Evidence of meeting #44 for Foreign Affairs and International Development in the 45th Parliament, 1st session. (The original version is on Parliament’s site, as are the minutes.) The winning word was united.

A recording is available from Parliament.

On the agenda

Members speaking

Before the committee

Burke  Chief Executive Officer, Canadian American Business Council
Volpe  President, Automotive Parts Manufacturers' Association
Hyder  President and CEO, Business Council of Canada
Cloutier-Roy  Deputy Director, Observatoire sur les États-Unis, Raoul-Dandurand Chair, Université du Québec à Montréal, As an Individual

5:10 p.m.

Chief Executive Officer, Canadian American Business Council

Beth Burke

I think raising the temperature in any direction is not helpful. Right now, getting to a place where we can have stability and meaningful, constructive conversations is important.

Jacob Mantle Conservative York—Durham, ON

Thank you.

Mr. Hyder, on a similar topic, you said not long ago in an interview that Canada and the U.S. are “better together”. You spoke about U.S.-plus and the North American economy. I share those sentiments, so I have a similar question. I have difficulty squaring that perspective with the messaging from the government, which has talked about rupture. The Prime Minister is suggesting that we are at war with the United States.

Are we at war with the United States?

5:10 p.m.

President and CEO, Business Council of Canada

Goldy Hyder

We're certainly not at war with the United States. I recall that the Prime Minister has also said that he believes Canada can “help make America great again”. We'd like to put the emphasis on that, if we can, to talk about how exactly we can do that and focus on fortress North America, something that the business communities are doing very deliberately: Yes, we compete with each other, but the reality is that North America competes together with the rest of the world.

5:10 p.m.

Conservative

Jacob Mantle Conservative York—Durham, ON

Thank you for that.

Mr. Volpe, do you still believe in an integrated North American auto sector?

5:10 p.m.

President, Automotive Parts Manufacturers' Association

Flavio Volpe

It's the reality. I'm not sure it's up to me to believe it or not. We live it.

5:10 p.m.

Conservative

Jacob Mantle Conservative York—Durham, ON

Do you believe the elbows-up, rupture and “Canada is at war” mentality is helpful to preserving and furthering the reality that you just described?

5:10 p.m.

President, Automotive Parts Manufacturers' Association

Flavio Volpe

I think you're inferring something but not being clear about it. I think what you might be asking is this: Should we have a posture where we stand up for our interests, and does that work when the counterparty is constantly reminding everybody that they have all the cards and the leverage?

I think—

5:10 p.m.

Conservative

Jacob Mantle Conservative York—Durham, ON

Could you give me an example of that working, then? I'm not trying to infer anything. I'm stating that I don't think that's a helpful position to take. If you think it is a helpful position to take or have a different view, I invite you to tell me that and provide some evidence to support it.

5:10 p.m.

President, Automotive Parts Manufacturers' Association

Flavio Volpe

Last year, when the White House said it was going to tariff automotive parts and cars across North America, we stood up for ourselves with—

5:10 p.m.

Conservative

Jacob Mantle Conservative York—Durham, ON

Now there's a 100% threat for January 1. Is that right?

5:10 p.m.

President, Automotive Parts Manufacturers' Association

Flavio Volpe

There isn't, but I wonder if you'd give me the time to answer or whether you're going to take the full time here.

What happened was that we made the argument, very forcefully and confidently across North America in every automotive capital and all public platforms, that putting a tariff on Canadian parts would shut down the U.S. industry. Commerce and CBP updated their guidance and gave an exemption for CUSMA-compliant parts. They did back down. That was very positive for the 100,000 people who work in the factories and the companies I represent. That came from confidently expressing that we do have a dog in this fight.

The Chair Liberal Ahmed Hussen

Thank you very much.

We'll go next to MP Zuberi.

You have five minutes.

Sameer Zuberi Liberal Pierrefonds—Dollard, QC

Thank you, Mr. Chair.

I would like to thank all the witnesses for being here today.

I'd like to start off with Ms. Burke.

