6 mm $4,094 6%

Aluminium unwrought, not alloyed $2,345 3%

Table 5.50: Top 5 Export Commodities by Rail

(By Weight and Percentage of Total Weight of Exports)

Commodity Weight

(000s Tonnes) %

Lumber, coniferous (softwood) of a thickness exceeding 6 mm 10,175 14%

Potassium chloride, in packages weighing more than 10 kg 9,452 13%

Chemical wood pulp, soda or sulphate, coniferous, semi-bl or

bleached, nes 2,722 4%

Paper,fine, &gt;10% fibres obtained by mech /chem-mec

process,in rolls,uncoated 2,436 3%

Sulphuric acid; oleum 2,155 3%

214

Marine

In 2007, roughly $81.5 billion worth of goods weighing 191.1 million tonnes were shipped via

marine transport. Approximately 25.5% of the value and 31.8% of the weight of exports went to

the United States; 10.1% of the value and 9.4% of the weight went to China; and 9.8% of the

value and 11.1% of the weight went to Japan. Marine accounted for 18% of the total value and

36% of the total weight of exports.

Table 5.51: Top 5 Export Commodities by Marine

(By Value and Percentage of Total Value of Exports)

Commodity Value

($ Millions 2007 CAD) %

Petroleum oils and oils obtained from bituminous minerals,

crude $7,050 9%

Petroleum oils &amp;oils,o/t light,obt from bituminous min(o/t

crude) etc &amp; o/t waste $5,562 7%

Light oils &amp; prep obtained from bitumi- nous min,o/t crude

etc, o/t waste $5,348 7%

Natural uranium &amp; its compounds; mix- tures cntg natural

uranium or its compds $3,294 4%

Wheat nes and meslin $3,117 4%

Table 5.52: Top 5 Export Commodities by Marine

(By Weight and Percentage of Total Weight of Exports)

Commodity Weight

(000s Tonnes) %

Bituminous coal, whether or not pulveri- sed but not

agglomerated 29,375 15%

Iron ores and concentrates, other than roasted iron pyrites,

agglomerated 18,641 10%

Wheat nes and meslin 11,724 6%

Petroleum oils and oils obtained from bituminous minerals,

crude 10,800 6%

Iron ores and concentrates, other than roasted iron pyrites, non-

agglomerated 9,633 5%

215

Air

In 2007, roughly $40.7 billion worth of goods weighing 4.4 million tonnes were shipped via

air. Approximately 38.4% of the value and 20.8% of the weight were shipped to the United

States; 15.4% of the value and 11.3% of the weight to the United Kingdom; and 3.5% of the value

and 9.2% of the weight to Germany. Air accounted for 9% of the total value and 1% of the total

weight of exports.

Table 5.53: Top 5 Export Commodities by Air

(By Value and Percentage of Total Value of Exports)

Commodity Value

($ Millions 2007 CAD) %

Aircraft nes of an unladen weight exceeding 15,000 kg $4,207 10%

Gold in unwrought forms non-monetary $3,887 10%

Aircraft nes of an unladen weight &gt; 2,000 kg but not

exceeding 15,000 kg $2,848 7%

Parts of tel sets,o app f trans/recep of vce/img/data,o/t

84.43,85.25,85.27,85.28 $2,255 6%

Goods of US origin, not advanced in value, returning to the

United States $1,777 4%

Table 5.54: Top 5 Export Commodities by Air

(By Weight and Percentage of Total Weight of Exports)

Commodity Weight

(000s Tonnes) %

Low value import transactions and confidential commodities 1,631,429,642 37%

Repairs 516,138,778 12%

Goods of US origin, not advanced in value, returning to the

United States 200,785,549 5%

Heat exchange units 135,645,102 3%

Radio active elements &amp; isotopes nes, their mixtures

&amp; compounds thereof 117,639,470 3%

216

Pipeline & Energy

In 2007, roughly $65 billion worth of goods weighing 113.4 million tonnes were exported via

pipeline and power lines. The United States is our only trade partner for pipeline and energy.

Pipeline accounted for 14% of the total value and 22% of the total weight of exports.

Table 5.55: Top 3 Export Commodities by Pipeline & Energy

(By Value and Percentage of Total Value of Exports)

Commodity Value

($ Millions 2007 CAD) %

Petroleum oils and oils obtained from bituminous minerals,

crude $34,499 54%

Natural gas in gaseous state $26,537 41%

Electrical energy $3,095 5%

Table 5.56: Top 3 Export Commodities by Pipeline & Energy

(By Weight and Percentage of Total Weight of Exports)

Commodity Weight

(000s Tonnes) %

Petroleum oils and oils obtained from bituminous minerals,

crude 61,512 54%

Natural gas in gaseous state 51,882 46%

Electrical energy 0 0%

Mode of Exports for Canada Historic Comparison

Figure 5.61 shows the rate of change of the Canadian exports modal mix by value. These graphs

are in 2007 real Canadian dollars. The mode ‚Other‛ has been left out of this analysis.

Figure 5.61: Rate of Change in Canadian Exports by Mode by Value

-25.00%-20.00%-15.00%-10.00%

-5.00%0.00%5.00%

10.00%15.00%20.00%25.00%30.00%

2001 2002 2003 2004 2005 2006 2007

% C

han

ge

Air Pipeline & Energy Rail Road Marine

217

From 2001 to 2007 the mode which experienced the largest fluctuations in growth was Pipeline

& Energy. In 2005 the Pipeline & Energy mode experienced 21.7% growth, dropping to negative

growth of 5.4% in with a more moderate decrease of 1.1% in 2007. The mode that has

experienced almost constant growth since 2002 is Marine, experiencing 1.1% growth in 2002 and

increasing to 14.7% growth in 2007. The Air mode has gone from -9.3% growth in 2001 to 4.0%

growth in 2004 to a slight drop in 2007 of -0.3%. The Rail mode has experienced only one year of

positive growth since 2001, that being 2004 with 4.5%. The Road mode has gone from a low of -

14.5% in 2004 to a high of 2.7% in 2005.

Figure 5.62 shows the modal distribution of Canadian export traffic by value.

Figure 5.62: Modal Distribution, 2000-2007 Canadian Export Traffic by Value

($ Millions 2007)

From 2000 to 2007 the proportion of goods in terms of value shipped by road has decreased

from 49.3% to 40.2% of total exports by value in 2007. Rail decreased from 18.5% in 2000 to

16.6% in 2007. Marine’s proportion increased from 11.4% in 2000 to 18.2% in 2007. The mode

‘other’ (which includes intermodal traffic) has fluctuated mildly, but changed little from 2000 (at

1.7% of the total exports by value) to 2007 (at 1.7% of the total exports by value).

$44,667 $40,522 $36,532 $36,065 $37,514 $40,243 $40,821 $40,709$8,611 $7,843 $7,175 $6,593 $6,823 $6,821 $6,645 $7,613

$53,449 $53,994$42,413

$52,234 $56,342 $68,557 $64,845 $64,134

$94,498 $89,579$89,113

$81,761 $85,472 $80,943 $77,722 $74,252

$252,337 $230,334 $232,371 $198,793 $204,175 $199,804 $191,893 $180,358

$58,294 $53,076 $53,641 $53,654 $58,807 $63,837 $71,085 $81,498

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2001 2002 2003 2004 2005 2006 2007

Pro

po

rtio

n o

f T

ota

l E

xpo

rts

Marine Road Rail Pipeline & Energy Other Air

218

Figure 5.63 shows the rate of change of the Canadian exports modal mix by value.

Figure 5.63: Rate of Change in Canadian Exports by Mode by Weight

Among modes, the air mode had the largest growth in 2007 (16.9%) , followed by road(6.0%),

while declines were experienced by marine (-29.7%), rail (-8.3%), and the pipeline and energy (-

25.8%) modes.

Figure 5.64 shows the modal distribution of Canadian export traffic by weight.

