Debates of April 18th, 2013

Opposition Motion—Canada-China Foreign Investment Promotion and Protection Agreement

[The Acting Speaker, Conservative, Barry Devolin]

The hon. member for Surrey North.

[Jasbir Sandhu, NDP, Surrey North, BC]

Mr. Speaker, before I answer the question, let me state in this House that I am very disappointed in the Liberal Party. Not only do the Liberals actually campaign on NDP policy, but when they form a government, they do what the Conservatives are doing.

We have an excellent opportunity for the Liberals to stand with the official opposition, to stand for Canadians on this issue, but they will be voting against this motion presented by the member for Vancouver Kingsway. I am very disappointed in the way the Liberals are behaving.

In regard to this question, it is absolutely true. We should be pursuing a fair, equitable trade with China.

[Rob Merrifield, Conservative, Yellowhead, AB]

Mr. Speaker, I listened intently to my hon. colleague, who is a member of the trade committee, and I listen to him quite often at trade committee. His position on this issue and the position of the NDP is really quite astounding.

The position of the New Democrats on trade is really quite anti-trade, but when it comes to China, they are prepared to go against an agreement that would actually protect Canada's interests in China and not compromise Canada's interests. How they bend and twist it is really ideological.

When it comes to our colleagues in the Liberal Party, they too have an interesting perspective when it comes to trade. The Liberals seem to want to subsidize China. China can get along very well without subsidies, thanks very much, when it comes to taking them off the list with regard to tariff compromisation.

Getting back to the issue at hand, I ask my hon. colleague a question with regard to his comments. When we have signed 24 of these agreements with other countries around the world and when we are actually doing more trade with China than ever before—in fact, 24% more just in forestry alone in the last few years—why is it so wrong to have a deal with China that we have signed with 24 other countries when it is okay with these other 24 countries?

[Jasbir Sandhu, NDP, Surrey North, BC]

Mr. Speaker, I thank my colleague, the chair of the international trade committee, for his question.

The trade record is very clear. Conservatives will try to twist this around that somehow it is the fault of the official opposition that they have created the largest deficit in our history. It is under their stewardship.

The NDP has always fought for a fair trade deal for Canadians, and we will continue to stand up for Canadians to make sure the trade agreements the government is signing are not only brought into this House, as we are doing with this FIPA, but are available for Canadians to see for themselves.

This is not the same template as we have been using previously. This template is different, and it is under this government that our businesses and Canadian taxpayers are being sold out.

[Ron Cannan, Conservative, Kelowna—Lake Country, BC]

Mr. Speaker, it is an honour to rise this afternoon to join my colleagues in the House to speak on this very important issue. It is a matter of great importance not only to the constituents of Kelowna—Lake Country but to all Canadians and Canadian businesses, specifically those that are looking to do business or are doing business in China at the present time.

Our government understands the importance of trade to our economy. It represents one in five jobs in Canada and accounts for nearly 65% of our country's annual income. That is why our government is moving forward with the most ambitious pro-trade plan in our country's history. It is a plan that is opening new markets for Canadian exporters, including in the fast-growing Asia Pacific region. We are committed to expanding commercial relations in the region and deepening and strengthening ties that will create jobs and prosperity for hard-working Canadians here at home from coast to coast to coast.

The opportunities for Canadian exporters in the Asia-Pacific are tremendous. Countries in the region include those with economic growth rates at an impressive two to three times the global average. In the past few years, our government has been aggressively expanding commercial relations with the Asia-Pacific region to create jobs and economic benefits here at home. Our efforts are yielding results. We are maximizing opportunities for entrepreneurs through innovative trade, investment, air transport, and science and technology agreements.

I would like to take a few moments to review a few of the steps our government has taken to create new opportunities for Canadian exporters in these fast-growing and dynamic markets.

In November of last year, the chair and members of the international trade committee visited Japan. We are advancing free trade negotiations with Japan. It is the world's third-largest economy. We are commencing exploratory discussions towards trade negotiations with Thailand and are adopting the joint declaration on trade and investment with the Association of Southeast Asian Nations to increase Canada's trade and investment ties in the region. We are signing air transport agreements with six Asia-Pacific countries and are joining the Trans-Pacific Partnership negotiations.

If anybody has any doubts, they can check the schedule of the Minister of International Trade. The gentleman is incredibly busy travelling the world and opening doors to help Canadian markets expand and create opportunities for all Canadians, from coast to coast to coast. It is a very exciting time.

