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PREMIER WARNS U.S. BUSINESS LEADERS NOT TO HEAD DOWN THE PATH OF PROTECTIONISM

Released on February 3, 2009

Stresses the Importance of Strong Canada-U.S. Trade Relations

Premier Brad Wall is in Chicago today promoting Saskatchewan's economic interests. In a speech to the Illinois Chamber of Commerce, Wall stressed the importance of Canada-U.S. trade and issued a strong warning against heading down the path of protectionism.

Wall joined a growing number of Canadian political and business leaders raising serious concerns about the "Buy American" provisions in the U.S. economic stimulus bill. He reminded his audience that U.S. protectionist policies enacted in 1930 reduced U.S. imports and exports by nearly two-thirds and led to a deep and protracted depression.

"The truth is we are connected intimately," Wall said. "For each of us, our best hope to survive this malaise, to come out stronger on the other side, is to build on the strength of the most dynamic and envied trading friendship on the planet - not tear it apart.

"When we hear the drum beats of protectionism get louder once again, it's time for us to begin gently reminding our American friends of how connected we are and how dependent they are on Canadian goods."

Wall said about half of Saskatchewan's crude oil exports to America go to the four refineries in Illinois, which have a combined capacity of more than 900,000 barrels per day. "That means every day, more than 800 Illinois refinery workers are employed processing Saskatchewan oil," Wall said. "That's how intimately we are connected."

Wall cited several other examples of U.S. dependence on trade with Canada and Saskatchewan. He said he is not advocating retaliatory trade measures - just stressing the importance of maintaining strong trade relations between Canada and the U.S.

"In his inauguration speech, President Obama said: ‘On this day, we have gathered because we have chosen hope over fear,'" Wall said. "Yet, the underpinnings of protectionist policies are based on fear, not hope."

Wall said he understands the desire by U.S. lawmakers to address the economic crisis. "They do so out of a noble intent to help their constituents who are hurting, to be sure. But as we work to address this economic crisis by building infrastructure and paving roads, let's all try to remember which road is paved with good intentions.

"Let us choose another road."

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For more information, contact:

Jennifer Johnson
Executive Council
Regina
Phone: 306-787-4829
Email: jennifer.johnson@gov.sk.ca

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