Bill C-57

Canada-Ukraine Free Trade Agreement Implementation Act, 2023

An Act to implement the 2023 Free Trade Agreement between Canada and Ukraine

This enactment implements the Canada–Ukraine Free Trade Agreement, done at Ottawa on September 22, 2023.
Among other things, the enactment
(a) sets out rules of interpretation;
(b) specifies that no recourse is to be taken on the basis of sections 9 to 15 or any order made under those sections, or on the basis of the provisions of that Agreement, without the consent of the Attorney General of Canada;
(c) approves that Agreement;
(d) provides for the payment by Canada of its share of the expenditures associated with the operation of the institutional and administrative aspects of that Agreement;
(e) gives the Governor in Council the power to make orders in accordance with that Agreement;
(f) requires the Minister for International Trade to ensure that Canadian companies operating in Ukraine comply with the principles and guidelines referred to in the Agreement; and
(g) amends certain Acts to give effect to Canada’s obligations under that Agreement.
Finally, the enactment repeals the Canada–Ukraine Free Trade Agreement Implementation Act that was enacted in 2017.

Canada-Ukraine Free Trade Agreement Implementation Act, 2023

[Kyle Seeback, Conservative, Dufferin—Caledon, ON]

Madam Speaker, what we find is that the hyperbole coming from the Liberals does not match reality. Their criticism is deeply hypocritical. We all know it. They have done things that have directly harmed and continue to directly harm Ukraine with their decisions. They have become the party of disinformation by suggesting that we do not support Ukraine, disinformation that somehow our opposition to the free trade agreement means not supporting Ukraine. We tried to make the trade agreement better so we could support the agreement and, of course, Ukraine. The Liberal government did everything it could to make sure that was not possible. Why did it? It is because it wants to use the trade agreement in a desperate attempt to score cheap political points here in Canada with an incredibly false narrative.

I move:

That the motion be amended by deleting all the words after the word “That” and substituting the following:

“Bill C-57, An Act to implement the 2023 Free Trade Agreement between Canada and Ukraine, be not now read a third time, but be referred back to the Standing Committee on International Trade with the view to amend the coming into force provision to allow it to be fixed by order of the Governor in Council after the removal of all references to carbon pricing and carbon leakage.”

[The Assistant Deputy Speaker, Carol Hughes]

The amendment is in order.

[Marcus Powlowski, Liberal, Thunder Bay—Rainy River, ON]

Madam Speaker, on a point of order, are we debating the amendment or are we still in the original debate?

[The Assistant Deputy Speaker, Carol Hughes]

It is questions and comments on the member's speech.

[Marcus Powlowski, Liberal, Thunder Bay—Rainy River, ON]

Madam Speaker, the member spoke of the principled approach of the Conservative Party to the agreement, so let us talk about principles.

This is not about the carbon tax, but today the Ukrainians are running out of ammunition. Today, President Zelenskyy is in Washington, D.C., desperate to get military support from the United States that is being blocked by the American far right. Today, more than ever, is a day when Ukraine needs the political support, and where is the Conservative Party? Conservatives voted against the free trade agreement today. On Friday, they voted against any military assistance to Ukraine. Today, of all days, is a day when Ukraine really needs political support around the world. Why do they continue to oppose support for Ukraine?

[Kyle Seeback, Conservative, Dufferin—Caledon, ON]

Madam Speaker, of course we support Ukraine; that is absolutely true. We voted against the fall economic statement because we have absolutely no confidence in the incompetent, corrupt Liberal government.

The member is talking about munitions. That is great; good for him. We had a motion at committee to support expanded munitions productions in Canada, increase munitions exports to Ukraine and support the delivery of weapons and munitions manufacturing capabilities in Ukraine by Canadian industry. How did Liberal members of the committee vote? They voted against it. The member should perhaps get off of his PMO talking points that he just read to the House and actually understand what his party has done with respect to munitions.

[Jean-Denis Garon, Bloc, Mirabel, QC]

Madam Speaker, my colleague referred to the amendments to the treaty that the Conservative Party proposed in committee. We disagree with most of those amendments, but we still think that we should have had an opportunity to debate them, because we are in a parliamentary system and a democracy.

