House of Commons Hansard #85 of the 45th Parliament, 1st session. (The original version is on Parliament's site.) The word of the day was workers.

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Opposition Motion—Automotive Strategy Members debate Canada's auto strategy amidst job losses and declining vehicle production. Conservatives advocate for scrapping foreign EV subsidies, removing GST on Canadian-made vehicles, and tax relief for laid-off auto workers, citing the government's plan as subsidizing foreign-made EVs. Liberals defend their strategy, emphasizing investment, electrification, and worker support to adapt to global shifts, noting an integrated North American auto industry. Bloc Québécois supports EV subsidies but criticizes the government for weakening climate targets while subsidizing the oil and gas industry. 46300 words, 6 hours in 2 segments: 1 2.

Statements by Members

Question Period

The Conservatives sharply criticize the Liberal government's handling of the housing crisis, pushing to remove the GST on new homes. They also condemn EV subsidies for foreign-made vehicles, which they argue hurt Canadian auto jobs. Other concerns include extortionists exploiting the refugee system and significant senior pension delays.
The Liberals primarily focus on their housing initiatives, promoting the Build Canada Homes act and Budget 2025 to create affordable homes and jobs. They defend their auto strategy, emphasizing EV incentives, industry modernization, and Canadian auto parts workers. The party also addresses the Tumbler Ridge and Kitigan Zibi tragedies, updates on seniors' benefits system modernization, and actions against extortion and foreign interference.
The Bloc demands public inquiry into Cúram's $5 billion cost overrun and 85,000 seniors. They also urge Canada to protect cultural diversity from web giants.
The NDP demands mental health care be brought under the Canada Health Act to address the crisis.
The Green Party raises concerns about foreign interference threatening Canadian democracy and provincial referenda.

National Framework on Sports Betting Advertising Act Second reading of Bill S-211. The bill seeks to establish a national framework on sports betting advertising, addressing concerns from constituents about the abundance of advertisements and their harmful impact, particularly on young people. Members debate the need for a unified approach given varied provincial regulations, like Ontario's open market, and the rise of problem gambling, while the Bloc Québécois raises concerns about federal encroachment on provincial jurisdictions. 8600 words, 1 hour.

Adjournment Debates

Industrial carbon tax effects Helena Konanz argues the industrial carbon tax increases costs for farmers and consumers. Wade Grant counters that farmers are exempt and the tax targets major emitters, promoting clean technology and having negligible impact on food prices. Konanz insists the tax hurts Canadian competitiveness, while Grant defends it as essential for climate action.
Electric vehicle mandate Jacob Mantle questions the Liberal's new emissions standard, suggesting it's just a disguised EV mandate. Karim Bardeesy accuses the Conservatives of aligning with the U.S.'s rejection of emissions standards. Mantle also questions the fairness of EV subsidies, and Bardeesy defends the government's auto strategy.
Cowichan decision and property rights Chak Au raises concerns about the Cowichan decision and its impact on property rights. He questions the Liberal government's decision not to advance the extinguishment argument. Jaime Battiste states the government disagrees with the ruling, is appealing it, and is committed to legal clarity for private landownership.
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Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

4:50 p.m.

Conservative

Gérard Deltell Conservative Louis-Saint-Laurent—Akiawenhrahk, QC

Mr. Speaker, as a scout, I am also always prepared. Fifty years ago, I was a founding cub of the 112th Château‑d'Eau scout group and my father was the first Bagheera. I am very proud of that.

I must admit that the beginning of the member's intervention surprised me a little, but it is very important. Our proposal is twofold. First, the government must remove the GST, but it must also use its existing authority to reduce the amount of tax withheld on severance payments issued to workers at various companies that are directly affected, including the Paccar plant in Sainte-Thérèse, as the member from Quebec is well aware.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

4:50 p.m.

Conservative

Tamara Jansen Conservative Cloverdale—Langley City, BC

Mr. Speaker, the Liberals finally removed the EV sales mandate, which was a common-sense thing we had been begging them to do, but then they imposed a tailpipe emissions standard so strict that only electric vehicles would realistically qualify. As such, the mandate disappeared in the press release, but it reappeared in the regulations. Does my colleague think that Canadians appreciate these kinds of games?

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

4:50 p.m.

