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INDU Committee Meeting

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Minutes of Proceedings

44th Parliament, 1st Session
Meeting 84
Tuesday, September 19, 2023, 3:36 p.m. to 5:19 p.m.
Webcast
Presiding
Joël Lightbound, Chair (Liberal)

House of Commons
• Jean-François Pagé, Legislative Clerk
• Émilie Thivierge, Legislative Clerk
 
Library of Parliament
• Sarah Lemelin-Bellerose, Analyst
• Alexandra Savoie, Analyst
The committee proceeded to the consideration of matters related to committee business.

Rick Perkins gave notice of the following motion:

That, pursuant to Standing Order 108(2), the committee invite the Parliamentary Budget Officer to appear for two hours, to address the report, “Break-Even Analysis of Production Subsidies for Stellantis-LGES and Volkswagen”.

Brad Vis gave notice of the following motion:

That, pursuant to Standing Order 108(2), the committee order the Department of Innovation, Science and Economic Development Canada to release a redacted copy of the Strategic Innovation Fund contracts with Volkswagen and Stellantis to build a battery plant in Windsor and St. Thomas, Ontario, in order to understand the contract that was agreed upon by both parties, and that such release be given to the committee via email no later than Tuesday, October 3, 2023, and that no speaking restrictions be placed on committee members with regard to said contract.

Sébastien Lemire gave notice of the following motion:

That, pursuant to Standing Order 108(2), the committee undertake a study on the modernization of the regulatory framework and the convergence of wired and wireless products to ensure that future decisions are informed by robust data and recommendations for the benefit of all consumers in terms of accessibility and affordability; that it examine this convergence with relevant stakeholders and what they can enable through technological advancements such as 5G, fibre optics, Wi Fi 6, and many others; that it examine the need for ubiquitous connectivity, necessary data transmission speeds, and innovative opportunities for businesses and consumers in Canada and internationally; that it scrutinize the operating costs of these technologies and the maintenance of so-called critical infrastructure; that it specifically investigate unused spectrum in more remote and rural areas as well as deployment targets; that it examine telecommunications tower construction programs and infrastructure deployment financing; that the committee allocates a minimum of six meetings for conducting this study and that it report its findings and recommendations to the House.

Sébastien Lemire gave notice of the following motion:

That, in accordance with Rule 108(2) of the Regulations, the committee undertake a study on the sale of Future Electronics; that it examine the acquisition transaction of this company by a business partially owned by Chinese interests; that the committee schedule a meeting to conduct this study and report its findings and recommendations to the House.

Department of Industry
• Mark Schaan, Senior Assistant Deputy Minister, Strategy and Innovation Policy Sector
• Jamieson McKay, Director General, Investment Review Branch
• James Burns, Senior Director, Investment Review Branch
• Mehmet Karman, Senior Policy Analyst, Investment Review Branch
Pursuant to the order of reference of Monday, April 17, 2023, the committee resumed consideration of Bill C-34, An Act to amend the Investment Canada Act.

Mark Schaan answered questions.

The committee resumed its clause-by-clause study of the Bill.

The committee resumed clause-by-clause consideration on New Clause 8.1 of the Bill.

The committee resumed consideration of the amendment of Brian Masse, — That Bill C-34 be amended by adding after line 26 on page 4 the following new clause:

“8.1 Section 20 of the Act is amended by adding the following after paragraph (c):

(c.1) the effect of the investment on the use and protection of personal information about Canadians;

(c.2) the effect of the investment on any rights relating to intellectual property whose development has been funded, in whole or in part, by the Government of Canada;”

Brad Vis moved, — That the amendment, proposing to add Clause 8.1 to Bill C-34, be amended by replacing paragraphs (c.1) and (c.2) with the following:

“(c.1) the effect of the investment on privacy interests, including, without limiting the generality of the foregoing, on the use and protection of personal information about Canadians;

(c.2) the effect of the investment on intellectual property interests, including, without limiting the generality of the foregoing, on rights relating to intellectual property whose development has been funded, in whole or in part, by the Government of Canada;”.

After debate, the question was put on the subamendment of Brad Vis and it was negatived on the following recorded division:

YEAS: Bernard Généreux, Brian Masse, Rick Perkins, Brad Vis, Ryan Williams — 5;

NAYS: Iqwinder Gaheer, Viviane Lapointe, Sébastien Lemire, Francesco Sorbara, Ryan Turnbull, Tony Van Bynen — 6.

Iqwinder Gaheer moved, — That Bill C-34, in Clause 12, be amended by adding after line 11 on page 7 the following:

“(2) Section 25.1 of the Act is renumbered as subsection 25.1(1) and is amended by adding the following:

(2) For greater certainty, the acquisition, in whole or in part, of an entity under paragraph (1)(c) includes the acquisition of the assets of that entity.

(2) For greater certainty, paragraph (1)(c) includes an investment to acquire, in whole or in part, the assets of an entity referred to in that paragraph.".

At 3:57 p.m., the sitting was suspended.

At 3:59 p.m., the sitting resumed.

The question was put on the subamendment of Iqwinder Gaheer and it was agreed to on the following recorded division:

YEAS: Iqwinder Gaheer, Viviane Lapointe, Sébastien Lemire, Francesco Sorbara, Ryan Turnbull, Tony Van Bynen — 6;

NAYS: Bernard Généreux, Brian Masse, Rick Perkins, Brad Vis, Ryan Williams — 5.