These efforts, along with establishing numerous additional trade offices in the region, are generating real results. Our efforts to deepen Canada's trade and investment ties in the fast-growing Asia-Pacific region are further bolstered by our government's strategic investments and partnership in building the Asia-Pacific Gateway. These investments are positioning Canada as the gateway of choice between Asia and North America. In fact, Canada's west coast ports are more than two days closer to Asian markets than any other ports in North America.

For those in the House who are not aware, Prince Rupert is booming. I was there several years back when the cranes were installed. It was an incredibly exciting day for the community of Prince Rupert. It has been growing by leaps and bounds.

In November, I participated in a pilot project announcement with the Minister of International Trade and the United States government and border security on both sides. President Obama and Prime Minister Harper are working on the regulatory reform. To help—

[The Acting Speaker, Conservative, Barry Devolin]

I would again remind all hon. members not to reference other members by their names.

[Ron Cannan, Conservative, Kelowna—Lake Country, BC]

Mr. Speaker, the Prime Minister and President Obama worked together on regulatory reform to find ways to move goods and services efficiently across not only our borders but around the world. These investments are positioning Canada as the gateway of choice between Asia and North America. Canada's west coast ports are more than two days closer, so it is helping to expand that market.

Since 2006, our government has invested $1.4 billion in Asia-Pacific Gateway infrastructure projects, an amount that has been leveraged to almost $4 billion with the participation of provincial and municipal governments and the private sector. It is a true partnership. A total of almost 50 projects have been supported, creating jobs and economic growth in local communities, while easing the movement of goods, services and people to and from the fast-growing Asia-Pacific economies.

As a result of these strategic investments and partnerships, Canadian exports to the Asia-Pacific region have reached record levels. These investments are also generating new business opportunities, improving the flow of traffic, enhancing the efficiency of the transportation system, attracting investments and contributing to Canada's global competitiveness.

In what remain globally challenging economic times, more must be done to improve the flow of Canada's much sought after commodities, from oil and gas to potash, lumber and coal, through our west coast.

Our government will continue to build on this competitive advantage. These are just a few examples of how our government is promoting the interests of Canada's exporters.

Ultimately, to capture new opportunities in these dynamic markets, our government is creating the right conditions for Canadian businesses and exporters to compete and succeed internationally. The principle is quite simple. Government does not create the business. What it does is set the framework to make it more convenient, efficient and stable for businesses. They like the elements of stability and certainty within the agreements and will move forward and invest. Consequently, an important part of the equation is ensuring that not only two-way trade but also investment between Canada and other countries can take place in a stable and secure manner. That is why Canada has over 24 foreign investment promotion and protection agreements with key trade and investment partners, including China, the world's second largest economy.

I would be remiss if I did not highlight the fact that not only is China the world's second largest economy, but it recently became Canada's number two export market, second only to the United States. Canadian goods exports to China rose 15% last year to over $19 billion. Not only that, but Canada's exports to China have nearly doubled under our Conservative government.

I am not one of the most partisan members of Parliament in this House. I have been on the international trade committee. I have worked together with all colleagues in the House. It is unfortunate that despite all these successes, the NDP continues to fearmonger and spread myths about our trade agreements in general, this foreign investment protection agreement, and trade overall and how important it is for Canadians. This should not be a surprise to many Canadians. After all, it is the same NDP that opposed the Auto Pact and the historic North American Free Trade Agreement, otherwise known as NAFTA, and whose member for the B.C. Southern Interior recently argued that trade agreements “threaten the very existence of our nation”. It is the same party that stood in this House to oppose trade agreements with countries as diverse as Panama, Colombia, Israel, Chile, Costa Rica, Norway, Switzerland and even Liechtenstein.

Page 18 of the NDP policy book today states that the “New Democrats believe in...[r]enegotiating the North American Free Trade Agreement”.

In my community of Kelowna—Lake Country, NAFTA has been an incredible success for the wine industry in British Columbia as well as in Ontario, Nova Scotia and across Canada. It has been a great success, and the NDP wants to renegotiate it. I just cannot imagine that. Last year, our two-way trade in goods and services with the United States exceeded $742 billion. That is nearly $2 billion a day, or almost $1.4 million every single minute.

The chair of the international trade committee, Senator Andreychuk, and I had the opportunity last week to be in Washington to meet with new members of Congress and to inform them of that importance. Many of them were not aware of the one in five jobs, 20% of the GDP and the $2 billion a day in trade. It is a great success story, and we need to continue to be proud of it, not go down to the United States and tell them how bad we are here in Canada. We are in this together. It is the best partnership and the two most integrated economies in the world. We want it to continue to grow. These numbers are not simply sterile statistics. They represent some 2.4 million Canadian jobs, jobs that the NDP would jeopardize if it had its way.

