Six U.S. states and seven Canadian provinces have launched a new business forum to boost trade between the two countries.

Quebec Premier Jean Charest and Georgia Gov. Sonny Perdue announced the association Friday after a two-day meeting of southeastern states and eastern Canadian provinces in Montreal.

The provinces involved are Manitoba, Ontario, Quebec, New Brunswick, Nova Scotia, P.E.I. and Newfoundland and Labrador.

The Southeastern United States/Central and Eastern Canadian Provinces Alliance involves Manitoba, Ontario, Quebec, New Brunswick, Nova Scotia, P.E.I. and Newfoundland and Labrador on the Canadian side. The U.S. states are Georgia, South Carolina, North Carolina, Tennessee, Mississippi and Alabama.

The alliance will help both countries compete against emerging economies like China, Charest said.

The United States is still Canada's biggest trading partner, Charest said, but it's important for provinces to stake their ground in rising international markets.

"There are emerging economies, whether it's China and India, and we're right to be concerned about that," Charest said Friday.

"But really, if we want to be more competitive let's look at how we can do it among ourselves."

Perdue said the new alliance will help signatories develop their pharmaceutical, aerospace and automotive industries.

The fluctuating currency exchange won't be an issue for parties because the partnership is a long-term one, he added.

"Currencies will float. They'll go up and down, and they will rebalance, and we will have to deal as businesses and governments with what the markets give us," Perdue said at a press conference to close the meeting.

The meeting of state governors and provincial leaders is the first of its kind. A second meeting is planned next summer in Georgia.

Quebec's trade with southern states is worth $4.4 billion a year.