Under Canada’s Global Markets Action Plan (GMAP), the government’s pro-export, pro-jobs plan, new markets around the world have been opened for Quebec exports. These historic trade achievements will benefit hard-working Canadians in Quebec and throughout Canada.
In just one year, the government has delivered on its GMAP commitment to eliminate tariffs and support Canadian companies, especially small and medium-sized enterprises (SMEs), and to boost exports, including through:
- the conclusion of negotiations and release of the complete text of the historic Canada-European Union trade agreement. The agreement will eliminate tariffs on virtually all of Quebec’s exports. On the first day of the agreement’s coming into force, 99 percent of tariffs on manufactured products and 94 percent of tariffs on agricultural goods entering the EU will be duty-free. Quebec is well positioned to benefit from increased opportunities to export to the EU market and its 500 million consumers.
- the conclusion of Canada’s first free trade agreement in Asia with the landmark Canada-Korea Free Trade Agreement (CKFTA), which is on track to come into force on January 1, 2015. Quebec will see tremendous opportunities for export growth, given the complete elimination of South Korean duties on many Canadian products. For example, when the agreement enters into force, over 95 percent of South Korean tariff lines for industrial products will be subject to immediate duty-free access, including key products of interest to Quebec such as flight simulators, cosmetics, gas turbines and scientific instruments.
The Honourable Ed Fast, Minister of International Trade, provided an overview of the government’s vigorous trade promotion efforts, noting that historic trade agreements require historic trade promotion. Under GMAP, the Harper government is supporting workers and businesses across Quebec and ensuring that small and medium-sized enterprises (SMEs) have all the necessary tools to seize new opportunities and realize their full export potential.
Key elements of the trade promotion efforts include:
Go Global Export Workshops
Over the next several months, Minister Fast is holding workshops across Canada in collaboration with Canadian Manufacturers & Exporters and all the Government of Canada’s export support agencies. Minister Bernier led Quebec’s first Go Global workshop in Montréal on November 27. Under GMAP, the Canadian Trade Commissioner Service, Export Development Canada, the Business Development Bank of Canada and the Canadian Commercial Corporation have been aligning their activities, facilitating referrals, sharing market intelligence and information, and providing a whole-of-government approach to boost SME exports.
Regional Trade Commissioner Service (TCS) Activities
In 2014, the TCS’s Quebec Regional Office assisted 530 SMEs, providing them with on-the-ground international business support, including 1,215 targeted services, and connecting them to markets of interest.
One success in 2014 concerned Alta Precision, a Quebec-based company specializing in landing-gear parts, which was awarded a multi-year contract to supply landing-gear components to ELEB-Embraer for the new E2 regional jets. Alta Precision will welcome 15 additional skilled technicians to its talented workforce as a result of this win.
Trade commissioners have been embedded with public and private sector partners across Canada, including in Quebec with Manufacturiers et exportateurs du Québec [manufacturers and exporters of Quebec], the Fédération des chambres de commerce du Québec [federation of Quebec chambers of commerce] and the Board of Trade of Metropolitan Montreal, so they can work closely with businesses to ensure the Government of Canada is responsive to their needs.
Export Development Canada (EDC)
EDC helped 2,184 Quebec companies finance or insure $20-billion worth of international sales and investments. For example, EDC facilitated the leasing of business jets by Minsheng Financial Leasing Co. Ltd. of Beijing, China, from Montréal-based Bombardier, and in July 2014, EDC provided a US$2-million loan for a subsidiary of Montréal-based GLV Inc. (GLV Group) to grow its operations in India.
Key sectors such as forestry, metals and aerospace drove Quebec’s strong export growth of 8 percent in 2014 and will contribute to a 9-percent gain in 2015. Metal and ores account for the largest share of Quebec’s exports, at 26 percent. The aerospace sector will also see export growth in 2015, at 10 percent, also fuelled by the weak dollar and steady international demand.
Canadian Commercial Corporation (CCC)
In 2013-14, CCC worked with over 35 Quebec companies on export opportunities abroad, including Bell Helicopter Textron Canada Ltd. in Mirabel, General Dynamics Ordnance and Tactical Systems Canada in Repentigny and Héroux-Devtek Inc. in Longueuil.
Attracting Job-Creating Investments in Quebec
The Government of Canada’s proactive foreign direct investment (FDI) attraction strategy targets industry sectors where Canada offers clear comparative advantages. In the 2013-14 fiscal year, the Canadian Trade Commissioner Service worked with provincial, territorial and municipal investment partners to facilitate 146 successful FDI projects worth $3.65 billion and create an estimated 5,543 new jobs within Canada.