However, the way treaties are negotiated in Canada is unique. The government negotiates them behind Parliament's back in a way. The government decides on the content of the treaty, which means that parliamentarians are deprived of all their democratic tools and cannot debate or amend the treaty either in committee or in the House. The only thing they have a say in is the treaty's rules of application. That seems undemocratic to me and it is at odds with what is done in the United States and Europe. The Canadian approach seems very undemocratic to me.

I would like to know what my colleague thinks about the undemocratic way that Canada negotiates treaties and prevents Parliament from debating amendments.

[Kyle Seeback, Conservative, Dufferin—Caledon, ON]

Madam Speaker, coming to Parliament, table-dropping a 700-page trade agreement and expecting Parliament to just immediately rubber-stamp it is the kind of arrogance one gets with the Liberal government. It believes that, somehow, it is so infallible, so perfect, that it has brought to us, as we approach Christmas, something like the birth of Christ. Here it is: the perfect child.

In fact, we get to have real criticisms of the bill. Yes, the challenge is, of course, this: There is a process to bring treaties and trade agreements to members so they have an opportunity to have input. The Liberals did none of that. They brought it here and said it is perfect, and now they are criticizing people for criticizing it. It is an embarrassing way for them to behave.

[James Bezan, Conservative, Selkirk—Interlake—Eastman, MB]

Madam Speaker, I want to thank our shadow minister for trade for his very thoughtful and well-articulated concerns about the Canada-Ukraine free trade agreement. I think he was very clear that Conservatives support Ukraine. Conservatives are the party of free trade.

Unfortunately, the Liberals have stuck carbon taxes into the trade agreement. This is the first time in history. It is unprecedented, and we cannot accept it when we are the party that is opposed to carbon taxes.

I know that the hon. member has already reflected on this, but we have been calling on the government since 2018 to provide lethal weapons to Ukraine. It did not wait four weeks to send lethal weapons. It did not wait four months. It waited four years, until the hot, full-scale invasion happened in Ukraine. The member was very clear to say that we have been asking for the government to do more in support of Ukraine. The free trade agreement would not provide the opportunity for the Canadian defence industry to do business in Ukraine. There would be no war insurance provided.

Right now, the Canadian Armed Forces is decommissioning old light armoured vehicles: Bisons, Coyotes and tracked LAVs, the M113s. Why are the Liberals sitting around? We have been asking since March of last year to actually export the vehicles, to send them to Ukraine in the fight against Russia. They have not. Why have they not?

[Kyle Seeback, Conservative, Dufferin—Caledon, ON]

Madam Speaker, it is a great question. This is actually where we get to where the rubber hits the road. There are real and concrete things that the Liberal government could have done and could be doing to help Ukraine. Instead, it has wrapped itself in the free trade agreement to somehow suggest that this is the only way one can support Ukraine. Of course, it put a poison pill in it. It knew that the Conservatives could not support carbon pricing and carbon leakage.

However, there are real, measurable things that would have made a difference. There was a motion on the exact issue that the member has just raised, to do that. Of course, it was defeated.

Exporting a gas turbine to Russia, the Canadian detonators in Russian mines, no wartime insurance, not sending the armoured vehicle and not increasing munitions production are things that are actually harming Ukraine. Our vote does not harm it. The Liberals should stop talking the way they are. It is disgraceful.

[Yvan Baker, Liberal, Etobicoke Centre, ON]

Madam Speaker, in his remarks, the member spoke about why all Conservatives oppose the Canada-Ukraine free trade agreement. He cited two things. First, there is the mention of carbon pricing in it, which, of course, is not a legitimate reason, because Ukraine has already had carbon pricing since 2011 and needs carbon pricing to enter the EU, which it is desperately trying to do. The agreement would not even force Ukraine to do anything on carbon pricing, so that is not a reason to oppose the agreement. We already know that.

The other reason he gave was that the government is somehow imposing language about carbon pricing on Ukraine, or imposing something on it that it does not want. However, President Zelenskyy signed the agreement; he came to Canada to do that. He asked all parliamentarians to vote for it. The Ukrainian ambassador asked all parliamentarians to vote for it. The Ukrainian Canadian Congress asked all parliamentarians to vote for it. Ukraine MPs who were visiting Canada asked all parliamentarians to vote for it. Conservatives seem to believe that they know better than Ukrainians themselves do what Ukrainians want.

