Debates of Oct. 1st, 2018

International Trade

[Justin Trudeau, Liberal, Prime Minister]

Mr. Speaker, Canadians are pleased today that we are moving forward on a historic accord that stabilizes, secures and offers certainty to investors, to Canadian businesses, but mostly to workers and folks in the middle class. We have ended the uncertainty around trade in Canada, we have demonstrated that we can move forward and continue to grow our economy, drawing in global investment, being part of the global supply chains and being an integrated part in the North American market. This is a good day for Canada and it is a good day for Canadians.

[Andrew Scheer, Conservative, Leader of the Opposition]

Mr. Speaker, the question is very specific. The Prime Minister has made major concessions on key areas. He has made concessions on dairy, he has made concessions on auto quotas and he has made concessions on pharmaceuticals, meaning that Canadian patients will have to pay higher drug costs. We would have hoped that after making all those concessions, we would be able to see a gain on an important issue, like Buy American.

Can the Prime Minister confirm whether he has put an end to the Buy America policy in this deal?

[Justin Trudeau, Liberal, Prime Minister]

Mr. Speaker, over the past 13 months, we have been working extremely hard with the Americans and with the Mexicans to reach a new deal that would be good for Canadians. Despite what Stephen Harper recommended about six months ago, we were not ready to sign any old deal. We needed to sign a deal that is good for Canadians, and that is exactly what we did. We stood up for Canada, stood up for Canadians, and we got it done in the right way. I want to thank Canadians who have been united on this issue across all corners of the country and across all ideologies.

[Andrew Scheer, Conservative, Leader of the Opposition]

Mr. Speaker, Canadians were united in wanting a good deal. The Prime Minister is trying to take credit for things that the Conservative Party had locked in over 25 years ago. There was no sunset clause, there was already a dispute resolution mechanism and now he has made major concessions on key sectors of the economy. Now we would like to see where the gains are.

One area that Canadians were very united in hoping to see an end to were the punishing tariffs on softwood lumber. Can the Prime Minister confirm whether his concessions have led to an end of the softwood lumber tariffs?

[Justin Trudeau, Liberal, Prime Minister]

Mr. Speaker, I am sorry to hear that the official opposition's official position seems to be that this is a bad deal. Canadians disagree. This is a good deal for Canada. It provides certainty and security as we move forward. We have ensured continued access to the North American market in a time of protectionism and we continue to know that as we engage with the United States in positive, constructive ways, we are going to keep putting Canadians' interests at the forefront of everything. This is not about politics; this is about prosperity for Canadians. That is where we stay focused.

[Andrew Scheer, Conservative, Leader of the Opposition]

Mr. Speaker, we are going to evaluate this deal to determine if it is a good deal, and one of the ways that we will be able to determine that is to find out where Canada gained.

We know where the Prime Minister has backed down. He has backed down to Donald Trump on dairy. He has backed down to Donald Trump on auto quotas. He has backed down to Donald Trump on pharmaceuticals, meaning Canadian patients will have to pay higher drug costs.

After making all of these concessions, we would like to know: Did he secure an end to the softwood lumber tariffs?

[Justin Trudeau, Liberal, Prime Minister]

Mr. Speaker, we will have to wait a little while to find out whether the official opposition thinks this is a good deal or a bad deal.

Canadians right across the country understand that securing access to a North American market and demonstrating that we could stand up for the rules-based order by having an intact chapter 19 is a good thing. Canadians understand that defending our cultural industries, including as they move to more digital, is a good thing. They understand that defending supply management as it continues is a good thing.

This is what Canadians expected. This is what we have delivered.

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

Mr. Speaker, I recall that not so long ago the Prime Minister told us that he wanted a new, progressive NAFTA agreement promoting gender equality and indigenous rights. He even said in August 2017, “We are certainly looking for a better level playing field across North America on environmental protections”. Instead of getting any gains in those areas, Canada made concessions on supply management, and the tariffs on steel and aluminum have not been lifted.

