U.S. Department of State
Background Notes:  Canada, November 1995
Bureau of Public Affairs

November 1995
Official Name:  Canada 
 
PROFILE
 
Geography
 
Area:  9.9 million sq. km. (3.8 million sq. mi.); second-largest country 
in the world. 
Cities:  Capital--Ottawa (pop. 833,000).  Other cities--Toronto (3.5 
million), Montreal (2.9 million), Vancouver (1.4 million). 
Terrain:  Mostly plains with mountains in the west and lowlands in the 
southeast. 
Climate:  Temperate to arctic.
 
People
 
Nationality:  Noun and adjective--Canadian(s). 
Population (1994):  29 million. 
Annual growth rate:  1.5%.  
Ethnic groups:  British 28%, French 23%, other European 15%, 
Asian/Arab/African 6%, indigenous Indian and Eskimo 2%, mixed background 
26%. 
Religions:  Roman Catholic 46%, Protestant 41%. 
Languages:  English, French. 
Education:  Literacy--99% of population aged 15 and over have at least a 
ninth-grade education. 
Health:  Infant mortality rate--7/1,000.  Life expectancy--75 yrs. male, 
82 yrs. female. 
Work force (14.8 million, 1994):  Trade--18%.  Manufacturing--15%.  
Transportation and communications--8%.  Finance--7%.  Public 
administration--7%.  Construction--6%.  Agriculture--4%.  Forestry and 
mining--2%.  Other services--33%.
 
Government
 
Type:  Confederation with parliamentary democracy. 
Independence:  July 1, 1867. 
Constitution:  The amended British North America Act of 1867 patriated 
to Canada on April 17, 1982, Charter of Rights and Freedoms, and 
unwritten custom. 
Branches:  Executive--Queen Elizabeth II (head of state, represented by 
a governor general), prime minister (head of government), cabinet.  
Legislative--bicameral parliament (104-member Senate, 295-member House 
of Commons).  Judicial--Supreme Court. 
Political parties:  Liberal Party, Bloc Quebecois, Reform Party, New 
Democratic Party, Progressive Conservative Party. 
Subdivisions:  10 provinces, 2 territories.
 
Economy
 
GDP (1994):  $548 billion. 
Annual real growth rate:  4.6%. 
Per capita GDP (1994):  $18,700. 
Natural resources:  Petroleum and natural gas, hydroelectric power, 
metals and minerals, fish, forests, wildlife. 
Agriculture:  Products--wheat, livestock and meat, feed grains, oil 
seeds, dairy products, tobacco, fruits, vegetables. 
Industry:  Types--motor vehicles and parts, machinery and equipment, 
aircraft and components, other diversified manufacturing, fish and 
forest products, processed and unprocessed minerals. 
Trade (1994):  Merchandise exports--$160 billion:  motor vehicles and 
parts, lumber, wood pulp and newsprint, crude and fabricated metals, 
natural gas, crude petroleum, wheat; partners--U.S. 84%, EU 5%, Japan 
4%.  Merchandise imports--$148 billion:  motor vehicles and parts, 
industrial machinery, crude petroleum, chemicals, agricultural 
machinery; partners--U.S. 74%, EU 5%, Japan 4%.
 
U.S.-CANADIAN RELATIONS
 
U.S.-Canadian relations are close and cooperative, although occasional 
differences occur; the bilateral relationship is varied and complex.  Of 
Canada's 29 million people, 80% live within 160 kilometers (100 mi.) of 
the U.S. border.  Investment and trade issues are a major feature of 
U.S.-Canadian relations (see Trade and Investment).

Canada and the U.S. also work closely through multilateral forums.  
Canada--a charter signatory to the United Nations and to the North 
Atlantic Treaty Organization (NATO)--has continued to take an active 
role in the United Nations, including peacekeeping operations.  It is a 
NATO member and also an active participant in discussions stemming from 
the Organization for Security and Cooperation in Europe (OSCE).  Canada 
joined the Organization of American States in 1990 and has been an 
active member.  It seeks to expand its economic ties across the Pacific 
through membership in the Asia-Pacific Economic Cooperation forum 
(APEC), of which the U.S. also is a member.

