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U.S., Canada Sign Agreement on Government Procurement

February 12, 2010

Washington, D.C. - United States Trade Representative Ron Kirk today signed a U.S.-Canada agreement on government procurement. The agreement was signed this week in Canada by Canadian Minister of International Trade Peter Van Loan. The new procurement agreement provides for permanent U.S. access to Canadian provincial and territorial procurement contracts in accordance with the World Trade Organization (WTO) Government Procurement Agreement (GPA). In addition, the agreement enables American companies to compete for Canadian provincial and municipal construction contracts not covered by the GPA through September 2011. The United States will provide reciprocal access for Canadian companies to 37 states already covered by the GPA and a limited number of Recovery Act programs. Taken together, these provisions strengthen an already robust U.S.-Canada trade relationship. The full text of the agreement is available here.

"The U.S.-Canada trade relationship supports many good jobs on both sides of the border," said Ambassador Kirk. "This agreement resolves key outstanding U.S.-Canada government procurement issues and creates tens of billions of dollars worth of new job-supporting export opportunities for American companies and workers. From February 16, American exporters can rest assured that they will be able to compete on a fair and equal basis in a wide range of Canadian provincial, territorial, and municipal procurement contracts."

Canada is the United States' largest goods trading partner, with a total two way goods trade of more than $430 billion in 2009. This agreement further cements the mutually beneficial U.S.-Canada trade relationship and provides American and Canadian businesses and workers alike with reliable opportunities for growth.

Both countries agreed to continue a dialogue on mutually beneficial procurement opportunities.