How the Border Impacts the PNW Region

Don AlperProfessor and Director

Border Policy Research InstituteWestern Washington University

Presented at The Pacific Northwest Gateway to Asia: Trade, Energy and

Managing Environmental Challenges ConferenceUnion Club of British Columbia, Victoria, BC

October 28, 2014V

Context:

Geography and Flows

North American Corridors

1. Cross border freight and people flows are concentrated in Lower Mainland/NW WA region

2. Large concentration of energy facilities and flows in the region

Two Things About Flows in Cascadia

Origin & Destination of Trucked Freight Traversing Cascade GatewaySource: BPRI, 2014

A sub-regional transboundary freight zone Freight Flows--

People Flows – mostly linked to tourism and

retail

Source: Canadians Shopping in NW Washington, Border Policy Brief, BPRI, Spring 2-13

Energy Facilities/Flows in PNW

Basics on Border and Regional Flows

• Energy is largest cross border export and import – pipelines, rail and boats less impacted by border– convergence of S/N and E/W energy flows in Cascadia

• Excluding energy—BC is still main destination of WA exports to Canada, and BC is main source of imports (5.3B and 3.5B respectively)

• Over 90% of that traffic carried by trucks

Border Effects on Flows

• Costs– Delays, compliance with regs.

• Constraints on cross border worker mobility– Outdated worker categories (ie., NAFTA TN)– Inadmissibility policies (ie., DUIs)– Speed & predictability in obtaining worker permits– Complex business relations (short stays, permitted goods,

etc.)• Border bifurcates “Cascadia” tourism

– 9/11 legacy (passport law, intimidating border)– Separate visas for Asian visitors

Overcoming Border Effects

• De-pressurize the border—inspect/clear away from border– Beyond the Border Initiative, 2011

• Provide adequate resources for efficient mobility (most important--personnel, infrastructure)

Regional Opportunities• Cross-border regional assets could be marketed more effectively in

Asia and globally• Location--access to two national markets; major ports• Diverse, high skills workforce (inward migration a plus!)• Two-nation vacation tourism

• Foster collaboration; build on existing relationships• Region-wide synergistic orgs

– Pacific Coast Collaborative– Pacific Northwest Economic Region– Governor-Premier Executive Process

• Industry associations that cross border– Clean Tech Alliance of Washington– PNW Aerospace Alliance– Washington Technology Industry Association– US and Canada chambers of commerce, numerous travel and trade assoc

• Cascadia-scale NGOs– EcoTrust– Sightline– Salmon Nation

Thank You.

donald.alper@wwu.eduwww.wwu.edu/bpri