All over the world, the COVID-19 pandemic has uncovered weaknesses in international provide chains. Adjustments to shopper calls for, labor shortages, and different structural elements have created an ideal storm of bottlenecks and back-orders. Households and companies around the globe are feeling the impression, as the price of shopper items—meals, power, and every thing in between—is rising. Russia’s invasion of Ukraine, in addition to different main geopolitical challenges, have since compounded this already troublesome state of affairs.
On this local weather of uncertainty, jurisdictions around the globe are on the lookout for stability and predictability. They’re turning to their most trusted allies, selecting to localize manufacturing capability in places with companions who’re dependable, secure, and safe. As members of the world’s largest free-trade zone, Canada, the US, and Mexico know that they don’t have any higher buddies than one another. Since 1994, free commerce agreements amongst our three international locations have raised the fortunes of all North American companies, employees, and households, as our economies have turn into extra built-in and affluent.
By working collectively to enhance the reliability and fluidity of our provide chains, now we have an opportunity to grab the second and improve the general North American worth proposition–and every companion has a job to play. Domestically, Canada is making strategic investments in key sectors to make important provide chains extra accessible and safe. Our Vital Minerals Technique, for instance, is securing the important thing inputs in batteries and semiconductors wanted to help the world’s transition to the inexperienced digital financial system of the longer term. In world markets pushed by demand for microchips and batteries, Canada’s essential minerals, coupled with our fame as a secure, dependable, and safe provider of products and companies, make us the strategic companion of selection. That’s the reason now we have already secured investments from globally main corporations, together with battery producers, and proceed to place into place a home battery ecosystem that can assist meet the worldwide demand for cleaner transportation options.
Once I was in Washington lately for a gathering with U.S. Secretary of Commerce Gina Raimondo, we mentioned, amongst different issues, our dedication to enhance provide chain safety in North America, together with within the semiconductor business. This consists of work to strengthen home analysis and growth, commercialize rising applied sciences and improvements, and ramp-up manufacturing capability in each international locations to help our mutual targets for provide chain resilience and business competitiveness. The Canada-U.S. Provide Chain Working Group, launched in 2021, can also be central to our efforts to strengthen provide chain safety and reinforce the deeply interconnected and mutually helpful North American financial relationship.
I used to be additionally happy to launch the Canada-Mexico Excessive-Degree Financial Dialogue in August. This was a chance to debate ways in which we will strengthen our North American aggressive benefit by way of enhanced collaboration and cooperation. We additionally mentioned the significance of provide chain resiliency as a method of fostering a extra collaborative enterprise surroundings and dealing with the non-public sector to boost financial ties. Strengthening our aggressive benefits as USMCA economies additionally requires us to develop our shared innovation ecosystems. On this regard, we additionally mentioned methods to extend analysis collaboration to fulfill the advanced challenges of our age.
As a good friend, neighbour, and trusted companion, Canada is effectively positioned to assist strengthen North America’s provide chain resiliency and business competitiveness. What’s extra, we will take satisfaction in figuring out that our highly-integrated North American financial system, based and constructed upon the rules of transparency, diversification, safety, and sustainability, permits us to supply a wonderful worth proposition in world markets. Canada will proceed working with like-minded companions—particularly our North American buddies and neighbours—to assist construct a cleaner, greener, and extra resilient international financial system that’s based on the rules of free and open commerce that has served us all so effectively.
