The relationship between the United States and Canada is the closest and most extensive in the world. It is reflected in the staggering volume of bilateral trade--the equivalent of $1.6 billion a day in goods--as well as in people-to-people contact. About 300,000 people cross the border every day.
U.S. defense arrangements with Canada are more extensive than with any other country. The Permanent Joint Board on Defense, established in 1940, provides policy-level consultation on bilateral defense matters and the United States and Canada share NATO mutual security commitments. In addition, U.S. and Canadian military forces have cooperated since 1958 on continental air defense within the framework of the North American Aerospace Defense Command (NORAD). The military response to the September 11, 2001 terrorist attacks in the United States both tested and strengthened military cooperation between the United States and Canada. The new NORAD Agreement that entered into force on May 12, 2006 added a maritime domain awareness component and is of indefinite duration, subject to periodic review. Since 2002, Canada has participated in diplomatic, foreign assistance, and joint military actions in Afghanistan. Canadian Forces personnel are presently deployed in southern Afghanistan under a battle group based at Kandahar and as members of the Canadian-led Provincial Reconstruction Team (PRT) at Camp Nathan Smith in Kandahar. The Canadian Parliament has approved the extension of this mission in Kandahar through 2011.
While bilateral law enforcement cooperation and coordination were excellent prior to the September 11, 2001 terrorist attacks, they have since become even closer through such mechanisms as the Cross Border Crime Forum. Canada, like the United States, has strengthened its laws and realigned resources to fight terrorism. Canadian and U.S. federal and local law enforcement personnel fight cross-border crime through cooperation on joint Integrated Border Enforcement Teams. Companies on both sides of the border have joined governments in highly successful partnerships and made significant investments to secure their own facilities and internal supply chains. Crossing the border is now both more secure and faster than in 2001.
In fields ranging from law enforcement to environmental protection to free trade, the two countries work closely on multiple levels from federal to local. In addition to their close bilateral ties, Canada and the United States cooperate in multilateral fora. Canada--a charter signatory to the United Nations and the North Atlantic Treaty Organization (NATO), and a member of the G8 and G20--takes an active role in the United Nations, including peacekeeping operations, and participates in the Organization for Security and Cooperation in Europe (OSCE). Canada is active in international efforts to combat terrorist financing and money laundering. Canada joined the Organization of American States (OAS) in 1990. Canada seeks to expand its ties to Pacific Rim economies through membership in the Asia-Pacific Economic Cooperation forum (APEC).
The United States and Canada also work closely to resolve trans-boundary environmental and water issues, an area of increasing importance in the bilateral relationship. A principal instrument of this cooperation is the International Joint Commission (IJC), established as part of the Boundary Waters Treaty of 1909 to resolve differences and promote international cooperation on boundary waters; Secretary of State Hillary Clinton and Foreign Minister Lawrence Cannon celebrated the treaty's centenary in June 2009. The Great Lakes Water Quality Agreement of 1978 (as amended in 1987) is another historic example of joint cooperation in controlling trans-boundary water pollution. President Barack Obama's administration has committed itself, along with Canada, to update the agreement. The two governments also consult regularly on trans-boundary air pollution.
Canada ratified the Kyoto Accord in 2002, despite concern among business groups and others that compliance would place Canada's economy at a lasting competitive disadvantage vis-a-vis the United States. Prime Minister Stephen Harper's government announced in 2006, however, that Canada would not be able to meet its original Kyoto Protocol commitments. In April 2007, the Canadian Government announced a new regulatory framework for greenhouse gas emissions that was to be implemented beginning in 2010; however, progress on that framework has been somewhat slower than anticipated and the implementation date has slipped to 2012. Moreover, since late 2008 Canada has emphasized that it would prefer to see a harmonized cap and trade regime and coordinated greenhouse gas emissions reduction plan for both Canada and the United States. In February 2009 President Obama and Prime Minister Harper announced the bilateral Clean Energy Dialogue (CED), which is charged with expanding clean energy research and development; developing and deploying clean energy technology; and building a more efficient electricity grid based on clean and renewable energy in order to reduce greenhouse gases and combat climate change in both countries. U.S. Energy Secretary Steven Chu and Canadian Minister of Environment Jim Prentice serve as the lead government officials for moving the Clean Energy Dialogue forward.
Canada also participates in the U.S.-led Major Economies Forum on Energy and Climate, which includes the world's 17 largest economies as well as the UN; the Asia Pacific Partnership on Clean Development and Climate, which joins it with the United States, Japan, Australia, South Korea, China, and India in a broad effort to accelerate the development and deployment of clean energy technologies in major industrial sectors; and the International Carbon Sequestration Leadership Forum, which researches effective ways to capture and store carbon dioxide.
Canada is a large foreign aid donor and targets its annual assistance of C$4.4 billion toward priority sectors such as good governance; health (including HIV/AIDS); basic education; private-sector development; and environmental sustainability. Canada is a major aid donor to Iraq, Haiti, and Afghanistan.
The United States and Canada signed a Pacific Salmon Agreement in June 1999 that settled differences over implementation of the 1985 Pacific Salmon Treaty. In 2001, the two countries reached agreement on Yukon River salmon, implementing a new abundance-based resource management regime and effectively realizing coordinated management over all West Coast salmon fisheries. The United States and Canada reached agreement on sharing another trans-boundary marine resource, Pacific hake. The two countries also have a treaty on the joint management of albacore tuna in the Pacific, and closely cooperate on a range of bilateral fisheries issues and international high seas governance initiatives.
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