Evidence of meeting #34 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 tariffs.
A video is available from Parliament.
Simon-Pierre Savard-Tremblay Bloc Saint-Hyacinthe—Bagot, QC
You do not think, then, that the newly introduced legislation in the states of New York and California could have any repercussions on our exports. Is that right?
Liberal
Mary Ng Liberal Markham—Thornhill, ON
We are monitoring them, and we will stay in very close touch with our industry and with our workers as these bills make their way through the legislative process. Of course, our team in the U.S. is also monitoring this situation very closely, because our job is to make sure we continuously defend the interests of our Canadian forestry sector.
Liberal
The Chair Liberal Judy Sgro
Thank you, Minister.
We move on to Mr. MacGregor for two and a half minutes, please.
NDP
Alistair MacGregor NDP Cowichan—Malahat—Langford, BC
Thank you, Chair.
Minister, I wanted to ask you about the WTO appellate body and the fact that we don't have a functioning body at present. I wanted to ask you how that's impacting the Government of Canada's strategy. Right now we do have the binational review mechanism under CUSMA, but can you inform the committee on how the fact that the WTO's body is not functioning is impacting our approach in all of this?
Liberal
Mary Ng Liberal Markham—Thornhill, ON
Thank you for that question.
Canada, of course, and I as the trade minister, lead the Ottawa group with many of our international partners in looking at working together on WTO reform. We've been clear that one area that needs reforming is ensuring a fully functioning appellate body at the WTO, as it's very important to the multilateral rules-based trading system. That is the work that we have contributed to as Canada. Of course, the WTO is a consensus-based organization, but I'm very pleased to be leading the effort among a number of countries as part of the Ottawa group's work.
We've been clear that a binding system, a two-stage dispute settlement system at the WTO, is necessary. We will continue this very important work with our international colleagues.
NDP
Alistair MacGregor NDP Cowichan—Malahat—Langford, BC
I have a final question, Minister. What are the anticipated costs of our litigation, both under the WTO and CUSMA, and how might that compare with previous efforts?
Liberal
Mary Ng Liberal Markham—Thornhill, ON
Perhaps that might be a question that I may have the officials answer, if that's quite all right. I don't have the information, but I know the officials are here for the second half, and perhaps they might be able to provide that to you.
Liberal
The Chair Liberal Judy Sgro
Thank you, Minister, and thank you, Mr. MacGregor.
We will go to Mr. Aboultaif for five minutes, please.
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
Thank you, Minister, for appearing today.
I have a good question. Do you think we are at the point of no return with the United States on the softwood lumber industry or trade?
Liberal
Mary Ng Liberal Markham—Thornhill, ON
Not at all. The United States is a partner to Canada, and they're our largest trading partner. We've always said that we are ready to be in discussions, and I'm going to work with Canadian industry and Canadian workers and with the Americans on this.
I think it's very important to Canadian industry to not say that there isn't a way forward, so we must work at it.
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
It looks like you're optimistic moving forward. Would you be able to advise us on what is the basis for that, other than a traditional relationship and the long history between Canada and the U.S., the CUSMA and everything else? Can you be specific, please? What makes you so optimistic?
Liberal
Mary Ng Liberal Markham—Thornhill, ON
My optimism has to do with my absolute commitment to the industry here in Canada, in the forestry sector, and the hundreds of thousands of jobs—
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
That covers our side, Minister. I'm talking about the American side. There must be something, some indication there, that tells you that we're going to overcome this situation. This is devastating for the industry, as you know, and this didn't come out of nowhere. It's not in CUSMA. That means this was planted a long time ago.
Liberal
Mary Ng Liberal Markham—Thornhill, ON
The softwood lumber issue has been going on between Canada and the United States, as I think we said earlier, for many decades. I'm very committed to working to defend the interests of the Canadian forestry sector and softwood lumber. I work with the Canadian industry and our workers to do so. We defend the interests against the unjustified tariffs through our legal means, but at the same time, we have always said that we're always ready for a discussion.
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
Minister, on the impact on jobs in Canada throughout this whole issue, do you know by number how many jobs will be affected as a result of what's going on?
Liberal
Mary Ng Liberal Markham—Thornhill, ON
I want to thank the honourable member for asking me those specific statistical questions, as some of his other colleagues on his side have done too. What I might refer you to is.... There are employment statistics as well as production volumes and price information at Statistics Canada. Perhaps that might be the best way in which you might get that information.
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
Okay.
You've mentioned throughout your remarks that this is impacting the cost of lumber inside the United States and the cost of new buildings and so forth. Why are lumber prices going up in Canada, then?
Liberal
Mary Ng Liberal Markham—Thornhill, ON
I appreciate the honourable member for that question. What I would say here is that the tariffs that could go up as a result of the finding of the second administrative review of course are concerning, and we will need to vigorously defend the Canadian industry's interests, and I'll do that, along with our industry and our workers—
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
What can we tell Canadians? For the average Canadian who wants to buy lumber for building a house or doing anything, what can we tell them? What can you tell them?
Liberal
Mary Ng Liberal Markham—Thornhill, ON
I think you can tell them both that my commitment is sincere and that I continue to work hard on behalf of the industry—
Conservative
Ziad Aboultaif Conservative Edmonton Manning, AB
But sincerity and commitment don't put food on the table. I'm asking: If we need to give Canadians some answers, some facts, what can we say to them? If the U.S. is imposing tariffs on the product going their way, that means it makes it expensive there. Why is this also reflecting on the Canadian consumer? Why?
Liberal
Mary Ng Liberal Markham—Thornhill, ON
I appreciate the honourable member's question. What I would say to Canadians, and particularly those workers in the forestry sector, who are middle-class Canadians, is that we will continue to work very hard on their behalf. We will do that with our American partners, and I will continue to pursue this work with the Canadian industry, just as we have done from day one.