Mr. Chair, I will be splitting my time.
Canada has an incredible history in the auto sector. For over 100 years, we have been building world-class automobiles. We have had generations of families working in the auto sector. In fact, it has built incredible communities of longevity like Windsor, Brampton, Ingersoll, Oshawa, Sainte-Thérèse and many others in Quebec and Ontario. It has gotten to the point where it produces over $14 billion worth of GDP. It is incredible what the auto sector provides for the Canadian economy and for opportunities. Over 600,000 Canadians work in direct and indirect jobs from the auto sector.
We produce about 1.3 million vehicles annually. Well over a million vehicles are built by Canadian hands in Canada. We export 70% to 90% of them, most notably to the United States. Access, of course, to the American market is critical to the lifeblood of the Canadian auto sector. It is very reciprocal. We know some cars go back and forth about nine times before they are fully completed. It is a very important relationship that really adds to our proud history of production in this sector in Canada that Conservatives are very proud to support.
Unfortunately, we know, under the Trump administration 2.0, there has been some tougher enforcement, we could say, around some of the trade rules and tariff measures between the two countries, so much so that it is costing the Canadian economy dearly. It is costing us hundreds, if not thousands, of jobs in several towns and cities that are protecting and producing these cars for Canada and for world consumption.
Again, Trump 2.0 came in. He tightened a lot of these rules, and that is having such an impact that week after week, we are seeing layoffs and shift reductions. These are not just numbers. These are people. These are entire communities that are built on an ecosystem of the auto sector. We are talking about mechanics and car dealerships. The whole universe that works around this is being shaken to its core because of the ongoing trade war.
It is important to know that we have been hearing about this from Mr. Trump for nearly a year. It is coming up on a year since he was sworn in; I believe it is January. Of course, the new Liberal leader and Prime Minister will be coming up on his one-year anniversary in a few months as well.
We have been battling this trade war for quite some time. Time is ticking by, job loss after job loss, yet we have not seen the results we were promised by the Liberals in the last election. They ran on the fact that they felt they were the best to take on Mr. Trump, that they would be elbows up and that they would get a good deal for Canada, yet we have seen no such trade deal.
In fact, something that is deeply concerning to me as the industry critic is that I have not heard a whisper that there is an auto sector deal on the horizon. The Liberals are not talking to the public and they are not telling us in committee that they are even close to getting an auto sector deal. I think that is very concerning and it should give no confidence to anyone that they are going to be able to deliver. Otherwise, they would be talking about progress that they are making; they are not.
For the foreseeable future, arguably, it would seem that we are going to be in this situation. We are just starting to see the job losses and the impacts on our communities. I am very concerned about where we are going to be a year from now if we are not delivered a deal that we were promised as Canadians.
I think it begs the question, what can we do? What is within our sovereign control, within our own domestic economy that we can control? Obviously, we cannot control the U.S. President. That seems clear. At least the Prime Minister cannot and he cannot deliver a deal. We have to look at what we can control.
At committee, we have heard loud and clear, from every part of the auto sector, that one of the top things we can give them is some relief by throwing, into the dustbins of history, the electric vehicle mandate from the Liberal government. The damage that it will do to the Canadian economy, to the auto sector, is extensive. We are predicting 100,000 job losses and up to $3 billion being drained from the Canadian auto sector to companies like Tesla to reach compliance credits.
It is really just an insurmountable barrier in the sense that the Liberals want 100% of new vehicle sales by 2030 to be electric, when right now we are looking at only 14%. This fails to acknowledge all the diverse needs of the Canadian economy, whether it is rural or urban needs, or whether someone needs a work truck. None of this is recognizing the limitations of the electric vehicle sector and it is not helping the auto sector. We have heard this loud and clear.
If we, as Conservatives, were in charge right now, one of the first things we would do to give the auto sector some relief is end the electric vehicle mandate. I hope the government hears our pleas today and follows through on that.
