Ottawa and Gatineau mayors sign economic pact amid U.S. trade tensions

Following the collapse of a Canada-U.S. trade deal, the mayors of Ottawa and Gatineau have signed an economic co-operation pact to strengthen ties within the National Capital Region. Ottawa Mayor Mark Sutcliffe and Gatineau Mayor Maude Marquis-Bissonnette announced the agreement in response to the federal government's decision to implement dollar-for-dollar counter-tariffs against the United States.

The new pact aims to create a distinct economic zone, improve transportation links, promote tourism, and foster collaboration in the defense and cybersecurity sectors. Mayor Sutcliffe emphasized the need to remove long-standing bureaucratic barriers to interprovincial trade to bolster the local economy.

The trade tensions follow the imposition of 50 per cent tariffs by the United States on $28 billion worth of Canadian goods, including dairy, wood, paper, plastics, and electronics. In response, the Canadian government has announced $7.5 billion in support for businesses and workers affected by these measures, including the expansion of employment insurance and employee support programs.