The Prime Minister promised he would rather sign no deal than a bad deal.

Why did he cave?

[Justin Trudeau, Liberal, Prime Minister]

Mr. Speaker, we got a good deal. More specifically, there are more measures to protect the environment in this agreement than in the one reached 25 years ago. This agreement includes penalties and severe consequences for failure to follow through on environmental commitments. That is something we were able to get in this deal. However, I understand that the NDP still does not like agreements and does not want to have any trade agreements with anyone in the world, including, it seems, the United States.

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

Mr. Speaker, what we currently have is a NAFTA agreement, but with more Canadian concessions. For the third time in four years our farmers have been sacrificed to get a trade agreement even though the Prime Minister told us over and over and over again that he would defend supply management. What he did not say was that he would dismantle it. One breach, two breaches, three breaches and the system is taking on water everywhere. Even worse, the Americans will be able to continue subsidizing their agricultural industry with impunity before dumping their surplus goods here in Canada. The Prime Minister promised farmers that he would protect them and that he would defend supply management.

Why did he cave?

[Justin Trudeau, Liberal, Prime Minister]

Mr. Speaker, on the contrary, we protected supply management. After signing CETA, the CPTPP and now the USMCA, we have a process that protects and preserves our supply management system. Naturally, we will work with the dairy industry and dairy producers to ensure that there is compensation for the market share given to the U.S. However, we know that we have preserved supply management for future generations.

[Tracey Ramsey, NDP, Essex, ON]

Mr. Speaker, Canadians were worried we would not get a deal but today, many are worried about what we have given up to get this deal. This new deal looks nothing like the priorities the Liberals promised at the beginning of negotiations. Where is that progressive trade agenda?

The Liberals have made major concessions that will hurt Canadian dairy, poultry and egg farmers. They failed to get Trump's promised exemption on aluminum and steel tariffs. They have made access to medication even more expensive.

The Liberals promised a win-win-win. How can the Prime Minister give up so much and call this a win?

[Justin Trudeau, Liberal, Prime Minister]

Mr. Speaker, unfortunately the NDP is not just opposed to all trade deals but especially progressive trade deals, which is a shame. What we have moved forward with in terms of labour standards in North America is historic in terms of protecting the rights of workers. What we have moved forward with on the environment is to strengthen environmental protections and real consequences within the accord that had never been done before.

We are moving forward on a deal that works for the middle class and people working hard to join it. That is at the heart of the progressive agenda of this government and of this progressive trade deal.

[Tracey Ramsey, NDP, Essex, ON]

Mr. Speaker, the lack of transparency throughout this whole process has been overwhelming. Canadians were promised transparency and expected transparency.

Our workers need to know exactly what their government has signed on to and how this will affect their livelihoods. They deserve to know that their jobs and our Canadian industries are protected.

I am still looking for that progressive trade agenda.

I have a simple question for the Prime Minister: Will he be transparent and bring this deal into Parliament for study, debate and a vote?

[Justin Trudeau, Liberal, Prime Minister]

Mr. Speaker, there has been a lot of credit given to this government for negotiating this deal, but I have to say that we owe a debt of gratitude to many stakeholders and industries across this country, including the Canadian Labour Congress and Unifor.

Jerry Dias and Hassan Yussuff have worked closely with us every step of the way to ensure that this deal could be the best possible one for workers, for labour and for Canadians. That is what we are going to continue to focus on. Of course, through the ratification process, we look forward to bringing this deal to Parliament.

[Alain Rayes, Conservative, Richmond—Arthabaska, QC]

Mr. Speaker, every Canadian wants Canada to have a good agreement with the United States and Mexico. However, our dairy farmers and our steel, aluminum and softwood lumber industries remain in a precarious position.

We now know what the Prime Minister sacrificed to the American President. What Canadians want to know is what they actually stand to gain.