Conservative

Gérard Deltell Conservative Louis-Saint-Laurent—Akiawenhrahk, QC

Mr. Speaker, obviously it is wrong to have the mandate. If we oblige people to buy something, we will force problems with the industry. I am living proof that we can run electric cars without subsidies and without obligation, because I picked up a used car. When one buys a used car, it is half the price, and it is a good occasion right now to pick one up for half the price, with no obligation and no subsidies. That is the way to address it correctly.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

4:50 p.m.

Liberal

Shannon Miedema Liberal Halifax, NS

Mr. Speaker, I will be sharing my time with the member for Guelph.

It is my pleasure to participate in this debate today. As we all know, times are changing. We are in uncertain times in an uncertain world, but our government is focused on what we can control. As part of Canada’s new industrial strategy, we are transforming our economy from one that is reliant on a single trade partner to one that is diversified with many partnerships and is more resilient to global shocks. Canada is building a more independent and resilient economy, and we are working to catalyze massive new levels of investment.

In that context, I would like to thank the member opposite for raising the government’s new auto strategy. For over 100 years, Canada's automotive industry has been a cornerstone of our economy, underpinning advanced manufacturing, driving innovation and supporting hundreds of thousands of well-paying jobs across the country. However, given the current uncertain trade environment, as well as advancing technology and evolving consumer demand, it is as important as ever that we take action to maintain and improve Canada's auto sector. In fact, it is a unique opportunity for us to do so.

That is why, on February 5, the Prime Minister launched a new strategy to transform Canada's auto industry. Recognizing that the future of the automotive industry is electrified and connected, the government is prioritizing the development of the full value chain of next-generation vehicles. Within five years, electric vehicle sales are projected to reach nearly 40% of global car sales.

It is important that Canada be among those at the forefront of that evolution. Our government will introduce stronger greenhouse gas emissions standards that will put Canada on a path to achieve a goal of 75% EV sales by 2035 and 90% EV sales by 2040. This will also help to reduce Canada's carbon footprint and improve our global leadership in clean energy.

At the same time, repealing the electric vehicle availability standard will allow manufacturers to use new technologies to respond to consumer preferences while driving EV adoption, but to grow domestic demand for EVs, they must become more affordable for working Canadians. That is why the government will launch a five-year EV affordability program to lower the cost of electric vehicles for Canadians and create a strong domestic market. The $2.3-billion program will offer purchase or lease incentives of up to $5,000 for battery electric and fuel cell EVs, and up to $2,500 for plug-in hybrids with a final transaction value of up to $50,000 on cars made by countries that Canada has free trade agreements with.

The Canadian Climate Institute and others have shown with research based on the past that EV incentives have driven the adoption of EVs across this country from the very first one. To support the Canadian automotive industry, the $50,000 cap will not apply to Canadian-made EVs and plug-in hybrids.

Through the auto strategy, the government will also enhance the national EV charging network with investments of $1.5 billion through the charging and hydrogen refuelling infrastructure initiative. We are making it easier and more convenient for drivers to charge their car no matter where they are. EV adoption will become more convenient for local consumers in my riding of Halifax and across this country as more stations are available in parking lots and mixed-use residential buildings. Those stations will need power, so measures announced in budget 2025 aim to ensure that Canada has the clean and affordable energy needed to develop, manufacture and drive the cars of the future.

Underpinning these advances are needed strategic investments, so to accelerate investment in Canada's auto manufacturing sector, the government will allocate $3 billion from the strategic response fund and up to $100 million from the regional tariff response initiative to help the auto industry adapt, grow and diversify to new markets. We will also take advantage of the productivity superdeduction and reduced corporate tax rates for zero-emission technology manufacturers to encourage investment in clean technologies and EVs, as well as strengthen Canada's automotive remission framework to reward companies that produce and invest in Canada.

The government will also establish a comprehensive trade regime that strengthens the competitiveness of the auto sector through new partnerships. For example, Canada recently deepened its strategic partnership with the Republic of Korea by signing a memorandum of understanding to strengthen Canada-Korea industrial collaboration for future mobility. As a port city, Halifax is especially well positioned to support the increased demand for shipping and distribution.

The recently announced partnership with China aims to drive new Chinese joint venture investments in Canada and allow for a fixed volume of Chinese EV imports into the Canadian market. Although countertariffs on auto imports from the United States will be maintained to ensure a level playing field for Canadian automotive manufacturers in the domestic market, the government will continue to advance this auto strategy within an integrated North American automotive industry.