Figure 5.64: Modal Distribution, 2000-2007 Canadian Export Traffic by Weight

(000s Tonnes)

-50.00%

-25.00%

0.00%

25.00%

50.00%

75.00%

100.00%

125.00%

2001 2002 2003 2004 2005 2006 2007

% C

han

ge

Air Pipeline & Energy Rail Road Marine

1,341 2,844 1,667 1,874 2,581 3,467 3,745 4,3784,139 3,885 3,978 3,453 2,604 2,308 2,265 71,172

142,573 147,386 146,525 144,867 149,754 149,197 152,803

113,395

64,302 64,120 65,690 69,474 75,989 76,117 77,969

71,482

75,173 72,729 73,711 70,435 73,826 87,342 70,587

74,797

215,378 230,737 213,496 222,086 239,973 263,930 271,858191,100

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2001 2002 2003 2004 2005 2006 2007

Pro

po

rtio

n o

f T

ota

l E

xpo

rts

Marine Road Rail Pipeline & Energy Other Air

219

From 2000 to 2007 the proportion of goods in terms of weight shipped by road has decreased

from 14.9% in 2000 to 14.2% of total exports by weight in 2007. Rail increased from 12.8% in

2000 to 13.6% in 2007. Marine’s proportion increased from 42.8% in 2000 to 36.3% in 2007. Air

transportation of goods by weight has increased from 0.3% of the total weight of the goods

exported in 2000 to 0.8% of the total weight of the goods exported in 2007. The ‘other’ mode

(which includes intermodal traffic) increased from 0.8% in 2000 to 13.5% in 2007.

Imports

The total value of Canada’s imports for 2007 was $406 billion with a total weight of 308 Million

Tonnes.

Figure 5.65 shows the value and weight of Canadian imports from 2003 to 2007, as well as the

rate of change for those years.

Figure 5.65: Value, Weight, and Rate of Change, Total Canadian Imports

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

2003 2004 2005 2006 2007

$ M

illi

on

s (2

007)

CA

D

000s

To

nn

es

Value Weight

220

The commodities listed in this section are based on the HS02 codes. The Harmonized System

(HS) classification system is used by Statistics Canada for both import and export traffic and

contains multiple levels of coding. HS02 is one of the most broad categories that can be used

and is used here to give a better picture of the type of commodities that each mode moves

without going into specific items like the HS06 or HS08.

Table 5.57 and 5.58 outline the top 10 import commodities by value and weight respectively.

Table 5.57: Top 10 Canadian Import Commodities for 2007

(By Value and Percentage of Total Import Value)

Top 10 Import Commodities Value

($ Millions) %

Petroleum oils and oils obtained from bituminous minerals, crude $24,095 6%

Automobiles with reciprocating piston engine displacing

&gt;1500cc but&lt;=3000 cc $14,477 4%

Automobiles with reciprocating piston engine displacing &gt;

3000 cc $10,270 3%

Medicaments nes, in dosage $7,128 2%

Gas powered trucks with a GVW not exceeding five tonnes $6,480 2%

Parts and accessories of bodies nes for motor vehicles $6,086 1%

Engines, spark-ignition reciprocating displacing more than 1000 cc $5,614 1%

Petroleum oils &amp;oils,o/t light,obt from bituminous min(o/t

crude) etc &amp; o/t waste $3,813 1%

Postal Services and Courier $3,756 1%

Gear boxes (transmissions), for motor vehicles and parts thereof $3,701 1%

Total of Top 10 $85,420 21%

Total of all Import Commodities $406,485

221

Table 5.58: Top 10 Canadian Import Commodities for 2007

(By Weight and Percentage of Total Import Weight)

Top 10 Import Commodities Weight

(000s Tonnes) %

Petroleum oils and oils obtained from bituminous minerals, crude 36,251 12%

Low value import transactions and confidential commodities 27,772 9%

Injection-moulding machines for working rubber or plastics nes 20,596 7%

Semi-fin prod, iron/non-alloy steel, contg by weight .25% or more

carbon 13,240 4%

Offset printing machinery, nes 11,928 4%

Bituminous coal, whether or not pulveri-sed but not agglomerated 9,876 3%

Coal nes, whether or not pulverised but not agglomerated 8,093 3%

Iron ores and concentrates, other than roasted iron pyrites,

agglomerated 7,235 2%

Axles and wheels and parts 5,597 2%

Natural gas in gaseous state 5,103 2%

Total of Top 10 145,691 47%

Total of all Import Commodities 308,847

222

Table 5.59 shows the import break-down by province of clearance, showing which provinces

were the import hubs for 2007.

Table 5.59: Value and Weight of Goods Imported by Province of Clearance

Province of Clearance

Value

($ Millions

2007 CAD)

%

Weight

(000s

Tonnes)

%

British Columbia $38,650 9% 24,092 5%

Alberta $18,389 4% 11,260 2%

Saskatchewan $6,978 2% 4,339 1%

Manitoba $13,143 3% 7,646 1%

Ontario $240,202 54% 159,471 30%

Quebec $70,884 16% 67,352 13%

New Brunswick $7,459 2% 11,704 2%

Prince Edward Island $54 0% 89 0%

Nova Scotia $7,451 2% 18,190 3%

Newfoundland $3,157 1% 4,673 1%

Yukon $96 0% 32 0%

Northwest Territories $4 0% 0 0%

Nunavut $18 0% 0 0%

Total $406,485 308,848

223

Top 10 International Import Partners by Value and Weight

Canada has a widely diversified trade portfolio, but even so, the bulk of the value and weight of

Canada’s trade is with roughly 10 nations.

Table 5.60 shows the top 10 import partners by value and weight.

Table 5.60: Top 10 Import Partners of Canada (By Value and Weight)

Trade Partner

Value

($ Millions

2007 CAD)

% Trade Partner Weight

(000s Tonnes) %

United States $220,426 54.2% United States 167,452 54.2%

China $38,285 9.4% China 14,515 4.7%

Mexico $17,173 4.2% Argentina 13,434 4.3%

Japan $15,446 3.8% Cuba 12,336 4.0%

Germany $11,534 2.8% United Kingdom 10,359 3.4%

United Kingdom $11,406 2.8% Algeria 7,494 2.4%

Korea, South $5,365 1.3% Norway 7,432 2.4%

Norway $5,333 1.3% Mexico 7,358 2.4%

Algeria $5,071 1.2% Israel 6,593 2.1%

Italy $5,070 1.2% Brazil 5,102 1.7%

Total of Top 10 $335,108 82.4% Total of Top 10 252,074 81.6%

Total of all

Export Partners $406,485

Total of all

Export Partners 308,848

The top ten trade partners by value account for 82.4% of the total Canadian imports by value.

The top ten trade partners by weight account for 81.6% of the total Canadian imports by weight.

224

Figures 5.66 and 5.67 show the data from Table 5.60 in pie chart form.

Figure 5.66: Top 10 Import Partners of Canada (by Value)

($406.5 Billion)

Figure 5.67: Top 10 Import Partners of Canada (by Weight)

(308.8 Million Tonnes)

The nations that achieved Top 10 ranking value but not weight were Japan, South Korea, and

Italy; while Argentina, Israel, Cuba and Brazil achieved Top 10 status in weight but not value.

What this shows, when compared to the exports is that in 2007 Canada had a more diversified

portfolio of import partners then it did of export partners.

United States, 54.2%

China, 9.4%Mexico, 4.2%

Japan, 3.8%

Germany, 2.8%

United Kingdom, 2.8%

Korea, South, 1.3%

Norway, 1.3%

Algeria, 1.2%Italy, 1.2%

Other, 17.6%

United States, 54.2%

China, 4.7%

Argentina, 4.3%

Cuba, 4.0%

United Kingdom, 3.4%

Algeria, 2.4%

Norway, 2.4%

Mexico, 2.4%

Israel, 2.1%

Brazil, 1.7%

Other, 18.4%

225

Mode of International Imports for Canada in 2007

Figure 5.68 shows the breakdown of Canada’s imports by mode by value and weight.