Can the Prime Minister tell us what economic benefits this agreement will bring to Canada? We are still trying to figure that out.

[Chrystia Freeland, Liberal, Minister of Foreign Affairs]

Mr. Speaker, I will be clear. Canada succeeded because we were determined and we did not lose sight of our goal. Even when some people recommended that we capitulate, we knew that the new agreement had to be good for Canada and Canadians. That is exactly what we accomplished.

[Alain Rayes, Conservative, Richmond—Arthabaska, QC]

Mr. Speaker, here are the facts. The tariffs of 25% on steel and 10% on aluminum will remain. No deal has been reached on softwood lumber, and major concessions affecting Canada's agricultural industry were made as part of these negotiations.

Can the Prime Minister tell us whether an impact study was conducted to determine the effects of the concessions made to the American President?

If so, will he commit to tabling it here in the House?

[Chrystia Freeland, Liberal, Minister of Foreign Affairs]

Mr. Speaker, I want to say one very important thing. Today, I want to thank the Canadian negotiators, who worked very hard. I also want to thank Steve Verheul, our chief negotiator. On behalf of all Canadians, I thank them for their hard work.

This agreement will be good for Canadian workers and businesses. It will also be good for Canadian families.

[Pierre Poilievre, Conservative, Carleton, ON]

Mr. Speaker, it would have been the goal of any competent government to bring an end to destructive Buy American policies that block Canadian workers and businesses from state and local projects south of the border, yet the government has backed down to Donald Trump on pharmaceuticals, with higher drug prices for Canadians; and has backed down on copyright, dairy and numerous other issues. Today so far, it has not been able to point to any victory on Buy American.

Can the minister confirm if Buy American will end with the signature of this deal?

[Chrystia Freeland, Liberal, Minister of Foreign Affairs]

Mr. Speaker, there is a bit of a mystery here, because last week I think the Conservatives were urging us to capitulate. They were urging us to give in. This week, the Conservatives seem not to want to have a deal at all. Our government did exactly what we promised Canadians. We said we wanted a good deal, not just any deal, and a good deal is what we have.

[Pierre Poilievre, Conservative, Carleton, ON]

Mr. Speaker, well, it is funny they would choose to use the word “capitulate” because capitulate is precisely what they have done. They have capitulated on pharmaceuticals, allowing Trump to force higher drug costs on Canadian patients to boost American drug company profits. They have capitulated by allowing caps on the growth of Canadian auto exports. They have capitulated on copyright and dairy.

What did they get in return for all of this capitulation? Did they get an end to Buy American, yes or no?

[Chrystia Freeland, Liberal, Minister of Foreign Affairs]

Mr. Speaker, as I said, the Conservatives seem to have discovered a lot of Monday morning courage, having counselled us throughout this negotiation that Canada take a softer line.

I think Canadians have seen that our government was determined to stand up for the national interest while being fair-minded and seeking reasonable compromise. That is exactly what we have done, and we got a good deal for Canadians.

[Pierre Poilievre, Conservative, Carleton, ON]

Mr. Speaker, the member can misrepresent our position all she wants. I am trying to find out the position of the government.

We know that the Liberals backed down to Donald Trump by capping future growth of Canadian auto exports. They backed down to Donald Trump, forcing Canadians to pay higher prices for pharmaceuticals. We know they backed down on copyright, dairy and other policies. What did they get in return? Is there an end today to tariffs on Canadian steel and aluminium, yes or no?

[Chrystia Freeland, Liberal, Minister of Foreign Affairs]

Mr. Speaker, let me challenge very clearly something that is simply wrong in what the hon. member said. This deal is great for the car sector. It is great for the car parts sector. That is why the share prices of our three leading car parts companies went up today. That is not a market response that says this deal is bad for our companies and workers. This is a deal that secures growth and investment in that crucial area, and we should all be proud we got it.