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New NAFTA takes effect next month. U.S. is already threatening legal challenges – CBC.ca

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The new North American trade agreement isn’t even in effect yet and the Trump administration is warning Canada and Mexico might face legal actions under the pact.

That threat came from U.S. Trade Representative Robert Lighthizer during hours of hearings Wednesday in the U.S. Senate and House of Representatives.

Lighthizer said U.S. neighbours can expect to have cases launched against them if they fail to meet their commitments after the agreement takes effect July 1.

His strongest warning was directed at Mexico — Lighthizer predicted a fight ahead to get the U.S.’s southern neighbour to implement the improved workers’ rights it agreed to in the deal.

“We will take action early and often when there are problems,” Lighthizer said, in an exchange specifically about Mexican labour.

He then issued a more qualified threat involving Canadian dairy.

Lighthizer said he assumes the Canadian government was acting in good faith when it agreed to open some of the country’s dairy market to foreign competition.

But he said Canada has a history of playing games that effectively shut out foreign competitors even after a trade deal is reached.

“There are a number of ways that they could implement their program that would be less helpful to us than others,” Lighthizer said of Canadian dairy.

“American farmers [must] get the full benefit of what they negotiated. If there’s any shading of the benefits to American farmers, we’re going to bring a case against them.”

The complaint about Canadian dairy

Dairy was one of the most politically sensitive, hotly contested aspects of the 2017-2018 Canada-U.S. trade negotiations. 

The specifics were hammered out in the final days of bargaining: Canada agreed to allow 3.59 per cent more market access for U.S. dairy products, and also to limit exports to the U.S. of dairy products that American officials view as unfairly subsidized.

Now, the American dairy lobby is fuming over the fine print released this week by the Canadian government on the liberalization process.

What it shows is that the process will be controlled overwhelmingly by Canadian industry. And it’s happening in a hurry. 

As of last Monday, would-be importers of American dairy products into Canada were given one week to apply for a share of the quota. A notice posted on the Global Affairs Canada website revealed that nearly all these import permits will be allocated to Canadian dairy processors. 

What happens if, in this scramble, import permits wind up unused and foreign products can’t get in?

That’s not clear. All the rules say is that quota-holders must import 95 per cent of what they committed to — or they “may” be penalized next year with a quota reduction.

Mexican Foreign Minister Marcelo Ebrard, Canadian Deputy Prime Minister Chrystia Freeland and U.S. Trade Representative Robert Lighthizer at the signing ceremony for the new NAFTA last year. (Henry Romero/Reuters)

The U.S. dairy lobby said it feared rules like this.

It said Canada used a similar approach in the past, in an apparent allusion to related complaints about dairy from Europeans in the aftermath of the Canada-Europe agreement that took effect in 2017.

“Canada has chosen once again to manipulate its access commitments in order to protect its tightly controlled dairy market,” said Jim Mulhern, president of the U.S. National Milk Producers Federation.

“U.S. farmers will bear much of the brunt of this biased interpretation of [new NAFTA’s] dairy provisions.” 

He urged the U.S. administration to act quickly to hold Canada responsible.

New dispute bodies

The new Canada-U.S.-Mexico agreement includes different dispute panels: companies can sue a country for unfair duties under Chapter 10, or, likely more relevant in this case, under Chapter 31, one country can challenge another for failing to meet its commitments.

“We are good at following the rules and we believe in doing that,” said Chrystia Freeland, Canada’s deputy prime minister, when asked about Lighthizer’s comments.

“And we’re also good at standing up for our national interest and we’ll do that, too.”

The head of Canada’s dairy lobby, Jacques Lefebvre of the Dairy Farmers of Canada, said Wednesday that the U.S. got what it wanted in the new NAFTA, and said Canada’s industry is complying despite the deal’s “devastating” effects.

Any suggestion to the contrary is “at best, misinformed,” he said in a statement.

Lighthizer calls digital plan an effort to ‘screw’ America

Wednesday’s hearing touched on a variety of other topics.

