A. Country Data 1. Profile Population: 28,973,200 (1994 Estimate) Population Growth Rate: 1.4% (1994 Estimate) Religions: Catholic (42%); Protestant (40%) (1994 Estimate) Government System: Confederation with Parliamentary Democracy Prime Minister: Mr. Jean Chretien (Liberal Party) Official Languages: English and French Work Week: Monday to Friday, 9:00 am to 5:00 pm 2. Domestic Economy CANADIAN DOMESTIC ECONOMY (in billions of US$ unless otherwise indicated) ECONOMIC INDICATOR 1993 1994 (Estimate) 1995 (Estimate) GDP (Real) (US$ billions -- based on 1986 Canadian dollars) 442.4 429.7 447.0 GDP Growth Rate (%) 2.2 3.1 3.5 GDP Per Capita (Real) (US$ thousands) 15,361 14,715 15,101 Government Spending (as percentage of GDP) 50.5 49.9 51.4 Inflation (%) 1.8 0.6 1.9 Unemployment (%) 11.2 10.9 10.2 Foreign Exchange Reserves 12.8 N/A N/A Average Exchange Rate (C$1 = US$ X) 0.7753 0.7305 0.7342 Foreign Debt 342.4 N/A N/A Debt Service Ratio (Ratio of principal/interest payments on foreign debt to foreign income) -- -- -- U.S. Economic/ Military Assistance N/A N/A N/A 3. Trade CANADIAN TRADE STATISTICS (in millions of US$ unless otherwise indicated) 1993 1994 (first quarter annualized) 1995 (estimate) Exchange Rate (C$1 = US$X) 0.7753 0.7305 0.7342 Total Canadian Exports (goods & services) 172,165 165,432 N/A Total Canadian Imports (goods & services) 195,970 192,823 N/A Canadian Exports to U.S. (goods & services) 129,994 130,111 N/A U.S. Imports into Canada (goods & services) 131,665 131,025 N/A U.S. Share of Total Canadian Imports (%) (goods & services) 67.2 68.0 N/A Total Trade With World (goods & services) 368,135 358,255 N/A Total Trade With U.S. 261,659 261,136 N/A U.S. Share of Manufactured Imports 73.2 74.3 N/A Manufactured Goods Trade Balance with U.S. 15,240 15,341 N/A Projected Average Annual Growth Rate of Total Imports (through 1996) 14.4 8.0 N/A Projected Average Annual Growth Rate of U.S. Imports (through 1996) 18.4 11.3 N/A Total Canadian Imports of Agricultural Goods 7,739 7,500 7,700 Canadian Imports of U.S. Agricultural Goods 5,253 5,100 5,300 U.S. Share of Canadian Agricultural Goods Imports (%) 67.9% 68% 68.8% Canadian Agricultural Goods Trade Balance with U.S. -625 +100 +200 Canadian Merchandise Trade Balance with Three Leading Partners in 1993 United States +15.2 Japan -0.3 United Kingdom -1.2 Principal Canadian Exports to U.S. in 1993 (Top five, by 4-digit H.S. Code) H.S. 8708 Motor Vehicle Parts 10.6 H.S. 8703 Motor Vehicles 6.7 H.S. 8408 Internal Combust. Engines 3.9 H.S. 8471 