FOR IMMEDIATE RELEASE

February 3, 2025

Saint John, NB – The Atlantica Centre for Energy calls on government and industry leaders on both sides of the United States and Canadian border to resolve issues which have ignited a trade war between the two long-partnered countries.

Atlantic Canada and New England have fully integrated energy systems including refined petroleum products such as gasoline, diesel and jet fuel, home heating oil, natural gas, and electricity. In Northern Maine, New Brunswick is the principal electricity provider and the balancing authority. Together, the region supports one another in maintaining energy security, affordability and competitiveness.

“This trade war makes zero sense. Consumers and businesses on both sides of the border will see higher energy prices and a step backwards in the energy security we all rely on,” said Michelle Robichaud, President, Atlantica Centre for Energy. “There will be no winners; tariffs from the United States and retaliation by Canada will certainly affect the entire northeast region disproportionately compared to the rest of our countries.”

New England depends on Canada for its energy needs with $10.2 billion worth of fuel oil, natural gas and electricity imported to the region from Canada each year. With few to no short-to medium-term alternatives, the proposed tariffs will only make it more expensive for the people and businesses that are already facing inflationary pressures.

“Atlantic Canada’s trade traditionally flows north to south, not east to west. As much as we are looking for opportunities to trade within Canada, there is very little infrastructure and minimal existing trade routes, let alone a big enough market to justify the move,” said Stephen MacMackin, Chair, Atlantica Centre for Energy.

At a time where the region should be investing in clean energy projects, this type of distraction will have dire consequences on future planning and final investment decisions.

The Centre is calling on business and government leaders to be vocal about the importance and strength of New England and Atlantic Canada’s integrated and reciprocal energy and trade relationship. The Centre also encourages the Government of Canada and provincial governments to immediately explore short-term measures to enable more energy trade across Atlantic and eastern Canada to help minimize the need for American imports such as crude oil.

“Tariff costs are not born by foreign countries, they are paid by customers. The voice of businesses and industry are ones that will resonate in Washington; customers throughout North America need to understand the implications, as well as employees and communities,” said MacMackin. “We all must raise our voices in opposition of a trade war between two countries that have historically had the best trading relationship in the world.”

Atlantic Canada (Source: Atlantic Economic Council):

  • Atlantic Canadian exporters sold $26 billion worth of goods to the United States in 2023.
  • New Brunswick and PEI are among the Canadian provinces most dependent upon trade with the US. Over 90% of New Brunswick’s exports are destined to the US, most of that refined petroleum products.
  • Key Atlantic exports to the US include refined petroleum, shellfish and fish, crude oil, tires and rubber products, forest products (lumber, wood products, paper and pulp) and processed potatoes and other foods.
  • Two-way trade is important. About 17% of the value of Atlantic Canada’s global exports rely on imports from the US.

New England (Source: Office of the Consulate General of Canada in Boston):

  • 8 in 10 cars on the road in New England are powered by fuel from Canada
  • 90% of the jet fuel used at Logan Airport comes from Canada
  • The six New England states export $13.6 billion in goods and services to Canada each year.
  • 54,400 people in New England are employed by a Canadian company

ATLANTICA CENTRE FOR ENERGY

Atlantica Centre for Energy provides a unique meeting ground for industry, government, the education and research sectors, and the community at large to foster partnerships and proactively engage in energy-related issues. As the voice of energy in Atlantic Canada, the Centre’s membership represents some of the largest employers, energy producers, distributors, and consumers in the region.

MEDIA CONTACT:

Michelle Robichaud, President

506 636-1110