Although Canada views its relationship with the U.S. as crucial to a 
wide range of interests--and while it has worked to remain anchored in 
the West--it also has pursued policies that occasionally accentuate its 
independence from the United States.  These included Canada's early 
"normalization" of relations with Fidel Castro's Cuba and the People's 
Republic of China, as well as strong Canadian opposition to U.S. 
involvement in the war in Vietnam.  

U.S. defense arrangements with Canada are more extensive than with any 
other country.  The Permanent Joint Board on Defense, established in 
1940, provides policy-level consultation on bilateral defense matters.  
The United States and Canada share NATO mutual security commitments.  As 
the only other non-European ally, Canada participates in NATO commands 
in Europe and the North Atlantic.

In addition, U.S. and Canadian military forces have cooperated since 
1958 on continental air defense within the framework of the North 
American Aerospace Defense Command, an integrated, bilateral military 
command that exercises operational control over U.S. and Canadian air 
defense forces and also provides early warning information on possible 
air and missile attacks on North America.  Canada and the U.S. work 
closely in defense research and production.

The two countries work closely to resolve transboundary environmental 
issues, an area of increasing importance in the bilateral relationship.  
A principal instrument of this cooperation is the International Joint 
Commission, established in 1909 to promote international environmental 
cooperation.  The Great Lakes Water Quality Agreement of 1987, aimed at 
preserving and enhancing the water quality of the Great Lakes, is a 
historic example of joint cooperation in controlling transboundary water 
pollution.  The two governments also consult semi-annually on 
transboundary air pollution.  Under the Air Quality Agreement of 1991, 
both countries have made substantial progress in coordinating and 
implementing their acid rain control programs. 
 
Trade and Investment
 
Canada and the U.S. each serve as the largest market for the other's 
goods.  Like the United States, Canada enjoyed significant postwar 
economic growth and prosperity.  Cooperative economic efforts have 
included the 1965 Auto Pact, which created a largely integrated two-
country market for automobiles, and defense economic arrangements, which 
diminish obstacles to trade and technology exchange and encourage a 
balance of trade in defense-related areas.

Canada's trade with the U.S. increased by about 50% between 1989--when 
the Free Trade Agreement (FTA) went into effect--and 1994, when the 
North American Free Trade Agreement (NAFTA) superseded it.  NAFTA--which 
took effect on January 1, 1994--continues the FTA's moves toward 
removing all tariffs and virtually all import and export restrictions.  
It also resolves some long-standing bilateral irritants and liberalizes 
rules in several areas, including agriculture, services, energy, 
financial services, investment, and government procurement.  NAFTA forms 
the largest trading area in the world, embracing the 380 million people 
of the three North American countries.

The value of U.S.-Canadian merchandise trade for 1994 was about $243 
billion, more than that between any other two countries in the world.  
Growth trends are expected to continue under NAFTA, which while 
continuing FTA liberalizations, also extends trade openings to new areas 
such as financial services.

Almost one-third of U.S.-Canadian trade is in the automotive sector.  
Under the 1965 U.S.-Canada Automotive Agreement (Auto Pact)--which 
provided for free trade in cars, trucks, and auto parts--two-way trade 
in automotive products rose from $715 million in 1964 to $23 billion by 
1978.  In 1980-81, it declined to about $18 billion, but it rose to $58 
billion in 1992.  Auto Pact benefits are incorporated in NAFTA.

The U.S. is Canada's leading agricultural market, taking nearly one-
third of all food exports.  Conversely, Canada is the second-largest 
U.S. agricultural market (after Japan), primarily importing fresh fruits 
and vegetables and livestock products.

Nearly two-thirds of Canada's forest products--including pulp and paper-
-is exported to the United States; almost 75% of Canada's total 
newsprint production is exported to the United States.

The United States imports over 2 trillion cubic feet, or 12% of its 
natural gas requirements, from Canada.  Canada is the largest energy 
supplier for the U.S.