Lighthizer blasted other countries’ proposals for putting a tax on digital products, which the Trump administration views as a de-facto penalty against American online platforms such as Google and Netflix.

The U.S. has threatened tariffs if countries proceed with such plans — the Trudeau Liberals and other Canadian parties proposed such a tax in their election platforms.

But Lighthizer praised U.S. officials for blocking a digital tax proposal last week at the Organization for Economic Co-operation and Development.

“The reality was they all came together and agreed that they’d screw America,” Lighthizer said. 

“That’s just not something that we were going to be a part of.”

He also made clear that he’ll be perfectly happy if the World Trade Organization’s top appeals body, currently paralyzed by a U.S. protest, never resumes functioning.

Lighthizer criticized the organization for over-reaching its mandate and suggested world trade wouldn’t suffer if it reverts to the system that existed before that appellate body was created in 1995 to settle disputes. 

“I’m not a fan,” Lighthizer said.

“If it never goes back into effect, I think that would be fine.”

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Bad traffic, changed plans: Toronto braces for uncertainty of its Taylor Swift Era

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TORONTO – Will Taylor Swift bring chaos or do we all need to calm down?

It’s a question many Torontonians are asking this week as the city braces for the arrival of Swifties, the massive fan base of one of the world’s biggest pop stars.

Hundreds of thousands are expected to descend on the downtown core for the singer’s six concerts which kick off Thursday at the Rogers Centre and run until Nov. 23.

And while their arrival will be a boon to tourism dollars — the city estimates more than $282 million in economic impact — some worry it could worsen Toronto’s gridlock by clogging streets that already come to a standstill during rush hour.

Swift’s shows are set to collide with sports events at the nearby Scotiabank Arena, including a Raptors game on Friday and a Leafs game on Saturday.

Some residents and local businesses have already adjusted their plans to avoid the area and its planned road closures.

Aahil Dayani says he and some friends intended to throw a birthday bash for one of their pals until they realized it would overlap with the concerts.

“Something as simple as getting together and having dinner is now thrown out the window,” he said.

Dayani says the group rescheduled the gathering for after Swift leaves town. In the meantime, he plans to hunker down at his Toronto residence.

“Her coming into town has kind of changed up my social life,” he added.

“We’re pretty much just not doing anything.”

Max Sinclair, chief executive and founder of A.I. technology firm Ecomtent, suggested his employees avoid the company’s downtown offices on concert days, saying he doesn’t see the point in forcing people to endure potential traffic jams.

“It’s going to be less productive for us, and it’s going to be just a pain for everyone, so it’s easier to avoid it,” Sinclair said.

“We’re a hybrid company, so we can be flexible. It just makes sense.”

Swift’s concerts are the latest pop culture moment to draw attention to Toronto’s notoriously disastrous daily commute.

In June, One Direction singer Niall Horan uploaded a social media video of himself walking through traffic to reach the venue for his concert.

“Traffic’s too bad in Toronto, so we’re walking to the venue,” he wrote in the post.

Toronto Transit Commission spokesperson Stuart Green says the public agency has been working for more than a year on plans to ease the pressure of so many Swifties in one confined area.

“We are preparing for something that would be akin to maybe the Beatles coming in the ‘60s,” he said.

Dozens of buses and streetcars have been added to transit routes around the stadium, and the TTC has consulted the city on potential emergency scenarios.

Green will be part of a command centre operated by the City of Toronto and staffed by Toronto police leaders, emergency services and others who have handled massive gatherings including the Raptors’ NBA championship parade in 2019.

“There may be some who will say we’re over-preparing, and that’s fair,” Green said.

“But we know based on what’s happened in other places, better to be over-prepared than under-prepared.”

Metrolinx, the agency for Ontario’s GO Transit system, has also added extra trips and extended hours in some regions to accommodate fans looking to travel home.

A day before Swift’s first performance, the city began clearing out tents belonging to homeless people near the venue. The city said two people were offered space in a shelter.

