Evidence of meeting #10 for International Trade in the 43rd Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was important.
A recording is available from Parliament.
1:40 p.m.
Liberal
The Chair Liberal Judy Sgro
Thank you very much, Ms. MacEwen.
We'll go on to Mr. Aboultaif for five minutes.
1:40 p.m.
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
Thank you to all the witnesses for appearing today.
Ms. Greenwood, you mentioned Alberta energy, Alberta oil, as one of the elements of a great trade relationship with the United States. Do you believe that our government should put energy top of mind to set the stage for an economic rebound?
1:45 p.m.
Chief Executive Officer, Canadian American Business Council
Pardon me. Do I believe the government should do what to energy?
1:45 p.m.
Conservative
1:45 p.m.
Chief Executive Officer, Canadian American Business Council
Oh, top of mind.
1:45 p.m.
Conservative
1:45 p.m.
Chief Executive Officer, Canadian American Business Council
I think that energy, whether it's traditional fossil fuels, renewable energy or innovative future forms of energy, is a crucial part of the economy regardless, so I do think that, when we talk about economic recovery, we have to think in terms of all forms of energy.
I know that the Biden administration is looking at sustainability in a number of areas, including infrastructure. Just as a quick example, there is some Canadian innovation in carbon capture and utilization, and there's a Canadian company that I'm aware of that captures carbon out of the air and is able to put it into a nanotube that you can mix into cement. Imagine building infrastructure that can help the economy recover while also helping to deal with carbon. I do think it's a top-of-mind issue on economic recovery, yes, sir.
1:45 p.m.
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
Thank you.
I'm a member from Edmonton, and we've always been leaders when it comes to technologies, especially in the oil and gas sector. You mentioned the new administration in the U.S. Do you have any concern about the Keystone XL pipeline? Do you believe that the new administration will sort of cancel the project, especially when energy is most needed for economic rebound?
1:45 p.m.
Chief Executive Officer, Canadian American Business Council
What I do know is that the Prime Minister raised the issue with the president-elect, and the Prime Minister's phone call with him, I think, was the first by a foreign leader with the president-elect. The project, as I understand it, is not the same as it was several years ago. A number of measures have been taken with respect to partnerships with first nations and with respect to carbon reduction, and that sort of thing. I think it's an active conversation between the two governments and an important one.
1:45 p.m.
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
What is your greatest concern with the current government here in Canada as far as the response goes when it comes to rebounding? Where do you think the hardship is going to be? Where is the government not really performing or having difficulty?
1:45 p.m.
Chief Executive Officer, Canadian American Business Council
The biggest risk, I think, for governments, whether they're local, state, provincial or federal on either side of the border, is this tendency to try to go it alone. I think pulling back from each other is a risk, whether it's Canada's pulling back from the United States or vice versa. That's what we really worry about, and that's why we started the rebound effort.
1:45 p.m.
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
You mentioned that protectionism is a problem, and I do agree. In the meantime, we're hearing on the other side that we need to have some kind of protectionism in whatever the campaign is to be able to fight climate change. Basically that's straight. Do you agree with that? What do you think of this kind of statement?
1:45 p.m.
Chief Executive Officer, Canadian American Business Council
I think it's really important to do both. I don't think we can turn away from our interconnectivity from a trade point of view, but we also, of course, have to work with countries around the world and with civil society to deal with the climate initiatives. I think it's important to do both, and I think you'll see, for example, that president-elect Biden has announced his intention to name John Kerry to deal with global climate issues and to try to bring the U.S. back into the Paris accord. I think that's enormously meaningful.
1:45 p.m.
Conservative
1:45 p.m.
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
Going back to Keystone, of course we are very concerned about that. I will repeat the question: Do you believe that we can rebound economically without keeping a focus on energy, at least for the foreseeable time, which is a couple of decades down the road?
1:45 p.m.
Chief Executive Officer, Canadian American Business Council
Labour unions share the view that we have to have infrastructure, energy infrastructure and all sorts of projects in order for the economic recovery to move forward. I do think it's important that Canada and the United States, labour unions, businesses and civil society co-operate on that front.
1:50 p.m.
Liberal
December 4th, 2020 / 1:50 p.m.
Liberal
Sukh Dhaliwal Liberal Surrey—Newton, BC
Madam Chair, thank you to the presenters.
In March, we had new measures to slow the spread of COVID. COVID-19 has significantly impacted how people do their shopping and consumers make retail purchases. Business and retail sales via e-commerce have been going up every day.
I would like to know what some of the different e-commerce strands observed across industries in the retail sector are and the positive impact they've had. Second, how will the businesses, especially the SMEs, adapt to a more digital economy and advance e-commerce to support their products? Third, what can government do to help small businesses take advantage of the online opportunities?
1:50 p.m.
Chief Executive Officer, Canadian American Business Council
Thank you so much.
On the question of SMEs, their conversion to digital commerce and what they need to do, I think, is a very important point. First of all, we know that small businesses are the bulk of the economy around the world, so it is very important that we focus on them. There are companies, whether it's a company like Cisco, Microsoft or many others, that have provided this connectivity, which helps SMEs in a—usually—very affordable way to stay connected with their workers, their customers and all of that.
There are some things that still need to be done in person. Digital commerce is an important piece of the modern economy, but we still have manufacturing, for example, and food delivery and things like that where digital connection plays a role in making things more efficient, but doesn't substitute for the entire process.
You asked about the role of government. There is a huge role for government in investing in keeping economies going. We have to keep people afloat, or the economy isn't going to stand. We saw in the United States, the Federal Reserve, the central bank, the U.S. government and Congress—both parties and the administration—take extraordinary steps at the beginning of the pandemic. There's a debate right now about how much more they need to spend. You can bet on the incoming Congress, the new administration, having as their first order of business in January the investment they need to pour into the economy to keep small businesses in particular afloat. That's an enormously important question.
1:50 p.m.
Liberal
Sukh Dhaliwal Liberal Surrey—Newton, BC
Thank you.
My question is for Ms. MacEwen.
You were talking about CERB, and the rental assistance provided by the government and the wage subsidy. You know that this wage subsidy of 75% to the employers has been—and the new rental assistance program that was brought forward that tenants can directly take advantage of—extended to the spring of 2021. Do you see small businesses taking advantage of that program, or are there any modifications that we should make to those two programs that would help small and medium-sized businesses?
1:50 p.m.
Co-Chair, Trade Justice Network
Thank you.
It's been really difficult for small businesses. I know that at first you were offering to lend money—$40,000. It would be to extend any loans, if that hasn't already been done, and extend deadlines. The economy hasn't rebounded fast enough for anybody to be able to remake that principal.
Wherever loans have been extended, you should definitely give people more breathing room on that front, I think. Also, wherever it can be simplified.... There can be more support going through the regional agencies—which was talked about in the recent fiscal update—in order to provide more support because it is quite confusing for a small business to be able to figure out what part works for them, what they need and how they can get that support.
1:55 p.m.
Liberal
The Chair Liberal Judy Sgro
Thank you, Ms. MacEwen.
We're on to Mr. Savard-Tremblay for two and a half minutes.
1:55 p.m.
Bloc
Simon-Pierre Savard-Tremblay Bloc Saint-Hyacinthe—Bagot, QC
I would just like to continue my discussion with Mr. Pérez.
You mentioned border carbon adjustments. Could we be looking at other forms of control? For example, could the agreements contain a mechanism through which institutions would ensure that breaches of environmental policies would be subject to lawsuits? In other words, can we reverse the logic and move from dispute resolution between investors and states to a mechanism by which the breaches of environmental policies, rather than the environmental protection measures, would be open to lawsuits?