Why Andrew Coyne Says Productivity is Now a National Security Issue

At the CrossRoads Crop Conference in Edmonton, Alberta, Globe and Mail columnist Andrew Coyne delivered a stark warning about Canada's economic resilience, arguing that slowing growth, limited competition, and trade vulnerabilities are now a national security issue. Coyne's message underscored the convergence of two long-standing trends: Canada's declining economic growth and a world where trade relationships and security guarantees are no longer as stable as previously assumed.

For decades, Canada's economic and security policies have been shaped by the assumption that the United States would remain a dependable democratic ally and security partner. This belief has allowed Canada to underinvest in defense and resilience, relying instead on its geographical proximity to the world's largest economy as a strategic advantage. However, Coyne warned that this foundational assumption is now under strain, as economic interdependence is increasingly being used as a tool of pressure rather than a neutral engine of prosperity.

Coyne highlighted that Canada's aging demographics and weak competitive pressure have left the country increasingly vulnerable in a less predictable global economy. He argued that the country's proximity to the United States, once seen as an advantage, can quickly become a liability in a world where trade relationships are no longer guaranteed. This shift poses particular risks for countries heavily reliant on exports to a single market, as they become susceptible to economic coercion.

To address these challenges, Coyne outlined three priorities for Canada's response. First, the country needs credible alternatives to over-reliance on any one trading partner. This involves diversifying trade relationships and reducing vulnerabilities in supply chains. Second, Canada must strengthen its alliances, particularly with other democracies, to ensure mutual support in the face of economic pressures. Third, the country must build the capacity to adapt and respond to new threats, including those arising from the intersection of trade and security.

Coyne's message is a call to action for policymakers and citizens alike. It emphasizes the need for Canada to reevaluate its economic and security strategies in light of the changing global landscape. By prioritizing options, allies, and capacity, Canada can better prepare for the challenges ahead and ensure its economic resilience in an increasingly unpredictable world. The time for complacency has passed; the stakes are higher than ever, and the consequences of inaction could be severe. As Coyne's warning resonates, it becomes clear that productivity, once a purely economic concern, is now a matter of national security.