Auto. Data Proc. Machines 3.4 H.S. 8481 Valves - Thermionic, Cold Cathode, Photocathode 3.2 Principal Canadian Imports from U.S. in 1993 (Top five, by 4-digit H.S. Code) H.S. 8703 Cars/Other Motor Vehicles 18.4 H.S. 8704 Trucks/Special Vehicles 7.6 H.S. 8708 Motor Vehicle Parts 6.1 H.S. 4802 Paper & Paperboard 5.7 H.S. 2709 Crude Oil 5.0 Sources: Office of Canada, Statistics Canada, U.S. Embassy - Ottawa 4. Investment TABLE I FOREIGN DIRECT INVESTMENT STATISTICS Stock of FDI in Canada By Country of Ownership (in billions of Canadian dollars) 1983 - 1993 YEAR UNITED STATES UNITED KINGDOM OTHER TOTAL 1983 59.7 7.9 12.1 79.7 1984 64.8 8.4 12.8 86.0 1985 67.9 8.6 13.9 90.4 1986 69.2 11.3 15.6 96.1 1987 74.4 13.1 19.1 106.6 1988 76.6 16.5 21.8 114.9 1989 81.0 16.5 25.9 123.4 1990 84.3 18.2 29.0 131.5 1991 86.5 17.1 32.4 136.0 1992 88.5 17.5 32.9 138.9 1993 94.6 17.9 33.4 145.9 Source: Statistics Canada TABLE II FOREIGN DIRECT INVESTMENT STATISTICS Stock of FDI in Canada By Industry Group (in billions of Canadian dollars) 1987 - 1992 SECTOR 1987 1988 1989 1990 1991 1992 Finance/Insurance 18.2 20.5 22.8 24.6 25.7 26.3 Energy 20.7 21.8 20.8 22.1 22.2 20.8 Chemicals/Chemical Products 9.0 10.2 12.0 13.5 14.2 15.2 Transportation Equipment 12.6 12.1 12.9 13.1 12.9 12.7 Food/Beverage/Tobacco 7.5 8.4 8.1 9.2 10.1 11.1 Minerals/Metal Products 6.1 7.9 8.5 9.8 10.3 10.4 Wood and Paper 5.3 5.6 7.5 7.8 8.0 8.9 Electrical and Electrical Products 6.6 7.0 7.1 7.5 7.8 8.0 Construction 6.5 6.5 7.1 6.5 6.6 6.1 Consumer Goods/Services 4.5 4.6 4.8 5.1 5.5 6.2 Machinery/Equipment 4.3 4.5 5.0 5.3 5.3 5.5 Transportation/Communication1.9 2.1 2.6 3.2 3.3 3.7 Other 3.4 3.7 4.4 4.0 4.2 4.2 Total 106.6 114.9 123.4 131.5 136.0 138.9 Source: Statistics Canada TABLE III FOREIGN DIRECT INVESTMENT STATISTICS Stock of U.S.-Owned FDI in Canada By Industry Group (in billions of Canadian dollars) 1987 - 1992 SECTOR 1987 1988 1989 1990 1991 1992 Energy 14.9 15.5 14.1 14.2 13.7 12.6 Finance/Insurance 9.3 10.1 11.0 12.1 12.7 12.7 Transportation Equipment 10.6 9.9 10.4 10.6 10.5 10.2 Chemicals/Chemical Products 7.1 7.8 8.6 8.8 9.6 10.6 Food/Beverage/Tobacco 5.4 4.6 4.8 5.4 6.4 7.1 Electrical and Electrical Products 5.6 5.9 6.0 6.0 5.9 6.0 Wood and Paper 2.5 3.0 5.3 5.7 5.6 6.2 Minerals/Metal Products 4.5 5.0 4.5 5.3 5.2 5.4 Consumer Goods/Services 3.3 3.5 3.5 3.6 4.1 4.7 Machinery/Equipment 3.5 3.6 3.8 4.1 4.0 4.1 Transportation/Communication1.6 1.8 2.2 2.6 2.8 3.1 Construction 3.7 3.4 3.8 3.5 3.2 3.0 Other 2.5 2.6 2.9 2.7 2.8 2.9 Total 74.4 76.6 