My question for the member is this: Why are Conservatives and Vladimir Putin the only people out there who seem to think they know better than Ukrainians themselves what Ukrainians want or need ?

[Kyle Seeback, Conservative, Dufferin—Caledon, ON]

Madam Speaker, the logical gymnastics the member just had to do are something that could probably have won him a gold medal at an Olympic gymnastics competition.

President Zelenskyy actually asked the Liberals to not send the gas turbine. Did the member stand up against his government and say that it should not happen? No, he did not. There are currently no export controls in place to stop Canadian detonators from getting into Russian land mines. Has he stood up to criticize his government for doing that? No, he has not. However, somehow, voting against a trade agreement is one of the cardinal sins, one of the seven deadly sins. It is ridiculous and pathetic.

The Liberals should be stopping the things I have raised. They should be including the things I have raised. That is how to show support for Ukraine, not this fake straw-man argument they are building up about voting against a trade agreement that includes language that we would never support, because in the next trade agreement, they will mandate a carbon price if we let them get away with it this time.

Canadians know the misery of the carbon tax. We are against it in Canada and we are against it in trade agreements. We will be against it forever.

[Larry Maguire, Conservative, Brandon—Souris, MB]

Madam Speaker, there is no doubt that we are in favour of Ukraine. I want to go back to December 2, 1991, when former prime minister Brian Mulroney made us the first country in the world to recognize the independence of Ukraine.

I would ask my colleague to elaborate on the kind of dedication this country has provided to our Ukrainian cohorts, friends and families in Ukraine today, to justify some of the great comments my colleagues have made and to further denigrate what the Liberal government has done with respect to putting a carbon tax into a trade agreement with a country that is at war.

[Kyle Seeback, Conservative, Dufferin—Caledon, ON]

Madam Speaker, this could be a meme.

Liberals think that sending a gas turbine that Russia uses to pump gas and make money to fund the war is no big deal, that allowing Canadian detonators to end up in Russian land mines that are killing Ukrainian soldiers is no big deal and that not giving businesses war risk insurance is no big deal. None of that is a big deal, but if we vote against a free trade agreement that we think is a bad trade agreement, they say, “Oh my God, you are supporting Vladimir Putin.” Their arguments on this are pathetic and embarrassing.

Canadians have always supported Ukraine. Conservatives have always supported Ukraine, just like when we were almost the first country in the world to recognize an independent Ukraine. I think Poland beat us by something like 25 minutes. That is the Conservative record. We support Ukraine, so members should not listen to the misinformation and disinformation the despicable Liberals are trying to spread.

[Simon-Pierre Savard-Tremblay, Bloc, Saint-Hyacinthe—Bagot, QC]

Madam Speaker, we are already debating third reading of Bill C-57, the Canada-Ukraine free trade agreement implementation act, 2023, which the Standing Committee on International Trade had the opportunity to study. Several of my colleagues here were present during the committee study.

Fundamentally, not much has changed about the reasons for our support. This time, the agreement puts some meat on the bones. The old version was pretty skeletal. This agreement will not make Ukraine a major trading partner for Quebec and Canada, of course. I would say Ukraine will remain a minor, not to say marginal, partner. However, this agreement does put meat on the bones. It is a real trade agreement, whereas the previous version was essentially a declaration of friendship.

We note that there are some promising opportunities for Quebec. Our pork producers will be able to export more to that country. Also, since Quebec is home to many highly reputable engineering firms, there could be some very attractive contracts for them when Ukraine rebuilds. This will also benefit Ukraine economically, and we hope that the rebuilding takes place as soon as possible and that peace is restored quickly.

However, I do want to point out that there is one clause I voted against in committee. I asked that it not be agreed to on division, like most of the clauses, and that we proceed to a recorded division. It is the clause concerning investor-state dispute settlement. I do not understand why, after removing this from the North American Free Trade Agreement, or NAFTA, Canada would go back to negotiating agreements that include such provisions, which place multinationals on the same footing as governments.

