Skip to content

'Territorial trade zone' considered by Canada's northern premiers

Yukon, Northwest Territories and Nunavut premiers went to Soldier's Summit Trail during Northern Premiers’ Forum
northern-premiers-facebook
Nunavut Premier P.J. Akeeagok (left), Yukon Premier Ranj Pillai and Northwest Territories Premier R.J. Simpson met for the Northern Premiers' Forum in early May 2025.

Canada's three northern premiers have agreed to look into the concept of striking up a “territorial trade zone” that recognizes modern treaties and land claims, and removes internal trade barriers where it can. 

An email statement from Jordan Owens, director of cabinet communications, indicates a “territorial trade zone” would seek to ensure northern businesses the same opportunities as businesses in other Canadian jurisdictions.  

“We recognize that businesses down south benefit from transportation infrastructure, access to capital and labour markets that are not as established here in the North,” cabinet communications said. 

While looking ahead to the future of Arctic security and sovereignty amid current geopolitical tensions during the Northern Premiers’ Forum over the first weekend of May, Yukon Premier Ranj Pillai, Northwest Territories Premier R.J. Simpson and Nunavut Premier P.J. Akeeagok reflected on the construction of the Alaska Highway during the Second World War. 

They spent some time at the Soldier’s Summit Trail, a self-guided trail with interpretive signs that follows the Alaska Highway. It leads to the site of the official opening of the road in 1942. 

The three territorial leaders flew into the Kluane region and came close to the international border the Yukon shares with Alaska, per Pillai, who took his turn chairing the forum. 

During a press conference over the weekend, Pillai said the northern territories, which have evolving economies, larger regions and more extensive ties with Indigenous governments, are in a different scenario compared to the southern provinces when it comes to eliminating internal trade barriers. 

“We're in a much different position than all other provinces. We, our position has been we want to contribute to that work, but we have a lot of unique situations in the North,” Pillai said. 

“Some of what some would call barriers, or the exceptions, have to do with the relationship between the territorial government, the Canadian government and First Nation governments.” 

Pillai indicated the northern premiers can’t make unilateral decisions without speaking with the feds first. He noted the existence of “legally binding, constitutionally anchored agreements” that must be looked at and the tight timeline for removing interprovincial trade barriers by Canada Day.

The premiers called on Canada for time and resources needed to “accelerate economic development to the level of the rest of Canada.”  

“We think there's an opportunity to do something really special,” Pillai said. 

“We want Canada to come to the table.” 

Pillai said the three are excited to work with Prime Minister Mark Carney to realize his commitments to the North. 

“I too, very much look forward to working very closely with the prime minister on implementing the vision that we want to see Canada become, and the role the North could play when you look at wanting to truly diversify our economies, building Canada so we become more resilient and prosperous, and the North has so much to offer,” Akeeagok said. 

A communiqué refers to better connecting the territories to the world. The premiers stressed the importance they saw in meeting the two-per-cent NATO spending target. They called on the Government of Canada for collaborative investment in infrastructure, housing, critical mineral and energy projects. They highlighted the importance of economic corridors like rail, port, air and highway systems.

Simpson thanked the Yukon government for committing money for maintaining the Dempster Highway, which he identified as not necessarily a nation-building project but an economic corridor, used for purchasing vehicles, building supplies and groceries, that connects the two jurisdictions. 

Contact Dana Hatherly at dana.hatherly@yukon-news.com 



Dana Hatherly

About the Author: Dana Hatherly

I’m the legislative reporter for the Yukon News.
Read more