What Would The Demise Of NAFTA Mean For NB?

Posted on Thursday, November 30, 2017 14:11 PM

With New Brunswick said to be the most export-dependent province in the country what would the failure of the North American Free Trade Agreement mean for our province?

We spoke to senior economist Robert Kavcic with BMO, which has just released a report called the Day After NAFTA which details what would happen in the event of the demise of the agreement.

"The one thing that potentially softens the impact for New Brunswick though is what sectors those exports are in," says Kavcic.

"So a lot of it is refined oil products which we think is relatively low risk to be disrupted by whatever plays out on the NAFTA front and then forest products as well, which obviously have their own separate issues with the softwood lumber dispute that is probably separate from anything we're going to see with NAFTA changes."

Kavcic says that the province that is probably the least exposed to NAFTA is British Columbia though adds that B.C. is still quite a bit more exposed than a state that's most exposed to NAFTA which would be a state like Michigan.