Sylvia Cesaratto, Consul General, Consulate General of Canada in Miami

In an interview with Invest:, Sylvia Cesaratto, consul general at the Consulate General of Canada in Miami, highlighted Canada’s $14 billion trade relationship with Florida, emphasized how Canadian visitors impact Florida’s international tourism as they constitute 40% of visitors, and the collaborative spirit between the United States and Canada in high-value and skilled sectors like aerospace, defense, and AI.

What have been the most significant milestones in advancing the Canada-Florida relationship over the last year?

While I do not have all the numbers and statistics at my fingertips, I can share my perspective from the past two years. As a bit of background, Canadians generally feel a high level of comfort with the United States due to our shared language, culture, and business values, such as the respect for rule of law, as well as a common vision to uphold human rights and democracy. There is a shared vision for prosperity and security in our hemisphere, which extends into our joint efforts on the global stage.

Canadians also have deep ties with Florida as we have many Canadians who have visited Southern Florida with their families, particularly during winter. It is practically a rite of passage for many Canadians. That said, I found that despite this familiarity, I initially underestimated the diversity within Florida itself. The state has significant regional differences, with Miami and Southern Florida being distinctly different from Central or Northern Florida. This diversity makes Florida unique and complex, and it has been fascinating to observe and engage with these differences.

The energy here is undeniable. Miami has always had a global appeal, but it seems that the world is only now fully discovering its potential. Local government officials often say that up to a thousand people per day were moving to Florida, especially during and right after the pandemic. While this rate may have slowed slightly, the influx remains strong. Many of these newcomers are from Latin America, but international diversity is growing. We see communities from Brazil, France, England, and Germany expanding their presence here, which adds to the already dynamic environment.

How does Canadian tourism and real estate investment impact the local economy and communities?

A few years ago, we commissioned an economic impact report to examine Canada’s impact on Florida, which we recently updated. In terms of exports, imports, investment, real estate, and tourism, Canada is consistently either the first or second-largest international economic partner for Florida. To give you an example, our import and export relationship with Florida reached around $14 billion for 2023. That might not seem large compared to the total U.S. economy, but it is more than the trade Canada has with many other countries. This has steadily been growing, and we expect that the value of bilateral trade will have grown by a further 5% in 2024.

Florida, if considered as an independent economy, would rank as the 14th largest in the world. Our bilateral relationship with Florida is strong, which emulates what is happening at the national level. While Mexico surpassed Canada in exports to the United States last year, Canada is a top importer of U.S. goods, buying more goods from the U.S. than China, France, and Japan combined. 

In tourism, Canadians make up a significant portion of Florida’s international visitors. Florida receives about 125 million visitors annually, with roughly 95% of them being Americans. However, of the international tourists, Canadians make up 40% of this group, which amounted to around 4 million Canadian visits to Florida in 2023. Given that Canada’s population is about 40 million, it shows just how popular Florida is among Canadians.

And they are not all coming for the same reasons. Some come for vacation, while others are here to conduct business or stay in properties they own. This brings us to real estate. Canadians are the top foreign purchasers of real estate in Florida, although not necessarily in South Florida, where Latin American buyers dominate, particularly in Miami. Canadian buyers are more interested in the coastlines and smaller communities, often purchasing single-family homes or mobile homes, which they pass down through generations.

Last year, Canadians purchased around $2.4 billion worth of real estate in Florida, accounting for 30% of the properties sold to foreign buyers. This investment brings significant tax revenue to the state. In fact, Canadian real estate, tourism, and business investments contribute about $1.8 billion in taxes annually, which is no small impact.

After all, it is not by accident that all major Canadian banks are in Florida. Canadian banks, like Toronto Dominion (TD), CIBC, and BMO, established operations here to serve Canadian clients who may find it challenging to access credit through U.S. banks. Over time, Canadian banks have expanded their reach beyond Canadian clients, and now TD, for example, is a common sight on street corners across Florida. In fact, TD, along with BMO, is among the Top 10 largest banks in the United States.

What role does Canada play in terms of foreign direct investment, job creation, and travel to Florida?

In terms of foreign direct investment (FDI), Canada is a major player. The UK surpasses Canada only in terms of the number of jobs created from FDI, but Canada leads when looking at the stock of foreign investment. Canada’s investments make up about 17% of foreign investment in terms of materials and equipment in Florida. Around 600 Canadian companies operate here, employing approximately 60,000 Floridians directly. This is a very robust relationship.

Many people are also surprised to learn that many of Florida’s top companies, particularly the Fortune 500 companies based in the state, are also present in Canada. Florida has around 22 Fortune 500 companies, and 90% of them have operations in Canada. So, the corporate exchange is indeed reciprocal.

Many Canadians who own property here either leave a car in Florida and fly down or drive here for the season, typically from November to March or April. It is about a 24-hour drive from Ottawa, which is quite a trip. And for those who prefer flying, there is no shortage of options. In peak season, over 450 flights operate weekly between Canada and Florida, so driving is a choice rather than a necessity.

What are some examples of Canada and Florida’s collaboration, especially in sectors like aerospace, research and development, and other sectors?

I will take this opportunity to speak about our bilateral trade. I think it is essential to highlight not only the impressive trade numbers but also the nature of this trade, which has a significant impact. The trade between Canada and Florida is primarily in value-added and high-tech sectors. These include aerospace, defense, transportation, machinery, equipment, computer electronics, and chemicals. This illustrates the sophisticated nature of our economies, which is not about trading oranges or flowers. It is about high-value-added products within a close supply chain.

We also see a significant presence from Canadian companies in the defense sector. CAE, based in Tampa, is the world’s largest flight simulator company, providing services for both military and commercial clients. They employ over 500 people in Tampa, including software engineers, pilots, and former military personnel, training pilots for the U.S. Air Force and other air forces worldwide.

The relationship also extends to academia, with joint research agreements and professor exchanges. Canadian students study here in Florida, and U.S. students study in Canada. We facilitate critical discussions on issues like Haiti, for example, inviting the Haitian ambassador to Miami to discuss our policies there.

What are your key priorities for the next few years to strengthen Canada’s relationship with Florida?

One of our primary focuses is aligning with the economic vision set by Gov. Ron DeSantis and the Florida Council of 100. If you are unfamiliar with them, they are a group of the Top 100 CEOs in Florida who have laid out a plan for making Florida the 10th largest economy globally. Their priorities align closely with sectors where Canada excels, such as aerospace, defense, and space industries, as well as IT, cybersecurity, quantum computing, and AI.

Ocean technology is also a priority. Canada, with the world’s longest coastline and three ocean borders, shares common challenges with Florida, which has the longest coastline in the continental United States. Rising sea levels and biodiversity conservation are critical issues for both regions, and we are looking to foster more collaboration in these areas.

Our focus is on creating networking opportunities and facilitating trade missions. This includes bringing Canadian companies to Florida and vice versa, making connections, and identifying opportunities.