The question was put on the amendment of Brian Masse, as amended, and it was agreed to on the following recorded division:

YEAS: Iqwinder Gaheer, Bernard Généreux, Viviane Lapointe, Sébastien Lemire, Brian Masse, Rick Perkins, Francesco Sorbara, Ryan Turnbull, Tony Van Bynen, Brad Vis, Ryan Williams — 11;

NAYS: — 0.

On Clause 12,

Rick Perkins moved, — That Bill C-34, in Clause 12, be amended by replacing line 11 on page 7 with the following:

“manner described in section 28;

(b.1) if the non-Canadian is a state-owned enterprise, to acquire any of the assets of a Canadian business; or”

At 4:10 p.m., the sitting was suspended.

At 4:20 p.m., the sitting resumed.

After debate, the question was put on the amendment of Rick Perkins and it was agreed to on the following recorded division:

YEAS: Iqwinder Gaheer, Bernard Généreux, Viviane Lapointe, Sébastien Lemire, Brian Masse, Rick Perkins, Francesco Sorbara, Ryan Turnbull, Tony Van Bynen, Brad Vis, Ryan Williams — 11;

NAYS: — 0.

Rick Perkins moved, — That Bill C-34, in Clause 12, be amended by adding after line 11 on page 7 the following:

“(2) Section 25.1 of the Act is renumbered as subsection 25.1(1) and is amended by adding the following:

(2) This Part does not apply in respect of an investment, implemented or proposed, by a non-Canadian state-owned enterprise from any of the Five Eyes intelligence alliance countries.”

At 4:30 p.m., the sitting was suspended.

At 4:31 p.m., the sitting resumed.

After debate, the question was put on the amendment of Rick Perkins and it was negatived on the following recorded division:

YEAS: Bernard Généreux, Rick Perkins, Brad Vis, Ryan Williams — 4;

NAYS: Iqwinder Gaheer, Viviane Lapointe, Sébastien Lemire, Brian Masse, Francesco Sorbara, Ryan Turnbull, Tony Van Bynen — 7.

Iqwinder Gaheer moved, — That Bill C-34, in Clause 12, be amended by adding after line 11 on page 7 the following:

“(2) Section 25.1 of the Act is renumbered as 25.1(1) and is amended by adding the following:

(2) For greater certainty, the acquisition, in whole or in part, of an entity under paragraph (1)(c) includes the acquisition of all or substantially all of the assets used in carrying on the entity's operations.”

Debate arose thereon.

Rick Perkins moved, — That the amendment be amended by replacing the words “the acquisition, in whole or in part, of an entity under paragraph (1)(c) includes the acquisition of all or substantially all of the assets used in carrying on the entity’s operations”, with the following: “paragraph (1)(c) includes an investment to acquire, in whole or in part, the assets of an entity referred to in that paragraph”.

By unanimous consent, the subamendment of Rick Perkins was agreed to.

By unanimous consent, the amendment of Iqwinder Gaheer, as amended, was agreed to.

Clause 12, as amended, carried.

By unanimous consent, Clause 7 previously carried was reconsidered.

Rick Perkins moved, — That Bill C-34, in Clause 7, be amended by adding after line 19 on page 4 the following:

“(2) Paragraph 15(a) of the Act is replaced by the following:

(a) it falls within a prescribed specific type of business activity that, in the opinion of the Governor in Council, is related to Canada’s cultural heritage or national identity or to a strategic Canadian industry, including the high-technology, health care, pharmaceutical, agri-food, natural resources and energy industries; and”

After debate, the question was put on the amendment of Rick Perkins and it was negatived on the following recorded division:

YEAS: Bernard Généreux, Brian Masse, Rick Perkins, Brad Vis, Ryan Williams — 5;

NAYS: Iqwinder Gaheer, Viviane Lapointe, Sébastien Lemire, Francesco Sorbara, Ryan Turnbull, Tony Van Bynen — 6.

Clause 1, Short Title, carried.

The Title carried.

The Bill, as amended, was adopted.

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

ORDERED, — That Bill C-34, as amended, be reprinted for the use of the House of Commons at report stage.

At 4:55 p.m., the sitting was suspended.

At 5:00 p.m., the sitting resumed.

On motion of Rick Perkins, it was agreed, — That, pursuant to Standing Order 108 (2), the committee invite the Parliamentary Budget Officer to appear for two hours, to address the report, “Break-Even Analysis of Production Subsidies for Stellantis-LGES and Volkswagen”.

Motion

Brad Vis moved, — That, pursuant to Standing Order 108 (2), the committee order the Department of Innovation, Science, and Economic Development Canada to release a redacted copy of the four contracts signed with Volkswagen and Stellantis to build a battery plant in Windsor and St. Thomas Ontario, to understand the contract that was agreed upon by both parties, and that such release be given to the committee via email no later than October 3rd, 2023, and that no speaking restrictions be placed on committee members with regards to contract.

It was agreed, — That, debate on the motion of Brad Vis be adjourned.

At 5:19 p.m., the committee adjourned to the call of the Chair.



Miriam Burke
Clerk of the committee