Canada's auto sector is built on nation-to-nation collaboration. The North American auto industry succeeds when our integrated supply chains are strong and when we compete together globally. Canada and the U.S. have built this integrated industry together over decades, and we are stronger together. By making strategic investments and solidifying trade partnerships, Canada is positioning itself as a global leader in vehicle electrification, autonomous and self-driving technologies and the battery supply chains that will power the future of mobility.

I would also like to mention the help we will provide to the auto workers who will build the vehicles amid short-term uncertainty. To protect Canadian auto workers and businesses from immediate pressures while helping bridge them to the future, the government will provide support to employees through a new work-sharing grant, preventing layoffs and supporting worker retention so businesses can plan for the future. In addition, up to 66,000 workers across Canada, including displaced auto workers, will receive employment assistance and re-skilling supports as part of a $750-million investment.

The actions the government is taking will shape the Canadian auto industry for decades to come. These strategic decisions and generational investments aim to build a strong Canadian automotive sector where Canadian workers build the cars of the future. Backed by a world-class workforce, globally recognized part suppliers and leading-edge research and development, Canada's automotive sector is building the vehicles of today, and it will help build the vehicles of tomorrow. By protecting the industry and incentivizing automakers to build here, we can transform Canada's workers and businesses to compete and win in this new global environment.

Our government is focused on working with all our partners here and abroad to find innovative solutions for modernizing our auto industry. We can lead and capitalize on the opportunities we have to pivot and adapt in the face of challenge. Our new auto strategy is economically sound and environmentally sound, and I am very excited to roll it out.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5 p.m.

Conservative

Dave Epp Conservative Chatham-Kent—Leamington, ON

Mr. Speaker, in her intervention, my colleague stated some projections, and if I caught them, she said that the projected global EV sales would go to 40% globally and the plan was to have them go to 90% by 2040.

What happened to projections? We had an EV mandate that I am sure also came along with projections. Obviously, that failed. They did not come about. Where is the confidence that these projections are anywhere close to something that is going to happen? Under the previous EV mandate, the domestic auto manufacturers had to ship money south to Tesla until the EV mandate was rolled back. Now we are shipping money south in a different form.

Where is the confidence in the new projections?

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5 p.m.

Liberal

Shannon Miedema Liberal Halifax, NS

Mr. Speaker, the electric vehicle availability standard that we were debating at the environment committee was never actually live. It was still being debated. It was not going to start until 2035, so none of that has actually happened. The global trends have been fairly consistent. What has happened right now between Canada and the United States we could not really predict. The member is right, but we are where we are now.

Our government is focusing on what we can control right now. There are a lot of studies on the importance of things like rebates and other pieces that are required to drive a transformation in an industry. I am really excited about this auto strategy and what it is going to do for Canada.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5 p.m.

Conservative

Michael Guglielmin Conservative Vaughan—Woodbridge, ON

Mr. Speaker, I rise on a point of order.

As acting opposition whip, I approve of the amendment proposed earlier to the motion.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5 p.m.

The Deputy Speaker Tom Kmiec

It is noted.

Questions and comments, the hon. member for Abitibi—Témiscamingue.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5 p.m.

Bloc

Sébastien Lemire Bloc Abitibi—Témiscamingue, QC

Mr. Speaker, since we are in a debate about cars, I will ask a question about mechanics. Then, since we are discussing subsidies for electric vehicles, I will ask a question about money.

I would like to know if the member for Halifax thinks that the fact that the Conservative Party receives a lot of money from donors who are heavily involved in the oil and gas industry could have anything to do with its choice to use its opposition day to remove subsidies for electric vehicles, which would obviously have a strong, lasting effect on the automotive industry of tomorrow.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5 p.m.

Liberal

Shannon Miedema Liberal Halifax, NS

Mr. Speaker, I will not comment on the Conservative Party's priorities around oil and gas, but I will say what I said before: The research shows that incentives for electric vehicles are really important in the early adoption phase. The idea of this five-year plan with the rebates is that by the time we hit those five years, the cost of electric vehicles should have continued to decrease and will hopefully be near cost parity with ICE, internal combustion engine, vehicles. That is part of the strategy we are trying to put in place today.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5 p.m.

Liberal

Angelo Iacono Liberal Alfred-Pellan, QC

Mr. Speaker, since more than 500,000 Canadians depend directly on the auto industry and our workers are facing unjustified tariffs from the United States as well as global changes that happen quickly, can my colleague explain how the government's auto strategy protects Canadian workers, attracts investment and strengthens our industry's resilience in the face of tariffs and global changes?

