• Canada–U.S. trade supported 7.1 million U.S. jobs
• Total Canada–U.S. merchandise trade: $535 billion
• Bilateral Canada-Alaska trade in metals was valued at $422 million
• Canada's role in the Alaska economy directly accounts for more than 3,100 jobs and $165 million in payroll annually

A Close Relationship

Canada represents Alaska’s fourth largest export market after Japan, China, and South Korea. Canada received 12% of the state’s total foreign exports in 2007, worth $516 million. Because of continuing strong commodity prices globally, bilateral trade between Alaska and Canada grew by 14% in 2007, reaching $994 million.

Metals and mining

Metals remained Alaska’s largest export to Canada, generating $365 million for the state in 2007, with Canadian companies in Alaska playing a major role in their extraction. Though ore products like zinc from the Canadian joint venture Red Dog mine dominated this category, precious metals and alloys exports such as gold were valued at $2 million. In exchange, metals accounted for 12% of Alaska’s imports from Canada. Canadian know-how continues to keep the mining industry humming in Alaska. Alaska’s resource development industries relied on Canadian companies, who sold $36 million in mining machinery in 2007, or nearly 8% of all imports.

A wealth of nature

Alaska’s export economy remains closely tied to the development of its abundant natural resources, including fisheries. Canada continues to be a strong market for the state’s seafood products. In 2007, Alaskan fish and seafood exports to Canada amounted to $96 million, a growth of 14% over the previous year.

Energized trade

The state imported $87 million worth of petroleum and coal products — 18% of its total purchases from Canada in 2007 — making it Alaska’s leading Canadian import. In return, Alaskans sold $25 million in fuel oil to Canada during the same period.

Building in the north

Canada–Alaska Success Stories

Teck Cominco Alaska Inc. owns and operates the world’s largest lead and zinc mine, which produces more than 1 million tons of concentrates at its Alaska facility in the Northwest Borough. Red Dog was created under an agreement with the NANA Regional Corp., an Alaska Native Corporation, and has hired more than 1,000 NANA shareholders since 1989 and employs 480 year-round workers. The mine generates $46 million in total wages annually and remains the largest employer in this sparsely populated region of Alaska.

Other Canadian companies are forming successful ventures with Alaska Native-owned businesses. In 2000, the Arctic Slope Regional Corp. (ASRC) subsidiary ASRC Energy Services acquired Calgary-based Tri Ocean Engineering Ltd., an engineering firm for the energy sector with 400 employees world-wide. Two Canadian companies, NovaGold and Barrick Gold Corporation, are partners in a gold mining project called Donlin Creek in Western Alaska, leasing from the Native corporations called Calista Corp. and Kuskokwim Corp. In 2006, 236 of the on-site employees at Donlin Creek were Calista shareholders or their descendants.

The historic White Pass & Yukon Route railway, built in 1898 during the Klondike Gold Rush, is a narrow gauge railroad running through some of Alaska and Canada’s most beautiful scenery. Re-opened in 1988 for tourism, it has become Alaska’s most popular shore excursion. In 2006, it carried more than 430,000 passengers from May to September from Skagway, Alaska to neighboring British Columbia.

Energy exploration also has attracted Canadian investment. Petro-Canada holds a net land position of 1 million acres in the Alaska Foothills and a net acreage on the National Petroleum Reserve-Alaska (NPR-A) of 500,000 acres. All told, investment through 2007 amounts to $200 million. FEX L.P., a subsidiary of Talisman Energy Inc., is leasing about 1.2 million acres in the NPR-A, operating on behalf of Petro-Canada. FEX also has spent another $100 million on recent seismic work.

June 2008

Tourism

• 95,800 Alaska visits by Canadians, $79 million spent
• 99,400 Alaska visits to Canada, $49 million spent

Jobs

• Alaska jobs supported by Canada–U.S. trade: 19,250

Merchandise Trade

• Exports to Canada: $516 million
• Imports from Canada: $478 million
• Bilateral trade: $994 million

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Merchandise trade and tourism figures are from Statistics Canada, converted at the rate of US$1.00=C$1.0749. Merchandise trade is based on total exports and imports for the year 2007. Job numbers are based on 2005 data from a 2006 study commissioned by the Canadian Embassy. Canada’s export ranking is from the World Institute for Strategic Economic Research (WISER). All figures are in U.S. dollars. Figures may not add up due to rounding.