TOWARDS SUSTAINABLE TRANSPORTATION
OECD International Conference, Vancouver Canada

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Session 3a - Industry and the Global Economy - Trade-Related Challenges

Abstract of address by Ken A. Eriksen

The North American Free Trade Agreement and Sustainable Transportation

The U.S. and Canada share the world's longest political border, a boundary that continues to become more transparent. The ratification of NAFTA seeks to enhance the border's transparency and the flow of trade between the two countries. Conceptually, free trade and NAFTA portray a sustainable "seamless" environment where producers, processors and transportation firms move goods safely from a packing house or processing plant to the buyer in a timely cost effective manner without complication or delays. Washington State provides critical border crossings and a highly competitive transportation network that not only serves the citizens of Washington State but also producers, processors and consumers of near-by states, Canadian Provinces and international markets.

However, problems exist when transportation corridors are inadequate to support increased trade volumes, which then impedes the movement of trade and decreases the economic returns to production. The degree of value, volume and timing of trade impact on those corridors is not well documented. This presentation evaluates free trade and sustainable transportation, projecting and evaluating Western Canada-U.S. trade flows between Canada and Washington State under an emerging NAFTA. Direct analysis of the impacts on the transportation infrastructure and the need for industry capacity to achieve the requirements of sustainable transportation is the focal point of the paper. Potential policies and implementation measures conclude the presentation.

Ken A. Eriksen, Dr. Kenneth L. Casavant

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