Evidence of meeting #121 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 know.
A recording is available from Parliament.
NDP
NDP
Blake Desjarlais NDP Edmonton Griesbach, AB
—with my very important question that Canadians and indigenous people deserve to have answered. Is there an indigenous engagement strategy?
Liberal
The Chair Liberal Judy Sgro
I believe the minister has answered that question, maybe not as directly as you chose to—
NDP
Liberal
François-Philippe Champagne Liberal Saint-Maurice—Champlain, QC
It's in our process. Madam Chair, that's why I can't.... I wish I could speak. I appreciate the member is as passionate as I am, and it's okay.
It's embedded in our process. It's beyond a strategy. It's part of the process, like mechanics. It's part of the process. We consult systematically every time, and it's working.
I speak to the Assembly of First Nations. I speak to the Inuit communities where they are. I've been speaking with the Métis nations. I do speak to a lot of people, Mr. Desjarlais. Trust me. They know me.
NDP
Blake Desjarlais NDP Edmonton Griesbach, AB
The answer is that there's no strategy. I understand.
Thank you, Madam Chair.
Liberal
François-Philippe Champagne Liberal Saint-Maurice—Champlain, QC
No, it's part of the process. The strategy is embedded in the process.
I love your passion.
Liberal
Conservative
Richard Martel Conservative Chicoutimi—Le Fjord, QC
Thank you, Madam Chair.
Minister, the government committed to ensuring that all new light-duty vehicles sold in Canada are zero-emission vehicles by 2035. Can you really deliver on that commitment without destroying Canada's auto sector, which is currently struggling to compete globally?
Liberal
François-Philippe Champagne Liberal Saint-Maurice—Champlain, QC
Let me start by saying what a pleasure it is to speak with you, Mr. Martel. You and I share a strong love for your region.
I will say that the commitment is a good thing. I'm paying attention to what's happening around the world with what I call the four D's: decarbonization, digitization, demographics and disruptions. When it comes to decarbonization, your region and you, as an MP, are big winners, Mr. Martel. Look at Rio Tinto. Now the green aluminum being produced in Saguenay is being used to manufacture U.S.-made BMWs. Audi just announced that it was going to use the aluminum as well. I think it's in our best interest, then, to pursue the commitment the government has made. I'm thinking of you and the people in your region. Showing leadership in the area of decarbonization is a win-win.
In fact, the people at Rio Tinto tell me that I talk so much about their green aluminum that their orders are going through the roof. They joke that I need to give them a chance to make it before selling it. That shows you how well things are going. Global buyers are turning to Saguenay for its green aluminum.
There's no doubt that commitments like the one you mentioned support the industry's decarbonization.
Conservative
Richard Martel Conservative Chicoutimi—Le Fjord, QC
Minister, the auto sector here could potentially suffer because of that change.
Liberal
François-Philippe Champagne Liberal Saint-Maurice—Champlain, QC
You know how much I respect and like you. I think our decarbonization measure is actually doing the opposite. It's why we've been able to attract investments from Volkswagen, Honda and the like. In Honda's case, we are talking about the biggest investment in the company's 75‑year history, and it is choosing to make that investment in Canada. It also creates jobs for the women and men in your region who work in aluminum or steel and those who work for auto industry partners.
Had we not pursued decarbonization, had we not shown leadership in the area, our industry would've paid the price, Mr. Martel. We should be leaders, as far as I'm concerned.
Conservative
Richard Martel Conservative Chicoutimi—Le Fjord, QC
Minister, when it comes to Canada's commitment to become a leader in the energy transition, it's critically important to think about the sustainability of resources. I imagine you don't disagree with that.
What do you think of tendering processes in the public or private sector that take into account the lowest bid? They put bidders not required to adhere to high environmental standards like Canada's at an advantage.
Liberal
François-Philippe Champagne Liberal Saint-Maurice—Champlain, QC
I'll tell you my view on tendering processes. For me, value always comes first. There's definitely a difference between value and price. As you mentioned, we need to avoid a race to the bottom.
One of the reasons we introduced the tariffs the committee is currently studying is precisely to protect our steel and aluminum workers. We know we have high labour and environmental standards. I think Quebeckers and Canadians want us not only to buy those products, but also to ensure that they are made in countries with high standards like ours. That is why people in your region, in Saguenay, have had access to quality jobs for generations. Ultimately, that's what we want to prioritize.
