The tech wreck, the thickening border with the U.S. and the soaring loonie in the mid-2000's turned the attention of Canada's exporters to fast-growing emerging markets. In a relatively short time span, our trade with this rapidly-rising part of the global economy has risen from less than 5 per cent to almost 13 per cent of our merchandise exports.
Back in 2012, things looked grim for Canada's Big Pharma industry. A significant number of the industry's high-earning products were about to lose their patent protection, and face replacement by low-margin generics. But Canada's pharma industry, the eighth largest in the world, maintained its levels of innovation as well as formulating an innovative and successful business strategy.
Canada will see timely benefits as global trade picks up. Prospects for the domestic economy are not strong, but exports are already rising nicely. Domestic weakening should help to free up capacity for exports, which is running pretty tight in some industries. In others, there is capacity to absorb growth.