U.S. to revive $5.50 tariff on Canadian travellers
By Laura Payton, CBC News
Posted: Oct 24, 2011 12:13 PM PT
Canadians visiting the U.S. by air or sea are going to have to swallow the return of a $5.50 tax that passed into law last Friday in a U.S.-Colombia free trade agreement.
Canadian and Mexican travellers to the U.S. are once again going to have to swallow a $5.50 tax if they enter the country by air or sea.
A U.S.-Colombia free trade deal, passed last Friday, includes a clause that removes an exemption from the tariff for travellers from Canada, Mexico and the Caribbean.
International Trade Minister Ed Fast says the Canadian government is disappointed.
"Raising taxes at the border just raises costs on consumers," he said in a statement. "Canadian officials have raised concerns about the removal of this exemption at the highest level. We will continue to raise Canada’s concerns with U.S. lawmakers."
Last week, U.S. Ambassador David Jacobson told a business crowd in Ottawa that a Buy American clause wouldn't hurt Canadian business as much as ongoing trouble in the U.S. economy. Jacobson said U.S. President Barack Obama's failed attempt at a stimulus bill would have improved the U.S. economy, which is the best way to help the Canadian economy.