Figure 5.68: Canadian Imports by Mode

Value Weight

($406.5 Billion 2007) (308.8 Million Tonnes)

Air

14%

Other

3%

Pipeline &

Energy

1%Rail

8%

Road

55%

Water

19%

Air

2%

Other

8%

Pipeline &

Energy

3%Rail

10%

Road

40%

Water

37%

226

Road

In 2007, roughly $224.6 billion worth of goods weighing 121.9 million tonnes were imported

via road. Approximately 73.7% of the value and 78.6% of the weight were imported from the

United States and 6.6% of the value and 4.3% of the weight of the road based imports were from

China. Road accounted for 55% of the total value and 40% of the total weight of imports.

Table 5.61: Top 5 Import Commodities by Road

(By Value and Percentage of Total Value of Import)

Commodity Value

($ Millions 2007 CAD) %

Automobiles with reciprocating piston engine displacing &gt;

3000 cc $5,860 3%

Engines, spark-ignition reciprocating displacing more than 1000

cc $5,548 2%

Parts and accessories of bodies nes for motor vehicles $5,230 2%

Automobiles with reciprocating piston engine displacing

&gt;1500cc but&lt;=3000 cc $5,156 2%

Gas powered trucks with a GVW not exceeding five tones $3,940 2%

Table 5.62: Top 5 Import Commodities by Road

(By Weight and Percentage of Total Weight of Imports)

Commodity Weight

(000s Tonnes) %

Injection-moulding machines for working rubber or plastics nes 14,633 12%

Offset printing machinery, nes 11,205 9%

Low value import transactions and confidential commodities 6,723 6%

Video games of a kind used with a television receiver 4,749 4%

Axles and wheels and parts 2,512 2%

227

Rail

In 2007, roughly $31.3 billion worth of goods weighing 29.6 million tonnes were imported via

rail. Approximately 83.0% of the value and 87.0% of the weight were imported from the United

States; 7.6% of the value and 6.4% of the weight was from Mexico and 1.8% of the value and

0.9% of the weight was from China. Rail accounted for 8% of the total value and 10% of the total

weight of imports.

Table 5.63: Top 5 Import Commodities by Rail

(By Value and Percentage of Total Value of Imports)

Commodity Value

($ Millions 2007 CAD) %

Automobiles with reciprocating piston engine displacing

&gt;1500cc but&lt;=3000 cc $5,193 17%

Automobiles with reciprocating piston engine displacing

&gt;3000 cc $3,242 10%

Gas powered trucks with a GVW not exceeding five tonnes $2,539 8%

Diesel powered trucks with a GVW not exceeding five tonnes $1,056 3%

Parts and accessories of bodies nes for motor vehicles $529 2%

Table 5.64: Top 5 Import Commodities by Rail

(By Weight and Percentage of Total Weight of Imports)

Commodity Weight

(000s Tonnes) %

Axles and wheels and parts 1,625 5%

Liq dielectric transf having a power handling capacity

exceeding 10,000 KVA 1,380 5%

Maize (corn), nes 1,371 5%

Iron ores and concentrates, other than roasted iron pyrites,

agglomerated 1,188 4%

Silica sands and quartz sands 1,080 4%

228

Marine

In 2007, roughly $78.2 billion worth of goods weighing 118.7 million tonnes were imported

via marine transport. Approximately 21.5% of the value and 6.9% of the weight were imported

from China and 5.1% of the value and 6.9% of the weight were imported from the United States.

Marine accounted for 19% of the total value and 37% of the total weight of imports.

Table 5.65: Top 5 Import Commodities by Marine

(By Value and Percentage of Total Value of Imports)

Commodity Value

($ Millions 2007 CAD) %

Petroleum oils and oils obtained from bituminous minerals,

crude $14,584 19%

Automobiles with reciprocating piston engine displacing

&gt;1500cc but&lt;=3000 cc $4,124 5%

Light oils &amp; prep obtained from bitumi- nous min,o/t crude

etc, o/t waste $2,490 3%

Petroleum oils &amp;oils,o/t light,obt from bituminous min(o/t

crude) etc &amp; o/t waste $2,151 3%

Low value import transactions and confidential commodities $1,701 2%

Table 5.66: Top 5 Import Commodities by Marine

(By Weight and Percentage of Total Weight of Imports)

Commodity Weight

(000s Tonnes) %

Petroleum oils and oils obtained from bituminous minerals,

crude 22,136 19%

Low value import transactions and confidential commodities 20,341 17%

Semi-fin prod, iron/non-alloy steel, contg by weight .25% or

more carbon 13,225 11%

Bituminous coal, whether or not pulveri- sed but not

agglomerated 7,950 7%

Coal nes, whether or not pulverised but not agglomerated 6,096 5%

229

Air

In 2007, roughly $55.6 billion worth of goods weighing 7.0 million tonnes were imported via

air. Approximately 31.8% of the value and 54.7% of the weight were imported from the United

States and 10.2% of the value and 9.6% of the weight were imported from China. Air accounted

for 14% of the total value and yet 2% of the total weight of all imports.

Table 5.67: Top 5 Import Commodities by Air

(By Value and Percentage of Total Value of Imports)

Commodity Value

($ Millions 2007 CAD) %

Medicaments nes, in dosage $4,721 8%

Aircraft nes of an unladen weight exceeding 15,000 kg $3,075 6%

Gold in unwrought forms non-monetary $2,651 5%

Portable adpm, wt &lt;= 10 kg, with cpu, keyboard and display $1,583 3%

Parts of turbo-jets or turbo-propellers $1,446 3%

Table 5.68: Top 5 Import Commodities by Air

(By Weight and Percentage of Total Weight of Imports)

Commodity Weight

(000s Tonnes) %

Injection-moulding machines for working rubber or plastics nes 2,337 33%

Cuttings and slips, unrooted 382 5%

Offset printing machinery, nes 243 3%

Moulds, injection or compression types, for rubber or plastics 231 3%

Low value import transactions and confidential commodities 229 3%

230

Pipeline & Energy

In 2007, roughly $4.4 billion worth of goods weighing 5.7 million tonnes were imported via

pipeline and power lines. The United States is our only trade partner for pipeline and energy.

Pipeline accounted for 1% of the total value and 3% of the total weight of imports.

Table 5.69: Top 5 Import Commodities by Pipeline & Energy

(By Value and Percentage of Total Value of Imports)

Commodity Value %

Natural gas in gaseous state $2,795,838,678 63%

Electrical energy $1,015,097,517 23%

Petroleum oils and oils obtained from bituminous minerals, crude $619,789,089 14%

Residues of petroleum oils or of oils obtained from bituminous

minerals nes $2,063,717 0%

Natural gas, liquefied $15,710 0%

Table 5.70: Top 5 Import Commodities by Pipeline & Energy

(By Weight and Percentage of Total Weight of Imports)

Commodity Weight

(000s Tonnes) %

Natural gas in gaseous state 4,783 84%

Petroleum oils and oils obtained from bituminous minerals,

crude 891 16%

Residues of petroleum oils or of oils obtained from bituminous

minerals nes 8 0%

Natural gas, liquefied 0.017 0%

Electrical energy - 0%

231

Mode of Imports for Canada Historic Comparison

Figure 5.69 shows the rate of change of the Canadian imports modal mix by value. These graphs

are in 2007 real Canadian dollars. The ‘other’ category has been left out of this analysis.

Figure 5.69: Rate of Change in Canadian Imports by Mode by Value

From 2001 to 2007 the mode to experience the most dramatic growth fluctuations was

pipeline/power. In 2006 pipeline/power mode experienced a negative growth of 70.25%, and

continued to drop with a slower decline of 0.4% in 2007.

-100.00%

-75.00%

-50.00%

-25.00%

0.00%

25.00%

50.00%

75.00%

100.00%

125.00%

150.00%

175.00%

2001 2002 2003 2004 2005 2006 2007

% C

han

ge

Air Pipeline & Energy Rail Road Marine

232

Figure 5.70 shows the rate of change of the Canadian imports modal mix by value without

pipeline and energy, due to the extreme rates of change for that mode.

Figure 5.70: Rate of Change in Canadian Imports by Mode by Value

(without Pipeline and Energy)

In 2007 road had -2.2% growth, air had a modest 6.33% growth, rail had 4.44% growth, and

marine had -0.81% growth.

Figure 5.71 shows the modal distribution of Canadian import traffic by value.