The NDP's anti-trade credentials are well established. In particular, I would like to take a moment to dispel the many inaccuracies the NDP and its anti-trade allies have been spreading about Canada's foreign investment promotion and protection agreement with China.

Our Conservative government is committed to creating the right conditions for Canadian businesses to compete globally. Ultimately, Canada's foreign investment promotion and protection agreement, otherwise known as FIPA, with China, the world's second largest economy, will provide stronger protection for Canadians investing in China and will create jobs and economic growth right here at home. It is an agreement that establishes a clear set of rules under which investments are made and under which investment disputes are resolved. For Canadian businesses looking to set up in China, they cannot be treated less favourably than any other foreign company looking to do the same. Once an investment is made, Canadian businesses cannot be treated less favourably than any other businesses, including Chinese businesses. Importantly, the agreement protects investors from government expropriation, except under strict conditions, and even then only with appropriate compensation. That is only fair. We treat others as we would want to be treated.

This FIPA would also ensure that all investment disputes are resolved under international arbitration, ensuring that adjudications are independent and fair. It would remove some of the challenges of culture, language, etcetera. Canadian investors in China will no longer have to rely on the Chinese legal system to have their disputes resolved. As David Fung of the Canada China Business Council said, “Without this agreement, Chinese investments in Canada would receive the protection of the well-developed Canadian judicial system but Canadian investments in China would have to live with the uncertainties of a developing Chinese judiciary”. Very simply put, Chinese investors in Canada have the protection of the rule of law. All we are asking now, with this agreement, is that our Canadian investors be given the same benefit in China that investors from China have been experiencing all along. We are leveling the playing field to help Canadian businesses.

I would also like to emphasize that ours is the first such agreement China has signed that specifically includes language on the transparency of dispute settlement proceedings. There has been lots of discussion about that today. This is the most transparent agreement that has been signed between China and any country, and that obviously speaks volumes about the negotiation skills of our senior public trade officials and trade commissions.

This has been said many times in the House, but allow me to repeat it: It is Canada's long-standing policy that all dispute resolution should be open to the public and that submissions made by the parties be available to the public. Under this FIPA, any decisions of a dispute resolution panel will be made public, period. It is that simple.

As I mentioned earlier, the NDP and its special interest allies have gone to great lengths in the past and today in the House to spread misinformation about this agreement. Let me categorically state what the agreement does not do. First, the agreement does not hinder Canada's ability to regulate and legislate in areas such as the environment, culture, safety, health and conservation. On top of that, provisions in the agreement will preserve Canada's current ability to review foreign investments under the Investment Canada Act to ensure that they provide a net benefit to Canadians and that our national security is not compromised. Let there be no doubt that under this treaty, Chinese investors in Canada must obey all the laws and regulations of Canada, just as any Canadian must.

In short, the Canada-China foreign investment promotion and protection agreement is similar to other investment treaties Canada has signed with key trade and investment partners. We join countries such as New Zealand, Germany, the Netherlands and Japan that have all signed investment treaties with China on terms that are similar to, or in many cases less favourable than, the terms Canada has been able to negotiate with China. Once again, I give full marks to our senior public servants and the trade commissions negotiating this very good FIPA.

Ultimately, this investment treaty will help protect the interests of Canadian investors. The key purpose of the foreign investment promotion and protection agreement is to ensure that Canadian investors can invest in China with greater confidence, spurring increased investment in China and creating jobs and economic growth for hard-working Canadians. I do not know how many times I can say it, but we want to have a rules-based system for Canadian investors in China, just like Chinese investors have had in Canada for a number of years.

This investment agreement is just one example of how our government is promoting the interests of Canadians and is working to create new opportunities for Canadian exporters in China. The potential for increased Canadian investment in China is significant, given that China is expected to become the world's largest economy by 2020. My hon. colleague from Vancouver Kingsway mentioned that earlier in his comments. We will have great opportunities in the years ahead. The Chinese economy can and will benefit greatly from Canadian innovation expertise.

China is home to an expanding middle-class consumer base, and it has a burgeoning science, technology and innovation sector that needs Canadian expertise. Further boosting the Canada-China partnership is the fact that we are joined by the ties of family. More than 1.4 million Chinese Canadians enrich every aspect of our country, including some members of our House. We are looking at all aspects of the country. We are enriching the arts, literature, science, business, politics and philanthropy. This reflects the strong people-to-people links that are helping us to take our relationship to the next level.

