Many factors, from trade agreements to cultural similarities, make Canada the top market for American goods.
Free and open shipping to Canada has contributed to Canada's top market status between the two nations. The U.S.-Canada Free Trade Agreement (FTA) went into effect in 1989. Five years later, the North American Free Trade Agreement (NAFTA) further opened the market between the U.S., Canada and Mexico. As a result of these agreements, many products shipping from USA to Canada now enter the Canadian market duty free. In the years since NAFTA was ratified, two-way trade between the two nations has doubled.
Similarities between Canadian border customs regulations and those of the U.S. have also gone a long way toward assuring the smooth flow of commerce between the two nations. The Canada Border Services Agency (CBSA) and U.S. Customs and Border Protection (CBP) have streamlined processes and implemented risk management strategies within Canadian customs regulations to assure a secure and efficient border.
Factor in the advantages of a shared language, close geographic proximity, and similar business and cultural practices, and it's clear why World Trade magazine named Canada the number one country for trade and expansion in 2006.
Visit the Canadian Embassy to learn more about the U.S. and Canada's Trade and Security Partnership.
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