Canada will not share toll revenues from the newly completed Gordie Howe International Bridge with the United States until it has recovered its initial investment in the $4.7 billion project, Prime Minister Mark Carney said Thursday, outlining the terms of a long-disputed arrangement between the two neighbours.
The bridge, which connects Windsor, Ontario, with Detroit, Michigan, was funded by Canada and is scheduled to open on July 27 after delays that have increased political tensions and created economic costs on both sides of the border. The dispute comes as Canada and the United States negotiate an updated trade agreement, while U.S. officials have also raised concerns over Canada’s handling of ongoing wildfires.
Carney said the financial arrangement governing the bridge remains based on a 2012 agreement with Michigan, under which Canada agreed to cover the construction costs in exchange for collecting toll profits until its investment was repaid.
“Any sharing of the toll revenue won’t happen until all of the debt is repaid,” Carney said during a press briefing. He added that Canada would share net revenues with the United States during the first 15 years after operational expenses, including maintenance and snow removal, are covered.
Carney said the amount available for distribution would likely be limited in the early years of operation. He added that any portion of revenue eventually provided to the U.S. government would be reinvested in economic development.
The full details of the agreement between Ottawa and Washington have not been publicly released. Two sources previously told Reuters that a deal had been reached the previous week under which the United States would receive 50% of toll revenue profits and would have the ability to block toll increases exceeding 10% above current rates.
The bridge agreement has become politically sensitive in both countries. Last week, U.S. President Donald Trump said he had secured “a much better deal” for the United States that would allow the bridge to open. Some Canadian political opponents accused Carney of giving in to U.S. pressure after American officials said they had moved from receiving no revenue to obtaining a significant share.
Fen Hampson, a professor of international affairs at Carleton University, said the arrangement represented a positive outcome for Canada, arguing that the timing of revenue sharing meant there would likely be limited profits available before Canada recovered its costs.
“If you do the math on when Canada will be splitting the revenues, there won’t be very much left to split,” Hampson said. He added that allowing Trump to view the agreement as a success could help avoid further disputes.
The bridge dispute has also unfolded alongside tensions over wildfires affecting both countries. Smoke from fires in northern Ontario has spread across parts of the United States, including areas in the Midwest and Northeast, prompting criticism from several Michigan Republican lawmakers.
State Representatives Jack Bergman, John James, Lisa McClain and John Moolenaar accused the Canadian government of failing to address what they described as long-term underinvestment in forest management, including forest thinning, fuel reduction and prescribed burns. They also raised concerns about enforcement against arson.
Responding to the criticism, Carney said climate change was contributing to rising temperatures and more extreme weather conditions globally. He called for broader international action, including greater efforts from the United States.
“We need a contribution from the Americans in the fight against climate change,” Carney said, adding that responsibility for addressing the issue involved all countries, including the United States.
The bridge agreement has also faced criticism within Canada. Conservative Member of Parliament Shuvaloy Majumdar described the deal as a poor outcome for the country and called for the government to release the complete agreement, a full accounting of costs and details of what had been negotiated.
As the Gordie Howe International Bridge prepares to open, the toll revenue arrangement remains a central issue in the broader relationship between Canada and the United States, with both governments continuing discussions on trade, infrastructure and cross-border cooperation.