Therefore, it is very unfortunate that, in addition to pursuing their archaic anti-trade ideology, the New Democrats do not see the value in strengthening our relationship with China. For our part, the Government of Canada is working very hard to deepen relationships with dynamic, high-growth markets around the world. As I mentioned, the Minister of International Trade is working tirelessly to grow the markets around the world, but quite obviously China is not at the top of the list of the NDP.

We have been very clear with the Chinese government that Canada wants to continue to expand its commercial relationship with China, but only in a way that produces clear benefits for both sides, a win-win situation. By establishing this clear set of investment rules that provides greater protection against discriminatory and arbitrary practices, this agreement will give Canadians greater confidence as they consider whether to invest in China. As I mentioned, the stability and predictability are what members of the business community cry out for, and this is what we are providing with this agreement.

In summary, the principle of the foreign investment promotion and protection agreement, or the Canada-China foreign investment protection agreement, or FIPA, is to ensure that Canadian investments in China are protected and that there is reciprocity so that Chinese investments in Canada are protected. As well, this is about giving Canadian companies investing in China the same rights and privileges as a Chinese company would have. This is about protecting Canadian foreign direct investment in China. We cannot do that without allowing those same rights and privileges to the Chinese. It is called “reciprocity”. It is called “fairness”. It is called “reasonable rules-based trading”. Rules-based trading is reasonable, in my mind, and it is fair, and I believe that all Canadians support fairness.

To alleviate some of the fearmongering from our NDP friends across the way, this treaty in no way impedes Canada's ability to regulate and legislate in such areas as the environment, culture, safety, health and conservation, which is another thing that needs to be clarified. I am concerned about the environment just as much as anybody in the House. I have three daughters and two grandsons, a one year old and a six year old, and I care about their future. I care about jobs and the opportunities they will have. This agreement provides that certainty for businesses.

Because of the diverse composition of the exports to China, this agreement affects people from all regions of Canada. We all need to pay attention and support this agreement because overall it is a good opportunity to provide jobs for Canadian workers. It is a good agreement for all Canadians from coast to coast to coast.

[Don Davies, NDP, Vancouver Kingsway, BC]

Mr. Speaker, my hon. colleague is entitled to his own opinions, but he is not entitled to his own facts. The truth is that article 33 of this FIPA does provide a compromised and weak provision in Canada's ability to protect the environment.

However, what is very interesting about this is that my hon. colleague keeps talking about reciprocity. We have just entered into an agreement with China, a country that has a judicial system that is so unreliable and weak that he uses that fact as a justification for having an investor-state dispute mechanism. In other words, Canadian companies cannot trust the Chinese judicial system well enough with the law suits to enforce their rights in China. Yet, my hon. colleague then says that the Chinese will treat Canadian companies just like it treats its own. I have some news for my hon. colleague. China is a communist command economy. It does not have the same system or record in terms of treating businesses the same way Canada treats businesses in our country. It is not reciprocal when businesses go to China and can expect only the treatment given to other Chinese companies.

Could the member tell Canadian business people why the Conservatives have failed to achieve true reciprocity for Canadian businesses operating in China, whereas we have given Chinese companies much better treatment in our country?

[Ron Cannan, Conservative, Kelowna—Lake Country, BC]

Mr. Speaker, I enjoy working with my hon. colleague on the committee. We grew up in the same city of Edmonton and I know that he has a law degree and is very familiar with these contracts and knows the importance of working together.

There have been about 18 years of negotiating going back and forth, so this agreement did not happen overnight. The rules and disciplines established by the FIPA are reciprocal and they apply equally to both parties. That is a fact, that at the present time and likely in the future Chinese investment in Canada is and will continue to be greater than Canadian investment in China. Therefore, it is important that the treaty establishes, as I said, the stable predictable investment environment in China for Canadians.

The bigger question is this. My hon. colleague has been talking about supporting the fact of helping out China. I do not understand. Is he saying that it is better for Canada to continue to expect taxpayers to fund foreign aid to China, the second largest economy in the world?

[Wayne Easter, Liberal, Malpeque, PE]

Mr. Speaker, I agree with the member for Kelowna—Lake Country on one point, and that is throwing out the FIPA is not the answer but we should fix the flaws.

The member said “our government” a number of times, so I think he would know the answer to the question I am about to ask.

