May 25, 2007

Top U.S. businesses antsy before leaders meet

By BETH GORHAM

WASHINGTON (CP) - Some major U.S. businesses are worried that North American co-operation is falling off the agenda, even as leaders of the three countries get ready to meet in Quebec in August.

Uncertainty about progress on a host of cross-border initiatives is rattling some nerves in American boardrooms before President George W. Bush joins Prime Minister Stephen Harper and Mexico's Felipe Calderon for an annual get-together.

The view from Canada is that all the fretting is unnecessary, said Thomas d'Aquino, head of the Canadian Council of Chief Executives.

"I would like to see more speed," but there's already been a lot of movement, he said.

Still, no one's happy about the U.S. Homeland Security Department's decision last month to pull out of nearly three years of talks about putting U.S. customs operations on the Canadian side to ease border congestion at the Peace Bridge linking New York and Ontario.

That was a top recommendation in February from the group of 30 businesses advising leaders on the so-called Security and Prosperity Partnership (SPP) launched in 2005 to ease trade and bolster security.

But one American executive close to the process said concerns go far beyond any single project among 50 proposed by the North American Competitiveness Council.

"People are disgruntled" said the executive, who didn't want to be named. "There has to be a plan to implement this, a road map. They asked the business community to do a lot. We're not seeing any results."

He's considering boycotting discussions at the trilateral summit starting Aug. 21 in Montebello, Que., if he doesn't see something concrete soon.

"If we end up with nothing, why would I want to bring my chairman into an embarrassing meeting?

"Either they demonstrate some progress, change the agenda or the leaders don't meet."

Ron Covais, U.S. co-chairman of the trilateral advisory group, acknowledged there's been a lot of questions south of the border.

"We're asking for a status update" from top bureaucrats, he said. "By mid-June, we have to have at least a sense of where we're at."

Canadian firms see the situation far differently, said d'Aquino, whose council helped write February's report.

While the failure on pre-clearance is a big setback, it's "ludicrous" to suggest that the tri-lateral partnership is in danger of falling apart.

"This is a massive undertaking," said d'Aquino, and there have been major advances in a short time whittling down advice from the three countries on how they can work together more efficiently.

"On a scale of 0 to 10, I'd give it a 10."

The council is working on another report for leaders that will be distributed in June to look at progress and raise unresolved issues, he said.

"There are a number of things to talk about," that the Americans and Mexicans haven't seen," said d'Aquino, who declined to provide details.


One problem, he said, is that the leaders haven't been out publicly defending the SPP, "even though armies are working on it."

"We are urging our governments to do that."

The trilateral push has come under heavy fire from labour and public interest groups for only consulting big business.

And nationalist groups in Canada and the United States have decried the secret nature of talks and accused governments of selling out sovereignty.

Covais insists that's not happening.

"There really is no conspiracy to have one currency. Some of that stuff is lunacy fringe."

Some business leaders are concerned that Bush is too preoccupied to push the business agenda, noting Canada has a minority government and Mexico has a new president.

Scotty Greenwood, executive director of the Canadian American Business Council, said American firms were waiting for a promised briefing from government in May that never materialized.

"If there's no progress, there's no need for the leaders to meet."



http://cnews.canoe.ca/CNEWS/Canada/2007 ... 02-cp.html