Canada should make 'list of things we could retaliate with' in NAFTA negotiations: Brad Wall

Saskatchewan Premier Brad Wall reiterated his position Tuesday thatCanada should be ready to fight back if talks to revise the North American Free Trade Agreement next month don't go well.

Wall isat the premiers' annual summer meetings in Edmonton this week.

"I think we should begin in a tactical and strategic way to populate a list in a very quiet, calm, non-disclosed way a list of things we could retaliate with if things go off the rails,"Wall told reporters Monday.

"I think it would be wise to have that ready sooner rather than later," he said. "I don't think we'll need it."

He said lists have proven to be effective before, citing a meeting he had with asenator from Iowa earlier this year, who told him his position on country-of-origin labels changed after Canada's trade ministerprepared a list of strategic retaliations.

On Monday, the United States Trade Representative released its negotiating objectives that include seeking to eliminate NAFTA's Chapter 19 dispute resolution panels, and exempting local and state governments from having to open up government contracts to Canadian and Mexican firms. Wall said the objective to eliminate Chapter 19 is concerning.

"Any trade agreement is only as good as its binding dispute mechanism," he said.

As long as the agreement is reopened, he said Canadian industry sectors should be consulted on what improvements they would like to see.

He added he felt the prime minister and cabinet were handling U.S.-Canada relations well given "some of the rhetoric" since the election and could expect the continuing support of the provinces in that area.

The premiers will get an update on trade Tuesday from David MacNaughton, Canada's ambassador to the U.S.