Canada should take advantage of a “once-in-a-generation” opportunity to become a world transportation leader with the creation of a “North American gateway,” according to an Asia Pacific Foundation of Canada (APF) report released this morning.
Seizing the Continent: Opportunities for a North American Gateway explains that Canada has logistical and transportation infrastructure advantages that could give the country the opportunity to boost the delivery of goods from Asia and Europe to Central North America.
In the report, authors George Stalk, senior advisor for the Boston Consulting Group, and Charles McMillan, professor at the Schulich School of Business, argue that the country needs a national strategy that links ports in the St. Lawrence-Great Lakes corridor and the Pacific and Atlantic coasts.
“The rapid growth of North American trade with Asia combined with the escalating infrastructure gridlock in the United States offers Canada a strategic opportunity to position itself as a key player in the global transportation supply chain offering lower costs, greater reliability and faster deliveries,” said Stalk.
“We believe that an effective North American gateway could take 10% of volume from U.S. ports, resulting in an estimated 50% increase in container volumes through Canadian ports.”
The report said key factors in the successful gateway initiative would include container handling capacity at the Port of Prince Rupert.
McMillan said, “If Canada gains even modest levels of container traffic, say 5%, estimates show 6,000 direct jobs and many more increases in indirect jobs across Canada.”
Canada has competitive advantages over the U.S., the report states, which include better rail capacity and physical proximity to Asia and Europe.
