To promote the benefits and opportunities of the US – Mexico – Canada Agreement (USMCA), the Hon. Marie-Claude Bibeau, Member of Parliament for Compton-Stanstead and Minister of International Development, spoke to the employees of the manufacturer Waterville TG, highlighting the importance of this agreement for the stability and predictability of trade for the Canadian automotive industry.
This new modernized North American free trade agreement is making significant progress for Canada and Canadians. Its negotiation is the result of the determination of Canadian negotiators at the bargaining table and their willingness to carry out their task.
Accompanied by the members of Waterville TG, Coaticook’s Multi-X subcontractor and Magog’s LWB \ ISE supplier, MP Bibeau explained that the agreement restores confidence in the automotive industry and that investments could now move forward.
With a turnover of $ 1.8 billion, Québec is a major player in the auto parts sector with 115 industries generating more than 6,500 jobs, including more than 2,000 in the Eastern Townships only.
“While recognizing that this agreement is a challenge for dairy producers, there are things to celebrate as guarantees consolidate no less than 2,000 jobs in the Eastern Townships. This is important for our economy and the investors confidence.” – Marie-Claude Bibeau, Member of Parliament for Compton-Stanstead and Minister for International Development
“As president of Waterville TG, I obviously followed very closely all the negotiations related to the free trade agreement. It is clear to me that if this agreement had not been signed, there would have been major impacts for our plants. Had tariffs been imposed on the export of auto parts to the United States, nearly 90% of our products would have been affected, so you will understand that the impact would have been significant for Waterville TG. We are therefore delighted by the new United States – Mexico – Canada Agreement (USMCA), which will allow us to preserve our jobs.” – Benoit Tétreault, President of Waterville TG
“For us in the automotive field, the new US-Mexico-Canada Agreement (USMCA) is a good thing. This agreement will protect our jobs and provide us with stability which is in itself secure for us. Imposing higher wages on Mexican auto workers will reduce the exodus of our jobs to Mexico.” – Laurainne Lemieux, general manager and co-owner of Multi-X in Coaticook
“The signing of the new USMCA agreement is a crucial and a strategic step to ensure the sustainability of our operations while maintaining our jobs and, above all, continuing our investments in Québec. The auto industry is an important player for our region and for Quebec, and it was a pleasure to have the opportunity to share this good news with Minister Bibeau and the people of Waterville TG.” – Éric Bélanger, President of LWB ISE in Magog
Quick facts :
- In Quebec, the automotive parts sector (115 companies) employs more than 6,500 people, including more than 2,000 in Eastern Townships (32% of jobs in Quebec).
- The three largest companies in Quebec:
- Bridgestone Canada (Joliette)
- Waterville TG (Waterville and Coaticook)
- Spectra Premium Industries (Boucherville, Laval and Quebec)
- This industry generates annual sales of $ 1.8 billion in Quebec.
- The agreement restores confidence in the industry and among investors who can move forward.
- USMCA preserves critical cross-border supply chains for the automotive sector and consolidates direct and indirect jobs.
- The USMCA has a labor force requirement, which means that a significant percentage of vehicles must be manufactured in a significant proportion by workers earning at least US $ 16 per hour. This provision will improve Canada’s competitiveness in the automotive manufacturing sector relative to Mexico.
- The USMCA strengthens the rules for auto parts and ensures that all parts used to make a vehicle are taken into account in determining the origin of the vehicle.
- UNIFOR and the Canadian Auto Parts Manufacturers’ Association applaud the USMCA.
- The global competitive regional market created in 1994 under the original North American Free Trade Agreement now represents nearly 486 million consumers and a combined GDP of more than US $ 22 trillion .
- In 2017, trilateral trade reached nearly $ 1.1 trillion – a value that has more than tripled since 1993.
- The United States and Mexico are Canada’s first and third largest merchandise trading partners globally, respectively.
- Canada is the second and fifth largest trading partners of the United States and Mexico respectively, and the largest export market in the United States.
- Canada and the United States share the longest and safest border in the world. Every day, nearly 400,000 people cross the border, and $ 2.4 billion worth of goods and services move between the two countries.
- Trade relations between Canada and the United States are among the most important in the world. Canada is the largest market in the United States – more important than China, Japan and the United Kingdom combined.
- Since January 2016, Team Canada has traveled to the United States more than 300 times and has established more than 500 individual contacts with US officials, including the President, Vice President, 16 Cabinet members from the United States. United, more than 310 congressmen and 60 governors and lieutenant governors.
- To help guide the negotiations, the Government of Canada consulted with Canadians from across the country, from all sectors and all walks of life, about trade. Consultations included meetings with provinces and territories, industry, labor, civil society, think tanks, academics, Aboriginal peoples, women, youth and the general public.
- Canada is the only G7 country to have trade agreements with all G7 countries. Once in place, the USMCA will help Canadians remain globally competitive and thrive in an integrated, healthy North American economy.
- The Government of Canada will continue to work with its North American partners to finalize the details of an agreement that benefits all Canadians.