81.0 84.3 86.5 88.5 Source: Statistics Canada TABLE IV FOREIGN DIRECT INVESTMENT STATISTICS Stock of Canadian Direct Investment Abroad By Location (in billions of Canadian dollars) 1983 - 1993 YEAR UNITED STATES UNITED KINGDOM OTHER EC JAPAN OTHER OECD ALL OTHER TOTAL 1983 28.6 3.1 1.9 0.2 2.0 6.5 42.3 1984 34.7 3.5 2.1 0.3 2.0 7.5 50.1 1985 39.6 4.4 2.9 0.3 2.3 7.8 57.2 1986 42.0 4.7 3.2 0.5 2.1 9.0 61.5 1987 46.0 6.7 4.1 0.4 2.4 10.7 70.3 1988 48.9 7.6 4.8 0.5 3.1 11.2 76.1 1989 52.8 9.7 5.9 0.5 3.7 11.7 84.3 1990 55.4 11.8 6.7 0.9 4.0 12.6 91.5 1991 58.4 13.4 8.1 2.3 3.6 15.3 101.1 1992 61.5 11.4 9.3 2.6 4.0 17.8 106.5 1993 65.1 12.4 10.3 3.0 4.9 19.7 115.4 Source: Statistics Canada TABLE V FOREIGN DIRECT INVESTMENT STATISTICS Stock of Canadian Direct Investment Abroad By Industry Group (in billions of Canadian dollars) 1987 - 1992 SECTOR 1987 1988 1989 1990 1991 1992 Finance/Insurance 15.0 17.0 19.5 21.8 24.4 26.7 Minerals/Metal Products 11.3 12.4 11.9 13.3 13.9 15.3 Communications 5.1 5.1 7.9 7.5 8.4 10.0 Food/Beverage/Tobacco 5.2 5.5 7.0 7.6 8.1 8.7 Energy 6.0 6.0 6.4 7.0 7.6 7.9 Electrical and Electrical Products 3.4 4.0 4.5 5.1 7.1 8.4 Chemicals/Chemical Products 5.4 5.8 6.2 7.0 7.9 7.8 Transportation 3.0 3.5 4.6 5.0 5.3 5.4 Construction 5.6 5.3 5.9 6.8 7.1 4.7 Wood and Paper 2.8 3.0 3.3 3.5 3.4 3.5 Consumer Goods/Services 3.7 3.8 1.9 1.4 2.8 2.8 Transportation Equipment 1.5 1.7 2.0 2.0 2.1 2.4 Accommodation/Restaurants 1.6 1.8 1.9 1.9 2.1 2.1 Other 0.5 0.5 0.6 0.6 0.6 0.5 Machinery/Equipment 0.5 0.7 1.0 1.1 0.4 0.4 Total 70.3 76.1 84.3 91.5 101.1 106.5 Source: Statistics Canada TABLE VI FOREIGN DIRECT INVESTMENT STATISTICS Stock of Canadian Direct Investment in the United States By Industry Group (in billions of Canadian dollars) 1987 - 1992 SECTOR 1987 1988 1989 1990 1991 1992 Finance/Insurance 5.9 7.4 8.6 9.3 9.8 10.4 Minerals/Metal Products 6.6 7.1 6.4 7.1 7.8 8.5 Communications 3.8 3.8 6.2 5.7 6.2 7.1 Chemicals/Chemical Products 4.8 5.2 5.6 6.2 6.5 6.0 Electrical and Electrical Products 2.5 3.3 3.6 3.9 4.4 5.8 Food/Beverage/Tobacco 3.1 3.0 4.0 4.5 4.3 4.7 Energy 3.8 4.1 4.4 4.8 4.8 4.4 Construction 5.3 4.8 4.5 4.6 4.5 4.1 Transportation Services 2.7 3.0 3.4 3.8 3.3 3.3 Wood and Paper 1.8 1.8 2.1 2.2 2.0 1.9 Consumer Goods/Services 2.9 3.1 1.1 0.5 1.8 1.9 Accommodation/Restaurants 1.5 1.4 1.4 1.4 1.6 1.6 Transportation Equipment 0.8 0.5 0.5 0.6 0.8 1.1 Other 0.4 0.4 0.5 0.5 0.4 0.4 Machinery/Equipment 0.2 0.2 0.5 0.5 0.2 0.4 Total 46.0 48.9 52.8 55.4 158.4 161.5 Source: Statistics Canada