Appearance before the Standing Committee on Industry and Technology (INDU) by the Minister of Industry and Minister responsible for Canada Economic Development for Quebec regions

Table of contents

• Stellantis investments
• Special Contribution Agreements with battery manufacturers
• Delays and challenges in Canada's automotive industry's transition to electrification
• Canada's auto sector: Impact of U.S. tariffs
• State of Canadian economy
• Industrial strategy to make Canada more globally competitive
• Steel and aluminium sectors: Impact of excess production capacity
• Canada's steel and aluminum sectors: Impacts of U.S. tariffs
• Strategic Response Fund
• A Buy Canadian policy to protect, build and transform Canadian strategic industries
• ACOA: Regional tariff response initiative
• High level list of major EV-related announcements
• Related news releases
• Letter: Minister of Industry and Minister responsible for Economic Development for Quebec regions
• Scenario note for Minister Joly's Appearance before the Standing Committee on Industry and Technology
• Standing Committee on Industry and Technology (INDU)
• Media scan: Stellantis

Stellantis investments

Question: What is the Government of Canada doing in response to Stellantis' announced decision to move the Jeep Compass mandate from Brampton, Ontario, to Illinois?

Key messages:

• The Government of Canada has made clear to the company that this decision is unacceptable, and that Canada expects the company to honour the commitments it made to Canada, Ontario, and the union
• Canada has established a response team, including the province, the union, and the company, with the objective of securing the future of the Brampton plant
• At the same time, the Government of Canada is assessing its legal options to ensure accountability to Canadian workers and the future of the auto sector in Canada

Supplementary messages:

• Canada's automotive industry is one of the country's largest manufacturing sectors, anchored around five global automotive companies — Stellantis, Ford, General Motors, Toyota, and Honda — that are supported by a diverse supply chain of nearly 700 automotive parts manufacturers across Canada
• The Government of Canada remains committed to maintaining a strong Canadian automotive industry and the well-paying jobs that come with it
• The Government of Canada is working to promote growth and investment in the automotive and EV battery supply chains, while creating and maintaining jobs across the country
• Through the Strategic Response Fund, Canada is ready to support automotive firms as they adapt project timelines, helping them remain competitive while advancing electrification

Background:

In 2024, the automotive sector contributed $16.8 billion to Canada's GDP, directly employed over 125,000 workers and supported over 427,000 indirect jobs. 

The governments of Canada, Ontario and Quebec have worked to attract significant private investments in electric vehicle (EV) and battery manufacturing since 2020. The Government of Canada has announced its support through various initiatives including Investment Tax Credits (Finance Canada), the Strategic Response Fund (Innovation, Science and Economic Development Canada – ISED) and Special Contribution Agreements (ISED).

In May 2022, the Government of Canada, through the Strategic Response Fund (SRF), announced contributions of up to $529 million to support a $3.6 billion investment to transition Stellantis' Brampton and Windsor facilities to produce electrified vehicles (EV). The Province of Ontario is also supporting the project with an investment of up to $513 million. Stellantis' plant in Brampton has been closed since 2024 for retooling purposes.

On October 14, 2025, Stellantis announced that it would reopen its Belvidere Assembly Plant in Illinois for production of two Jeep vehicles, including the Jeep Compass, initially planned to start being manufactured in 2026 at the Brampton, ON facility.

Special Contribution Agreements with battery manufacturers

Question: Why is the Government of Canada providing significant production incentives to battery manufacturers through Special Contribution Agreements?

Key messages:

• The Government of Canada supports the automotive industry's transition to electrification, which will help maintain and create jobs, promote economic growth, and advance the shift towards a net-zero economy
• In response to the U.S. Inflation Reduction Act's Advanced Manufacturing Production Credit, Canada announced production-based support, through Special Contribution Agreements for specific battery manufacturing projects
• The Government of Canada's support through Special Contribution Agreements is dependent on production at, and sales from, battery plants located in Canada
• As production increases, so will the economic benefits to Canada

Supplementary messages:

• Canada has everything it needs to lead in the global electric vehicle (EV) ecosystem: strength in automotive manufacturing, a talented workforce, green energy, and critical minerals
• In recent years, Canada attracted key investments to produce EVs, as well as batteries and battery components, through a number of initiatives, including the Strategic Innovation Fund (now part of the new Strategic Response Fund), manufacturing investment tax credits, and Special Contribution Agreements

Background:

Jurisdictions across North America are competing for ZEV and automotive supply chain investments. The passage of the U.S. Inflation Reduction Act and the use of its Advanced Manufacturing Tax Credit (AMPC) to support U.S.-based battery projects posed a challenge to Canada's ability to compete for North American battery manufacturing investments. This is why Canada announced support via Special Contribution Agreements with two battery manufacturing firms:

• NextStar Energy (Stellantis/LGES) in Windsor, Ontario— currently producing battery modules
• PowerCo (Volkswagen) in St. Thomas, Ontario— construction phase to start in 2025

Changes to the AMPC have been enacted through the One Big Beautiful Bill Act, however, these changes do not impact benefits provided to battery manufacturers in the U.S..

