Mr. Speaker, Bill C‑233, an act to amend the Export and Import Permits Act, was introduced by the member for Vancouver East. I would like to thank the hon. member for introducing this bill, as it allows us to highlight the role of the Export and Import Permits Act.
The bill would amend the Export and Import Permits Act, which governs Canada's defence and military exports, by removing exemptions for specific countries. Currently under the Export and Import Permits Act, the United States is exempt from its provisions, due to a ministerial order. This exemption allows the United States to re-export Canadian military exports without the Government of Canada's approval. The United States is the only country under the act that is currently granted this exemption.
The effect of the bill would be to bring the United States under the provisions of the Export and Import Permits Act by removing the power of the minister to grant exemptions such as the one that has been granted to the United States. This would result in an effective ban on Canadian defence exports to the United States if those exports were to be re-exported to another country on which Canada has implemented a defence export ban.
The bill would change the current legal framework by clarifying that parts, components and technology necessary for the assembly or use of arms, ammunition, implements or munitions of war are included in the meaning of those terms. It would also change the legal framework by preventing exemptions to the export control list for arms, ammunition, implements or munitions of war based on their country of destination.
The bill would change the legal framework by preventing the issuance of general export permits and general brokering permits for arms, ammunition, implements or munitions of war; by expanding the list of considerations that the minister must take into account in issuing a permit to export or broker arms, implements, ammunition or munitions of war; and by providing that the minister must require end-use certificates from the government of a country to which these arms, ammunition, implements or munitions of war are being exported if doing so would sufficiently mitigate a substantial risk of war crimes or violations of international humanitarian law or international human rights law.
Finally, the bill would change the current legal framework by requiring the minister to prepare and table in Parliament an annual report on the export of arms, ammunition, implements or munitions of war and Canada's compliance with the Arms Trade Treaty.
The defence industrial sector in Canada in 2022 contributed $14.3 billion to our GDP, which is roughly 0.5% of Canada's GDP. This sector is expected to grow substantially as a result of the government's commitment to massively increase Canada's military spending. Half of the production of Canada's defence industrial sector is exported, much of it to the United States, and herein lies the problem with the bill.
This bill could create some conflict between Canada and the United States. For example, the United States could view the passage of this bill as a significant threat to its defence and security. I would like to highlight one such example.
The United States military describes the F-35 fighter jet as an indispensable tool and a cornerstone of their fighter fleet, both for homeland defence and for warfare. Some of the F-35 parts are manufactured in the United States, but other parts of the F-35 are manufactured in Canada, with the final assembly of the F-35 in the United States in Fort Worth, Texas.
I would like to enumerate some of the F-35 parts that are manufactured in Canada, which my colleague across the way has highlighted. The horizontal tail assemblies for the F-35 are manufactured in Winnipeg, Manitoba. The weapons bay door inserts are manufactured in Lunenburg, Nova Scotia. The engine sensors are manufactured in this city, the city of Ottawa in Ontario, and the outboard wing assemblies are manufactured in Delta, British Columbia.
One of the consequences of the bill is that it could result in a ban on F-35 parts manufactured in Canada being exported to the United States. It is not difficult to see how the United States would view this ban as a direct threat to their defence and security if Lockheed Martin's plant in Fort Worth, Texas, cannot complete the assembly of F-35 jets because of an inability of the company to import the necessary component parts from their plants in Canada.
Another consequence of the bill that I fear is a possible deintegration of the integrated North American defence industrial sector. Canada could see the exodus of thousands of good jobs from this country as defence industrial companies exit Canada to ensure access to the U.S. market. These are companies like L3 Harris Wescam in Hamilton, Ontario, which employs over 1,300 workers; Magellan Aerospace in Mississauga, Ontario, which employs over 600 workers; Honeywell, also in Mississauga, Ontario, which employs over 3,500 workers; General Dynamics Mission Systems—Canada in Ottawa, which employs over 1,000 workers; and Lockheed Martin Canada, which employs over 1,400 workers across multiple locations in Canada, such as Ottawa, Montreal, Calgary and Victoria.
For all these reasons, I do not support this bill.
I would again like to thank the member for Vancouver East for bringing the bill forward to allow this debate in the House to take place. However, again, for the reasons outlined, I do not support the bill.