FI-P-387

Organization: Government of the Federal Republic of Germany
Product: Publication
Year: 1986

Design: Helmut Langer


Product copy

Information, The Federal Republic of Germany and Canada

The current state of an economic relationship

The Federal Republic of Germany is the second largest exporter and importer in the world. Machinery and transport equipment account for almost 47% of total exports, while chemicals and other manufactured goods account for over 40%. The remainder consist of items such as beer, wine, processed food and fuel-related materials that exceed domestic needs. On the other hand, crude oil and other energy sources such as coal, natural gas and some refined products are the largest import category, accounting for about 23% of total imports. Over 30% of imports are chemicals and various manufactured goods, including a wide range of consumer goods as well as metals and semi-finished materials. Foodstuffs are about 11% of total imports.

In the last few years the bilateral trade between Canada and the Federal Republic of Germany has been roughly balanced. The most important components of Canadian exports to the Federal Republic of Germany are raw materials, both minerals and forest products, while German exports to Canada are largely in the manufactured goods category with automobiles the largest single component. Though only between 1.5% and 2% approximately of total Canadian exports go to the Federal Republic of Germany and about 1% of total German exports go to Canada, the Federal Republic of Germany as buyer of Canadian goods ranks fifth after the United States, Japan, the United Kingdom and the People’s Republic of China, and fourth as supplier. According to the German foreign trade statistics Canada is twentieth in line among the more than 192 trading partners of the Federal Republic of Germany.

The bilateral trading relations between Canada and the Federal Republic of Germany are characterized by complimentarity. Furthermore, exports account in both countries for almost 30 % of the gross national product, which means that at least every fourth working place stems from export-related business. Thus their mutual interest and commitment to the principles of a healthy and open global trading environment has resulted in a wide range of joint efforts both on a bilateral level and in a multilateral context.

While differing in size and population, the structure of their economies – Canada’s advanced resource-based industrial framework in combination with the Federal Republic of Germany’s high technological and marketing strength – offers many prerequisites necessary for rewarding cooperation.

The current state of the political relationship

Since the end of World War Il a relationship has evolved between Canada and the Federal Republic of Germany that must be considered close and even cordial. Two former enemies have become tied together in a common destiny.

There are no bilateral political problems. Both countries are members of NATO, which shows that they share political values, economic systems, and life-styles. 7,100 Canadian troops serve in the Federal Republic of Germany. Pilots of the German Air Force are being trained in Canada. Within the Western Alliance both Governments pursue a policy of active participation in trying to solve the great pressing problems of the day to bring about arms control and disarmament, and a loosening of tension between West and East. They are actively engaged in efforts to reduce North-South tension. Their Heads of Government and Ministers meet regularly within the annual World Economic Summit of the West’s 7 most important economies. They also cooperate within the framework of the United Nations, GATT and many other international organizations. It can be said that on most questions both countries show a remarkable measure of agreement in their views.

Relations between the two countries have been continually intensified in the last years. There is now a dense network of consultation and cooperation at all levels of Government and Administration.


Source

The physical version of this product is part of the federal identity archive.