Delays and challenges in Canada's automotive industry's transition to electrification

Question: How are delays and challenges in the automotive industry's transition to electric vehicles (EVs) impacting Canada's investments in the domestic electric vehicle (EV) battery value chain?

Key messages:

• Over the past few years, federal and provincial government collaboration with industry has attracted significant investments related to electric vehicle production and to establish a Canadian battery supply chain
• The government recognizes that any significant industrial transformation takes time, and that responsible risk-taking is part of supporting innovation in a competitive global economy
• While the implementation timeframe for specific projects may vary with market conditions, Canada's automotive industry remains well positioned for long-term success

Supplementary messages:

• Canada has everything it needs to lead in electric vehicle (EV) and battery manufacturing:
  • Strength in automotive manufacturing
  • A talented workforce
  • Green energy
  • Critical minerals
• While the announced investments by the industry will establish the foundation for long-term growth, the automotive sector is currently facing challenges due to several factors including a slower than anticipated growth in EV demand and the high cost and significant time needed in the transition to produce EVs
• Consistent with global trends, this has resulted in companies revisiting the timing and scope of their investments, including for some announced electric vehicle and battery projects in Canada
• Through measures like the Strategic Response Fund, Canada is helping automotive firms adapt to market changes, protect jobs, and stay competitive while advancing electrification
• The Government is reviewing the Electric Vehicle Availability Standard to ensure that the targets set in the regulations are both ambitious and attainable and that automotive manufacturers do not face undue financial burdens, while we continue to decarbonize transportation

Background:

The Canadian automotive sector supports over 125,000 direct jobs, contributed $16.8 billion in 2024 to Canada's gross domestic product, and is one of the country's largest export industries. The sector is anchored by the presence of five automotive manufacturers: Stellantis, Ford, General Motors (GM), Toyota, and Honda— that are supported by a diverse supply chain of nearly 700 automotive parts manufacturers across Canada. In 2024, Canada produced over 1.3 million vehicles, ranking 14th globally in terms of vehicle production.

In light of the global transition to electric transportation, the government stepped up: in recent years, Canada attracted key investments to produce EVs, as well as batteries and battery materials, through a series of measures, including the Strategic Innovation Fund (now Strategic Response Fund), Special Contribution Agreements (Innovation, Science and Economic Development Canada – ISED), as well as manufacturing investment tax credits (Finance Canada) Some of these announced investments by the industry include:

Honda, investing $15 billion to create Canada's first comprehensive electric vehicle supply chain in Ontario, including:

• EV, battery, and battery material manufacturing
• NextStar Energy (Stellantis/LGES), investing $5 billion for an EV battery manufacturing plant in Windsor, Ontario
• PowerCo, investing $7 billion for a cell manufacturing plant in St. Thomas, Ontario
• GM/POSCO, investing $600 million to produce cathode active materials in Bécancour, Quebec

While these generational projects will establish the foundation for long-term growth, the automotive industry is facing challenges due to several factors including the significant cost and time needed to transition to EV production, compounded by a slowdown in the growth of global EV demand, which has resulted in companies revisiting their investments in EV and battery production. As is the case in other jurisdictions, timelines and manufacturing plans for some of the announced investments in Canada may be adjusted to ensure assembly plants are prepared for long-term success.

ISED remains in close communication with firms in which the government is investing, including regarding projected timelines for development, completion, and production.

Canada's auto sector: Impacts of U.S. tariffs

Question: What is the Government of Canada doing to support the Canadian automotive industry considering U.S. tariffs?

