CIIT Committee Meeting

The Standing Committee on International Trade met at 3:28 p.m. this day, in Room 306, The Valour Building, the Chair, Randy Hoback, presiding.

It was agreed, — That a proposed budget in the amount of $7,500, for the study of Bill C-41, An Act to implement the Free Trade Agreement between Canada and the Republic of Korea, be adopted.

Don Davies gave notice of the following motion:

That, pursuant to Standing Order 108(2), the Committee undertake a study of the use of currency intervention by states throughout the world to create advantages in international trade, policy options available to address unfair currency interventions, and report its findings back to the House. The focus of this study should include:

a) Investigating the challenges and opportunities in using trade and investment agreements to address currency intervention;

b) examining the status of progress at multilateral bodies in developing fair international rules on currency intervention; and

c) balancing respect for sovereign nations in the management of their monetary policy with the development of fair international rules to level the playing field for exporters in all countries. Pursuant to the Order of Reference of Wednesday, October 1, 2014, the Committee resumed consideration of Bill C-41, An Act to implement the Free Trade Agreement between Canada and the Republic of Korea.

Ian Burney and Scott Winter answered questions.

The Committee commenced its clause-by-clause study of the Bill.

Pursuant to Standing Order 75(1), consideration of Clause 1, Short Title, was postponed.

The Chair called Clause 2.

By unanimous consent, Clauses 2 to 5 inclusive carried severally.

On new Clause 5.1,

“5.1 For greater certainty, nothing in this Act or the Agreement affects the powers of the Government of Canada or of provincial, municipal or First Nations governments to enact legislation in the public interest.”

After debate, the question was put on the amendment of Don Davies and it was negatived, by a show of hands: YEAS: 3; NAYS: 5.

Clause 6 carried.

On Clause 7,

“(2) For greater certainty, in relation to the objective referred to in paragraph 7(f), no federal law establishing environmental protection standards may be repealed — or amended so that its effect is diminished — in order to facilitate increased investment under the Agreement.”

After debate, the question was put on the amendment of Don Davies and it was negatived, by a show of hands: YEAS: 4; NAYS: 5.

Clause 7 carried by a show of hands: YEAS: 5; NAYS: 0.

Clause 8 carried by a show of hands: YEAS: 7; NAYS: 0.

On Clause 9,

“9. (1) Subject to subsection (2), the Agreement is approved.

(2) Articles 8.17 to 8.44 of the Agreement are not approved.”

After debate, the question was put on the amendment of Don Davies and it was negatived, by a show of hands: YEAS: 3; NAYS: 6.

Clause 9 carried by a show of hands: YEAS: 5; NAYS: 0.

By unanimous consent, Clauses 10 and 11 carried severally by a show of hands: YEAS: 8; NAYS: 0.

On Clause 12,

“(1.1) Commencing in 2015, the Minister must, once in every calendar year, arrange for a trade mission to the Republic of Korea to monitor the operation of the Agreement.

(1.2) Before the end of each fiscal year, the trade mission referred to in subsection (1.1) must report to the Minister on its findings in the previous calendar year and, in particular, on the progress in eliminating non-tariff barriers.

(1.3) At the earliest opportunity after receiving the report referred to in subsection (1.2), the Minister must table it in both Houses of Parliament.”

After debate, the question was put on the amendment of Don Davies and it was negatived, by a show of hands: YEAS: 4; NAYS: 5.

Clause 12 carried by a show of hands: YEAS: 5; NAYS: 0.

By unanimous consent, Clauses 13 and 14 carried severally by a show of hands: YEAS: 7; NAYS: 0.

On Clause 15,

“(3) For greater certainty, the Governor in Council may make an order under paragraph (1)(a) if a panel established under Article 21.6 of the Agreement has determined that motor vehicles have been imported into Canada from the Republic of Korea in such increased quantities and under such conditions as to be a cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods. Any such order may suspend tariff concessions provided under the Agreement in respect of motor vehicles and restore the application to motor vehicles of tariffs in existence immediately before the implementation of the Agreement.”

After debate, the question was put on the amendment of Don Davies and it was negatived, by a show of hands: YEAS: 3; NAYS: 5.

“(3) For greater certainty, the Governor in Council may make an order under paragraph (1)(a) if a panel established under Article 21.6 of the Agreement has determined that products made from steel have been imported into Canada from the Republic of Korea in such increased quantities and under such conditions as to be a cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods. Any such order may suspend tariff concessions provided under the Agreement in respect of such products and restore the application to those products of tariffs in existence immediately before the implementation of the Agreement.”

After debate, the question was put on the amendment of Don Davies and it was negatived, by a show of hands: YEAS: 3; NAYS: 5.

Clause 15 carried by a show of hands: YEAS: 5; NAYS: 0.

By unanimous consent, Clauses 16 to 61 inclusive carried severally by a show of hands: YEAS: 8; NAYS: 0.

Schedule 1 carried by a show of hands: YEAS: 7; NAYS: 0.

Schedule 2 carried by a show of hands: YEAS: 7; NAYS: 0.

Clause 1, Short Title, carried.

The Title carried.

The Bill carried.

ORDERED, — That the Chair report the Bill to the House.

At 4:13 p.m., the Committee adjourned to the call of the Chair.