FedEx Trade Index Finds Fees and Tariffs a
Significant Barrier to Canadian Importers and Exporters
MISSISSAUGA, ON, Nov. 13, 2019 /CNW/ - Canadian small and medium
businesses (SMEs) have made it clear that economic improvement and
international trade are closely linked, with 83 per cent agreeing
that increasing trade between Canada and other countries will improve the
economy overall. This comes from the 2019 FedEx Trade Index, a poll
conducted by Morning Consult on behalf of FedEx Express Canada, a
subsidiary of FedEx Corp (NYSE: FDX).
Despite a majority of SMEs (57 per cent) believing that
increasing the amount of trade between Canada and other countries will help their
business, only 37 per cent of Canadian SMEs are currently selling
goods online. This is in contrast with American counterparts, who
are doing more business online (44 per cent). While both Canadian
and US SMEs share the view that trade is important to the economy,
the poll confirms both are largely focused on local customers.
"These results are very clear when it comes to our country's
approach to trade," said Lisa
Lisson, President of FedEx Express Canada. "Put
simply, it is vital that SMEs and their ability to compete on the
global stage remains a priority in Canada, to contribute to economic growth.
Looking at how we achieve this growth, we know there is a huge
opportunity for Canadian SMEs to harness the digital economy - and
they should absolutely be using it to their advantage."
Looking more deeply at the impact trade has on SMEs who
currently import/export, 81 per cent admit that fees and tariffs
have had a great deal or some effect on the growth on their
business. Also within this group, nearly half (48 per cent) of
those surveyed say that variations in fees and tariffs have been a
major challenge to their business; and 44 per cent say that import
and export fees have been a major challenge to their business.
The poll was conducted from September 17
to September 20, 2019 among 500 SME decision makers in the
Canada. These interviews were
conducted online using a panel of respondents. The goal of
the research is to understand the impact of international trade
among SMEs and as well as their opinions regarding the national
economy.
- Overwhelming Support for NAFTA / CUSMA
While SMEs in Canada feel that
trade is critically important to the economy and growth of both
their country and their business, many face obstacles when engaging
in trade. Nearly a quarter of SMEs in Canada who import or export goods (24 per
cent) say that fees and tariffs have impacted the growth of their
business a great deal, representing a real barrier to Canadian SMEs
when importing or exporting goods to and from different
countries.
Both NAFTA and CUSMA (Canada-United States-Mexico Agreement) have
positive support among SMEs in Canada. Nine in ten of those surveyed (90 per
cent) in Canada support
NAFTA. A similar amount (86 per cent) of SMEs in Canada expressed their support of CUSMA.
SMEs feel that international trade will not only help the Canadian
economy, but their personal business as well. More than half
of Canadian SMEs (57 per cent) think increasing trade between their
country and other countries will help their company.
"FedEx is committed to supporting trade policies that boost
Canadian economic growth and competitiveness," said Lisson.
"Canada needs to pursue a
comprehensive pro-growth, pro-competitiveness agenda that can help
strengthen our global economic leadership. With 99.5 per cent
of the world's population outside Canada, we need to continue to find ways to
reduce barriers to Canadian goods and services around the
world."
About the Survey
This poll was conducted by Morning
Consult on behalf of FedEx between September
17-September 20, 2019 among a sample of 500 Small Business
managers and executives in Canada. The interviews were
conducted online and respondents were sourced using online
panels. Results from the full survey have a margin of error of plus
or minus 4 percentage points.
About FedEx Corp.
FedEx Corp. (NYSE: FDX) provides
customers and businesses worldwide with a broad portfolio of
transportation, e-commerce and business services. With annual
revenues of $70 billion, the company
offers integrated business solutions through operating companies
competing collectively and managed collaboratively, under the
respected FedEx brand. Consistently ranked among the world's most
admired and trusted employers, FedEx inspires its more than 450,000
team members to remain focused on safety, the highest ethical and
professional standards and the needs of their customers and
communities. To learn more about how FedEx connects people and
possibilities around the world, please visit about.fedex.com.
SOURCE FedEx Express Canada