Thank you, Mr. Speaker, and thanks to all those who are helping the House to function at this late hour.
Much has already been said in this emergency debate on the violence being done to the Canadian lumber industry by protectionist forces in the United States. Much has been said by members of parliament whose constituents are directly and powerfully affected by the countervailing duties so far imposed on the industry by the United States.
We have heard about the more than 15,000 jobs that have been lost in the industry already and the anticipated additional 15,000 jobs that are imperilled. We have heard about the economic devastation this has for many small communities, particularly in British Columbia. We have heard much about what the government has or has not done to protected this vital Canadian export industry.
I would like to focus my remarks on my extreme disappointment with the congress and the government of the United States in allowing these countervailing duties to proceed. Members would be hard pressed to find a member of this place who is more friendly toward the interests of the United States of America. I am an unvarnished fan of the American tradition of ordered liberty, of the American example of democracy given to the rest of the world, of the American system of free markets and the economic example to the rest of the world created by the free enterprise system in the United States.
In a country that is not always so friendly to such sentiments, in a country, Canada, whose political culture is sometimes formed not by a nascent anti-Americanism, sometimes taking such a position is not always easy, but it has never been more difficult than it is now.
I want to say to my colleagues in the American congress, many of whom are friends of mine, particularly members of the Republican congressional caucus in the house of representatives, that by allowing these countervailing duties to proceed they have betrayed what is best about the United States and have undermined some of the very virtues and values that make the United States the leader of the free world.
They have done violence to the principle of free trade, without which the entire system of free enterprise collapses. They have allowed themselves to do this, and I include in that a Republican administration that knows better, an administration that preaches the economic gospel of free markets, free enterprise and free trade. It has in this instance allowed the retrograde, economically destructive forces of protectionism to assault an ally, and not just an ally but the closest ally, friend, neighbour and partner of the United States for over a century.
Not only have they assaulted the economic interests of Canada and the principle of free trade and free enterprise, have they assaulted even their own consumers. Of course this is the twisted logic of protectionism. A small, discrete number of people have an acute interest in promoting countervailing duties of this nature on this and other products, those who own large companies that compete with products produced by folks who send products into the United States, exporting countries such as Canada. Yet the cost of the protectionist measures imposed on behalf of and for the interests of a small number of corporations is borne by individual U.S. consumers.
As the American consumers for housing coalition has pointed out, the average American house, newly constructed, already costs $1,000 more under the Canada-United States softwood lumber agreements of the past six years than it would if we had no such agreements and if we simply had free trade.
This is not just an attack on Canadian companies and Canadian lumber exporters. It is not just an attack on the 30,000 Canadians who are working hard to produce a valuable product needed in the United States. It is also an attack on hundreds of thousands of American consumers who essentially are forced to pay a form of taxation through the now expired softwood lumber agreements and who of course will also bear the brunt of inflated prices as a result of the cumulative 32% countervailing duties imposed since August.
I want to emphasize how disappointing it is for Canadian advocates of free enterprise, free exchange and free markets to see American politicians and policymakers who do know better taking this position.
When President Bush visited us here in Canada in Quebec City in August at the Organization of American States heads of state and heads of government meeting, he among others was a strong proponent of hemispheric trade. He spoke eloquent words then, as he has elsewhere, about expanding the circle of exchange and the circle of prosperity by opening up trade. He clearly articulated it as one of the foundational economic and foreign policy principles of his administration, the idea of opening markets, knocking down tariffs and allowing rules based trade systems to replace the small mindedness of tariffs and protectionism.
Yet while he was making that speech and subsequent remarks in rhetorical support of the principle of free trade, he knew full well that members of his administration and senior members of the congress were preparing to take these countervailing actions against Canada. He has allowed that to happen.
The United States government and President Bush I hope have the unqualified support of this country and this parliament in pursuing and leading the civilized and free world in its war on terrorism.
We have seen the United States government understand that at this time in particular, it is important for the United States to align its foreign and trade policy goals with that overarching objective of winning the war on terrorism. We have seen this through its changes in policy toward, for instance, Pakistan. Months ago it was considered a pariah state or pariah regime by the state department in Washington. Foreign aid had been cut off and trade sanctions had been imposed.
As an instance of this new reality, Pakistan is now an important ally of the United States. I am not cynical about these things; I understand the realities of realpolitik. I understand that the United States consequently has, for instance, eliminated virtually all of its economic sanctions on the Pakistani regime and legitimized the government of President Musharraf. It has increased foreign aid to that country and reduced the outstanding debt from Pakistan. That is one example of how American foreign policy and economic policy have aligned with the new reality.
That is why it is particularly troubling to see that the United States has not taken the same kind of approach to its strongest ally here in Canada, why it continues to pursue a policy which inflames Canadians against this American attack on our economy, which is frankly what it is.
I hope the government will do everything it can vigorously to represent our interests. I hope that we will not allow the Canadian government and the Canadian lumber industry to be taken hostage and taken to a negotiating table to come up with another sequel to the Canada-U.S. softwood lumber agreement. The last thing we need is another five or six years of de facto protectionist tariffs to which we agree. We must insist on the principle of free trade.
Canada can be a leader in the hemisphere by saying no to the special interests in the U.S. congress and by saying yes to the principle of free enterprise and free trade. We must hold firm. We must stand together. We must make this our top international trade priority, as we insist on free trade, so that Americans can benefit from the products we produce, and that circle of free exchange can gradually incorporate more and more people in this hemisphere.