Ottawa, Canada – A stark warning has been issued by the Bank of Canada (BoC) regarding the diminishing global standing of the nation’s ports. According to a recent central bank research report, Canadian ports are significantly less connected to international shipping networks than they were a decade ago, a shift that is increasing supply chain vulnerabilities for domestic shippers.
The report, which utilized satellite data to track container ship and car carrier transits from 2016 to 2023, found that connectivity among Canada’s five largest ports—as measured by the number of distinct international destinations served—has dropped by a striking 74%. The central bank concluded that Canadian ports have become relatively less central in global maritime networks compared to their previous standing.
Researchers attribute much of this decline to a global industry shift toward fewer, ultra-large container vessels (ULCVs). These larger ships, which primarily head to major U.S. West Coast hubs, largely bypass Canadian ports. For instance, the Port of Vancouver receives only about half as many large trans-Pacific vessels (over 11,000 TEUs) as the Port of Los Angeles. Over the last 12 months, Vancouver recorded 143 such calls, while Los Angeles and Long Beach saw 410 and 308 calls, respectively.
This restructuring means many imports destined for Canada—particularly those from Southeast Asia—must first be processed through Southern California and then shipped north by rail or truck. The Bank of Canada warned that this less-central role increases exposure to supply chain disruptions and may ultimately raise business costs.
The findings were published as BoC Governor Tiff Macklem testified before a Canadian Senate banking committee. During his testimony, Macklem stressed the urgent need for greater investment in Canadian transportation infrastructure, noting that ports in Southern California can handle significantly larger vessels than those that currently call on Canadian ports.
My Take as a Viewer
From where I sit, this report is both troubling and unsurprising. For years, I’ve watched headlines about mega-ships and port expansions in places like Los Angeles and Rotterdam, while Canadian ports seemed to quietly fade from the conversation. Seeing a 74% drop in connectivity is staggering—it’s not a small dip; it’s a near-collapse of Canada’s direct link to global shipping.
What really grabs me is the “hidden cost” angle. Most consumers probably think their imported goods come straight to a Canadian dock. In reality, they’re likely landing in California first, then taking a long truck or train ride north. That extra leg adds fuel, time, and congestion costs, which inevitably get passed down to us. It also makes Canadian businesses less competitive.
The Bank of Canada’s warning about increased risk is spot on. If a major disruption hits the Port of Los Angeles—a labor strike, a cyberattack, or even bad weather—Canadian supply chains could seize up despite having our “own” ports. That’s a dangerous dependency.
On the other hand, this feels like a wake-up call Canada can finally act on. Governor Macklem is right: investment is overdue. If we want to shift trade away from the U.S. and build resilience, we need ports that can handle today’s giant ships, not yesterday’s. Otherwise, this connectivity problem will keep costing us—both in dollars and in reliability.