Thank you, Mr. Chair.
Dear colleagues, it is a great pleasure to be here today.
Thank you for inviting me to speak on two important topics, one of which is the aluminum industry. I have to say that this industry is the pride and joy of the people back home in Saguenay—Lac‑Saint‑Jean, Mauricie, Quebec and across the country.
The second topic is the main estimates, about which I'm sure I'll be asked more general questions.
As I was saying, it's my pleasure to appear before this committee today to discuss the main estimates for fiscal year 2024-25 and to answer any questions on Canada's aluminum industry and some key investments. I must say that we have seen record investments in the aluminum industry in our country, so it's going to be good to talk with this committee and see what more we can do together.
The request we put forward in the main estimates is for $11.5 billion, which includes funding for normal operations and also for program delivery for both the department and the portfolio agencies that we have. It also includes funding to continue the implementation of budget 2023 measures, as well as spending reductions under the refocusing government spending initiative that we have launched.
From the automotive sector to biomanufacturing, and from artificial intelligence to green and digital industries, we must ensure that Canadian companies remain at the forefront.
That's why our government has introduced tax incentives to encourage the adoption of clean technologies across the country. That's why we're making landmark investments in new industries, such as EV and battery manufacturing.
Colleagues will have seen that Canada is winning big in the world. I think we're becoming the reference when it comes to EV vehicles, and that is really thanks to our workers, who are the best in the world.
These investments are attracting attention from the major automakers and battery manufacturers around the world. In fact, you will have seen just last month that we welcomed the news that Honda Canada will be investing $15 billion to create our country's first comprehensive electric vehicle supply chain.
I just want to say to colleagues that this is the largest investment by a company in Canada's history. It's the largest investment in Honda's history, and it's the largest investment in our auto industry since the creation of Canada—that was big news for everyone.
These investments are a strong vote of confidence in Canada. It's a strong vote of confidence in our skilled workers. It's also a strong vote of confidence in the ecosystems that we have been building and in the competitive business environment that we have created in this country.
My colleagues are well aware that Canadian companies are world leaders in carbon capture and hydrogen fuel cell technology.
That's why we will continue to support the adoption of made-in-Canada clean-tech solutions for the net-zero economy.
On the digital front, we are working to connect all Canadians, regardless of where they live, with high-speed access at affordable prices. We are also trying to balance digital innovation with trust and privacy through our digital charter.
In fact, Canada's Digital Charter, which you have right in front of you, will strengthen the protection of the privacy of Canadian citizens, and it will define new ways to frame the development and use of new technologies, such as artificial intelligence.
On the subject of artificial intelligence, the Pan-Canadian Artificial Intelligence Strategy is doing just that, helping leading Canadian companies reach new heights, attract the best talent and train our young researchers.
For your information, you should know that the Pan-Canadian Artificial Intelligence Strategy is the first strategy of its kind in the world. I can tell you that my colleagues around the world are hailing Canada's initiative and leadership in this field.
Colleagues will have seen that we have recently announced an historic investment of $2.4 billion in artificial intelligence to keep our leading position. This is in what we call “computing capacity”. To make sure we have the best talent, we need to give them the tools to continue to have that leadership position. This support is earmarked to build and provide access to computing capabilities for Canada's world-leading AI researchers, start-ups and scale-ups. It will also, among other measures, help small and medium-sized businesses adopt AI solutions and support workers in dealing with this very new technology.
Dear colleagues, let me now move on to another very important subject, the Canadian aluminum industry, of which I am proud. As everyone knows, this industry is recognized worldwide.
I'm originally from Shawinigan, and the first aluminum plant in North America was set up in my region. It stayed there for a century. Most of my uncles even worked at the Alcan aluminum plant. It's an industry I know particularly well.
We're the world's fourth-largest aluminum producer and have been a strategic supplier to North America's industrial base for over a century. My colleagues in Saguenay—Lac‑Saint‑Jean, in particular, are well aware of this: the industry's contribution to our economy is considerable. We're talking $3.45 billion and over 30,000 jobs last year alone.
I would say that today, the activities carried out in Saguenay—Lac‑Saint‑Jean are the largest in the world, if you exclude China.
As nations seek to catch up and reduce their carbon footprints, carbon-free aluminum will become an increasingly essential commodity.
This is why it's important to invest in technologies like ELYSIS, which is the subject of the committee meeting.
ELYSIS technology enables Canada to play its part in reducing greenhouse gas emissions on a global scale, while maintaining its competitive edge. ELYSIS technology represents the aluminum industry's most significant innovation in over a century. It's being done right here, by local engineers, talent and workers. It's the biggest aluminum innovation in 100 years, and it's happening in Quebec. So it's a source of pride.
This new technology has also led to a historic partnership between two of the world's largest aluminum producers, Rio Tinto and Alcoa. Canada is proud to be part of this great collaboration with both companies and, of course, the Quebec government. It's investments like these that will enable our country to lay a solid foundation for the decarbonization of the aluminum industry, which is the envy of the world.
When I talk to the major automakers, I see that they all dream of being able to source their aluminum here in Quebec.
For many of our strategic trading partners, the question is no longer “Why Canada?” but rather how and when they can invest in Canada. They realize that we have what very few countries have, and I call them the five pillars.
The first one is that we have a very talented workforce. I would say that we have the best workers in the world, and people recognize that. Canada is a big magnet for talent.
The second thing is that we have strong and growing ecosystems in the automaking industry, in EVs, in batteries, in aerospace and energy, and so on. We have been blessed with natural resources and resources that can build not only batteries but also semiconductors. I would say that when I talk to the OEMs, it's all about proximity: proximity to resources, market and the assembly line.
Third, we have abundant renewable energy. Quebec, in particular, has about 99%, and generally, Canada has about 80%, so if you want to decarbonize, Canada becomes the place of choice.
Finally, thanks to our network of trade agreements, we now have access to 1.5 billion consumers around the world. Canada is the only G7 country that has a free trade agreement with all the other G7 nations. I can tell you that when you say that to investors, they understand that Canada is the place to be in the 21st century.
To sum it up, together we're building Canada's future, a future that's going to be green, a future that is digital, a future in which our industries transform and gear up for a future we can all take part in and benefit from.
I want to say thank you for your time, and again, Mr. Chair, if you allow me, I just want to take the opportunity to thank our Canadian workers. I know people always ask me, what do investors ask you first? The first thing is about talent, and everyone recognizes we have the best workers in the world.
With that I'm happy to take questions.
Thank you, colleagues.
