Loss of jobs due to cheaper imports from China
China exports more than Canada to USA
Canada has been world’s one of the most wealthy nations. International export contributes largely to the wealthy status of the nation. The country is rich in oil and gas, agriculture, energy, forests try and mining and almost 50% of the export is associated with these objects only.
United States is its largest partner in trading with whom it makes a transaction of about 70%.
A few years back China has surpassed the nation as a largest exporter to USA. Way back in 2007 an export of worth $ 322 billion was made by China to USA.
After 2007 there is no looking back for China. In 2010 the export was for approximately $3 trillion. Only during a period between 2007 to 2008 the export increased by 300 per cent or ten times greater than any major partner did to USA.
China sells four times more goods to USA than US does to China.
In fact, US have honored China with the status of “Most favored nation” in terms of trades.
American agriculture is actually supported by China. They do not only buy lots of agricultural products from America but also support them in many ways.
There was a time when USA was dependent upon Canada for most of the imports, the former being rich in many natural resources. This did not only contribute to the economy of the nation but also created a lot of trades for the Canadians. The impact was greater and easier for both the countries. Labor market was at a booming stage.
Now with China taking a lead over Canada, the tradesmen here are undergoing a rough phase. There is a lack of job opportunities due to the export rates sliding down.
Labor market is also facing a loss of job due to fewer openings in the export market. Hence in all the fields related to export like oil and gas, agriculture, fishing, mining of gold etc. is undergoing a setback.
China has given a tough challenge before Canada, leaving the nation with a thought that it can no more depend upon American export as a major contributor of their economy.
His nation has to revive its export and economic policies so that the growth is kept intact without foreign country making much of a difference to the nation.