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:05 p.m.

Liberal

Shannon Miedema Liberal Halifax, NS

Mr. Speaker, that is exactly what we are addressing, not only with the auto industry strategy but also with all the major work of the government right now: reducing our reliance on the United States and diversifying our trade partnerships across the globe. That is why we are really excited about the progress that has been made with the signing of all the new trade agreements internationally with the Prime Minister. We are really excited about the conversations we are having with Korea on the auto sector here. It sounds like there is a real appetite for investing in Canada and having a lot of these vehicles built by Canadians in Canada.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:05 p.m.

Liberal

Dominique O'Rourke Liberal Guelph, ON

Mr. Speaker, before I begin, I would like to join others in expressing my condolences on the profound tragedies at Tumbler Ridge and Kitigan Zibi. Having lost people close to me, I know it is really challenging, when one's world has been shattered, to feel like the rest of the world is moving along. I just want those communities to know that we grieve with them, and they are in our hearts even though we are continuing the work of this place.

I am very proud to represent the riding of Guelph, where we see leadership in the auto sector every single day, in parts manufacturing. Guelph is home to Linamar, Denso, Polycon, CPK and many others. Many people in Guelph work at Toyota in Cambridge, and that plant has received more quality awards than any other plant on the planet.

In our region, we know auto manufacturing. That is why I chair the auto caucus. I understand in my bones how important the sector, with 500,000 jobs, is to Canada and to our communities. In Guelph alone, there are 12,000 jobs in the auto sector.

I care about the auto workers and the health of the sector. This government cares. That is why we announced a comprehensive auto strategy last week. Through that strategy, we will accelerate investment in Canada's auto manufacturing sector, with $3 billion from the strategic response fund and up to $100 million from the regional tariff response initiative to help the auto industry adapt, grow and diversify to new markets.

I have been promoting this in my riding, and I hope all members of the House are reaching out to potentially tariff-affected businesses and letting them know what supports exist, even if they voted against those supports in budget 2025.

The auto strategy will harness the productivity superdeduction and reduced corporate tax rates for zero-emissions technology manufacturers, to encourage investment in clean technology and EVs. The productivity superdeduction is another measure to enable all manufacturers to invest in capital or business that can be written off in the first year, and was also opposed in the budget by members opposite.

The auto strategy will rationalize emissions reduction policies to focus on outcomes. This means that stronger greenhouse gas emission standards put Canada on a path to achieve a goal of 75% of EV sales by 2035 and 90% of EV sales by 2040 to reduce our carbon footprint and secure Canada's global leadership in clean energy.

I am really thrilled to be speaking at the same time as my hon. colleague, the member for Halifax. I attended the environment caucus presentations from Electric Mobility Canada, and environment caucus members joined in auto caucus meetings. We really understand that there is an exciting intersection of auto and electrification that is positive, and that is where the world is going.

The more stringent emissions standards will allow manufacturers to use a range of technologies to meet the standards and respond to consumer preferences in the near term while driving adoption over time. This is what the manufacturers have been asking for as they innovate in their technology and as they move towards their goals of net zero.

Earlier today, some members in this House talked about automakers as laggards, but I want to applaud the industry's leadership in regard to electrification. Toyota is committed to becoming carbon-neutral across the vehicle life cycle, in its manufacturing and in its vehicles, by 2050. Consumers are with them. Toyota Canada's Q3 results show electrified vehicles representing 49.4% of overall sales. The demand and the expertise are there. Honda also has a net-zero initiative for 2050.

This trend is global. Electric car sales exceeded $17 million globally in 2024, reaching a sales share of more than 20%. Electric car sales in 2025 were expected to exceed $20 million worldwide and to represent more than one-quarter of cars sold across the globe.

In Canada, we do not have the 2025 data yet, but in 2024, EVs were responsible for 60% of the net increase in total vehicle registrations. They accounted for one in seven new vehicles sold that year, but depending on the region and the model, that number was as high as one in three or one in four new vehicles sold in 2024. There is consumer demand. What happened?

When the incentives were paused, that demand dropped off as consumers waited to see if they would come back. Therefore, we are going to strengthen domestic demand by making EVs more affordable and the infrastructure more reliable for Canadians. That is why we have launched a five-year EV affordability program, to lower the cost of EVs for Canadians and to create a stronger domestic consumer market. The plan was always to support EV adoption over 10 years. We are resuming that plan because, frankly, it worked.

