US-Canada price gap draws federal attention


Canada’s competition bureau is getting new powers to investigate why many items cost less in the United States.

Industry Minister James Moore says he is bringing in new legislation today.

He says the aim is to ensure Canadian consumers pay prices in line with Americans.

The legislation would allow the commissioner of competition to probe geographic price discrimination.

That would include having the power to force companies to show how they arrived at their pricing.

Studies show goods in Canada cost up to 25 per cent more than in the United States and part of that is due to various taxes.