Figure 5.71: Modal Distribution, 2000-2007 Canadian Import Traffic by Value

($ Millions 2007)

-20.00%

-15.00%

-10.00%

-5.00%

0.00%

5.00%

10.00%

2001 2002 2003 2004 2005 2006 2007

% C

han

ge

Air Rail Road Marine

$66,744 $57,021 $50,958 $45,251 $48,878 $49,728 $52,271$55,579$581 $1,823 $532 $712 $2,402 $4,252 $13,498$12,417$1,970 $4,774 $5,172 $7,909 $9,706 $14,958 $4,449 $4,433$28,594 $28,771 $30,446 $27,627 $27,814 $29,165 $29,930$31,259

$275,102 $247,814 $252,430 $229,601 $229,282 $228,649 $229,635 $224,588

$69,221 $63,416 $66,401 $67,409 $69,780 $74,217 $78,847 $78,210

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2001 2002 2003 2004 2005 2006 2007

Pro

po

rtio

n o

f T

ota

l Im

po

rts

Air Other Pipeline & Energy Rail Road Marine

233

From 2000 to 2007 the proportion of goods in terms of value imported by road has decreased

from 62.2% in 2000 to 55.3% of total imports by value in 2007. Rail increased from 6.5% in 2000

to 7.7% in 2007. Marine’s proportion increased from 15.7% in 2000 to 19.2% in 2007. Air

transportation of goods by value has decreased from 15.1% of the total value of the goods

imported in 2000 to 13.7% of the total value of the goods imported in 2007. The ‘other’ mode

(which includes intermodal traffic) increased from 0.1% in 2000 to 3.1% in 2007.

Figure 5.72 shows the rate of change of the Canadian imports modal mix by value.

Figure 5.72: Rate of Change in Canadian Imports by Mode by Weight

In 2007 road experienced a decline of -7.6%, air experienced a decline of -10.0%, rail experienced

an increase of 11.7%, marine experienced an increase of 22.6%, and pipeline/energy mode

experienced a decline of -23.2%.

-100.00%

-75.00%

-50.00%

-25.00%

0.00%

25.00%

50.00%

75.00%

100.00%

125.00%

150.00%

2001 2002 2003 2004 2005 2006 2007

% C

han

ge

Air Pipeline & Energy Rail Road Marine

234

Figure 5.73 shows the modal distribution of Canadian import traffic by weight.

Figure 5.73: Modal Distribution, 2000-2007 Canadian Import Traffic by Weight

(000s Tonnes)

From 2000 to 2007 the proportion of goods in terms of weight imported by road has increased

from 35.8% of total imports by weight in 2000 to 39.5% of total imports by weight in 2007. Rail

increased from 9.1% in 2000 to 9.6% in 2007. Marine’s proportion decreased from 51.4% in 2000

to 38.4% in 2007. Air transportation of goods by weight has increased from 1.7% of the total

weight of the goods imported in 2000 to 2.3% of the total weight of the goods imported in 2007.

The ‘other’ mode (which includes intermodal traffic) increased from 0.3% in 2000 to 2.3% in

2007.

3,450 2,861 3,605 4,035 7,260 6,950 7,764 6,985698 1,111 1,983 3,422 11,691 27,029 40,531 25,994

3,476 7,686 15,128 18,665 22,792 29,904 7,3985,683

18,662 20,889 19,078 21,668 23,71326,160 26,487

29,583

73,66071,466

74,841 74,941108,570

135,828 131,897121,869

105,601 100,438 99,467 105,697102,955 117,372 96,833

118,734

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2001 2002 2003 2004 2005 2006 2007

Pro

po

rtio

n o

f T

ota

l Im

po

rts

Marine Road Rail Pipeline & Energy Other Air

235

Glossary

Couriers:

The courier industry group comprises establishments primarily engaged in providing air,

surface or combined courier delivery services. Courier establishments of the Post Office are

included. The local messenger industry group comprises establishments primarily engaged in

providing messenger and delivery services of small parcels within a single urban area.

Establishments engaged in the delivery of letters and documents, such as legal documents,

often by bicycle or on foot; and the delivery of small parcels, such as take‐out restaurant meals,

alcoholic beverages, and groceries, on a fee basis, usually by small truck or van, are included.

Definition Source:

<http://dsp‐psd.pwgsc.gc.ca/Collection‐R/Statcan/50‐002‐XIB/50‐002‐XIE2006003.pdf>

Direct Economic Activity

The direct employment, employment income, and expenditures and contribution to provincial

gross domestic product for a sector.

Employment:

Employed persons are those who, during the reference week:

(a) did any work at all at a job or business, that is, paid work in the context of an

employer‐employee relationship, or self‐employment. It also includes unpaid family work,

which is defined as unpaid work contributing directly to the operation of a farm, business or

professional practice owned and operated by a related member of the same household; or

(b) had a job but were not at work due to factors such as own illness or disability, personal or

family responsibilities, vacation, labour dispute or other reasons (excluding persons on

layoff, between casual jobs, and those with a job to start at a future date).

Definition Source:

<http://dsp‐psd.pwgsc.gc.ca/collection_2007/statcan/71‐543‐G/71‐543‐GIE2007001.pdf>

For Hire Trucking:

Any carrier that transports goods for compensation.

Definition Source:

<http://dsppsd.pwgsc.gc.ca/Collection‐R/Statcan/53‐222‐XIB/0000453‐222‐XIE.pdf>

236

Gross Domestic Product

Gross Domestic Product (GDP) by industry at basic prices is a measure of the economic

production which takes place within the geographical boundaries of Canada. The term

ʺgrossʺ in GDP means that capital consumption costs, that is the costs associated with

the depreciation of capital assets (buildings, machinery and equipment), are included.

The production estimates are prepared for 215 separate industries using the North

American Industrial Classification System (NAICS).

Definition Source:

<http://www.statcan.ca/cgibin/imdb/p2SV.pl?Function=getSurvey&SDDS=1301&lang=en&db=IMDB&

dbg=f&adm=8&dis=2>

Indirect Economic Activity

Additional economic activity that occur in firms that supply inputs to the direct

sector.

Induced Economic Activity

The trickle down affect of the expenditures by both the direct and related indirect

sector as they multiply through other sectors of the economy. These are largely driven

by consumption spending.

Labour Income

Labour income comprises wages and salaries and supplementary labour income. It is

defined as all compensation paid to employees. Earnings received by self‐employed

persons or working owners of unincorporated businesses are not included in labour

income. In addition to regular remuneration, it includes directorsʹ fees, bonuses,

commissions, gratuities, income in kind, taxable allowances, retroactive wage payments

and stock options. Wages and salaries are estimated on a ʺgrossʺ basis, that is, prior to

deductions for employeesʹ contributions to income tax, employment insurance, pension

funds etc. Supplementary labour income, which is defined as payments made by

employers for the future benefit of their employees, comprises employer contributions

to employee welfare, pensions, workers’ compensation and employment insurance.

Definiton Source:

<http://www.statcan.ca/cgi‐in/imdb/p2SV.pl?Function=getSurvey&SDDS=2602&lang=en&db=IMDB&

dbg=f&adm=8&dis=2>

Leading Indicators

The Canadian Composite Leading Indicator is comprised of ten components which lead

cyclical activity in the economy and together represent all major categories of Gross

Domestic Product (GDP). It thus reflects the variety of mechanisms that can cause

business cycles.

Definition Source:

<http://www.statcan.ca/cgibin/imdb/p2SV.pl?Function=getSurvey&SDDS=1601&lang=en&db=IMDB&

dbg=f&adm=8&dis=2.>

237

Leverage

The sum of the indirect and induced activities.

Paid Employment

Is work activity excluding housework and volunteer activity.

