An emerging trade dispute between Canada and the United States that had been quietly simmering for months has now bubbled into the open.
The Canadian government sent a letter to nearly a dozen senior U.S. officials Friday expressing dismay over an idea being considered in a key American budget bill.
Canadian officials are concerned about a Buy American-type proposal they fear might disrupt the auto sector.
Now Ottawa has put those views in writing to the congressional leadership from both parties, other key members of Congress and two cabinet-level officials, according to CBC.
The letter from Canada’s International Trade Minister Mary Ng expressed several worries — of a historic decline in Canada-U.S. auto co-operation; tens of thousands of lost Canadian jobs; and collateral damage to those U.S. auto workers involved in the cross-border auto trade.
“If passed into law, these credits would have a major adverse impact on the future of [electric vehicle] and automotive production in Canada, resulting in the risk of severe economic harm and tens of thousands of job losses in one of Canada’s largest manufacturing sectors. U.S. companies and workers would not be isolated from these impacts,” Ng wrote in the letter.