Energy and transportation problems--such as natural gas trade and 
trucking regulations--can be nettlesome, although such issues usually 
have been successfully managed or resolved through bilateral 
consultative forums.  Canada and the United States signed an aviation 
agreement during President Clinton's visit to Canada in February 1995, 
and flights have increased accordingly.

The United States and Canada have resolved several major issues 
involving fisheries.  By common agreement, the two countries submitted a 
Gulf of Maine boundary dispute to the International Court of Justice in 
1981; both accepted the court's October 12, 1984, ruling which 
demarcated the territorial sea boundary.  In 1990, the United States and 
Canada signed a bilateral Fisheries Enforcement Agreement which has 
served to deter illegal fishing activity and reduce the risk of injury 
during fisheries enforcement incidents.  Their success in achieving a 
Pacific salmon treaty in 1985 has been tempered by difficulties in 
negotiating multi-year extensions of its constituent fisheries regimes. 

The U.S. is Canada's largest foreign investor; at the end of 1994, the 
stock of U.S. direct investment in Canada was estimated at $70 billion, 
or about 65% of total foreign direct investment in Canada.  U.S. 
investment is primarily in Canada's mining and smelting industries, 
petroleum, chemicals, the manufacture of machinery and transportation 
equipment, and finance.

Canada's investment exposure in the United States is substantial.  At 
the end of 1994, the stock of Canadian direct investment in the United 
States was estimated at $49 billion, or 6% of total foreign direct 
investment in the United States.  Canadian investment in the United 
States is concentrated in manufacturing, wholesale trade, real estate, 
and petroleum, with recent growth in investment in services.
 
Principal U.S. Embassy Officials
 
Ambassador--James Blanchard 
Deputy Chief of Mission--James Walsh 
Minister-Counselor for Political Affairs--David Jones 
Minister-Counselor for Economic Affairs--Marshall Casse 
Minister-Counselor for Public Affairs--Gail Gulliksen 
Minister-Counselor for Commercial Affairs (acting)--Dale Slaght 
 
The U.S. embassy in Canada is located at 100 Wellington Street, Ottawa 
(tel. 613-238-5335).
 
GOVERNMENT
 
Canada is a constitutional monarchy with a federal system, a 
parliamentary government, and strong democratic traditions.  Many of the 
country's legal practices are based on unwritten custom, but the federal 
structure resembles the U.S. system.  The 1982 Charter of Rights 
guarantees basic rights in many areas.

Queen Elizabeth II, as Queen of Canada, serves as a symbol of the 
nation's unity.  She appoints a governor general on the advice of the 
prime minister of Canada, usually for a five-year term.  The prime 
minister is the leader of the political party in power and is the head 
of the cabinet.  The cabinet remains in office as long as it retains 
majority support in the House of Commons on major issues.

Canada's parliament consists of an elected House of Commons and an 
appointed Senate.  Legislative power rests with the 295-member Commons, 
which is elected for a period not to exceed five years.  The prime 
minister may ask the governor general to dissolve parliament and call 
new elections at any time during that period.  Federal elections were 
last held in October 1993.  Vacancies in the 104-member Senate, whose 
members serve until the age of 75, are filled by the governor general on 
the advice of the prime minister.  Recent constitutional initiatives 
have sought unsuccessfully to strengthen the Senate by making it 
elective and assigning it a greater regional representational role.

Criminal law, based largely on British law, is uniform throughout the 
nation and is under federal jurisdiction.  Civil law is also based on 
the common law of England, except in Quebec, which has retained its own 
civil code patterned after that of France.  Justice is administered by 
federal, provincial, and municipal courts.

Each province is governed by a premier and a single, elected legislative 
chamber.  A lieutenant-governor appointed by the governor general 
represents the Crown in each province.
 
Principal Government Officials
 
Chief of State--Queen Elizabeth II 
Governor General--Romeo LeBlanc 
Prime Minister--Jean Chretien 
Minister of Foreign Affairs--Andre Ouellet 
Ambassador to the United States--Raymond Chretien 
Ambassador to the United Nations--Robert Fowler 
 
Canada maintains an embassy in the United States at 501 Pennsylvania 
Avenue, NW, Washington, DC  20001 (tel. 202-682-1740).
 