We actually had a session with Global Affairs officials on Monday. Those officials said that we have several diplomatic missions in America. We have 12 consulates and one embassy. They spoke about how engagement at the state level with congressmen and senators is important.

Would you like to add to that in any way? How important is that engagement by Canadian officials with the different sectors of American governance? Do you have any suggestions for how we, as government, engage with those different sectors in the United States?

5:10 p.m.

Chief Executive Officer, Canadian American Business Council

Beth Burke

I've had the pleasure of meeting many of the folks across the country, and they're doing a phenomenal job of building relationships in communities all across the country. I think it is extremely important to deliver the message to everyday Americans as well as elected officials. The business relationships are extremely important.

The U.S. has a lot going on. There are a lot of things that become the shiny key or the busy object, so making sure that there is a steady conversation reminding them of all the different avenues for collaboration and opportunities to work together, as well as highlighting the jobs, the supply chains and the customer base.... Those things are extremely important. It's something that we do and would welcome the opportunity to partner on. I think it is really important.

This is something that Canada has long done well by crossing the entire country and talking to folks at every single level of government. It is important. It matters. Having surround sound to amplify your message is critical.

Sameer Zuberi Liberal Pierrefonds—Dollard, QC

I'll briefly use the term “steady”. Have you found that our engagement has been steady?

5:15 p.m.

Chief Executive Officer, Canadian American Business Council

Sameer Zuberi Liberal Pierrefonds—Dollard, QC

That certainly is a key element to our engagement with respect to these deals and making sure we're successful.

5:15 p.m.

Chief Executive Officer, Canadian American Business Council

Beth Burke

Absolutely.

Sameer Zuberi Liberal Pierrefonds—Dollard, QC

Thank you.

I'd like to go to Mr. Hyder now.

In a similar vein, when it comes to the business community, given your role in the Business Council of Canada and that long tenure you have with many Canadian businesses, can you speak to how the business community can play a role in helping us get to this point where we get to a negotiated deal with the United States?

5:15 p.m.

President and CEO, Business Council of Canada

Goldy Hyder

I would say it's not “can”. “Is” is the reality. The Canadian business community has been partnering actively with the communities in which companies operate. As you've heard from Beth and others, the Canadian business footprint in the United States of America is significant. As you know, politics are local, but so too is business. Canadian business leaders have been leaning into their own contacts in Congress and at the local level with governors, senators and others.

Let me say this: If there's one thing that you all would appreciate as elected officials in our country, it's that the best lobbyists in America are Americans. What we need to do is activate and engage our allies who are Americans to speak up. I believe the consular team Ambassador Wiseman has put together across the country is designed to do just that: to ensure that the Canadian story and the facts about this are understood at the local level so that Americans can reach out to American legislatures and speak the facts about how important this agreement is.

Sameer Zuberi Liberal Pierrefonds—Dollard, QC

On that point about Americans being the best advocates, Mr. Hyder, are you seeing that traction and that message from the Canadian government really being understood by the American public?

5:15 p.m.

President and CEO, Business Council of Canada

Goldy Hyder

It's very interesting. It's a great question.

What's happening is that, for whatever reason—and I don't want to judge the reasons that Americans are doing this—they're doing it under the radar. They're doing it privately. They're doing it directly. They're not necessarily running campaigns or putting up billboards or anything. I leave it to them to determine why they're doing it the way they are. However, I can assure you—there's no doubt in my mind—that important American business leaders are making those calls not just to the White House but to others to make the point.

The more we can encourage Americans to speak in particular to the USTR, the United States Trade Representative, and have him understand the impact that these tariffs are having on local Americans and American communities, the more likely that this agreement could happen sooner rather than later.

Sameer Zuberi Liberal Pierrefonds—Dollard, QC

I appreciate that.

I'll let you conclude with any thoughts that you have in these few seconds that are remaining.

5:15 p.m.

President and CEO, Business Council of Canada

Goldy Hyder

I don't have any. Thank you.

The Chair Liberal Ahmed Hussen

Thank you very much.

We'll next go to MP Brunelle-Duceppe.

You have two and a half minutes.