Mr. Speaker, I am pleased to speak to the budget implementation bill today, our second budget implementation bill.
Although it is quite technical in parts, in fact, it is part of the process of governance that is taking Canada and our government to a brilliant future, a future where governments provide excellent services at reasonable costs and do not continually take more from people's paycheques than they can afford, especially to pay for programs that are inefficient or unnecessary and for which costs cannot be controlled.
There are over 40 million people worldwide who would do almost anything to immigrate to Canada. Why is that? In many cases it is because life is not easy in many parts of the world. In many countries, even basics like food and shelter are hard to maintain, especially where there are wars in Syria today where millions of people have been displaced. It is very hard to get a basic or advanced education in many countries because it is unaffordable. Many countries are governed by totalitarian leaders, such as North Korea, Iran, or Cuba, countries where a word criticizing the government or even the wrong official would result in men coming in the middle of the night to take people away, sometimes never to be seen again.
However, even in the freer countries, such as South Africa, the Philippines and India, people literally line up to fill out forms to come to Canada. Why? Because Canada is one of the few countries in the world in which people, especially young people, have a virtually unlimited potential in career, quality of life and wealth. They are fleeing governments that do not protect or nurture free enterprise, equality of opportunity, responsible spending and fairness in taxation, all of which this budget bill supports.
Canada sits on the cusp of a new day. Although we know the economic recovery in the U.S. has been slow at 2.5% growth and our U.S. friends buy 70% of the goods produced in Canada, the U.S. economy is still the largest in the world.
Last week, the Prime Minister went to Brussels to sign CETA, the Canada-EU Comprehensive Economic and Trade Agreement. When this deal kicks in, 98% of the tariffs on Canadian goods in Europe will disappear overnight.
Canadian entrepreneurs who already have access to the largest market in North America with U.S. and Mexico, with 400 million people, will have free access to the world's largest market: 28 countries in Europe, with 500 million people.
One out of five jobs in Canada is created from trade now, even with our tariffs. We are a trading nation, but the future will be far more exciting if we stay on track.
Canada has what the world needs, such as copper, nickel, uranium, gold, phosphorus, lumber, grains, potash, seafood and dairy products and we manufacture and sell high-tech goods with the best.
In my riding of Oakville, Ford of Canada is partnering with our government, the province of Ontario and Unifor to develop a state-of-the-art auto manufacturing facility where it will assemble up to 10 different cars on one platform, lasting 10 years.
It already sells thousands of Ford Edges in Canada and Brazil. However, this line, using $71.6 million out of the auto innovation fund and a $700 million investment from Ford, will make cars with ecoboost engines, diesel engines and hybrids, all on the same platform. This partnership will guarantee 3,000 jobs in Oakville for the next 10 years. That is the power of free trade.
Our dairy farmers, those who make butter and cheese, our fishers, our excellent wineries and our manufacturers will all have access to a new market of over 500 million people. That is not just goods that can be sold without tariffs. This is a comprehensive agreement. It includes services, banking, insurance and government procurement. It is the largest trade deal in Canada's history.
Our government, under the leadership of a prime minister, who is an accomplished and excellent expert economist, is assembling an economic structure for Canada that would be unmatched worldwide. I am quite serious about that. All the business writers talk about Canada's growth and all its manufacturing and all its successes. However, in China's west, there are 600 million people living on less than $20.00 a week. The command economy is not working for the majority of the people in China.
Because Canada has a free economy, wealth and opportunity are spread right across our country, even to the Far North. Canada's environment minister, who is a First Nation Canadian from the Far North in Nunavut, is chairing the Arctic Council in the Far North for the next two years, dealing with issues such as the environment and resource development.
Most people do not know there are more natural resources in Canada's territories within the Arctic Circle than in the rest of Canada, which is already rich with resources. Our commitment as a government is that these resources will be developed in the interest of the people of the north.
Each budget bill is one more step toward the goal of an excelled economic structure and will be the envy of the world. Here are the elements.
First, we already talked about trade. Fair trade and new markets are the most important way to grow an economy, without massive new spending programs the opposition parties would like to introduce. The trade agreement with the European Union could bring a 20% boost in bilateral trade, another $12 billion annual increase to Canada's economy. Put another way, this is the economic equivalent of adding $1,000 to the average Canadian family's income or almost 80,000 new jobs to the Canadian economy, which is of course great news.
Second, taxes must not be punitive on people or business. They must be competitive to attract new business and jobs. Our government has lowered the GST from 7% to 5%, cut corporate tax rates from 21% to 15%, and cut taxes over 160 times now in other ways, saving the average Canada family $3,200 a year and helping businesses succeed.
Taxes must also be fair and paid by all. This bill introduces measures to combat tax cheats by cracking down on Canada's black market and the use of electronic suppression of sales software. This software hurts Canadian businesses that play by the rules in favour of those that refuse to comply with Canada's tax laws. When these businesses cheat, we all lose.
Taxes must be kept under control. Three levels of government increasing taxes year after year drives business and opportunity out of the country. That is self-defeating. We will not increase taxes.
Third, balanced budgets should be the law under normal circumstances. Borrowing billions and creating government debt should be done only in a recession or when that money is invested for a real financial return. Borrowing money to pay out in entitlement programs or for government operations is a sure way to end up in trouble. Europe's mistakes should be a lesson to all. Too many countries are crippled with overwhelming debt due to years of excessive borrowing. In Greece there is a 27% unemployment rate. In Cyprus bank accounts have been confiscated. Italy has a debt to GDP ratio of 130%. Portugal's unemployment rate is 16%. It is no surprise that these nations are not prospering.
In government, if it is that important, tax to pay for it. If it does not have the nerve to tax to pay for spending schemes, that is a good sign that the scheme is a bad idea.
Our government will introduce a balanced budget bill as described in our throne speech. Canada's federal budget will be balanced in 2015: fair taxes shared by all, lower taxes, balanced budgets and innovation. We have invested more than $9 billion to date to support science and technology and innovative companies in the last seven years. Programs like the industrial research assistance program, the clean energy fund and now more with FedDev Ontario, these investments help create jobs and make Canada more competitive worldwide.
When we have a country as wealthy and large as Canada, there will always be those who wish they could take a piece of it. We have been very lucky in Canada. We have not had fighting on our soil since 1812. However, we are partners in the Norad security with the world's largest military power. Our armed forces must be vigilant and do their share. They guard the world's second largest country in extreme weather conditions. They must be equipped with the best equipment to do that important job. Our government has ensured they do. We have committed in the throne speech to continue that stewardship. We will not break trust with those who guard our nation.
Fair taxes shared by all, low taxes, balanced budgets, innovation, national security, these are our priorities as indicated in the bill for Canada's future. Canada's economic structure also includes safe communities. Our government has put in place legislation that holds criminals to account by ensuring sentences match the crimes, such as mandatory minimum sentences for serious, violent and repeat offenders, in order to get violent criminals off the streets so they cannot reoffend.
We have also introduced protection for individuals, to get lead out of children's toys, to stop companies selling flavoured cigars aimed at children and to introduce new regulations for plain language drug labels so Canadians and their doctors will know the true risks of serious adverse drug reactions when they are taking their drugs.
Our government has done all of this and created the structure I described, prioritizing stability, prudent fiscal management and careful stewardship of our economy. That is why we are light years ahead of most of Europe economically and ahead of the other G8 countries in so many ways.