One of the member's favourite witnesses, Mr. Van Harten, has indicated that Canada is responsible for any obligations under the international treaty. In other words, Canadian taxpayers would be responsible for decisions made at a provincial level that may be in violation of this agreement. Has the federal government given any undertakings to provinces, municipalities and first nations that it will in fact cover all financial liabilities arising from an arbitration or award that is triggered by a provincial, municipal or first nation decision? That is a serious issue.

We need to know that. We need to know the flaws and we need to know solutions to them. If a first nation, municipality or province makes a decision that is in violation and causes a liability to a business, is the Canadian government responsible for that? Has the member's government notified those jurisdictions of such?

[Ron Cannan, Conservative, Kelowna—Lake Country, BC]

Mr. Speaker, I thank my hon. colleague for his great work on the committee and working together on Canada-U.S. as well in the House.

That is why this foreign investment promotion and protection agreement is so important. It levels the playing field. It sets the certainty. If a provincial government makes a decision to change legislation, it has to ensure it is not negative toward a foreign investment. All Canadian investors are to be treated the same as foreign investors. If a NDP government decided to legislate a carbon tax that would affect all Canadians, which would be a bad decision, all businesses, whether foreign or Canadian, would be affected in the same way.

We have consulted with provinces along the way.

[Rob Merrifield, Conservative, Yellowhead, AB]

Mr. Speaker, I listened to my hon. colleague and I listened to the comments of my colleagues across the way with regard to this FIPA, which really does protect and level the playing field between China and Canada.

It is interesting. When we were in Japan as a committee, and the last two colleagues who spoke were there, we asked Japan if it had a FIPA with China. Japan is China's largest trading partner, much larger than Canada, much larger than America. It said that it did not. We asked if it would sign a FIPA and it said it would love to, which would level the playing field and give protection for the Japanese in China and for Japanese investment. Has Japan been compromised with some of the investments in China? Yes, it has but it continues to work. Japan would love to have a FIPA that would allow it that protection that China has offered through this FIPA with Canada.

My hon. colleague was on the trip with us to Japan. Would he see this as a good thing not only for Canada but also for Japan?

[Ron Cannan, Conservative, Kelowna—Lake Country, BC]

Mr. Speaker, to answer the question from the hard-working chair of the trade committee, being in Japan was definitely a great learning experience. It was a second trip. Our sister city to Kelowna is Kasugai, so I have been there before. Seeing the great opportunities that Canadians will have because of this agreement, it would be easy to say that the Japanese are almost salivating over the fact that Canada has this agreement in place.

It is a great opportunity for the certainty and predictability for Canadian businesses. Jayson Myers, Canadian Manufacturers & Exporters executive director said:

These agreements strengthen Canada's position as a strategic partner for China, advance our commercial interests within the second largest market in the world, and promise to deliver enhanced access to China's market for Canadian exporters.

The Canadian Council of Chief Executives stated, “The Foreign Investment Promotion and Protection agreement (FIPA) will allow Canadian business leaders to invest with greater confidence”.

Consequently, our negotiators, with Mr. Ian Burney, assistant deputy minister, are taking the lead on this. The fact is that we have a stronghold over other countries because we have this agreement in place. It is a great asset for all Canadians.

[Marc-André Morin, NDP, Laurentides—Labelle, QC]

Mr. Speaker, I find it somewhat cynical of my colleague to use Chinese Canadians as an example.

Every Chinese Canadian I know loves their adopted country and their homeland. I would point out to my colleague that those people fled a corrupt totalitarian communist regime whose economy is controlled to the nth degree. They came to Canada because it made sense.

Now they see that China could end up exerting the same type of control over our Canadian economy through protectionist measures that do not work.

[Ron Cannan, Conservative, Kelowna—Lake Country, BC]

Mr. Speaker, unfortunately my colleague from across the way does not understand what rules-based trading provides.

I do not condone the actions of a communist government, but we need to realize that it is the second largest economy in the world and it is growing exponentially. Therefore, we need to have rules in place so there is fairness.

The fact that we have an international arbitration process in place will help Canadian businesses rather than have every Canadian business hire a lawyer and have an agreement set up for every situation. This is in place for all Canadians. I mentioned Jayson Myers of the Canadian Manufacturers & Exporters, a variety of the Canadian chambers of commerce and business associations across Canada that are looking to expand business. We also welcome that certainty for Chinese investment in Canada to help to develop our resources to create jobs.

Therefore, it is a win-win situation with this certainty and predictability.

[Christine Moore, NDP, Abitibi—Témiscamingue, QC]

Mr. Speaker, I wish to inform the House that I will be sharing my time with the hon. member for Rimouski-Neigette—Témiscouata—Les Basques.

