Canada Accelerates Nation Building Projects to Combat US Trade Challenges

The recently passed One Canadian Economy Act gives the government new authority to expedite approvals for major national projects, sparking both support and concern among various groups.

Canada's parliament has passed a transformative new law allowing Prime Minister Mark Carney's administration to streamline the approval process for vital national projects amid ongoing trade disputes with the United States. The One Canadian Economy Act received approval from the Senate on Thursday, enabling the cabinet to bypass certain federal regulations for projects identified as crucial for economic enhancement.

The legislation has been championed as a necessary measure for Canada to decrease its reliance on the US economy, particularly in light of recent tariff actions imposed by President Donald Trump affecting Canadian steel, aluminum, and automotive sectors. Proponents argue that this act is pivotal for reducing internal trade and labor mobility barriers, ultimately fostering economic growth.

Nevertheless, the act has faced backlash from Indigenous communities and environmental advocates who express concerns that the fast-tracking of projects might suppress dissenting voices and erode consultation rights. While the legislation does not specify the exact projects to be undertaken, Prime Minister Carney has indicated it could facilitate the construction of energy corridors, including pipelines, electricity grids, as well as expansions of mines and ports.

In his remarks, Carney emphasized that the act would "remove trade barriers, expedite nation-building projects, and unleash economic growth, with Indigenous partnership at the centre of this growth." However, Indigenous leaders are alarmed at the prospect of inadequate consultation before project approval, particularly given the act’s broad authority granted to the government.

The law's swift passage marks a significant achievement for Prime Minister Carney, fulfilling a campaign promise to dismantle interprovincial barriers by Canada Day on July 1. Despite supporting economic development, Nova Scotia senator Paul Prosper, a member of the Mi'kmaq Indigenous group, criticized the rush in passing this legislation, insisting that proper consultation could have been prioritized with a delay in vote.

Supporters of the bill, including Senator Hassan Yussuff, argued that this is a necessary response to an "urgent and immediate crisis." The legislation asserts that the government will engage in consultation with Indigenous populations prior to the accelerated approval of any project.