Significant investments were made in Quebec in 2013-14. For example, in March 2014, South Korean company Green Cross, a global leader in biopharmaceuticals, announced that it would build a new blood plasma fractionation plant in Montréal as part of the company’s efforts to expand its biologics business to North America. Green Cross projects that total capital expenditure at the new plant will exceed $200 million over the next five years and lead to the creation of 140 permanent jobs.
Through the Invest Canada - Community Initiatives program, the Government of Canada provided a total of almost $1.04 million to 13 Quebec communities or community organizations, including Montréal International, Québec International, and Granby and Region Industrial Development.
Opening Markets and Supporting Quebec Businesses Abroad
In 2014, Minister Fast led 13 trade missions to 20 countries, including to Peru and Colombia, where he was joined by representatives of seven Quebec companies: Advantech Wireless, Bell Helicopter Textron, EXFO Inc., Genetec, Logistik Unicorp Inc., Obzerv Technologies Inc., and Targray Technology International Inc.
During his trade mission to Africa, Minister Fast congratulated Windiga Energy Inc., a Montréal-based independent power producer, on signing a $50-million contract to build a solar power plant in Zina, Burkina Faso. The contract comes as the governments of Canada and Burkina Faso conclude negotiations on a foreign investment promotion and protection agreement.
Minister Fast also led the Canadian delegation at the Seafood Expo Global 2014 in Brussels, Belgium, to promote fish and seafood exports. He was joined by representatives of nine Quebec companies, including Agri-Food Export Group, La Crevette du Nord Atlantique Inc. and Gaspé Cured.
Minister Fast invited businesses in Quebec to accompany him on his first trade mission of 2015. This trade mission to South Korea, which will take place from February 8 to 13, will enable businesses to take full advantage of the Canada-Korea Free Trade Agreement and benefit from on-the-ground support from the Government of Canada.
Innovative companies from Quebec can also count on the support of the Canadian Technology Accelerator (CTA) program. Forty companies from Quebec have recently participated in CTA programs, including 22 in the 2013-14 fiscal year and 18 in the 2014-15 fiscal year. These include dynamic companies such as Phéromone, which participated in a CTA in the United Kingdom, and Azzimov Corporation, which participated in a CTA in India.
Minister Fast encouraged Quebec-based businesses to take advantage of the Enterprise Canada Network. Provided in partnership with EDC and Canadian Manufacturers & Exporters, this network offers online access to more than 30,000 business profiles and information on opportunities in the European market.
Under GMAP, the Harper government committed to developing comprehensive strategies in key sectors. One of these, the International Education Strategy (IES), was released in January 2014, with the goal of attracting innovative researchers and students to Canada and entrenching ties between Canadian educational institutions and their global counterparts. According to Citizenship and Immigration Canada, in 2013 there were almost 42,000 international students studying in Quebec, delivering economic and social benefits to the province.
Quotes
“This year, 2014, has been the most successful year for international trade in Canadian history, benefiting hard-working Canadians in Quebec and in every region of the country. Under Canada’s Global Markets Action Plan, we will continue our vigorous trade promotion efforts to boost our exports.
“In 2015, we will continue to focus on the real priorities of hard-working Canadians: creating new jobs and prosperity.”
- Ed Fast, Minister of International Trade
Associated Links
Quotes from Quebec Stakeholders
Success Stories
“We are very pleased with the support we received from both governments, which allowed us to conclude a strategic agreement to build a major—22 solar MW—renewable energy project.”
- Benoît La Salle, President and CEO, Windiga Energy Inc.
Trade Missions
“Our participation in the trade mission to Colombia and Peru has been very positive for our business objectives in the region. From our point of view, endorsing the presence of Canadian companies in potential global markets is giving us the opportunity to meet with targeted customers. This is a key element for the success of every mission trip. Seizing the momentum and converting these prospects to substantial future business is up to us.”
- David Gelerman, CEO, Advantech Wireless Inc.
“Well-organized event that was right on the mark. Government leadership was exceptional and truly made a difference. Bravo!”
- Louis Bibeau, President and CEO, Logistik Unicorp Inc.
“Before we undertake any business abroad, we rely on trade commissioners to provide us with good leads and tell us about various projects that might be of interest to us. We are always satisfied with the quality of their contacts and the appointments they book for us. Trade missions allow us to meet with decision makers in different countries, which shows that Canada supports our unique technology and our company. We do business around the world, and the quality of service we receive is always outstanding.”
- François Bouchard, Director, Business Development, Obzerv Technologies Inc.
“We appreciate the Government of Canada’s assistance in supporting our export opportunities and winning this contract.”