POLITICAL CONDITIONS
 
Canada's current Liberal government was elected on October 25, 1993, 
when it won 178 of 295 seats in parliament.  This center-left party had 
formed the official opposition to the moderate Progressive Conservative 
Party (Tories), which governed Canada from 1984 to 1993.  Broad popular 
disenchantment with the former Mulroney government led to the Tories' 
near-total displacement by two regional opposition parties--the 
sovereignist Bloc Quebecois (with 54 seats) and the Western Reform Party 
(with 52 seats), a popularly based conservative movement focused on law-
and-order issues, fiscal responsibility, and institutional reform.

Federal-provincial interplay is a central feature of Canadian politics:  
Quebec wishes to preserve and strengthen its distinctive nature; western 
provinces desire more control over their abundant natural resources, 
especially energy reserves; industrialized central Canada is concerned 
with economic development; and the Atlantic provinces have resisted 
federal claims to fishing and mineral rights off their shores.

Canadians have responded to these different regional needs by trying to 
strengthen both their confederation and the fundamental democratic 
principles essential to a balanced federal-provincial political system.  
But the setbacks of recent years--such as the June 1990 failure to 
ratify the 1987 Meech Lake accord and the October 1992 rejection by 
voters of another constitutional formula--have made this process more 
difficult.
 
National Unity
 
Canada's early history was dominated by rivalry between France and 
Britain.  For more than a century, Canada was a French colony.  Although 
New France came under British control in 1759, it was permitted to 
retain its religious and civil code.  Canada is still trying to find a 
constitutional formula that will satisfy the aspirations of the French-
speaking province of Quebec.

The early 1960s saw a new assertiveness and heightened sense of identity 
among the French-speaking Quebeckers, who make up about one-quarter of 
Canada's population.  In 1976, the separatist Parti Quebecois won the 
provincial election and began to explore a course for Quebec of greater 
independence from the rest of Canada.

In a 1980 referendum, the Parti Quebecois sought a mandate from the 
people of Quebec to negotiate a new status of "sovereignty-association," 
combining political independence with a continued economic association 
with the rest of Canada.  Sixty percent of Quebec voters rejected the 
proposal.

An agreement between the federal government and all provincial 
governments--except Quebec--led to Canada assuming from the United 
Kingdom, in 1982, full responsibility for its own constitution.  Quebec 
objected to certain aspects of the new arrangement, including a 
constitutional amending formula that did not require consensus among all 
provinces.  The 1987 Meech Lake Accord sought to address Quebec's 
concerns in order to bring it into Canada's new constitutional 
framework.  Quebec's provincial government, then controlled by 
federalists, strongly endorsed the accord, but lack of support in 
Newfoundland and Manitoba prevented the agreement from taking effect.  
Rejected in its bid for special constitutional recognition, Quebec's 
provincial government authorized a second sovereignty referendum.

Intense negotiations among Quebec, the federal government, and other 
provinces led to drafting a second proposed constitutional accord in 
1992, the Charlottetown Accord.  Despite near-unanimous support from the 
country's political leaders, this second effort at constitutional reform 
was defeated in Quebec and the rest of Canada in an October 1992 
nationwide referendum.

Tired of the country's seemingly interminable constitutional deadlock, 
many Canadians today prefer to focus on economic issues.  Nonetheless, 
the election of the sovereignist Bloc Quebecois as Canada's official 
opposition in 1993 and the subsequent election of the separatist Parti 
Quebecois as Quebec's provincial government in September 1994 kept 
national unity in the forefront of political debate and resulted in a 
call for another referendum on the issue.

This referendum, held in Quebec on October 30, 1995, resulted in a 
narrow (50.56% to 49.44%) victory for Canadian federalists over Quebec 
sovereignists.  Quebec's status thus remains a serious political issue 
in Canada.
 