Yes, it is written very cautiously. There are exceptions, and it is written far more cautiously than the infamous chapter 11 of the former NAFTA agreement, but the fact remains that this still allows multinationals to take states to court when government measures run counter to the company's right to make a profit.

Take the following case, for example. Ukraine seized property from Ukrainian citizens who were financing and supporting the Russian side. Under the guise of protecting foreign investors, this agreement would make it very difficult for Canada to do the same thing, that is, seize the assets and property of Ukrainian citizens here who support Russia. Our country could expose itself to lawsuits against public property, against the Canadian government, from these investors.

This is unacceptable. We do not understand why it is still in there. When I asked for a recorded vote on this clause, which is in itself undemocratic because it limits the power of the states to legislate and make political decisions, only my NDP colleague, the member for South Okanagan—West Kootenay, voted with me. The Liberals and Conservatives were quick to vote to keep this clause in the bill. The last thing they wanted to do was upset their buddies at the big multinational corporations, of course.

I should also point out that one chapter in the agreement is full of lofty principles that the government likes to brag about. These lofty principles include the fact that companies will now behave responsibly and Canadian companies will behave properly, so there is nothing to worry about. However, these are nothing but lofty principles. Of course, this refers to international concepts, and it is in no way binding. That is why I am very proud to say that the only amendment that was adopted was the one I proposed, the Bloc Québécois's amendment. I will read it:

That Bill C-57 be amended by adding after line 11 on page 6 the following new clause:

“Compliance with principles and guidelines — Canadian companies

15.1 (1) The Minister must ensure that Canadian companies operating in Ukraine comply with the principles and guidelines referred to in article 15.14 of the Agreement.

(2) The Minister must establish a process for receiving and responding to complaints of non-compliance with those principles and guidelines.

(3) On or before January 1st of each year starting in 2025, the Minister must prepare a report that summarizes activities carried out in relation to the Minister’s obligations under this section.

(4) The Minister must table a copy of the report in each House of Parliament on any of the first 30 days on which that House is sitting after the report is completed.”

Thanks to the Bloc Québécois's work in committee, there has been a shift from lofty principles to an obligation of political accountability that is written into the bill. I think that we can be very proud of the work we have done.

That being said, allow me to digress. The issue of Canadian companies respecting all human rights abroad is far from resolved. I want to read an excerpt from budget 2023. It is not partisan, I will read verbatim what is written:

Budget 2023 announces the federal government's intention to introduce legislation by 2024 to eradicate forced labour from Canadian supply chains to strengthen the import ban on goods produced using forced labour. The government will also work to ensure existing legislation fits within the government's overall framework to safeguard our supply chains.

The budget was presented in March 2023. It says “by 2024”.

May I remind the government that it has three days left to keep its promise to introduce legislation before the House adjourns, three days from now? May I remind the government of this, or will it add this to its long list of broken promises?

At the Standing Committee on International Trade, I also moved a motion to send the Minister of Labour a letter to remind him of the commitment in his mandate letter. My motion was adopted, with all my colleagues, including the Liberals, voting in favour. The letter was sent. I am glad. I am looking forward to seeing the government's response. Perhaps we will get a nice surprise. Perhaps when we wake up tomorrow morning, the bill will miraculously be introduced and the government will keep its promise. I just want to remind it that it has three days left.

Of course, the government may say that there was Bill S-211. That bill requires Canadian companies to prepare an annual report. It does not have much to do with respecting human rights. It only deals with forced labour. It does not cover human rights, which, according to international conventions, are indivisible. We are far from that. Under Bill S‑211, a company could comply just by reporting that it took no due diligence measures. All it has to do is submit a report in which it says it did nothing, and it will meet the requirement. The only consequences, the only fines, are for companies that fail to submit a report or that make false statements. Therefore, if the company reports that it did no due diligence, the government would say, “That is fine, thank you, good night”, and move on to the next company. Only companies with more than 250 employees that generate significant active revenue are covered.

Instead, I urge the government to move forward with Bill C-262, which was introduced by the NDP, but which I am co-sponsoring and supporting. It covers companies of all sizes, gets the affected communities involved, encompasses all human rights and, above all, provides meaningful recourse for victims.