Evidence of meeting #18 for International Trade in the 45th Parliament, 1st session. (The original version is on Parliament’s site, as are the minutes.) The winning word was forced.
A recording is available from Parliament.
Bloc
Simon-Pierre Savard-Tremblay Bloc Saint-Hyacinthe—Bagot—Acton, QC
Yes, of course they want to protect their own businesses, but they would probably also want them to keep benefiting from Canadian government contracts.
Liberal
Mélanie Joly Liberal Ahuntsic-Cartierville, QC
I will certainly not speak on behalf of the U.S. administration.
Bloc
Simon-Pierre Savard-Tremblay Bloc Saint-Hyacinthe—Bagot—Acton, QC
Understood.
Anyway, you said that there's been no pressure from the U.S. in that regard. You also don't think this can hinder negotiations.
Liberal
Mélanie Joly Liberal Ahuntsic-Cartierville, QC
As a former minister of foreign affairs, I continue to follow geopolitics on an ongoing basis. What goes on in the world still affects my current functions now that I'm in charge of the Canadian economy.
We see the emergence of protectionist policies all around the world. That is why I spoke with the European minister of economy, Stéphane Séjourné, to see how we can work with Europe to keep our free trade going in spite of the current protectionist environment and the fact that the Americans want to protect their steel industry.
Things are moving very quickly. We are trying not only to negotiate, but also to diversify our markets and to write new rules, because the rules of international trade have gone right out the window.
Bloc
Simon-Pierre Savard-Tremblay Bloc Saint-Hyacinthe—Bagot—Acton, QC
Indeed, everything has to be rebuilt.
Let's change the topic. I want to talk about aligning Canada's tariffs on Chinese electric vehicles with the U.S. tariffs already in place, which of course links back to CUSMA. About a year ago, Canada increased its tariffs to 100% to match the U.S. tariffs.
Is that still in effect?
Liberal
Bloc
Simon-Pierre Savard-Tremblay Bloc Saint-Hyacinthe—Bagot—Acton, QC
So there's no plan to change that.
Mexico increased its tariffs on Chinese vehicles to 50%.
Even if you're not part of the negotiations, do you think it could be a bargaining chip?
Liberal
Mélanie Joly Liberal Ahuntsic-Cartierville, QC
I'm not going to speculate. One thing is clear though: We have to protect our auto sector, because 25% tariffs are affecting 125,000 jobs in Ontario. Neither of us is from Ontario, but when that province is impacted, Quebec's economy and the whole country's economy suffer as well.
I think it's very important to defend these jobs.
Liberal
Conservative
Jacob Mantle Conservative York—Durham, ON
Minister, in your opening statement, you referred to steel, lumber and other critical sectors—steel, aluminum, autos and lumber. My understanding is that tariffs imposed by the U.S. are done so under the Trade Expansion Act of 1962, section 232, and additionally, in the case of lumber, anti-dumping and countervailing duties.
Is this correct? Do I have it right?
Liberal
Mélanie Joly Liberal Ahuntsic-Cartierville, QC
Yes, it's a fact. There's also an executive order for fentanyl-related tariffs under the IEEPA.
Conservative
Conservative
Jacob Mantle Conservative York—Durham, ON
Right.
You're following the court case in the United States with VOS Selections, which is dealing with the IEEPA tariffs.
Liberal
Mélanie Joly Liberal Ahuntsic-Cartierville, QC
I am, but as an MP like you, because I'm not in charge of the negotiations.
Conservative
Jacob Mantle Conservative York—Durham, ON
My understanding is—and I hope this is yours as well, as we have just established—that if the Supreme Court in the United States strikes down the IEEPA tariffs, this will provide no relief to the industries I just mentioned, because those tariffs are imposed under different laws in the U.S. Is this correct?
Liberal
Mélanie Joly Liberal Ahuntsic-Cartierville, QC
My job is not to make any form of hypothesis, neither—
Conservative
Jacob Mantle Conservative York—Durham, ON
—is to speak to the impact on these industries. I just want to know what your understanding of this is. If you don't know, it's problematic.