- Barry Kohler, President, Bell Helicopter Textron Canada Ltd.
Canada-European Union Economic and Trade Agreement (CETA)
“With this agreement, Canada becomes the only country with privileged access to the world’s two main world markets, the EU and the United States. Among other things, the agreement will allow Quebec to substantially increase its balance of trade.”
- Françoise Bertrand, President and CEO, Fédération des chambres de commerce du Québec (FCCQ) [federation of Quebec chambers of commerce]
“We are the leading port on the North American east coast for trade between Northern Europe and North America’s industrial heartland. Within the context of the new free trade agreement with the European Union, our vision to expand the port to our land at Contrecœur [Quebec] takes on added significance.”
- Sylvie Vachon, President and CEO, Montreal Port Authority
“In our opinion, the agreement introduced today will foster increased collaboration between us and our European economic partners and will facilitate the movement of goods, services and labour. Such an agreement will help diversify our markets and attract significant investment, which will lead to a lasting prosperity that will benefit all Quebecers and Canadians.
- Yves-Thomas Dorval, President and CEO, Quebec Employers Council
“We are confident that CETA will be beneficial for the city, which is the vanguard of economic ties with Europe and a natural gateway to North America for the movement of goods and people from Europe. It is one of our major competitive advantages that we will use to exploit the agreement’s full potential. The signature of CETA will help local companies integrate into the global value chain and allow them to tap into the European Union market, with its 500 million consumers and GDP of over $17,000 billion. CETA will also make it easier to attract European direct investment to the city and enable better mobility of the highly qualified labour our companies are increasingly in need of.”
- Michel Leblanc, President and CEO, Board of Trade of Metropolitan Montreal
“This affirms the future of the sector. This will provide a good opportunity to market certain cuts, such as ham, which is highly valued in Europe.”
- David Boissonneault, President, Les Éleveurs de porcs du Québec [Quebec hog producers]
“Quality maple sugar production is a source of great pride for Canadians. Our products are already well known in the European market. Maple syrup has evolved beyond the traditional pancake and waffle markets and can now be found in value-added products as a natural flavouring. The elimination of EU tariff barriers on Canadian products will not only increase sales but will also increase recognition of Canada’s high-quality products.”
- Serge Beaulieu, President, Federation of Quebec Maple Syrup Producers
“We are confident that a comprehensive agreement between Canada and the European Union will result in significant economic benefits for Canada and Quebec.”
- Simon Prévost, former President, Manufacturiers et Exportateurs du Québec [manufacturers and exporters of Quebec]
“We commend the government’s and Minister Fast’s work to reduce barriers to trade with the European Union. We are confident a trade agreement with Europe will lead to a more free and open exchange of goods and services between our two economies.”
- Veso Sobot, Director, Corporate Affairs, Ipex Management Inc.
“A comprehensive economic and trade agreement with the European Union will have a positive effect on Quebec’s chemical industry, an economic gem that employs nearly 25,000 people in the province.”
- Sâadia Lakehal, Director General, Association for Development and Innovation in Chemistry in Quebec
Canada-Korea Free Trade Agreement
“A prosperous economy requires greater openness and diversification of economic and trade relations between states. For this reason, the conclusion of a free trade agreement between Canada and South Korea is good news. This agreement will create greater mobility of goods and people, and foster investment and the creation and retention of quality jobs throughout the country.
- Yves-Thomas Dorval, President and CEO, Quebec Employers Council
“The Canada-Korea Free Trade Agreement should put us on a level playing field with our competitors. Asian countries currently represent interesting and lucrative export markets for our industry.”
- David Boissonneault, President, Les Éleveurs de porcs du Québec [Quebec hog producers]
"The free trade agreement with South Korea is an additional step toward increasing open markets for the Canadian aluminum industry following the recent agreement with the European Union. Right from the outset, this agreement will reduce existing tariffs by 98 percent."
- Jean Simard, President and CEO, Aluminum Association of Canada
“Over the next 20 years, there will be $5.2-trillion worth of work available to aerospace companies around the world. Nearly 40 percent of that work will be created in the Asia-Pacific region, making it essential to our future competitiveness. We commend the government for their commitment to ensuring that our trade and exports continue to drive innovation, jobs and growth within the industry here in Canada.”
- Jim Quick, President and CEO, Aerospace Industries Association of Canada
Canadian Technology Accelerator (CTA) Program
“The CTA environment enabled us to create quick business potential with international players in our field. We were able to conclude a joint venture, and we are in the process of doing proofs of concept with an Indian multinational.”
- Benoît L'Archevêque, CEO and Chairman, Azzimov Corporation