【By Chen Sijia, Observers Network】Canada and Mexico are both neighbors of the United States and major trade partners. The tariff policies of U.S. President Trump have placed significant economic pressure on the two countries. According to a report by the New York Times on September 20, the leaders of Canada and Mexico are studying how to "bypass the United States" and promote trade between each other by increasing railway and port capacity, among other ways.

However, transportation experts point out that there is not much room for improvement in railway and shipping capacity between Canada and Mexico. He suggests that the two countries could consider developing creative transport methods such as cargo airships.

On September 18, Mexican President Sheinbaum and Canadian Prime Minister Trudeau met in Mexico City to discuss trade, security cooperation, and investment in areas such as mining, agriculture, and natural gas. At the end of the meeting, the two leaders issued a plan for cooperation in multiple fields, especially strengthening the development of ports, railways, and "energy corridors."

The report said this plan was clearly aimed at "bypassing the United States," promoting trade between Mexico and Canada, thus compensating for some of the losses caused by the "tariff wall" of the United States.

Before leaving Mexico, Trudeau visited the terminal station operated by the Canadian Pacific Kansas City Railway Company in Mexico on September 19. He and Canadian cabinet officials inspected wheat loaded on trains and watched the unloading process.

On September 18, Canadian Prime Minister Trudeau and Mexican President Sheinbaum met. Visual China

In 2023, the Canadian Pacific Railway Company acquired the Kansas City Southern Railway Company, expanding its railway network in the United States and extending the railway into Mexico. This merger has brought many conveniences for shippers transporting goods between Canada and Mexico, reducing delays in cargo transportation.

However, Barry Prentice, Director of the Transportation Research Institute at the University of Manitoba in Canada, told the New York Times that he believes there is not much room for improvement in railway transportation between Canada and Mexico.

Prentice said that the Canadian Pacific Kansas City Railway Company recently opened a new bridge at the border between Texas, USA, and Mexico, which not only increased the ability to transport goods by rail but also accelerated border inspection speeds. The Canadian National Railway Company has also reached an agreement with the Mexican railway company to allow the transportation of containers initially loaded on their tracks.

He said that without the participation of the United States, there is not much room for improvement in railway transportation between Canada and Mexico, "the infrastructure is basically in place."

The New York Times added that the original North American Free Trade Agreement (NAFTA) between the United States, Mexico, and Canada should have allowed Mexican trucks to travel throughout North America, but in reality, this was never implemented, leading to low transport efficiency.

In terms of shipping, Mexico has been striving to upgrade its port facilities, and Canada is also advancing the construction of a new container terminal in Montreal. However, Prentice pointed out that to establish an efficient and smooth north-south shipping route, the United States must first lift a long-standing ban that prohibits foreign ships from transporting goods between two U.S. ports.

He said, "If it's a Canadian or Mexican container ship, it cannot load and unload goods along the entire North American coast."

Regarding the need for Canada and Mexico to expand their trade relations, Prentice proposed a "very creative idea." He suggested that the two countries could consider developing airships.

"If we use our creativity, Canada and Mexico should each build large cargo airship hangars and support the development of cargo airships to expand the trade of perishable food between the two countries," Prentice said. "My research shows that cargo airships the size of Zeppelins can compete with semi-trailers."

On July 31, the leaders of the United States and Mexico announced that they had agreed to extend the US-Mexico tariff agreement for 90 days, maintaining the current 25% tariff on goods from Mexico outside the USMCA. Mexican goods also face a 25% tariff on car imports and a 50% tariff on metal products.

The United States also raised the tariff rate on Canadian goods exported to the U.S. from 25% to 35% starting August 1, but goods that meet the conditions for preferential tariffs under the USMCA are not affected by the latest tariff measures. Canadian goods also face a 25% tariff on cars and a 50% tariff on steel and aluminum.

The New York Times stated that for a long time, the economies of Canada and Mexico have relied on trade with the United States, but the economic ties between Canada and Mexico are very limited. They pay more attention to maintaining trade with the United States and rarely establish connections through the United States to each other. Last year, Mexico accounted for about 1% of Canada's export market, and Canada accounted for about 3% of Mexico's export market.

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