Mr. Speaker, I make the request in accordance with Standing Order 52, with respect to an emergency debate on NAFTA, on trade with the United States, and on the overall special relationship with the United States, which is tattered at the moment. All parliamentarians should be able to speak to this before we rise for the summer.
We are quickly approaching the one-year mark since the commencement of formal negotiations to modernize NAFTA. There have been multiple rounds. All sides appreciate the tremendous work done by the Canadian negotiating team, but NAFTA has come to a standstill in terms of the negotiations. In recent months, in fact, we have being seeing setbacks and not moves forward.
If it were not already complicated enough, with the U.S. trade relationship being our country's most critical economic relationship, the president's misuse, I would suggest, of section 232 exemptions under the Trade Expansion Act for steel and aluminum has further clouded and complicated talks in relation to trade with the United States. The imposition of a 10% tariff on aluminum and a 25% tariff on steel runs contrary to the history of our great countries and the integration of our economies, and certainly clouds the negotiating table for NAFTA.
It is spiralling from there, because now we are a few days away from the imposition of reciprocal tariffs worth billions of dollars, which Canada is imposing as a retaliatory measure in relation to the steel and aluminum tariffs.
We support Canada being strong in the face of unreasonable demands by the United States and the inappropriate use of national security exemptions with respect to commodities. Since the last war, aluminum from Canada has provided the body of the fighter aircrafts that both Canadian and American pilots have flown in defence of our countries, and in the defence of North America through NORAD. The unique security partnership has not been focused on enough to show how ridiculous the application of section 232 is with respect to Canada.
The reciprocal tariffs, though, will complicate all manufacturing industries in Ontario, because many of the component parts for assembly, whether it is in the auto industry or for companies like General Dynamics, use American steel imports. Already, on both sides of the border, we are going to see jobs at risk, we are going to see higher prices for consumers, and we are going to see the Canadian and U.S. economies becoming uncompetitive.
Why does this warrant a special debate under Standing Order 52? There are almost two million jobs directly tied to exports to the United States. Once our tariffs are imposed on July 1, there is the possibility that the President of the United States has already alluded to, of a 25% tariff on finished vehicles.
Historically, since the Auto Pact between our countries started free trade between Canada and the U.S., over 80% of the vehicles assembled in Ontario, in communities like Windsor, Oakville, St. Catharines, and Oshawa, have been for export to the United States. With just-in-time manufacturing, often parts and assembly have crossed our border in an integrated fashion as many as seven times before the completion of a vehicle. Tariff imposition of this nature would be devastating for the auto industry in Ontario, and after our resource industry, this is the most critical contributing sector to our gross domestic product.
There has never been such a looming threat to the Canadian economy than the threat we are looking at now, based in large part on a number of unreasonable and unfair demands by the U.S. administration. That is why we need an emergency debate.
It is late in the year and I know many of us want to get back to our ridings, but we owe it to Canadians and to all parliamentarians to have a serious plan articulated in this House by the government. With over two million jobs, every riding in this House is impacted directly by trade with the United States. Every parliamentarian should be be able to be part of team Canada. Team Canada is more than a hashtag. A debate would enable us to provide ideas, support, and proposals to the government.
Before we rise, it is also incumbent on the government to present to Parliament a clear plan on the reciprocal tariffs that would go into effect on July 1, and what plan will be in place if auto tariffs are imposed by the president. This debate would also allow the government to provide confidence to workers who are already being impacted in the steel and aluminum industries, and to provide a plan and a sense of calm ahead of the potential for auto tariffs.
This is about Parliament at its best, where all parliamentarians on both sides can speak to probably the biggest potential economic crisis we have seen in our lifetime. Parliamentarians need to be able to debate this in such a way that we can truly forge a team Canada approach. Canadians need to see their parliamentarians seized with this, because the House will not sit again until September and Canadians need to know that all MPs are concerned and will fight for Canada's interests.
