Evidence of meeting #105 for International Trade in the 44th Parliament, 1st session. (The original version is on Parliament’s site, as are the minutes.) The winning word was aluminum.
A video is available from Parliament.
Liberal
Chandra Arya Liberal Nepean, ON
What was the installed capacity about 15 to 20 years back in Canada? If I say it was three million tonnes, am I close?
President and Chief Executive Officer, Aluminium Association of Canada
Approximately, yes. We've been pretty stable.
Liberal
Chandra Arya Liberal Nepean, ON
Basically, during the last 15 to 20 years, our installed capacity has been fairly the same.
My next question is this: How much of Canada's aluminum exports goes to the Indo-Pacific region?
President and Chief Executive Officer, Aluminium Association of Canada
It all depends on the dynamics of the markets, both in Asia—
Liberal
Chandra Arya Liberal Nepean, ON
Approximately, what is the percentage of the production capacity that is exported to the Indo-Pacific region?
President and Chief Executive Officer, Aluminium Association of Canada
It must be pretty small these days because China has taken over Asian markets.
Liberal
Chandra Arya Liberal Nepean, ON
Thank you.
Amongst the primary aluminum producers, what percentage of companies in Canada are owned by foreign entities?
President and Chief Executive Officer, Aluminium Association of Canada
They all are.
President and Chief Executive Officer, Aluminium Association of Canada
They're owned by the stock market.
Liberal
Chandra Arya Liberal Nepean, ON
What if I said that because 100% of the companies in the aluminum sector are foreign-owned and Canadian companies are just the branch offices of these multinational corporations, we are not adding capacity in Canada—where we have talent and where we have the natural minerals—and we are not taking advantage of the free trade agreements that we have been signing all over the world?
President and Chief Executive Officer, Aluminium Association of Canada
I'm sorry. I totally disagree with your statement.
Liberal
Chandra Arya Liberal Nepean, ON
Then tell me this: What is the fact? The fact is that the installed capacity has not gone up in the last 15 to 20 years. We have talent and technology here, and Canadian companies are all foreign-owned. Because they are all foreign-owned, we have just become the branch office to cater to the North American market.
President and Chief Executive Officer, Aluminium Association of Canada
I'm sorry, but no, I totally disagree.
President and Chief Executive Officer, Aluminium Association of Canada
May I answer? Yes, the facts....
We have invested over $15 billion in the remodernization of the plants in Canada over that same period of time. Over that same period of time, the U.S. went from 14 smelters to three, and Europe has gone down by 60%. Canada now produces 85% of all the metal produced in North America. It produces 45% of all the primary metal produced between Europe and North America. We have a dominant position. The industry has been reinvesting and has been spending in excess of $4 billion yearly in Canada in local spend. We've been exporting $12 billion of metal, and we have been generating a lot of wealth locally in Canada.
Liberal
Chandra Arya Liberal Nepean, ON
I'm sorry. My time is limited. How many more workers have been employed by your members during the last 15 to 20 years? How many more workers have been employed?
President and Chief Executive Officer, Aluminium Association of Canada
I don't understand the question.
Liberal
Chandra Arya Liberal Nepean, ON
What is the number of people employed today in primary aluminum production?
President and Chief Executive Officer, Aluminium Association of Canada
It's approximately 10,000.
Liberal
President and Chief Executive Officer, Aluminium Association of Canada
I don't know. I wasn't there.
Liberal
Chandra Arya Liberal Nepean, ON
Okay. Thank you, sir.
Mr. Deith, I am a big supporter of anything connected with minerals and the mines to mobility strategy. I am a big supporter of critical minerals exploration, battery manufacturing and electrical vehicle manufacturing. I have been pressing that we should have mineral processing also, and have been a big and vocal supporter, but I have a problem with what you are saying—that there's a market problem in that there is no connection between the producers and the suppliers.
Your suggestion seems to be that taxpayers take the risk so that your industry can benefit. That's what the critical mineral stabilization reserve means, correct?
Founder, Eagle Graphite Corporation
No. What I suggest is that the only role for the taxpayers is to establish and then administer essentially a buffer stock system. Actually, the mechanism of it would typically buy more when prices are low and sell more when prices are high—