Thank you, Mr. Chair.
Thank you, everyone, for being here. I particularly appreciate the shout-out for Winnipeg, my home town. Thank you very much, Ms. Grynol.
I'm going to start my questions with Mr. Mueller from the aerospace industry.
After eight years of Justin Trudeau, it just feels as though everything is broken in this country. We have high made-in-Canada inflation. We have high made-in-Canada interest rates. We have a carbon tax that is unfair and inequitable and does nothing to reduce carbon in our atmosphere. We have the luxury tax—which you pointed out—and other taxes as well.
It's the luxury tax as it pertains to your industry that I want to focus on with you today. I want to go back to your brief. To put it in context, your brief says that the aerospace sector is a major engine of the Canadian economy. In 2021, the industry contributed more than $24 billion in GDP, and 200,000 jobs. It has a massive footprint, and much of it is in my home riding in Winnipeg. We have a major aerospace footprint with companies like Magellan, StandardAero and Boeing. The airport is in my riding, and there are a number of other things. This really hits home for residents in Charleswood—St. James—Assiniboia—Headingley, I can tell you.
You said the numbers are significant, even though they are greatly reduced from prepandemic figures. Overall, between 2019 and 2021, the aerospace industry's contribution to the Canadian economy declined by $9.4 billion and 35,000 jobs. You would think that the government of the day would want to try to help with that situation. The brilliant solution of Mr. Trudeau's Liberal government to lessen the devastation within the aerospace industry is to bring in a punishing so-called luxury tax.
Let's talk about that tax. It's filled with virtue signalling about making sure that wealthy people pay their share, of course, but what is the actual effect? It doesn't really help raise a lot of revenue. In fact, it may be negative—as you pointed out—in terms of the cost to the federal treasury. What it really does is hurt everyday common workers in every industry it affects.
For example, you point out in your brief that while it's designed for taxing Canada's wealthiest citizens, the luxury tax is harming one of Canada's most important industrial sectors; it's penalizing aircraft operators. The industry estimates that the legislation will cost $1 billion in lost revenue. You said a few moments ago that you are aware of actual contracts that have been cancelled. That means jobs have been cancelled in this country because of a tax that has no valid policy reason behind it. It is filled with virtue signalling and does nothing to help the Canadian economy or jobs.
I've said a lot in my little preamble. I'm going to let you run with that.
I want you to talk a little bit more about the job losses, the supply chain issues and those kinds of things around the tax.