“As the area around Rogers Centre is expected to receive a high volume of foot traffic in the coming days, this area has been prioritized for outreach work to ensure the safety of individuals in encampments, other residents, businesses and visitors — as is standard for large-scale events,” city spokesperson Russell Baker said in a statement.

Homeless advocate Diana Chan McNally questioned whether money and optics were behind the measure.

“People (in the area) are already in close proximity to concerts, sports games, and other events that generate massive amounts of traffic — that’s nothing new,” she said in a statement.

“If people were offered and willingly accepted a shelter space, free of coercion, I support that fully — that’s how it should happen.”

This report by The Canadian Press was first published Nov. 13, 2024.



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‘It’s literally incredible’: Swifties line up for merch ahead of Toronto concerts

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TORONTO – Hundreds of Taylor Swift fans lined up outside the gates of Toronto’s Rogers Centre Wednesday, with hopes of snagging some of the pop star’s merchandise on the eve of the first of her six sold-out shows in the city.

Swift is slated to perform at the venue from Thursday to Saturday, and the following week from Nov. 21 to Nov. 23, with concert merchandise available for sale on some non-show days.

Swifties were all smiles as they left the merch shop, their arms full of sweaters and posters bearing pictures of the star and her Eras Tour logo.

Among them was Zoe Haronitis, 22, who said she waited in line for about two hours to get $300 worth of merchandise, including some apparel for her friends.

Haronitis endured the autumn cold and the hefty price tag even though she hasn’t secured a concert ticket. She said she’s hunting down a resale ticket and plans to spend up to $600.

“I haven’t really budgeted anything,” Haronitis said. “I don’t care how much money I spent. That was kind of my mindset.”

The megastar’s merchandise costs up to $115 for a sweater, and $30 for tote bags and other accessories.

Rachel Renwick, 28, also waited a couple of hours in line for merchandise, but only spent about $70 after learning that a coveted blue sweater and a crewneck had been snatched up by other eager fans before she got to the shop. She had been prepared to spend much more, she said.

“The two prized items sold out. I think a lot more damage would have been done,” Renwick said, adding she’s still determined to buy a sweater at a later date.

Renwick estimated she’s spent about $500 in total on “all-things Eras Tour,” including her concert outfit and merchandise.

The long queue for Swift merch is just a snapshot of what the city will see in the coming days. It’s estimated that up to 500,000 visitors from outside Toronto will be in town during the concert period.

Tens of thousands more are also expected to attend Taylgate’24, an unofficial Swiftie fan event scheduled to be held at the nearby Metro Toronto Convention Centre.

Meanwhile, Destination Toronto has said it anticipates the economic impact of the Eras Tour could grow to $282 million as the money continues to circulate.

But for fans like Haronitis, the experience in Toronto comes down to the Swiftie community. Knowing that Swift is going to be in the city for six shows and seeing hundreds gather just for merchandise is “awesome,” she said.

Even though Haronitis hasn’t officially bought her ticket yet, she said she’s excited to see the megastar.

“It’s literally incredible.”

This report by The Canadian Press was first published Nov. 13, 2024.

The Canadian Press. All rights reserved.



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Via Rail seeks judicial review on CN’s speed restrictions

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OTTAWA – Via Rail is asking for a judicial review on the reasons why Canadian National Railway Co. has imposed speed restrictions on its new passenger trains.

The Crown corporation says it is seeking the review from the Federal Court after many attempts at dialogue with the company did not yield valid reasoning for the change.

It says the restrictions imposed last month are causing daily delays on Via Rail’s Québec City-Windsor corridor, affecting thousands of passengers and damaging Via Rail’s reputation with travellers.

CN says in a statement that it imposed the restrictions at rail crossings given the industry’s experience and known risks associated with similar trains.

The company says Via has asked the courts to weigh in even though Via has agreed to buy the equipment needed to permanently fix the issues.

Via said in October that no incidents at level crossings have been reported in the two years since it put 16 Siemens Venture trains into operation.

This report by The Canadian Press was first published Nov. 13, 2024.

Companies in this story: (TSX:CN)

The Canadian Press. All rights reserved.



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