I can tell you that, from the point of view of the vehicle assemblers in Canada in the automotive industry, the discussion has been about how soon we can take advantage of the high quota. This is a quota that is 25 times more than we're exporting right now. Most of the problems, although there are tariff problems, are around inspections and regulatory issues. Those are some of the reasons that it has been so difficult to export automotive products to Europe.
I can tell you that the companies I've been talking with—our assemblers—are setting up and are already exporting cars to China and internationally in many markets, and I think they see the opportunity of taking full advantage of the quota increase to export cars into Europe.
I think it's very important to recognize the context of these negotiations. The United States and Europe are also negotiating, especially in the automotive industry, in which we have such an integrated supply chain across North American that it's really important to get the rules of origin right. As the United States and Europe begin to negotiate, I think we'll be grandfathered into those negotiations. The open type of market here, especially around tariffs, but also around certifications and vehicle standards, is a very positive step ahead for the automotive sector.
I don't see where the job losses would come from. In fact, Jim Stanford is a good friend, and we talk for ages about the Canada-U.S. trade agreement 25 years ago. It has moved beyond the Auto Pact. I'd hate to go back to the Auto Pact days, when we were only producing half the number of cars in the country that we were selling in the country. That's not where international business is; that's not where the automotive industry is. I think NAFTA.....
Canadian companies cannot compete on low labour cost; we can't compete, really, on volume. We have to compete on a degree of specialization, and I guess what I'm hearing among a number of our members—and this really echoes what the Pork Council has said, too—is that we won't be able to compete on a “business as usual” basis in Europe; it's going to take investment and product development and better service. But Canadian companies, I think, have a record of being able to do these things and win market share in the North American market or win market share in Asia, and this is going to allow many Canadian companies to win a lot more market share in Europe as well.