Definition Source:

<http://dsppsd.pwgsc.gc.ca/collection_2007/statcan/71‐543‐G/71‐543‐GIE2007001.pdf>

Rail

Traditionally rail data was classified under Class I and Class 2 railways. Since 1997 data

has been classified using the NAICS system. Rail Transportation falls under NAICS subsector

482, which is classified as follows:

Short‐Haul Freight Rail Transportation (482112)

Mainline Freight Rail Transportation (482113)

Passenger Rail Transportation (482114)

Definition Source:

<http://dsp‐psd.pwgsc.gc.ca/Collection‐R/Statcan/52‐216‐XIB/52‐216‐XIE2005000.pdf>

Unemployment

Given the concept of unemployment as the unutilized supply of labour, the operational

definition of unemployment is based primarily on the activity of job search and the

availability to take a job. In addition to being conceptually appropriate, job search

activities can, in a household survey, be objectively and consistently measured over

time. The definition of unemployment is therefore the following.

Unemployed persons are those who, during reference week:

(a) were on temporary layoff during the reference week with an expectation of recall and

were available for work, or

(b) were without work, had actively looked for work in the past four weeks, and were

available for work, or

(c) had a new job to start within four weeks from reference week, and were available for

work.

Persons are regarded as available if they reported that they could have worked in the

reference week if a suitable job had been offered (or recalled if on temporary layoff); or if

the reason they could not take a job was of a temporary nature such as: because of own

illness or disability, personal or family responsibilities, because they already have a job

to start in the near future, or because of vacation (prior to 1997, those on vacation were

not considered available). Full‐time students currently attending school and looking for

full‐time work are not considered to be available for work during the reference week.

They are assumed to be looking for a summer or co‐op job or permanent job to start

sometime in the future, and are therefore not part of the current labour supply.

Definition Source:

<http://dsp‐psd.pwgsc.gc.ca/collection_2007/statcan/71‐543‐G/71‐543‐GIE2007001.pdf>

238

Unemployment Rate

Number of unemployed persons expressed as a percentage of the labour force. The

unemployment rate for a particular group (for example, age, sex, marital status) is the

number unemployed in that group expressed as a percentage of the labour force for that

group.

Definition Source:

<http://dsp‐psd.pwgsc.gc.ca/collection_2007/statcan/71‐543‐G/71‐543‐GIE2007001.pdf>

Urban and Interurban Bus

Includes public transit from the Canadian Urban Transit Association and an estimate of

interurban buses based on historical Statistics Canada data. Interurban includes intercity,

school, charter, sightseeing and other buses.

239

List of Figures

Figure 1.1: Trend in Total GDP from Transportation in Manitoba ..................................................... 2

Figure 1.4: Trend in Total Employment from Trucking in Manitoba ................................................. 5

Figure 1.5: Trend in Total Employment from Aviation, Couriers, Rail, and Bus in Manitoba ...... 5

Figure 1.6: Trend in Employment by Leverage Component from Transportation in Manitoba ... 6

Figure 1.7: Trend in Total Labour Income from Transportation in Manitoba ................................... 7

Figure 1.8: Trend in Labour Income by Leverage Component from Transportation in Manitoba8

Figure 1.9: Total Contribution to Manitoba GDP by Transportation Mode: 2007 ............................ 9

Figure 1.10: Contribution to Manitoba GDP by Transportation Mode ............................................ 10

Figure 1.11: Leverage Ratios for Manitoba Total GDP by Transportation Mode ........................... 11

Figure 1.12: Contribution to Manitoba Total Employment by Transportation Mode: 2007 .......... 12

Figure 1.13: Total Employment by Transportation Mode .................................................................. 13

Figure 1.14: Leverage Ratios for Manitoba Employment by Transportation Mode ....................... 14

Figure 1.15: Contribution to Manitoba Total Labour Income by Transportation Mode: 2007 ...... 15

Figure 1.16: Total Labour Income by Transportation Mode .............................................................. 16

Figure 1.17: Leverage Ratios for Manitoba Labour Income by Transportation Mode ................... 17

Figure 2.1: Per Capita Direct GDP from Transportation and Warehousing by Region ................. 18

Figure 2.2: Ratio of Per Capita Contribution from Transportation and Warehousing to Direct

GDP: Western Canada Compared to Eastern Canada ........................................................................ 19

Figure 2.3: Per Capita Direct GDP from Transportation and Warehousing by Province Western

Canada ....................................................................................................................................................... 20

Figure 2.4: Transportation and Warehousing Direct Contribution to GDP by Region: 2007 ........ 21

Figure 2.5: Transportation and Warehousing Contribution to Direct GDP by Province: 2007 –

Western Canada ....................................................................................................................................... 22

Figure 2.6: Direct Employment in Transportation and Warehousing per 1,000 Population by

Region ........................................................................................................................................................ 23

Figure 2.7: Ratio of Per Capita Direct Transportation and Warehousing Employment: Western

Canada Compared to Eastern Canada .................................................................................................. 24

Figure 2.8: Direct Employment in Transportation and Warehousing per 1,000 Population by

Province: Western Canada ...................................................................................................................... 25

Figure 2.9: Transportation and Warehousing Contribution to Direct Employment by ................ 26

Figure 2.10: Direct Labour Income from Transportation and Warehousing per Capita by Region

.................................................................................................................................................................... 27

Figure 2.11: Ratio of Direct Per Capita Income Contribution from Transportation and

Warehousing to GDP: Western Canada Compared to Eastern Canada .......................................... 28

Figure 2.12: Direct Labour Income from Transportation and Warehousing per Capita by

Province: Western Canada ...................................................................................................................... 29

Figure 2.13: Transportation and Warehousing Direct Contribution to Labour Income by Region:

2007 ............................................................................................................................................................ 30

Figure 2.14: Direct GDP of Sectors of the Manitoba Economy: 2007 ................................................ 31

Figure 2.15: Direct GDP Level Transportation and Warehousing: Manitoba ................................. 32

Figure 2.16: Trend in Share of Manitoba Direct GDP from Transportation and Warehousing .... 33

240

Figure 2.17: Direct Paid Employment by Sector of the Manitoba Economy: 2007 Paid Employees

.................................................................................................................................................................... 34

Figure 2.18: Trend in Transportation and Warehousing’s Direct Total Employment ................... 35

Figure 2.19: Trend in Share of Manitoba Direct Paid Employment from Transportation and

Warehousing ............................................................................................................................................. 36

Figure 2.20: Direct Total Labour Income by Sector of the Manitoba Economy: 2007 ..................... 37

Figure 2.21: Direct Labour Income In Transportation and Warehousing: Manitoba ..................... 38

Figure 2.22: Trend in Share of Manitoba Labour Income from Transportation and Warehousing

.................................................................................................................................................................... 39

Figure 3.1: Gross Domestic Product (Canada/Manitoba) ................................................................... 47

Figure 3.2: Change in GDP (Canada/Manitoba) .................................................................................. 48

Figure 3.3: Labour Income (Canada/Manitoba) ................................................................................... 49

Figure 3.4: Change in Labour Income (Canada/Manitoba) ................................................................ 50

Figure 3.5: Consumer Price Index (Canada/Manitoba) ...................................................................... 51

Figure 3.6: Change in CPI (Canada/Manitoba) .................................................................................... 52

Figure 3.7: Personal Expenditures (Canada/Manitoba) ...................................................................... 53

Figure 3.8: Change in Personal Expenditures (Canada/Manitoba) ................................................... 54

Figure 3.9: Housing Starts (Canada/Manitoba) ................................................................................... 55

Figure 3.10: Change in Housing Starts (Canada/Manitoba) .............................................................. 56

Figure 3.11: Unemployment Rate (Canada/Manitoba) ....................................................................... 57

Figure 3.12: Change in Unemployment Rate (Canada/Manitoba) .................................................... 58

Figure 3.13: Quarterly Average Exchange Rates – U.S. dollar........................................................... 59

Figure 3.14: Quarterly Average Interest Rates (Bank of Canada Rate) ............................................ 60

Figure 3.15: Quarterly Average S&P/TSX Composite Index ............................................................. 61

Figure 3.16: Quarterly Average Composite Index of Leading Indicators (Canada) ....................... 62

Figure 3.17: Average Annual Composite Leading Indicator – Canada to Traditional

‚Developed‛ Economies ......................................................................................................................... 63

Figure 3.18: Average Annual Composite Leading Indicator Canada to Emerging International

Economies ................................................................................................................................................. 64