Conservative
Richard Martel Conservative Chicoutimi—Le Fjord, QC
Practically speaking, we don't have a national supply chain for electric vehicles yet. Why isn't there a genuine plan to develop our resources and reduce our reliance on Chinese imports?
Liberal
François-Philippe Champagne Liberal Saint-Maurice—Champlain, QC
Keep in mind that the transition to electric vehicles follows a century of doing things the same way—making vehicles with gasoline engines. I think we're doing pretty well. Bloomberg ranks us above China on the battery supply chain. That's a good thing, and it was even before I gave the outlet an interview, imagine.
We've also attracted people in copper foil manufacturing, and cathode and anode production. They talk about Bécancour in Tokyo and Seoul now. We've brought Quebec into the auto industry. Mr. Martel, I'm sure that in your heart and soul, you are a proud Quebecker, just as I am. This is a major advancement. When was the last time Quebec entered a 21st industry like this one? It probably goes back to the aerospace sector.
All the better. It creates jobs not only for the people in your region, but also for the people in the steel sector in Ontario. Michelin's investment in Nova Scotia comes to mind, as do the battery investments in British Columbia.
We should celebrate the fact that Canada is positioned as a global leader in the electric vehicle sector.
Conservative
Conservative
Richard Martel Conservative Chicoutimi—Le Fjord, QC
How many? Was it six?
Forget it.
Thank you, Minister.
Liberal
Liberal
Vance Badawey Liberal Niagara Centre, ON
Thank you, Madam Chair.
Minister, as you know, Niagara is now an internationally recognized strategic trade corridor. Throughout this country, we recognize that trade corridors must further evolve as well as remain competitive and resilient, like Niagara has throughout the last few years. We have pivoted to attract that new economy and built resiliency by building on our strengths, including a multimodal network with the Welland Canal, which is part of the St. Lawrence Seaway, as well as rail, road and air.
I would like for you to speak a bit about the manufacturing sector and how critical it is for both domestic and international trade. How does it rely on efficient, sustainable and future-proofed supply chains?
With that, specific to innovation and technology, which is where you are every day, what role do innovation, particularly digital infrastructure, advanced technologies and the other capacities needed within supply chains to evolve and be resilient play in modernizing our supply chains and ensuring that they are adaptive to future challenges?
Liberal
François-Philippe Champagne Liberal Saint-Maurice—Champlain, QC
First of all, I have to say, for the record and for those watching, that the rebirth of the region is largely thanks to you, Mr. Badawey. As a mayor and in your time as a community leader, you've been making sure that the region shines. We see it as a rebirth, and it's thanks to you, speaking of the Welland Canal, and your role as one of the St. Lawrence mayors and what you've been doing with our U.S. friends. I remember being with you and the mayor of Chicago. People praise you all over. For all the people at home, you've been a catalyst for that.
I want to thank you, because this is not just me. This is us as parliamentarians, and there's a big role for parliamentarians to foster these relationships. You've been an example of that, and I commend you on behalf of all of us here.
You're right. Innovation is going to be a big part of that if we want to remain at the forefront. It goes back to the question from your colleague about the battery ecosystem and reshoring. The reason the supply chain is so key is that we've seen a reshoring of key industries on the continent, including friendshoring and nearshoring.
We've been great beneficiaries of that trend. We've seen investments coming, but you're right that we need to make sure we have these trade corridors well established and well maintained, because they are key to supply chain resilience. When I go to the United States, as I've said before, security always comes immediately after supply chain resiliency. Post-COVID, people see this as a key competitive advantage and even a national security issue, so the work you've been doing is tremendous.
You talked about innovation. Let me tell you that we've been talking a lot in this country about productivity and prosperity. Artificial intelligence will be the holy grail for increasing our productivity and prosperity. That's why we have the first national strategies on AI and quantum technologies. We need to work together. That might be something for the committee.
I said that at the INDU committee as well, Madam Chair. How do we foster adoption among small and medium-sized businesses? There's untapped potential there, and we need to make sure small and medium-sized businesses will seize it. When they see the power of, for example, using the data, putting AI in their systems, and robotics and automation, in all of the investments we've seen, there will be a lot of opportunity for small and medium-sized businesses.
In closing, what you've done, Mr. Badawey, is exactly what we need to do in every region of the country. We need to make sure the region is front and centre. We have big announcements to make together shortly.
I'll save that, Madam Chair, because if I say everything today, you might not invite me back. I'll save that for a future meeting. We'll have big announcements that will show the work we've done.