Mr. Speaker, those particular questions do not refer directly to EFTA but they are important questions. They are germane to the broader discussion and I am happy to address them. I appreciate my hon. colleague raising the questions.
We are engaged in discussions with South Korea and hopefully we will move along with an eventual free trade agreement.
The issue of the 6% tariff related to vehicles is something that is being actively discussed. We are looking at the percentage of those vehicles, the impact that it would have. The exact number is relatively small vis-à-vis the rest of the market here in Canada.
That is an example of the sensitivity that has been raised. We are definitely working with our industries in discussions and we are crunching the numbers on that to see how that can be applied. We are pursuing this agreement with Korea.
I agree with my colleague, related to Brazil with whom we do not yet have a free trade agreement. If we did, then I think some of these other issues would be resolved.
It is an ongoing frustration that we will identify with another country what we might perceive as something that is heavily subsidized or even a non-tariff barrier and take it to an independent dispute mechanism to be adjudicated, get a favourable adjudication, and then find out that the other side is not that enamoured with the decision. That creates ongoing difficulties. These are the facts of life, unfortunately, in some of the areas of trade. We are very concerned about that.
We are in ongoing discussions with the company the hon. member mentioned. With respect that particular company, Bombardier, I was in India last month. It is supplying the cars and the metro system that is going to greatly assist not just the transportation system but of course the whole environmental question. Here is a Canadian company that has shown it can compete anywhere in the world. To be frustrated by a lack of follow-up when we—