This is a piece that has been missing as well. We are going to offer individuals and business owners purchase or lease incentives of up to $5,000 for battery-electric and fuel-cell EVs and up to $2,500 for plug-in hybrids with a final transaction value of up to $50,000 on cars made by countries that Canada has a free trade agreement with. To support the Canadian automotive industry, this $50,000 cap, as we know, will not apply to Canadian-made EVs and plug-in hybrids.

Let us be very clear. The rebates for the purchase of an electric vehicle or a plug-in hybrid go into the pockets of individual Canadians or companies that purchase them. That is where those incentives go. Even if the vehicle comes from the U.S., it is subject to countertariffs, and it contains parts from Canada made by Canadian workers, which means it is part of our Canadian auto sector. Let us not allow the Conservatives to confuse people on this point. The Government of Canada, the Prime Minister, the Minister of Industry and cabinet members have listened to Canadians. Canadians are embracing the EV rebates.

Canadians also want to address the issue of range anxiety. They want a better national EV charging network, so we are investing, as my colleague said, $1.5 billion to support the charging infrastructure.

We are establishing a comprehensive trade regime that strengthens the competitiveness of the auto sector by strengthening the remissions framework to reward companies that produce and invest in Canada, which we should all be able to agree on. We are attracting new investment to Canada, which should also be an easy point of agreement, and we are maintaining our countertariffs on auto imports from the United States to ensure a level playing field for Canadian automotive manufacturers in the domestic market.

Finally, the automotive strategy protects Canadian auto workers and businesses from immediate pressures while helping them bridge to the future, if required, through support and re-skilling. As that happens, other players are coming into the market, like EV battery plants in St. Thomas and Windsor. This strategy has been supported by the Canadian Vehicle Manufacturers' Association. It welcomes the government's automotive strategy, stating:

Funding to support renewed purchase incentives and a robust charging infrastructure strategy will help continue to drive EV adoption, and CVMA members are well-positioned to support the shift to electrification through diverse product offerings.

The Global Automakers of Canada stated:

We are pleased that the government has provided greater clarity on issues such as the Electric Vehicle Accessibility Standard, the reinstatement of EV incentives, and a commitment to aggressively build out the charging infrastructure.

The members of the Ontario Auto Mayors caucus are thrilled, and the next one is my favourite. The Canadian Auto Dealer president and CEO stated:

The expanded and adjusted support measures aimed at maintaining Canada’s vital automotive manufacturing sector are essential as we enter the critical phase of the CUSMA renegotiation with the U.S. Dealers across Canada particularly applaud the government for ending the EV mandate and choosing a better path forward for EV adoption that is more in line with diverse technology, charging infrastructure and overall consumer demand.

Even Unifor representatives are saying that they are ecstatic and believe this is very helpful for the sector.

The Conservative motion before the House today is not a strategy. It is not sound policy. It is not even accurate. We need clarity, not confusion. EV incentives go to Canadian households and Canadian businesses. We have an integrated auto manufacturing sector. All vehicles assembled in North America have parts from Canada. The strategic response fund is helpful.

I do not support this opposition motion, because there is no substance. I support Canada's auto sector strategy. I support solutions that work. I stand with the sector and with our auto workers.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:15 p.m.

Conservative

Vincent Ho Conservative Richmond Hill South, ON

Mr. Speaker, I find the Liberal member's speech kind of rich.

Last week, the Liberals announced their so-called auto strategy. It had a $2.3-billion fund for some rebates for EVs that are purchased in Canada. While that sounds great, the problem is that most EVs purchased in Canada are made elsewhere, including in the United States, where many factories are relocating. Effectively, this rebate is now subsidizing U.S. and other auto manufacturers.

Why are the Liberals subsidizing foreign auto manufacturers to the tune of $2.3 billion when tens of thousands of auto workers are being laid off here in Canada? Will the Liberals support Canadian auto workers?

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:15 p.m.

Liberal

Dominique O'Rourke Liberal Guelph, ON

Mr. Speaker, we will absolutely support Canadian auto workers. Let us be very clear. We also have the Canadian Automobile Dealers Association. I do not believe the Conservatives, for this motion, have consulted with any of the large associations. A lot of Canadians will buy a Kia. A lot of Canadians will buy electric vehicles from a lot of places. Why the focus on the North American auto market? Why are they now talking down some of our partners, where the parts are being sold and the collaborations are taking place? We have an integrated North American auto market. We are going to fight for that integrated auto market. We are going to fight for auto workers.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:15 p.m.