Figure 3.19: Quarterly Average Price Oil/Barrel ($US) ....................................................................... 65

Figure 3.20: Quarterly Average Unleaded Fuel Prices (Winnipeg Region) ..................................... 66

Figure 3.21: Quarterly Average Diesel Fuel Prices (Winnipeg Region) ........................................... 67

Figure 4.1: Percentage of Province/Territories’ Exports Leaving Canada From Original Province

(2007) .......................................................................................................................................................... 72

Figure 4.2: Percentage of Province/Territories’ Exports Leaving Canada From Original Province

(2007) .......................................................................................................................................................... 73

Figure 4.3: Percentage of Province/Territories’ Exports Leaving Canada From Original Province

(2007) .......................................................................................................................................................... 74

Figure 4.4: Percentage of Province/Territories’ Exports Leaving Canada From Original Province

(2007) .......................................................................................................................................................... 74

Figure 4.5: Percentage of Province/Territories’ Exports Leaving Canada From Original Province

(2007) .......................................................................................................................................................... 75

241

Figure 4.6: Percentage of Province/Territories’ Exports Leaving Canada From Original Province

(2007) .......................................................................................................................................................... 75

Figure 4.7: Percentage of Province/Territories’ Exports Leaving Canada From Original Province

(2007) .......................................................................................................................................................... 76

Figure 4.8: Percentage of Province/Territories’ Exports Leaving Canada From Original Province

(2007) .......................................................................................................................................................... 76

Figure 4.9: 2007 Provincial Exports Leaving Via Manitoba (By Value) ............................................ 77

Figure 4.10: 2007 Provincial Exports Leaving Via Manitoba, Excluding Powerline and Pipeline

Sectors (By Value) .................................................................................................................................... 78

Figure 4.11: 2007 Mode of Exports Leaving Via Manitoba, Excluding Powerline and Pipeline

Sectors (By Value) .................................................................................................................................... 78

Figure 4.12: 2007 Provincial Exports Leaving Via Manitoba, Excluding Powerline and Pipeline

Sectors (By Weight) .................................................................................................................................. 79

Figure 4.13: 2007 Mode of Exports Leaving Via Manitoba, Excluding Powerline and Pipeline

Sectors (By Weight) .................................................................................................................................. 79

Figure 4.15: 2007 Prairie Provinces’ Rail Export Weight Surplus/Deficit ........................................ 82

Figure 4.16: Rail Traffic Flows In/Through Manitoba, 2001-2007 (by Weight) ............................... 83

Figure 4.17: Rail Traffic Flows In/Through Alberta, 2001-2007 (by Weight) ................................... 84

Figure 4.18: Rail Traffic Flows In/Through Saskatchewan, 2001-2007 (by Weight) ....................... 84

Figure 4.19: Rail Traffic Flows In/Through Ontario, 2001-2007 (by Weight) ................................... 85

Figure 4.20: Rail Traffic Flows In/Through Quebec, 2001-2007 (by Weight) ................................... 85

Figure 4.21: Rail Traffic Flows In/Through Manitoba, by Originating Province, 2007 (by Weight)

.................................................................................................................................................................... 86

Figure 4.22: Westbound Rail Traffic Flowing Through Manitoba, Destined for SK, AB, BC, 2001-

2007 (by Weight)....................................................................................................................................... 87

Figure 4.23: Eastbound Rail Traffic Flowing Through Manitoba, Destined for ATL, QC, ON,

2001-2007 (by Weight) ............................................................................................................................. 88

Figure 4.24: Truck Traffic Flows In/Through Manitoba, 2004-2007 (by Weight) ............................ 89

Figure 4.25: Truck Traffic Flows In/Through Alberta, 2004-2007 (by Weight) ................................ 90

Figure 4.26: Truck Traffic Flows In/Through Saskatchewan, 2004-2007 (by Weight) .................... 90

Figure 4.27: Truck Traffic Flows In/Through Ontario, 2004-2007 (by Weight) ............................... 91

Figure 4.28: Truck Traffic Flows In/Through Quebec, 2004-2007 (by Weight) ............................... 91

Figure 4.29: Truck Traffic Flows Destined For/Through Manitoba, by Originating Province, 2007

(by Weight) ............................................................................................................................................... 92

Figure 4.30: Westbound Truck Traffic Flowing Through Manitoba, Destined for SK, AB, BC

2004-2007 (by Weight) ............................................................................................................................. 93

Figure 4.31: Eastbound Truck Traffic Flowing Through Manitoba, Destined for ATL, QUE, ON

2001-2007 (by Weight) ............................................................................................................................. 94

Figure 4.32: Rail Exports Border Crossings in Manitoba in 2007 ...................................................... 95

Figure 4.33: Major Rail Exports Border Crossings in 2007 for Canadian Western Provinces by

Value and Weight .................................................................................................................................... 96

Figure 4.34: Road Exports Border Crossings in Manitoba (Excluding Emerson) in 2007 .............. 97

242

Figure 4.35: Major Road Exports Border Crossings in 2007 for Canadian Western Provinces by

Value and Weight .................................................................................................................................... 98

Figure 4.36: Rail Imports Border Crossings in Manitoba in 2007 .................................................... 101

Figure 4.39: Major Road Imports Border Crossings in 2007 for the Canadian Western Provinces

by Value and Weight ............................................................................................................................. 104

Figure 4.40: Top 10 Export Partners of Manitoba (by Value) .......................................................... 110

Figure 4.41: Top 10 Export Partners of Manitoba (by Weight) ........................................................ 110

Figure 4.42: Manitoba’s Mode of Exports (by Value and Weight) .................................................. 111

Figure 4.43: Manitoba’s Modes of Exports Historical (by Value) ................................................... 112

Figure 4.44: Manitoba’s Modes of Exports Historical (by Weight) ................................................. 112

Figure 4.45: Top 10 Import Partners of Manitoba (by Value) .......................................................... 116

Figure 4.46: Top 10 Import Partners of Manitoba (by Weight)........................................................ 116

Figure 4.47: Manitobas Modes of Imports (by Value and Weight) ................................................. 117

Figure 4.48: Manitoba’s Modes of Imports Historical (by Value) ................................................... 118

Figure 4.49: Manitoba’s Modes of Imports Historical (by Weight)................................................. 118

Figure 4.50: Manitoba Exports to NASCO Partners, by Road ......................................................... 119

Figure 4.51: Distribution of NASCO Exports from Manitoba, by Road ......................................... 120

Figure 4.52: Manitoba Exports to NASCO Partners, by Road ......................................................... 121

Figure 4.53: Distribution of NASCO Exports from Manitoba, by Road ......................................... 122

Figure 4.54: Manitoba Exports to NASCO Partners, by Rail ........................................................... 123

Figure 4.55: Distribution of NASCO Exports from Manitoba, by Rail ........................................... 124

Figure 4.56: Manitoba Exports to NASCO Partners, by Rail ........................................................... 125

Figure 4.57: Distribution of NASCO Exports from Manitoba, by Rail ........................................... 126

Figure 4.58: Manitoba Imports from NASCO Partners, by Road .................................................... 127

Figure 4.59: Distribution of NASCO Imports to Manitoba, by Road ............................................. 128

Figure 4.60: Manitoba Imports from NASCO Partners, by Road .................................................... 129

Figure 4.61: Distribution of NASCO Imports to Manitoba, by Road ............................................. 130

Figure 4.62: Manitoba Imports from NASCO Partners, by Rail ...................................................... 131

Figure 4.63: Distribution of NASCO Imports to Manitoba, by Rail ................................................ 132

Figure 4.64: Manitoba Imports from NASCO Partners, by Rail ...................................................... 133

Figure 4.65: Distribution of NASCO Imports to Manitoba, by Rail ................................................ 134

Figure 5.1: Canada and Advanced International Economies GDP ................................................. 135

Figure 5.2: Advanced Economies Rate of Change 2003-2007 .......................................................... 136

Figure 5.3: Value, Weight, Ranks, and Rate of Change of Canadian Exports to European Union

.................................................................................................................................................................. 139

Figure 5.4: Province of Origin, Canadian Exports to European Union .......................................... 140

