I want to thank everybody for having this today. I didn't want to hear the first part of this, because I have my own thing to say, but without manufacturing in Canada, we're nothing, so we support all manufacturing. I am here today representing the mouldmaking interest in this community, but again, we support all manufacturing.
I want to start out by saying that we've always enjoyed the long-standing relationship with all levels of government. Our group has always embraced working with the government. We've had some really quality people. I can't say enough good things in that regard; we've had a good relationship with the government.
I want to start out be saying, too, that I have three things to say. I want to talk about the challenges, but I also want assurances from the government that they are going to continue to work with us. I'm not totally sold on that. Also, I have some solutions, and hopefully this fact will be brought out in the question and answer period.
Our shops employ, as you've probably heard earlier, a highly skilled workforce, and we continually work with post-secondary institutions like Sinclair College and the University of Windsor. Our CAMM office is also located in the Ford Centre of Excellence, and we thank you for your contribution to the Ford Centre of Excellence. We have worked together with those institutions; we have continuous tours at the University of Windsor; we work with the engineering department; we go to the research area; we have our meetings sometimes at Sinclair College.
Our companies, as you heard earlier, work with the OYAP program. They also work with the Moulding Youth for Industry program. Our shops employ different levels of skills. These are world-class skills. The moulding of youth program is also a great program. It gives people a second opportunity in life if they fall through the cracks. It gives them a second opportunity to better themselves.
Also, the mouldmaking industry is vital to this area. It provides many spinoff jobs. Any of our mould shops deals with accounting firms, with law firms, with steel suppliers, and machinery people. The spinoff jobs are tremendous. That is something you really have to keep in mind.
Our mould shops are huge supporters in this community, too; they give back. You probably heard from the CAW; they give back to this community. Our mould shops also give back, in quiet ways. I don't want to name-drop, but you've probably heard of Tony Toldo in this area. He's one of our really prominent mould makers; he's given back to this community. So they also give back to our community.
Our shops are also large exporters to the United States, and with their proximity, obviously, here to Windsor and our cultural similarities, it makes a good trading partner for us.
Most of our shops are using advanced technology, and we're continuously upgrading our systems and that type of thing. You've heard that we're constantly upgrading our shops. Our shopowners and our managers are resilient.
You were alluding earlier to our having been through some problems and their having self-corrected. I really thought some of our problems would self-correct. I've written articles for papers and so on. I don't have all the answers, but I've been in this trade for 25 years and I've seen a lot. I thought some of these problems would correct themselves, but they're not doing so, and that's why I'm glad we're here today.
Among the challenges facing our industry—again, you've probably heard them—are border issues, our exchange fluctuations, cash flow problems—and you've heard that—bankruptcies of our OEMs, rising commodity prices, a shortage of skilled help—and that still is an issue for us.
But you're going to hear more in depth from some of my colleagues, probably, and you've already heard it: the offshore competition is just tremendous. That's the area that I felt would self-correct; that the old “you get what you pay for” type of thing would sort of work itself out, and all the problems that go with it.
However, for some countries—you've heard China mentioned—there's an ITC investigation. There's a website; it's USITC.gov, if you want to put that down for the record. I have a hard copy with me. I'm not going to show it today, because I know there are rules here, but the work has already been done for you. They've examined the toolmaking industry throughout the world.
In 2002 the U.S. government was looking within themselves, because they're faced with the same challenges. They did a study. They deemed Canada's only advantage was the exchange rate. They know we have quality shops here. They deemed us as fair competitors. I know Mr. Parent was mentioning protectionism and so on, but the U.S. government has recognized the toolmakers in Canada to be fair competitors to them, and again, the exchange rate corrects itself.
So the studies have already been done. They've done China, they've done Taiwan, Korea, the United States toolmaking market. It's all there. There are statistics. There are also statistics from Windsor and the shops here and so forth. Again, I have a copy of that.
Things that are happening in China--we'll elaborate later, I'm sure--are that they're receiving tax funds, cash grants, preferential loans, violating WTO, and so on and so forth. On competitive conditions in the United States, that's part of the USITC. Hard copy is available again from me.
I do want to mention one thing that we were against. Last year the Canadian government hosted a Korean trade delegation. They invited South Korean toolmakers to Toronto and there was an airport hotel at which they met with our Canadian OEMs. That's one of the reasons that I'm not totally sold on this. And I don't know if the Canadian government agenda is to create more free-trading partners, hopefully not sacrificing our industry. The second thing is, I know you're trying to create more commodities markets, so hopefully you're not going to sacrifice on manufacturing.
I have a couple of solutions—