Bloc

Marie-Hélène Gaudreau Bloc Laurentides—Labelle, QC

Mr. Speaker, I am reflecting on my colleague's question from a few minutes ago about the motion. How could the Conservatives have left some things out of the motion? Why were they forced to amend it after we listed the Quebec businesses that were not included?

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:15 p.m.

Liberal

Dominique O'Rourke Liberal Guelph, ON

Mr. Speaker, I apologize but I do not understand the question. I did not move the amendment and I have not read it. If you would like to ask me a question relating to my speech or the plan, I would be happy to answer.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:15 p.m.

The Deputy Speaker Tom Kmiec

I would remind the member that when addressing another member, she must do so through the Chair and avoid using “you.”

The hon. member for Alfred-Pellan.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:15 p.m.

Liberal

Angelo Iacono Liberal Alfred-Pellan, QC

Mr. Speaker, with the global auto industry rapidly shifting toward electrification and clean technologies, can my colleague explain how the government's automotive strategy—including incentives for Canadian production, tax measures to attract investment, the development of the battery and critical minerals supply chain, and support for EVs adoption and charging infrastructure—is going to strengthen Canada's competitiveness, secure well-paying jobs and position our country as a global leader in the automotive industry of tomorrow?

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:15 p.m.

Liberal

Dominique O'Rourke Liberal Guelph, ON

Mr. Speaker, my colleague from Alfred-Pellan answered his own question. Yes, we must look at the automotive strategy and budget as a comprehensive plan to attract investment. We need to look at not only the automotive sector, but also Canada's manufacturing sector as a whole. We need to look at the entire supply chain, from critical minerals to auto parts, from assembly to distribution and charging stations. This will build confidence in the sector and ensure we have the best workers in the world, equipped to do the job.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:15 p.m.

Conservative

Dave Epp Conservative Chatham-Kent—Leamington, ON

Mr. Speaker, the member opposite went to great lengths to proclaim that the subsidy will flow to the consumers or the buyers of EVs.

Is it her contention that the sellers of EVs sold in Canada will not incorporate that subsidy into their selling price?

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:20 p.m.

Liberal

Dominique O'Rourke Liberal Guelph, ON

Mr. Speaker, the mechanism for the EV rebate will be similar to what it was a few years ago. If someone goes to a dealership and purchases a vehicle, depending on the manufacturer's suggested retail price and if it fits the conditions, they will get that rebate. It goes into their pocket. We are seeing movement of all types through the auto sector. For a party that loves consumer choice, the EV rebate gives them that consumer choice.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:20 p.m.

Conservative

Ellis Ross Conservative Skeena—Bulkley Valley, BC

Mr. Speaker, it is tough to get back to House business given the events that happened in Tumbler Ridge on Tuesday. Canada is still trying to recover. We send our thoughts and prayers to the community, the people and the families of Tumbler Ridge. They are going to have a long journey of healing. My family is quite upset about this.

Today, we are talking about electric vehicles and the rebate initiative from the federal government. Listening to the speeches, I keep hearing the conversation go back to how we are supporting Canadian auto worker, that the world is moving towards electric vehicles and how Canada intends to join that trend, but American EV automakers are actually writing off their losses, and the same thing is happening in China. Its domestic sales are collapsing. Canada is actually throwing a lifeline to America for EVs made in the United States with a rebate. There is only one car that could possibly qualify for the rebate that we are talking about; the rest of it is going to help an industry that is dying in the United States.

The agreement the government signed with China is going to help an industry that is dying in China. It is an over-produced, over-subsidized vehicle. However, it does not end there. Tesla has revenues coming from carbon credits. Since 2017, without selling anything, it has raised over $10 billion in carbon credits from auto manufacturers that do not produce electric vehicles, including those in Canada. We will be sending $2.3 billion of rebates to help a failing industry in the United States, and our auto manufacturers, or what is left of them in Canada, that do not produce electric vehicles will have to buy carbon credits from an American company. How is this building Canada strong?