Today I really want to speak to my constituents and discuss a very important issue. It has to do with the motion put forward by my hon. colleague from Vancouver Kingsway.

That, in the opinion of this House, the government should inform the Government of the People's Republic of China, that it will not ratify the Canada-China Foreign Investment Promotion and Protection Agreement.

I would like to revisit the process that has led to this motion. The negotiation process leading up to the agreement was truly clandestine and undemocratic. The negotiations were conducted completely in secret. We were not able to have our say as the negotiations were progressing. They were not even open to parliamentarians. The negotiations took place in a tiny bubble.

Then, in October 2012, the Conservatives tabled the agreement, without consulting the provinces or first nations. There was no committee review or any consultation with Canadians. Despite all our efforts and requests, the agreement has never been debated or examined by a committee, nor has it ever been voted on.

I would first like to point out that this agreement affects a first nations right. In fact, the aboriginal peoples of Canada have a constitutional right to be consulted if the government adopts any measures that will have an impact on their rights. This right has been upheld repeatedly by the Supreme Court. We already knew that this government thought it was above the law, and apparently, nothing has changed.

The Hupacasath First Nation has filed an injunction with the Federal Court to stop the ratification of the FIPA. Brenda Sayers of the Hupacasath First Nation said:

First Nations were not consulted on the Canada China FIPPA. As First Nations with our Aboriginal Title, Rights and Treaty Rights, it is our duty to intervene for the sake of our children's futures....if ratified, FIPPA will immediately affect our Title and Rights by limiting our ability to exercise [our] jurisdiction in land use planning and regulation of our territory...

In my view, it is particularly disturbing to see that the government reached an agreement without even consulting with first nations, even though the agreement will have a direct impact on their rights.

In my region, there are six aboriginal communities. When we talk about natural resource development, the forestry and mining industries are often located on their ancestral land.

A company trying to set up a project is sitting down with first nations and is taking the time to consult with them. It is trying to develop a rare earth project. Rare earth materials are used in a lot of high-tech devices, especially batteries. Because of China's technology boom, those materials are highly sought after. If there is presumably one deposit in the region, there may be others.

Under this agreement, Chinese companies may appropriate or attempt to appropriate some of the rare earths. This would be done with no consultation of first nations, with no one even sitting down with first nations communities. We have to be very careful.

From the outset, this type of agreement indicates that Chinese investors are probably more interested in Canada's natural resources or natural resource industries. We must be very careful. The Idle No More movement came out of protests against a number of legislative measures in the budget that had been put in place without any consultation with first nations.

We must be extremely careful before we bring in an agreement that would once again fly in the face of Canada's Constitution. We have already done enough harm to first nations communities. We have imposed enough things on them without any consultation. Right off the bat I have a lot of concerns about this measure.

The government did not consult the provinces either, even though many legal experts are saying that this agreement will interfere in the provinces' exclusive jurisdictions. It did not consult Alberta, whose oil sands industry could be attractive to Chinese investors. It did not talk to Ontario or Quebec about the forestry and mining industries. It simply did not talk to the provinces. I find this very worrisome because this agreement directly affects them. I will come back to this.

Lastly, the government has not conducted any studies in this House or in committee. Trade agreements are generally subject to study in Parliament and then to a vote. Why is this agreement the exception to the rule? I have no idea.

When the text of the agreement was finally made public, the NDP called for a study in committee, but the Conservatives refused. We then asked for an emergency debate. Once again, the Conservatives refused. We have asked the government questions during question period and we have not even gotten an answer.

More than 80,000 Canadians sent messages to the government to ask it to conduct a study on the Canada-China FIPA. The trade agreement with Panama was examined, as was the agreement with Jordan. This agreement with China is much more complicated and restrictive for Canada, but the government is refusing to allow Parliament to study it. That is completely irresponsible and shameful.

This agreement will bind the two countries for the next 30 years. The public has a right to know what kind of disaster to expect with the current agreement. Right now I am 29 years old. This agreement would bind Canada and China until I am 59. That is more than twice my age right now, and during that time we will be stuck with an agreement that could present a lot of problems.

In addition to the fact that the process leaves much to be desired, the treaty itself is extremely problematic. We will not have the right to withdraw from this agreement for 30 years. No matter what happens, there is no way out of this agreement whatsoever. The treaty is written in such a way that the dispute settlement mechanism between an investor and the state allows foreign companies to sue for damages in foreign courts outside the Canadian justice system.

