Evidence of meeting #151 for International Trade in the 42nd Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was cusma.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Clerk of the Committee  Ms. Christine Lafrance
Brian Kingston  Vice-President, Policy, International and Fiscal, Business Council of Canada
Dan Paszkowski  President and Chief Executive Officer, Canadian Vintners Association
Mathew Wilson  Senior Vice-President, Policy and Government Relations, Canadian Manufacturers & Exporters
Roger Pelissero  Chair, Egg Farmers of Canada
Judi Bundrock  Director, International Trade Policy, Egg Farmers of Canada
Sujata Dey  Trade Campaigner, National, Council of Canadians
David Adams  President and Chief Executive Officer, Global Automakers of Canada
Claire Citeau  Executive Director, Canadian Agri-Food Trade Alliance
Flavio Volpe  President, Automotive Parts Manufacturers' Association
Chief Perry Bellegarde  Assembly of First Nations
Bob Lowe  Vice-President, Chair of Foreign Trade Committee, Canadian Cattlemen's Association
John Masswohl  Director, Government and International Relations, Canadian Cattlemen's Association
Angelo DiCaro  National Representative, Research Department, Unifor

10:45 a.m.

Liberal

Karen Ludwig Liberal New Brunswick Southwest, NB

Do I have more time?

10:45 a.m.

Liberal

The Chair Liberal Mark Eyking

You only have half a minute, if you want to ask a quick question.

10:45 a.m.

Liberal

Karen Ludwig Liberal New Brunswick Southwest, NB

Rob, do you have a quick question?

10:45 a.m.

Liberal

Rob Oliphant Liberal Don Valley West, ON

There's no such thing as a quick 30-second question.

10:45 a.m.

Liberal

Karen Ludwig Liberal New Brunswick Southwest, NB

That's true.

10:45 a.m.

Liberal

Rob Oliphant Liberal Don Valley West, ON

I would just go on more about pharmaceuticals and biologics.

10:45 a.m.

Voices

Oh, oh!

10:45 a.m.

Liberal

The Chair Liberal Mark Eyking

I think we're going to move on, because I don't want to get into trouble here.

We're going to move over to the Conservatives.

Mr. Hoback, you have the floor.

10:45 a.m.

Conservative

Randy Hoback Conservative Prince Albert, SK

Thank you, Mr. Chair.

Thank you, witnesses, for being here and for attending by video conference.

Mr. Volpe, you talked about wanting to have this ratified right away. I just want some clarification. When you say “right away”, do you mean in sync with the U.S., or do you want us to go ahead of the U.S. in the ratification process?

10:45 a.m.

President, Automotive Parts Manufacturers' Association

Flavio Volpe

That's a good question.

10:45 a.m.

Conservative

Randy Hoback Conservative Prince Albert, SK

I just want clarification.

10:45 a.m.

President, Automotive Parts Manufacturers' Association

Flavio Volpe

I'm not the member for Eglinton—Lawrence, so I have a different perspective here. I would say that it's very important for this government to show, especially the Democratic Congress, that we're serious about this deal and that we're independently going with a ratification process.

It's a delicate balance of economic diplomacy there, but I would like for our stance to be firmly and publicly saying that we're going to ratify, that we're expecting that they're going to ratify, that we support this deal, and that we all have common interests, but not suggest, by the way, that we'll wait for them and see how it goes.

10:45 a.m.

Conservative

Randy Hoback Conservative Prince Albert, SK

The concern I have here is about any changes at the last minute in the U.S.

10:45 a.m.

President, Automotive Parts Manufacturers' Association

Flavio Volpe

I don't know how you reopen an agreement.

10:45 a.m.

Conservative

Randy Hoback Conservative Prince Albert, SK

There are the side agreements, the side letters and stuff like that.

10:45 a.m.

President, Automotive Parts Manufacturers' Association

Flavio Volpe

Fair enough.

10:45 a.m.

Conservative

Randy Hoback Conservative Prince Albert, SK

Will it change anything? I don't know, but I want to see it for sure.

Ms. Citeau, is that the same interpretation you have, that you want to see it done now, and we'll take whatever we get, or do you want to see it move along with the U.S.?

10:45 a.m.

Executive Director, Canadian Agri-Food Trade Alliance

Claire Citeau

Our members want to see the agreement implemented as soon as possible. I won't comment on the sequencing, but essentially, our members want to see it implemented quickly so they can realize the benefits of the agreement.

10:45 a.m.

Conservative

Randy Hoback Conservative Prince Albert, SK

Yes. They just want to see it done at the end of the day, once everybody agrees, and I agree with that.

When you look at the agreement, and when you look at the beef producers and grain producers in that scenario, do you see any real change in market access? Do you see any real change in the supply chains and how they're going to operate? Do you see any harmonization when it comes to regulatory requirements for new medications and standard stuff like that? Is there anything there you'd identify that has been an improvement compared to what we had before?

10:45 a.m.

Executive Director, Canadian Agri-Food Trade Alliance

Claire Citeau

On the beef question, I understand that our members from the Canadian Cattlemen's Association will appear right after this—

10:45 a.m.

Conservative

Randy Hoback Conservative Prince Albert, SK

Do you want me to ask them that?

10:45 a.m.

Executive Director, Canadian Agri-Food Trade Alliance

Claire Citeau

—so I will let them address this.

On the others, there are some minor improvements for some processed food products, which I have mentioned, and they are welcome news for our members. There are also some new mechanisms. I mentioned a few committees—the agriculture committee and the one on biotechnology—that will serve as forums to address trade irritants and will help ensure that trade continues to flow as freely as possible.

10:45 a.m.

Conservative

Randy Hoback Conservative Prince Albert, SK

Okay. I appreciate that.

Mr. Adams, you talked about global automakers. Canada has lots of market access around the world. We have a labour force second to none. It's educated. It's there. What is preventing more of the global auto players from relocating in Canada? You could do a platform here and supply anywhere in the world. Why are we not seeing that investment happening here? Why is there hesitance? What's the issue?

10:50 a.m.

President and Chief Executive Officer, Global Automakers of Canada

David Adams

I would say what you're probably dealing with is essentially historical. The plants that are currently operating in Canada were all put in Canada to serve the North American marketplace and the North American marketplace exclusively. That's not to say that with the CETA, as you noted, and with other trade agreements, Canada couldn't become an export platform to these other countries. But right now, at least as far as my members—Honda and Toyota—are concerned, the North American marketplace is basically taking all the production that they can assemble right now, because they're assembling, frankly, product that's very attractive in the North American marketplace.

It may come with time, but going back to a statement I made earlier, if you're looking at investment right now, you're looking at the certain place to invest. Without this agreement being done, the certain place to invest is the United States.

10:50 a.m.

Conservative

Randy Hoback Conservative Prince Albert, SK

Mr. Volpe, I'll go to your side of things. You talked about three facilities on the OEM side. I look at it differently. The U.S. is not going to get any more market access. I don't think they are going to do any more trade agreements under this administration. I just don't think it's going to happen. But Canada already has them, so why haven't we leveraged that fact? We could say, “You know what? You can have a facility in the U.S. take care of the domestic market. I get it. But you could have another facility two hours north, and you could export all around the world from that facility.”

Why haven't we leveraged that? What is the thing that's holding them back? Is it our competitiveness? Is it the taxation? Is it the unionization? What are the issues that are keeping them from coming up north?