TRAVEL AND BUSINESS INFORMATION
 
The U.S. Department of State's Consular Information Program provides 
Travel Warnings and Consular Information Sheets. Travel Warnings are 
issued when the Department of State recommends that Americans avoid 
travel to a certain country. Consular Information Sheets exist for all 
countries and include information on immigration practices, currency 
regulations, health conditions, areas of instability, crime and security 
information, political disturbances, and the addresses of the U.S. 
embassies and consulates in the subject country. They can be obtained by 
telephone at (202) 647-5225 or by fax at (202) 647-3000. To access the 
Consular Affairs Bulletin Board by computer, dial (202) 647-9225, via a 
modem with standard settings. Bureau of Consular Affairs' publications 
on obtaining passports and planning a safe trip abroad are available 
from the Superintendent of Documents, U.S. Government Printing Office, 
Washington, DC, tel. 20402 (202) 783-3238. 
 
Emergency information concerning  Americans traveling abroad may be 
obtained from the Office of Overseas Citizens Services at (202) 647-
5225.  
 
While planning a trip, travelers can check the latest information on 
health requirements and conditions with the U.S. Centers for Disease 
Control and Prevention in Atlanta, Georgia. A hotline at (404) 332-4559 
provides telephonic or fax information on the most recent health 
advisories, immunization recommendations or requirements, and advice on 
food and drinking water safety for regions and countries. A booklet 
entitled Health Information for International Travel (HHS publication 
number CDC-94-8280, price $7.00) is available from the Superintendent of 
Documents, U.S. Government Printing Office, Washington, DC 20402, tel. 
(202) 512-1800. 
 
Information on travel conditions, visa requirements, currency and 
customs regulations, legal holidays, and other items of interest to 
travelers also may be obtained before your departure from a country's 
embassy and/or consulates in the U.S. (for this country, see "Principal 
Government Officials" listing in this publication). 
  
Upon their arrival in a country, U.S. citizens are encouraged to 
register with the U.S. embassy (see "Principal U.S. Embassy Officials" 
listing in this publication). Such information might assist family 
members in making contact en route in case of an emergency. 
 
Further Electronic Information: 
 
Consular Affairs Bulletin Board (CABB). Available by modem, the CABB 
provides Consular Information Sheets, Travel Warnings, and helpful 
information for travelers. Access at (202) 647-9225 is free of charge to 
anyone with a personal computer, modem, telecommunications software, and 
telephone line. 
 
Department of State Foreign Affairs Network. Available on the Internet, 
DOSFAN provides timely, global access to official U.S. foreign policy 
information. Updated daily, DOSFAN includes Background Notes; Dispatch, 
the official weekly magazine of U.S. foreign policy; daily press 
briefings; directories of key officers of foreign service posts; etc. 
DOSFAN is accessible three ways on the Internet: 
 
Gopher:  dosfan.lib.uic.edu 
URL:  gopher://dosfan.lib.uic.edu/ 
WWW:  http://dosfan.lib.uic.edu/dosfan.html 
 
U.S. Foreign Affairs on CD-ROM (USFAC). Published on a quarterly basis 
by the U.S. Department of State, USFAC archives information on the 
Department of State Foreign Affairs Network, and includes an array of 
official foreign policy information from 1990 to the present. Priced at 
$80 ($100 foreign), one-year subscriptions include four discs (MSDOS and 
Macintosh compatible) and are available from the Superintendent of 
Documents, U.S. Government Printing Office, P.O. Box 37194, Pittsburgh, 
PA 15250-7954. To order, call (202) 512-1800 or fax (202) 512-2250. 
 
Federal Bulletin Board (BBS). A broad range of foreign policy 
information also is carried on the BBS, operated by the U.S. Government 
Printing Office (GPO). By modem, dial (202) 512-1387. For general BBS 
information, call (202) 512-1530. 
 
National Trade Data Bank (NTDB). Operated by the U.S. Department of 
Commerce, the NTDB contains a wealth of trade-related information, 
including Country Commercial Guides. It is available on the Internet 
(gopher. stat-usa.gov) and on CD-ROM. Call the NTDB Help-Line at (202) 
482-1986 for more information.
 
============================== 
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State -- Bureau of Public Affairs -- Office of Public Communication -- 
Washington, DC 
 
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