That means, for example, that if a Chinese company investing in Canada finds a new Canadian regulation to be too bothersome, that company can file a complaint in courts outside Canada's jurisdiction and seek damages from Canadian taxpayers.

To make matters worse, foreign investors will be able to sue the federal government over laws that are not even federal. A provincial government could implement a law and foreign investors would still be able to take the federal government to court. We could therefore be sued over laws that do no even fall directly under our jurisdiction.

Before I close, I would like to point out that, so far, every time Canada has taken other countries to court under similar agreements, it has lost. We are 0 for 17. Every time, we have lost. On the other hand, any time China or the United States has been taken to court, it has won its case.

Therefore, from the outset, this is a very risky undertaking. The government has refused to consult the public and is not respecting the rights of first nations. What is more, we must remember that this agreement directly targets natural resources. This is a big investment, and these resources belong to all Canadians.

I think we need to be careful. Right now, this agreement does not contain the legal provisions needed for Canadians to really support it. If it did, I would have supported it, but that is not the case right now. That is why I wanted to share my concerns about this agreement.

[Tarik Brahmi, NDP, Saint-Jean, QC]

Mr. Speaker, I would like to thank the member for her passionate and very relevant speech. She identified some very pertinent points, such as the lack of consultation with first nations and the problem of interfering in provincial areas of jurisdiction.

She represents the riding of Abitibi—Témiscamingue, which has its share of natural resources. In the context of natural resource development, how does she think the locals feel about these types of agreements and compromises? I am not just talking about aboriginal communities, but also the Canadian public in general.

[Christine Moore, NDP, Abitibi—Témiscamingue, QC]

Mr. Speaker, I would like to thank the member for his question, because this is an extremely important topic.

We need to understand that the people are greatly affected by these companies that are developing natural resources. There is concern about losing control over development. There is support for this type of development and people want industries, but they want to see these companies develop the resources in an environmentally responsible and sustainable manner and by investing locally. People have already seen enough disasters; they do not want any more. In my region, when a mine shuts down, an entire town shuts down. Some towns no longer even exist in my riding.

We need to be very cautious about these investments. People want to be consulted and want to be part of the process. Right now, parliamentarians are not even allowed to be part of the process.

The community will have basically no role in this, and there will be a great deal of legal fallout. Thirty years is a long time. As I said, that is twice my current age and then some. In my riding, mines—which have a lifespan of 15 to 20 years—may be subject to this agreement for the entire time they are in operation. That is huge.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, it is very clear that Canada is a trading nation. Hundreds of thousands of jobs across our great land, from coast to coast to coast, depend on trade. It is very important for us to recognize the value of trade agreements.

I can appreciate the NDP members have never stood in their place and voted in favour of a trade agreement in the House of Commons, but my question to the member is, does she believe that there is any value whatsoever in trade agreements?

[Christine Moore, NDP, Abitibi—Témiscamingue, QC]

Mr. Speaker, I would like to clarify that those types of agreements are indeed very valuable and they are of paramount importance. However, they are binding agreements, so we have to negotiate carefully. Canada is actually on the losing end of this particular agreement.

Generally speaking, in negotiations, both parties must gain something and the benefits must be comparable. However, in this case, too many measures are actually placing Canadian investors and Canadian industry at a disadvantage. We run the risk of clandestine legal action. The lawsuits could be secret. Canadian taxpayers will pay a bill without even knowing that the Canadian government has been sued.

From a legal standpoint, this agreement is not well structured. If the agreement had been good and negotiated properly, I would have been happy to support it. I recognize that the Chinese government's investments are important for our country. However, this agreement is really not good and we cannot support it, because such a binding agreement with so many flaws is really dangerous for the future of our country.

[James Bezan, Conservative, Selkirk—Interlake, MB]

Mr. Speaker, the FIPA with China is about providing a level playing field between Chinese investors in Canada and Canadian investors in China, allowing them to have the same type of protection on their property and investments that they are putting in place in each other's countries.

Right now, Chinese companies have full value and full protection under Canadian law. That is something that is not reciprocated in China for Canadian investors over there. Does she believe that Canadian investors and Canadian businesses, that are doing all sorts of investing and activities within the Chinese economy, deserve the same type of protection that we give to Chinese investors here in Canada?

[Christine Moore, NDP, Abitibi—Témiscamingue, QC]

Mr. Speaker, yes, we do need to have the same protection. The problem is with the other flaws.

A government could challenge a new environmental law, and that could prevent us from moving forward. Under this agreement, if we wanted to move forward with the same environmental protections, and there was no possibility of legal action, even if not everything was done properly, that might be possible. However, this is not the case right now.

