I'm glad to hear that.
As you know, Canada is a significant beneficiary of investment, and it generally welcomes inbound investment from elsewhere around the world. However, from time to time proposed foreign investments may not represent a net benefit to Canada. That's why the Investment Canada Act provides for certain foreign investments to be reviewed to determine whether they are of net benefit to Canada, and whether or not they represent a national security risk to our country.
It goes without saying that acquisitions by hostile foreign regimes and those countries that don't follow international trade and investment rules should be subject to careful scrutiny before being approved by our government. Under the former Harper government, some of you will recollect, we implemented a set of criteria that would be applied to investments from foreign state-owned enterprises. That was the case following CNOOC's purchase of an interest in the oil sands back, I believe, in 2011-12.
Sadly, more recently our current government failed to undertake a national security review of the sale of Neo Lithium to Chinese state-owned company Zijin Mining Group, and that's why I've tabled this motion that is before you today.
It goes without saying, but bears restating, that critical minerals such as lithium are a strategic asset not only for Canada but for the world, and they will play a critical role in driving our future prosperity and meeting our environmental objectives. These minerals are used in the production of things like semiconductors, electric vehicles and batteries, and many other industrial and health-related products. They play an important role in helping us meet our climate change objectives. Although we have yet to tap Canada's potential in terms of these minerals, we know that a number of regions of Canada, including parts of Ontario and Quebec, have significant deposits of these minerals. The reason I know that is that I've chatted with the Mining Association of Canada, and I encourage all of you to do so, regarding the potential that critical minerals represent both for our economy and for the global economy.
Recently we've seen what shortages of these minerals can do to supply chains. Shortages of semiconductors have had a negative impact on Canada's manufacturing sector and on the Canadian and global economy as a whole. It's therefore imperative that Canada take the issue of critical minerals and the domestic and global supply chain of these minerals seriously. Canada risks falling behind in developing and protecting its own leaders in this industry. Allowing the foreign takeover of companies like Neo Lithium without due diligence or proper scrutiny will further weaken our strategic interest in ensuring an adequate global supply of lithium and other critical minerals.
Mr. Chair, we are seeking clarification on why this Neo Lithium transaction has not been the subject of a national security review. I know there are some who say that there's nothing to see here. Neo Lithium's ore body and mining operations are in Argentina, not Canada, so what's the big deal? What they forget is that critical minerals are a strategic global asset—and I emphasize “global”—and that it doesn't matter where the mines are located. What matters is who controls the asset. It is incumbent upon free-trading, rule-following countries and allies to ensure that the critical minerals industry isn't monopolized by any one country, especially if those interests are sometimes hostile towards ours.
I need just a couple of minutes, Mr. Chair, and I'll be finished.