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New Deal Ends U.S.-Canada Trade Dispute

Canada’s trade minister announced a deal to exempt Canadian companies from Buy American provisions of Washington's $787 billion economic stimulus package.

OTTAWA (AP) -- Canada's trade minister has announced a deal to exempt Canadian companies from Buy American provisions of Washington's US$787 billion economic stimulus package.

Trade Minister Peter Van Loan said Friday the deal ends a dispute that has raged since Congress required iron, steel and other manufactured goods paid for with stimulus funds be purchased only in the U.S.

Canada also gets access to supply 37 U.S. states that adhere to the World Trade Organization's government procurement agreement, under the deal.

In return, Canadian provinces and municipalities will allow American firms to bid on projects north of the border.

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