We hear all these talking points, but everything is actually geared toward the United States and helping its economy, helping it with its jobs and helping it re-establish its manufacturing sector. Canada not only is helping it with this rebate, but we also previously gave Stellantis hundreds of millions of dollars to produce jobs and vehicles in Canada. What did Stellantis do? It said, “Thank you very much,” left Canada and went to the United States. It is going to build a plant down there. Everything is geared toward the United States.

There are the promises made by the Prime Minister. He promised that we are going to be the strongest performing country in the G7. No, we have a failing grade on that. He promised that we are going to be an energy superpower. No, we are not. He wanted to be judged by the price of groceries at the grocery store. No.

One of the most significant promises he made was to President Trump, and it was that he was going to invest $1 trillion Canadian into the United States economy. I think we are well on the road to seeing that promise fulfilled, even if it is in instalments, like a $2.3-billion rebate going to the electric vehicle manufacturers in the United States.

By the way, when the Prime Minister came back to Canada, he clarified that it would not be taxpayer dollars, but that it might be private investment dollars. Well, this tax rebate is coming from the government; it is coming from taxpayers. It is $2.3 billion, and that is on top of the $52 billion that the government committed to creating an electric vehicle supply chain in Canada for a vehicle that is produced in the United States.

Now we are looking at 49,000 electric vehicles coming from China. We are helping lagging economies, but doing nothing to help our own economy and our own people, whether we are talking about jobs or affordability.

I will say one thing, and I talked about this a lot in the B.C. legislature, but the electric vehicle mandate was unfair and unreasonable. Putting financial pressure on people to buy an electric vehicle, especially in ridings like mine, in Skeena—Bulkley Valley, where it is not practical for those who work in forestry or on farms. Perhaps I should say they used to work in forestry, because the industry is basically shutting down left, right and centre in B.C. An EV is not practical. Therefore, to put financial pressure on people who are already struggling with affordability, making sure they get punished if they buy a gas or diesel vehicle, is unfair.

What has replaced this electric vehicle mandate? A tailpipe emissions mandate, which is going to accomplish the same thing as the EV mandate. It is going to put pressure on Canadians, especially those who cannot even think about purchasing an electric vehicle. This is not fair. Government should not be putting more hurdles and obstacles in front of Canadians, who cannot afford a home, cannot afford groceries and cannot afford to pay their utilities.

This is not what the Prime Minister promised, especially when I do not think the Canadian public understands where we are going with respect to investments. This is not just investing the $2.3 billion in rebates, which will go to the auto manufacturers in the United States. According to Natural Resources Canada, we will need around 450,000 public EV chargers, along with nearly 12 million in homes, by 2035 to accommodate the projected new EV car sales.

We talked a lot about this in B.C. The infrastructure we need in B.C., especially in the rural areas, is just not there. We are talking about a supply of electricity that B.C. does not have in the first place. Then there is the transmission line, which comes right into our neighbourhoods and into our homes, but it is just not there. It is going to cost billions more to provide the infrastructure for the EV mandates. Who is going to pay for that in the end? It will not be the government; it will be the consumers and the taxpayers.

In fact, right now, I am getting complaints at my office about the new hydroelectricity bills that people got in the last couple of days. They are asking what is causing the jump, but I do not know. I know that the hydroelectricity cost for the dams in B.C. was a deferred cost. Just like with the unmanageable budget the Liberal government has put in place, at some point somebody is going to have to pay that bill. If they do not, there will be consequences to our sovereignty. There are many examples of what happens if a country cannot pay its bills.

I know that to some people here, the idea of being fiscally responsible is a joke, but under the Indian Act, it was hammered into us, as chiefs in council, that we were not allowed to go into debt or have deficits, under punishment from the federal government. Those rules are still there today.

We can talk all we want about this brand new world of driving an electric vehicle—

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:30 p.m.

The Assistant Deputy Speaker John Nater

Questions and comments, the hon. member for Alfred-Pellan.

Opposition Motion—Automotive StrategyBusiness of SupplyGovernment Orders

5:30 p.m.

Liberal

Angelo Iacono Liberal Alfred-Pellan, QC

Mr. Speaker, I can see that my colleague is blaming our government for the fact that EVs in Canada are a complete failure.

I am curious to know how my colleague can claim to stand up for auto workers while rejecting a strategy that incentivizes production in Canada, protects jobs during the transition and reduces our dependence on a single export market. Canada is going to become a country that will concentrate significantly on EVs.

Why does my colleague say that this is a failure?