Presentation to the Canada-United States Transportation Border Working Group Montréal, Québec October 24 - 26, 2007

1. Security and Prosperity Partnership of North America (SPP) Presentation to the Canada-United States Transportation Border Working Group Montréal, Québec October 24 - 26, 2007

2. Outline • The Security and Prosperity Partnership • Background • North American Competitiveness Council • Strategic Context • Update • Montebello Summit • Priorities • Accomplishments • Next Steps

3. SPP Background • In March 2005, the Leaders of Canada, the United States (U.S.) and Mexico launched the Security and Prosperity Partnership (SPP), which aims to promote growth and economic opportunity, increase security, and improve the quality of life of North Americans. • The SPP: • is a mechanism for developing an evolving agenda for North American cooperation, and builds on key initiatives such as Canada-U.S. Smart Border Accord and the successes of the North American Free Trade Agreement (NAFTA). • is based on the principle that security and prosperity are mutually dependent and complementary. • provides dialogue and direction at the highest political levels.

4. SPP Background (cont’d) • On March 31, 2006, at their Summit in Cancun, the Leaders reaffirmed their commitment to advance a positive agenda for North America through the SPP and set priorities for action: • Strengthening Competitiveness including the creation of the North American Competitiveness Council (NACC) and strengthening regulatory cooperation, including the completion of a trilateral regulatory cooperation framework by 2007 • Emergency Management Coordination • Cooperation in avian and pandemic influenza management • Energy Security • Smart, Secure Borders

5. SPP: North American Competitiveness Council (NACC) • Leaders established the NACC to provide strategic advice on issues affecting North American competitiveness. • Launched by Prosperity Ministers in June 2006, in Washington, D.C., the NACC is comprised of 30 senior private sector representatives, 10 from each country. The Canadian Council of Chief Executives (CCCE) serves as the secretariat to the Canadian members of the NACC. • Ministers asked the NACC to propose recommendations on issues of immediate importance as well as strategic medium and long-term advice to SPP Ministers and Leaders. • The NACC identified border crossing facilitation, standards and regulatory cooperation, and energy integration as priority areas for the SPP.

6. SPP: Strategic Context • A highly integrated post-NAFTA North American economy features continental supply chains and just-in-time shipments. • Requires smart borders to move goods and people securely and efficiently • Canadian and North American competitiveness are being challenged by factors at home and abroad: • Regulatory differences that impede Canadian productivity, competitiveness and investments • Globalization/intense intra-firm competition is changing the bottom line for governments and businesses • Other regions are not standing still (e.g. expanding European Union, China)

7. SPP: Update • On February 23, 2007, SPP Ministerial Meeting was held. SPP Ministers: • Requested that by the next Leaders’ Summit, the Trilateral Regulatory Cooperation Framework, meant to enhance competitiveness, while maintaining high standards of health and safety, as well as the Intellectual Property Rights Strategy, be finalized. • Directed the members of the Coordinating Body to finalize the North American Plan on Avian and Pandemic Influenza by June 2007. • Tasked officials to establish a senior level coordinating body to prioritize and oversee emergency management activities in: 1) emergency response; 2) critical infrastructure protection; 3) border resumption in the event of an emergency; and 4) border incident management. • Tasked officials to develop additional recommendations on the Smart, Secure Border agenda for presentation to Leaders. • Encouraged greater coordination amongst working groups and initiatives in recognition that many issues cut across security and prosperity.

8. SPP: Update (cont’d) • In addition, the NACC presented Ministers with its 51 recommendations prioritized by year of implementation (2007, 2008 and to 2010). The report is organized into three areas: • Border Crossing Facilitation – deals mostly with security agenda initiatives to improve the secure flow of goods and people across North American borders. • Standards and Regulatory Cooperation – calls for the completion of the North American Regulatory Cooperation Framework, and encourages competitiveness through greater regulatory compatibility in four key areas: food and agriculture; financial services; transportation, and intellectual property rights. • Energy Integration – addresses a range of challenges that all three countries face such as the development and deployment of clean energy technology.

9. Montebello Summit • On August 20-21, 2007, Leaders from Canada, the U.S. and Mexico met in Montebello, Québec. • Leaders identified five priorities for the coming year: • Enhancing Global Competitiveness of North America • Safe Food and Products • Sustainable Energy and the Environment • Smart and Secure Borders • Emergency Management and Preparedness • Leaders also asked Ministers to continue to seek input from interested stakeholders in determining future priorities • Leaders welcomed NACC recommendations, and look forward to continue dialogue • Leaders asked ministers to review SPP process, focus on priorities and deliver results.

10. Enhancing the Global Competitiveness of North America • Implement the Regulatory Cooperation Framework to enhance regulatory cooperation in key sectors • Automotive • Transportation • Information and Communication Technologies • Chemicals • Implement the Intellectual Property Action Strategy

11. Smart, Secure Borders • Need efficient and secure borders to enhance prosperity, security and quality of life • Leaders asked Ministers to draw on • Risk-based border management • Innovative use of new technologies • Coordinated border infrastructure development • Moving inspection and screening away from border, where possible

12. Smart, Secure Borders (cont’d) • Initiatives for the coming year include, but not limited to: • Cross-Border Radio Interoperability • Hold Baggage Screening • Enhanced benefits of trusted traveller programs (NEXUS, FAST) • Maintaining priority on development of enhanced capacity of the border crossing infrastructure in the Detroit-Windsor region

13. Montebello Summit: Accomplishments • North American Plan for Avian and Pandemic Influenza • Regulatory Cooperation Framework • Intellectual Property Action Strategy • Trilateral Agreement for Energy S&T

14. Montebello Summit: Accomplishments (cont’d) • Transportation-related • Reciprocal recognition of containers used for transportation of dangerous goods • Comprehensive Open-Skies air transport agreement • Improved ports surveillance in Canada through installation of radiation detection equipment • Improved security and predictability of travel documents resulting from Canada-U.S. approval of Recommended Standards for Secure Proof of Status and Nationality • Initiation of Canada-U.S. five-year program to harmonize automated commercial info systems to enhance and strengthen cargo security programs

15. Next Steps • Fall 2007/Winter 2008 • Implement Montebello priorities • Continued dialogue with the North American Competitiveness Council (NACC) • Consultations and communication • 2008 • North American Leaders’ Summit in the U.S. • Concrete deliverables on Montebello priorities

16. SPP: Additional Information www.spp-psp.gc.cawww.spp.govwww.sre.gob.mx/eventos/aspan