Arizona-Canada trade news

Arizona International Growth Group convention in Scottsdale,  2012
Arizona International Growth Group convention in Scottsdale, 2012

Bombardier continues Tucson growth

Montreal-based aircraft manufacturer Bombardier Aerospace has recently expanded maintenance capacity at its commercial aircraft service center in Tucson, Arizona. The center opened three new lines of maintenance for its Q400 and Q400 NextGen turboprops to support long-term maintenance agreements with North American carriers. The new lines are housed in an existing hangar space in the 1.1+ million square-foot Tucson facility. Since it opened in 1976, the center has included completion work and has evolved into a center of excellence for aircraft maintenance services, modifications, inspections, refurbishment, fly-in repairs and aircraft-on-ground service. The Tucson center now employs close to 900 skilled aerospace professionals.

A Northern solution to a Southwestern challenge

Despite an abundance of the resource, water management is a vital issue in Canada, as in Arizona, and Canada has developed significant expertise in this sector. EPCOR Water (USA) Inc., a wholly owned subsidiary of Edmonton, Alberta-based EPCOR Utilities Inc., builds, owns and operates water and wastewater treatment facilities and infrastructure in the Southwest US. Headquartered in Phoenix and employing approximately 265 local workers, EPCOR USA owns regulated utilities providing water service to approximately 193,000 customers across 14 municipalities and six counties in Arizona and New Mexico, making it the largest private, regulated water utility in both states. In April 2012, EPCOR USA acquired substantially all the assets of the North Mohave Valley Corp., which will add approximately 2,000 customer connections in the Bullhead City area, pending regulatory approval.

Canada & the Coyotes

Ice Arizona, a group of investors led by several Canadian businessmen, purchased the National Hockey Leagues’ Phoenix Coyotes in August 2013 for $170 million. The new owners also agreed to a new 15-year, $225 million lease of the Jobing.com Arena in Glendale and are committed to enhancing the team’s regional reach and profitability in order to ensure the Coyotes’ long-term presence in Arizona. The Coyotes will now be playing in the Pacific Division with three other Canadian teams, which should garner increased ticket sales from the over 700,000 Canadian “Snowbirds” and tourists who flock annually to Arizona, mainly during the winter months.

Foreign Export Markets

% foreign-bound goods sold to Canada: 12%

Merchandise trade

Arizona exports to Canada: $2.2 billion

Arizona imports from Canada: $1.5 billion

Bilateral trade: $3.7 billion

Tourism

Arizona visits by Canadians: 895,900; $923 million spent

Arizona visits to Canada: 182,200; $105 million spent

Jobs

# jobs that depend on trade with Canada: 117,300

# employed by Canadian-owned businesses: 14,900

Top exports

Aircraft: $303 million

Vegetables: $223 million

Optical, medical & precision instruments: $100 million

Fruits & nuts: $79 million

Soaps, candles & waxes: $71 million

Trucks: $67 million

Telecommunications parts: $57 million

Office machines & parts: $53 million

Automobiles: $46 million

Telephones & AV recording equipment: $40 million

Computers: $33 million

Firearms & ammunition: $33 million

Plastics & plastic articles: $30 million

Top imports

Aircraft: $292 million

Plastics & plastic articles: $77 million

Softwood lumber: $54 million

Optical, medical & precision instruments: $52 million

Furniture & bedding: $40 million

Aircraft parts: $37 million

Telephones & AV recording equipment: $31 million

Wood & semi-finished wood products: $30 million

Engines & turbines: $24 million

Hoists, derricks & lifting equipment: $23 million

Trucks: $21 million

Paper & paperboard: $17 million

Motor vehicle parts: $17 million

Arizona exports to Canada

Equipment & machinery (42%)

Transportation (21%)

Agriculture (16%)

Minerals & metals (8%)

Chemicals (6%)

Plastics & rubbers (2%)

Other (6%)

Arizona imports from Canada

Equipment & machinery (27%)

Transportation (26%)

Forest products (8%)

Agriculture (6%)

Minerals & metals (6%)

Plastics & rubbers (6%)

Other (22%)

November 2013

Unless otherwise mentioned, all figures are based on 2012 data in U.S. dollars (US$1.00=C$0.9996). Statistics Canada: tourism, based on combined same-day and overnight travel (5/2013 release); goods & services trade (3/2013 release). World Institute for Strategic Economic Research (WISER): Canada’s export ranking (2/2013 release).U.S. Census Bureau: trade (2/2013 release). Services trade data not available at a sub-national level. Services trade data not available at a sub-national level. Job numbers are from a 2012 study commissioned by the Government of Canada, based on 2010 data. Figures may not add up due to rounding. Produced by the Embassy of Canada in Washington, D.C.

Highlights

117,300 Arizona jobs depend on trade with Canada

14,900 Arizonans are employed by Canadian-owned businesses

Total Canada–Arizona goods trade: $3.7 billion

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