Figure 5.5: Region of Origin, 2003-2007 Canadian Exports to European Union – Value ............ 141

Figure 5.6: Region of Origin, 2003-2007 Canadian Exports to European Union - Weight ........... 142

Figure 5.7: Value, Weight, Ranks, and Rate of Change of Canadian Imports from European

Union ....................................................................................................................................................... 143

Figure 5.8: Value, Weight, Ranks, and Rate of Change, Canadian Exports to Japan ................... 145

Figure 5.9: Province of Origin, Canadian Exports to Japan ............................................................. 147

Figure 5.10: Region of Origin, 2003-2007 Canadian Exports to Japan – Value .............................. 148

243

Figure 5.11: Region of Origin, 2003-2007 Canadian Exports to Japan – Weight ........................... 148

Figure 5.12: Value, Weight, Ranks, and Rate of Change, Canadian Imports from Japan ............ 149

Figure 5.13: Value, Weight, Ranks, and Rate of Change, Canadian Exports to the United

Kingdom .................................................................................................................................................. 151

Figure 5.14: Province of Origin, Canadian Exports to the United Kingdom ................................. 153

Figure 5.15: Region of Origin, 2003-2007 Canadian Exports to the United Kingdom - Value .... 154

Figure 5.16: Region of Origin, 2003-2007 Canadian Exports to the United Kingdom - Weight . 155

Figure 5.17: Value, Weight, Ranks, and Rate of Change, Canadian Imports from the United

Kingdom .................................................................................................................................................. 156

Figure 5.18: Value, Weight, Ranks, and Rate of Change, Canadian Exports to the United States

.................................................................................................................................................................. 158

Figure 5.19: Province of Origin, Canadian Exports to United States .............................................. 160

Figure 5.20: Region of Origin, 2003-2007 Canadian Exports to United States - Value ................. 161

Figure 5.21: Region of Origin, 2003-2007 Canadian Exports to United States – Weight .............. 162

Figure 5.22: Value, Weight, Ranks, and Rate of Change, Canadian Imports from United States

.................................................................................................................................................................. 163

Figure 5.23: Canada and Emerging Economies GDP ........................................................................ 165

Figure 5.24: Emerging Economies Rate of Change ............................................................................ 166

Figure 5.25: Value, Weight, Ranks, and Rate of Change of Canadian Exports to Brazil ............. 167

Figure 5.26: Province of Origin, Canadian Exports to Brazil ........................................................... 169

Figure 5.27: Region of Origin, 2003-2007 Canadian Exports to Brazil – Value ............................. 170

Figure 5.28: Region of Origin, 2003-2007 Canadian Exports to Brazil – Weight ........................... 171

Figure 5.29: Value, Weight, Ranks, and Rate of Change of Canadian Imports from Brazil ........ 172

Figure 5.30: Value, Weight, Ranks, and Rate of Change of Canadian Exports to China ............. 174

Figure 5.31: Province of Origin, Canadian Exports to China ........................................................... 176

Figure 5.32: Region of Origin, 2003-2007 Canadian Exports to China – Value ............................. 177

Figure 5.33: Region of Origin, 2003-2007 Canadian Exports to China - Weight ........................... 177

Figure 5.34: Value, Weight, Ranks, and Rate of Change of Canadian Imports from China ....... 178

Figure 5.35: Value, Weight, Ranks, and Rate of Change, Canadian Exports to India .................. 180

Figure 5.36: Province of Origin, Canadian Exports to India ............................................................ 182

Figure 5.37: Region of Origin, 2003-2007 Canadian Exports to India - Value ............................... 183

Figure 5.38: Region of Origin, 2003-2007 Canadian Exports to India – Weight ............................ 183

Figure 5.39: Value, Weight, Ranks, and Rate of Change, Canadian Imports from India ............ 184

Figure 5.40: Value, Weight, Ranks, and Rate of Change, Canadian Exports to Mexico .............. 186

Figure 5.41: Province of Origin, Canadian Exports to Mexico ........................................................ 188

Figure 5.42: Region of Origin, 2003-2007 Canadian Exports to Mexico – Value ........................... 189

Figure 5.43: Region of Origin, 2003-2007 Canadian Exports to Mexico – Weight ........................ 189

Figure 5.44: Value, Weight, Ranks, and Rate of Change, Canadian Imports from Mexico ......... 190

Figure 5.45: Value, Weight, Ranks, and Rate of Change, Canadian Exports to Russia ............... 192

Figure 5.46: Province of Origin, Canadian Exports to Russia .......................................................... 194

Figure 5.47: Region of Origin, 2003-2007 Canadian Exports to Russia – Value ............................ 195

Figure 5.48: Region of Origin, 2003-2007 Canadian Exports to Russia - Weight .......................... 195

Figure 5.49: Value, Weight, Ranks, and Rate of Change, Canadian Imports from Russia .......... 196

244

Figure 5.50: Value, Weight, Ranks, and Rate of Change Canadian Exports to South Korea ...... 198

Figure 5.51: Province of Origin, Canadian Exports to South Korea ............................................... 200

Figure 5.52: Region of Origin, 2003-2007 Canadian Exports to South Korea - Value ................... 201

Figure 5.53: Region of Origin, 2003-2007 Canadian Exports to South Korea - Weight ................ 201

Figure 5.54: Value, Weight, Ranks, and Rate of Change Canadian Imports from South Korea . 202

Figure 5.55: Value, Weight, and Rate of Change, Total Canadian Exports ................................... 204

Figure 5.56: Region of Origin, 2003-2007 Canadian Exports – Value ............................................. 205

Figure 5.57: Region of Origin, 2003-2007 Canadian Exports - Weight ........................................... 205

Figure 5.58: Top 10 Export Partners of Canada (by Value) .............................................................. 211

Figure 5.59: Top 10 Export Partners of Canada (by Weight) ........................................................... 211

Figure 5.60: Canadian Exports by Mode ............................................................................................. 212

Figure 5.61: Rate of Change in Canadian Exports by Mode by Value ........................................... 216

Figure 5.62: Modal Distribution, 2000-2007 Canadian Export Traffic by Value ........................... 217

Figure 5.63: Rate of Change in Canadian Exports by Mode by Weight ......................................... 218

Figure 5.64: Modal Distribution, 2000-2007 Canadian Export Traffic by Weight ......................... 218

Figure 5.65: Value, Weight, and Rate of Change, Total Canadian Imports ................................... 219

Figure 5.66: Top 10 Import Partners of Canada (by Value) ............................................................. 224

Figure 5.67: Top 10 Import Partners of Canada (by Weight) ........................................................... 224

Figure 5.68: Canadian Imports by Mode ............................................................................................ 225

Figure 5.69: Rate of Change in Canadian Imports by Mode by Value ........................................... 231

Figure 5.70: Rate of Change in Canadian Imports by Mode by Value (without Pipeline and

Energy) .................................................................................................................................................... 232

Figure 5.71: Modal Distribution, 2000-2007 Canadian Import Traffic by Value ........................... 232

Figure 5.72: Rate of Change in Canadian Imports by Mode by Weight ......................................... 233

Figure 5.73: Modal Distribution, 2000-2007 Canadian Import Traffic by Weight ........................ 234

245

List of Tables

Table 4.1: 2007 Provincial/Territorial Usage of Jurisdictions’ Road Infrastructure ........................ 81

Table 4.2: Rail Traffic Flows Through Selected Canadian Provinces, 2007 ..................................... 86

Table 4.3: Truck Traffic Flows Through Selected Canadian Provinces, 2007 .................................. 92

Table 4.4: Top 15 Canadian Exports Border Crossings in 2007 by Value ........................................ 99

Table 4.5: Top 15 Canadian Exports Border Crossings in 2007 by Weight .................................... 100

Table 4.6: Top 15 Canadian Imports Border Crossings in 2007 by Value ...................................... 105

Table 4.7: Top 15 Canadian Imports Border Crossings in 2007 by Weight .................................... 106

Table 4.8: Top 10 Export Commodities from Manitoba (by Value) ................................................ 107

