Madam Speaker, “We are in the middle of a trade war” is what the Liberals say in response to questions Conservatives raise every time there are more layoffs in the auto sector, in the softwood lumber sector, in the steel and in the aluminum sector. They repeat it to justify their failure to get a deal with the Americans on these tariffs.
Let us be very clear about something right at the get-go: The United States started this trade war. It was President Trump who did it. He put unjustified and illegal tariffs on Canadian products. He has done that, which makes the Liberals' position on this legislation completely incomprehensible.
When Donald Trump is tariffing the Canadian economy, and in particular autos, he has said that he wants every single Canadian auto manufacturing job in the United States. That is his stated goal. To do that, he is putting enormous tariffs on Canadian autos. These tariffs are decimating Canada's auto industry. We have seen the closure of two production facilities. Thousands of Canadians who manufactured cars have lost their jobs. These were good, union jobs that allowed people to pay for their families, their mortgages and all of these things.
This is caused by the tariffs. One would think that in the middle of a trade war caused by the Americans, there is no way we would be giving subsidies for American electric vehicles, but we are. It is disgusting.
I spent Tuesday meeting with the Unifor Skilled Trades Council and skilled trades workers. Every single worker I talked to was outraged that the government would send one penny to the United States for an electric vehicle, which is what it is in fact doing with rebates.
Every single American electric vehicle should be ineligible for any kind of rebate. It is insulting that the Liberals are not doing that. They could do it with one stroke of a pen. The Prime Minister likes to do these fancy announcements with a pen. He pretended to get rid of the carbon tax by signing something. We all remember that a while ago. He could actually do it for this. With the stroke of a pen, the Liberals could make sure that American EVs are ineligible for one penny of Canadian tax dollars until the Americans take their illegal and unjustified tariffs off our auto sector, but they do not do it. They are kowtowing to Donald Trump with this policy, and I do not understand why they are doing it.
The Liberals ran an the entire election on elbows up and saying that they could deal with Donald Trump and that they would stand up to Donald Trump, but here they are subsidizing Donald Trump's buy America plan. He wants every single auto in North America to be made in America.
I have looked auto workers in the face and told them about this policy, and they are outraged. The Liberals say that they have had conversations. I challenge any Liberal member to go and sit down with an employee from the shuttered Brampton plant and say to them, “We are sorry you lost your job, but by the way, we will be giving rebates for American-made EVs.” I can say right now that the meeting would not go well, because they are outraged. I am outraged too.
We should not send the Americans a single penny for a single EV until every single illegal, unjustified tariff is taken off Canada and what we produce. The fact that the Liberals will not do it is shameful.
Now, let us talk about something positive we could do for the Canadian auto sector, not the thing the Liberals are doing, which is to hurt it by giving those rebates for American EVs. I have also talked to auto workers about our policy, which is to take the HST off all Canadian-made vehicles, not picking and choosing as the Liberals have done. There is one Canadian EV that may get this subsidy, which is the Dodge Charger. It is a $95,000 electric muscle car. There are not a lot of people buying them. In fact, in 2025, 600 people in Canada bought the Dodge Charger.
Rather than having a program that is going to primarily benefit the United States and other countries, why not have a program to support our auto workers?
This policy to take the HST off all Canadian-produced autos came from auto workers. I know because I met with them, I talked to them, and I asked, “What could we do to come up with a policy that would help each and every one of you to secure your jobs, to actually bring back some production jobs?” This is what they talked about, because over 95% of the vehicles produced in Canada are not EVs.
The 125,000 Canadians who work in the automotive sector in Canada rely on non-EV vehicle production. These niche subsidies that the Liberals are giving to help Donald Trump's buy America program are not helping the auto sector, not even remotely.
This would actually incentivize Canadians to buy vehicles. If we look at taking the 13% HST off a vehicle in Ontario, on a $50,000 vehicle we are looking at around $7,000. We are in a cost of living crisis, and when a lot of Canadians go out shopping, they are looking at the cost of things very intently. If they could buy a Canadian car for $7,000 less than an American car or a Japanese car or any other country's car, they will buy the Canadian vehicle.
That is why it is so incomprehensible that the Liberals will not adopt our policy. It is a policy the auto sector workers want. It is one that will be good for all auto production. It would not send a penny of Canadian tax dollars to Donald Trump and his buy American program, unlike their EV subsidy program, which I will again say is absolutely outrageous and unacceptable when we are in the middle of a trade war with the United States.
I want to talk a little about the strategy. The Liberal EV strategy is to produce a lot more EVs. That is what they say they are going to do. There might be a slight problem with that. Stellantis, in an announcement just this week, has said it is moving away from electric vehicles and moving away from the command economy to the demand economy, because demand is actually for non-EVs. That is Stellantis, one of the largest auto manufacturers in the entire world. They are saying it is actually not time to double down on EVs, because consumer demand is not there.
However, the Liberals are going to double down on it. They are doubling down on giving money to Donald Trump's America and doubling down on a strategy that the automakers are moving away from. It gets worse. Ford just announced today that they took a $1.1-billion loss in the fourth quarter of 2025. They lose $27,000 for every EV they make. They have also said they are going to reorient and move towards consumer demand, yet the Liberals are going in the opposite direction.
It does not make sense. We need to allow market conditions to determine the kinds of vehicles that people are going to buy, like the hybrid RAV4 that my colleague from Oxford talked about. Why is that not eligible for these subsidies? Why are the Liberals picking and choosing winners? This person is a winner; this vehicle is a winner. Elon Musk's Tesla is a winner, but Canadian manufactured vehicles are not.
There is a very simple thing that could happen in this Parliament. Number one, the government could change this legislation so that not a single penny of Canadian dollars will go to subsidize vehicles made in Donald Trump's America. It is very simple, and every single Canadian would support this.
Number two, the government could take the HST off Canadian-made vehicles to support the 125,000 men and women who work in the automotive supply chain in Canada, 95% of whom make non-electric vehicles. It would spur demand. It might actually bring back some jobs. I do not know why the government is not doing this. I do not know why the government would ever consider sending a penny of Canadian dollars to vehicles made in the United States when Donald Trump has declared a trade war on Canada. The Liberals should apologize to Canadians for that.