That is why I cannot support this agreement.

[Guy Caron, NDP, Rimouski-Neigette—Témiscouata—Les Basques, QC]

Mr. Speaker, I rise in the House to speak to the foreign investment promotion and protection agreement. This is a very important issue. I am quite pleased that my colleague, the international trade critic for the official opposition, moved this motion calling on this House not to support the agreement that has been entered into, but not yet ratified by Canada.

I have only 10 minutes; five minutes before question period and five after. I would like to go over four key aspects of the agreement and certain parameters surrounding it. If I had more time, I would talk more about the problems with this agreement, but the four points I am raising are, in my mind, the biggest problems with this agreement. These points are the reason that I, as the member for Rimouski-Neigette—Témiscouata—Les Basques, agree to the motion and therefore reject the premise of the agreement proposed by the Conservative government.

The first point is the Conservative government's claim that the foreign investment promotion and protection agreement will protect foreign investment and encourage more investment. One very clear item in the agreement leads us to believe that the agreement will actually discourage investment, Canadian investment in China in particular. Investment might not be discouraged, but it is not being encouraged either.

Let us compare two articles in particular. One is about the most favoured nation. In short, it ensures that the party the government is signing the agreement with is given the same general or minimum protection that the government gives to other countries with which it already has agreements. I want to compare this article with the one on national treatment, which specifies that businesses protected in our territory must receive the same treatment as businesses from here. I will read both articles.

The article on most-favoured-nation treatment states that:

Each Contracting Party shall accord to investors of the other Contracting Party treatment no less favourable than that it accords, in like circumstances, to investors of a non-Contracting Party with respect to the establishment, acquisition, expansion, management, conduct, operation and sale or other disposition of investments in its territory.

In contrast, the article on national treatment states that:

Each Contracting Party shall accord to investors of the other Contracting Party treatment no less favourable than that it accords, in like circumstances, to its own investors with respect to the expansion, management, conduct, operation and sale or other disposition of investments in its territory.

There is a fundamental difference between these two articles, which I admit are very technical. With regard to national treatment, the agreement does not give the same rights to investors who are getting established or acquiring new companies and therefore making new investments.

That means that, under the terms and conditions of the agreement before us, companies that want to invest in China will not have as much protection as companies that already have investments in China. Clearly, the opposite is also true. Chinese companies that are already investing in Canada have the same rights as a Canadian company. However, Chinese companies that will invest in Canada in the future will not have the same rights as Chinese companies that are already investing in Canada.

As a result, the agreement will protect the $5 billion in investments that we currently have in China, but it will not provide as much protection for future investments that Canadian investors want to make in China. The problem is that Canadian businesses in China are not getting nearly as much protection as Chinese companies and investors that are currently in Canada.

In 2011, we had only about $5 billion worth of investments in China, whereas China had over $22 billion worth of investments in Canada in 2012. From the outset, the agreement is not providing equal protection. This demonstrates a lack of reciprocity and is a blatant problem with the agreement before us today.

I would like to address another aspect that the hon. member for Vancouver Kingsway and the official opposition critic for international trade spoke about, and that is the changes being made to non-conforming measures in trade agreements in general.

This agreement allows countries, including China, to keep these measures that do not conform to international treaties.

I will come back to this after question period.

[The Acting Speaker, Conservative, Barry Devolin]

The hon. member for Rimouski-Neigette—Témiscouata—Les Basques will have five minutes after question period.

Canada Israel Hockey School

[Joyce Bateman, Conservative, Winnipeg South Centre, MB]

Mr. Speaker, last month, in Winnipeg, 17 children aged 11 to 14 came to visit us from the Canada Israel Hockey School. They faced off with the Winnipeg South Centre-based Corydon Comets. Five of these children were Arab, 12 of these children were Jewish. The teams met not only to improve their hockey skills, but also to just get to know each other.

This hockey initiative was organized by the Jewish Federation of Winnipeg, in conjunction with the Canadian Friends of the Hebrew University and the Canada Israel Hockey School, which is most generously funded by Sidney Greenberg. I had the opportunity to meet with Michael Mazeika, a Canadian who is the head coach of the Canada Israel Hockey School in Metula, Israel. His efforts have helped the youth improve their hockey skills on the ice and their cultural acceptance of one another off the ice.

I would like to commend the organizers of this event and also to let my colleagues know that CIJA will be taking a group of students from Norway House Cree Nation to the Canada Israel Hockey School in Metula next month.

Long may this cultural collaboration continue.