Table 4.9: Top 10 Export Commodities from Manitoba (by Weight) ............................................. 108

Table 4.10: Top 10 Export Partners of Manitoba (by Value and Weight) ....................................... 109

Table 4.11: Top 10 Import Commodities to Manitoba (by Value) ................................................... 113

Table 4.12: Top 10 Import Commodities to Manitoba (by Weight) ................................................ 114

Table 4.13: Top 10 Import Partners for Manitoba (by Value and Weight) ..................................... 115

Table 5.1: 2007 European Union Members, Canadian Trade Data ................................................. 138

Table 5.2: Top 5 Exported Commodities to the European Union (by Value) ................................ 139

Table 5.3: Top 5 Exported Commodities to the European Union (by Weight) ............................. 140

Table 5.4: Top 5 Imported Commodities from the European Union (by Value) .......................... 144

Table 5.5: Top 5 Imported Commodities from the European Union (by Weight) ........................ 144

Table 5.6: Top 5 Exported Commodities to Japan (by Value) .......................................................... 146

Table 5.7: Top 5 Exported Commodities to Japan (by Weight) ....................................................... 146

Table 5.8: Top 5 Imported Commodities from Japan (by Value) .................................................... 150

Table 5.9: Top 5 Imported Commodities from Japan (by Weight) .................................................. 150

Table 5.10: Top 5 Exported Commodities to the United Kingdom (by Value) ............................. 152

Table 5.11: Top 5 Exported Commodities to the United Kingdom (by Weight) ........................... 152

Table 5.12: Top 5 Imported Commodities from the United Kingdom (by Value) ........................ 156

Table 5.13: Top 5 Imported Commodities from the United Kingdom (by Weight) ..................... 157

Table 5.14: Top 5 Exported Commodities to the United States (by Value) .................................... 159

Table 5.15: Top 5 Exported Commodities to the United States (by Weight) ................................. 159

Table 5.16: Top 5 Imported Commodities from the United States (by Value) .............................. 163

Table 5.17: Top 5 Imported Commodities from the United States (by Weight) ............................ 164

Table 5.18: Top 5 Exported Commodities to Brazil (by Value) ....................................................... 168

Table 5.19: Top 5 Exported Commodities to Brazil (by Weight) ..................................................... 168

Table 5.20: Top 5 Imported Commodities from Brazil (by Value) .................................................. 172

Table 5.21: Top 5 Imported Commodities from Brazil (by Weight) ............................................... 173

Table 5.22: Top 5 Exported Commodities to China (by Value) ....................................................... 175

Table 5.23: Top 5 Exported Commodities to China (by Weight) ..................................................... 175

Table 5.24: Top 5 Imported Commodities from China (by Value) .................................................. 179

Table 5.25: Top 5 Imported Commodities from China (by Weight) ............................................... 179

Table 5.26: Top 5 Exported Commodities to India (by Value) ........................................................ 181

Table 5.27: Top 5 Exported Commodities to India (by Weight) ...................................................... 181

Table 5.28: Top 5 Imported Commodities from India (by Value) ................................................... 185

246

Table 5.29: Top 5 Imported Commodities from India (by Weight) ................................................ 185

Table 5.30: Top 5 Exported Commodities to Mexico (by Value) ..................................................... 187

Table 5.31: Top 5 Exported Commodities to Mexico (by Weight) .................................................. 187

Table 5.32: Top 5 Imported Commodities from Mexico (by Value) ............................................... 191

Table 5.33: Top 5 Imported Commodities from Mexico (by Weight) ............................................. 191

Table 5.34: Top 5 Exported Commodities to Russia (by Value) ...................................................... 193

Table 5.35: Top 5 Exported Commodities to Russia (by Weight) .................................................... 193

Table 5.36: Top 5 Imported Commodities from Russia (by Value) ................................................. 197

Table 5.37: Top 5 Imported Commodities from Russia (by Weight) .............................................. 197

Table 5.38: Top 5 Exported Commodities to South Korea (by Value) ............................................ 199

Table 5.39: Top 5 Exported Commodities to South Korea (by Weight) ......................................... 199

Table 5.40: Top 5 Imported Commodities from South Korea (by Value) ...................................... 203

Table 5.41: Top 5 Imported Commodities from South Korea (by Weight) .................................... 203

Table 5.42: Top 10 Canadian Export Commodities for 2007 by Value and Percentage of Total

Export Value ........................................................................................................................................... 206

Table 5.43: Top 10 Canadian Export Commodities for 2007 by Weight and Percentage of Total

Export Weight ......................................................................................................................................... 207

Table 5.44: Value and Weight of Goods Exported by Province of Origin ..................................... 208

Table 5.45: Value and Weight of Goods Exported by Province of Exit .......................................... 209

Table 5.46: Top 10 Export Partners of Canada (by Value and Weight) .......................................... 210

Table 5.47: Top 5 Export Commodities by Road (By Value and Percentage of Total Value of

Exports) ................................................................................................................................................... 212

Table 5.48: Top 5 Export Commodities by Road (By Weight and Percentage of Total Weight of

Exports) ................................................................................................................................................... 213

Table 5.49: Top 5 Export Commodities by Rail (By Value and Percentage of Total Value of

Exports) ................................................................................................................................................... 213

Table 5.50: Top 5 Export Commodities by Rail (By Weight and Percentage of Total Weight of

Exports) ................................................................................................................................................... 213

Table 5.51: Top 5 Export Commodities by Marine (By Value and Percentage of Total Value of

Exports) ................................................................................................................................................... 214

Table 5.52: Top 5 Export Commodities by Marine (By Weight and Percentage of Total Weight of

Exports) ................................................................................................................................................... 214

Table 5.53: Top 5 Export Commodities by Air (By Value and Percentage of Total Value of

Exports) ................................................................................................................................................... 215

Table 5.54: Top 5 Export Commodities by Air (By Weight and Percentage of Total Weight of

Exports) ................................................................................................................................................... 215

Table 5.55: Top 3 Export Commodities by Pipeline & Energy (By Value and Percentage of Total

Value of Exports) .................................................................................................................................... 216

Table 5.56: Top 3 Export Commodities by Pipeline & Energy (By Weight and Percentage of Total

Weight of Exports) ................................................................................................................................. 216

Table 5.57: Top 10 Canadian Import Commodities for 2007 (By Value and Percentage of Total

Import Value) ......................................................................................................................................... 220

247

Table 5.58: Top 10 Canadian Import Commodities for 2007 (By Weight and Percentage of Total

Import Weight) ....................................................................................................................................... 221

Table 5.59: Value and Weight of Goods Imported by Province of Clearance ............................... 222

Table 5.60: Top 10 Import Partners of Canada (By Value and Weight) ......................................... 223

Table 5.61: Top 5 Import Commodities by Road (By Value and Percentage of Total Value of

Import) ..................................................................................................................................................... 226

Table 5.62: Top 5 Import Commodities by Road (By Weight and Percentage of Total Weight of

Imports) ................................................................................................................................................... 226

Table 5.63: Top 5 Import Commodities by Rail (By Value and Percentage of Total Value of

Imports) ................................................................................................................................................... 227

Table 5.64: Top 5 Import Commodities by Rail (By Weight and Percentage of Total Weight of

Imports) ................................................................................................................................................... 227

Table 5.65: Top 5 Import Commodities by Marine (By Value and Percentage of Total Value of

Imports) ................................................................................................................................................... 228

Table 5.66: Top 5 Import Commodities by Marine (By Weight and Percentage of Total Weight of

Imports) ................................................................................................................................................... 228

Table 5.67: Top 5 Import Commodities by Air (By Value and Percentage of Total Value of

Imports) ................................................................................................................................................... 229

Table 5.68: Top 5 Import Commodities by Air (By Weight and Percentage of Total Weight of

Imports) ................................................................................................................................................... 229

Table 5.69: Top 5 Import Commodities by Pipeline & Energy (By Value and Percentage of Total

Value of Imports) ................................................................................................................................... 230

Table 5.70: Top 5 Import Commodities by Pipeline & Energy (By Weight and Percentage of

Total Weight of Imports) ....................................................................................................................... 230