Key messages:

• The Government of Canada is committed to maintaining a strong Canadian automotive industry and the well-paying jobs that come with it
• Automotive trade between Canada and the U.S. is balanced and shows how strong and interconnected our economies are
• Canada recognizes the challenges that tariffs present to such an integrated industry and has adopted a proportionate response
• Since April 2025, the government announced a series of strategic measures to support businesses and workers in those sectors most impacted by U.S. tariffs and trade disruptions, including the automotive industry
• Canada continues to engage with the United States to address its automotive tariffs on Canada

Supplementary messages:

• Canada responded to U.S. automotive tariffs with reciprocal tariffs of 25% on imports of passenger vehicles and certain trucks from the U.S. This measure mirrors the U.S. approach with respect to Canada-U.S.-Mexico Agreement (CUSMA) rules of origin
• Because vehicles assembled in Canada contain a significant number of U.S. parts (approximately 50% U.S), the effective tariff rate on Canadian produced vehicles is approximately 12.5%
• Canada has implemented a measure that allows automakers in Canada to import a certain number of U.S.-assembled, CUSMA-compliant vehicles free of the counter-tariffs, provided that they continue to produce vehicles in Canada and complete planned investments
• Canada stands ready to work with the United States in a way that strengthens North American automotive production and preserves Canada's preferential tariff access

Background:

The Canadian automotive sector supports over 125,000 direct jobs, contributed $16.8 billion in 2024 to Canada's gross domestic product, and is one of the country's largest export industries. The sector is anchored by the presence of five automotive manufacturers: Stellantis, Ford, General Motors (GM), Toyota, and Honda— that are supported by a diverse supply chain of nearly 700 automotive parts manufacturers across Canada. In 2024, Canada produced over 1.3 million vehicles, ranking 14th globally in terms of vehicle production.

In 2024, automotive trade with the U.S. totalled $152 billion ($75 billion in exports and $77 billion in imports).

• 25% on all Canadian vehicles that do not meet the Canada-U.S.-Mexico Agreement (CUSMA) rules of origin
• 25% tariffs on the value of non-U.S. content for vehicles that qualify under CUSMA

On October 23, 2025, Canada announced significant reductions to the import quotas of General Motors (GM) and Stellantis following their decisions to scale back their manufacturing presence in Canada, directly breaching their commitments to the country and Canadian workers.

• A new Strategic Response Fund: The government will invest $5 billion through a new fund with flexible terms to help firms in all sectors impacted by tariffs adapt, diversify, and grow, with support provided to industries by new workforce alliances to align training and workforce needs
• A new Buy Canadian policy: The government will introduce a new policy to ensure that the federal government buys from Canadian suppliers, requiring local content when domestic suppliers are unavailable, extending this approach to all federal funding streams and Crown corporations, and provides a roadmap for provinces and municipalities to apply similar standards to their own procurement
• Immediate liquidity relief: The government will expand Business Development Bank of Canada loans for small and medium-sized enterprises (SME) to $5 million, provide more flexible financing through the Large Enterprise Tariff Loan Facility, give the automotive sector flexibility by waiving 2026 model year vehicles from Electric Vehicle Availability Standard requirements, and by launching an immediate 60-day review of these regulations
• Regional Tariff Response Initiative: The government will expand support to SMEs to $1 billion over three years, with flexible terms, and increase new non-repayable contributions to eligible businesses impacted by tariffs across all affected sectors

On October 17, President Trump issued a Proclamation to apply a tariff on imports of medium- and heavy-duty vehicles (MHDVs), medium- and heavy-duty vehicle parts (MHDVPs) and buses into the U.S. As of November 1st, imports of MHDVs will be subject to a tariff of 25% on non-U.S. content and 25% on non-CUSMA-compliant MHDVPs. Imports of buses will be subject to a tariff of 10%.

State of Canadian economy

Question: What is the current state of the Canadian economy?

Key messages:

• Canada's economy is facing challenges from global uncertainty and U.S. trade actions, but remains resilient
• The government is taking action to protect jobs and strengthen Canada's long-term economic resilience and sovereignty, particularly in industries reliant on U.S. exports
• New measures like the Strategic Response Fund are supporting Canadian industries and workers in the face of trade disruption

Supplementary messages:

• Recent tariffs and global uncertainty have slowed exports and investment, weakened economic growth and led to employment losses that are concentrated in goods-producing sectors
• The government is taking actions to help Canadian businesses and workers affected by the trade disruption, while charting a path towards long-term growth
• Canada's recovery will rely on attracting capital investment, strengthening industrial capacity and diversifying markets

Background:

Canada's economic momentum has slowed as tariff-related disruptions weigh on trade, investment, and employment. After a precautionary buildup of inventories in early 2025, the second quarter marked a sharp reversal, with GDP contracting by -1.6%, led by an 8% drop in exports. The contraction was driven by industries deeply integrated with U.S. supply chains, including energy, autos, and agriculture. This has left Canada particularly exposed, given that roughly 75% of exports are typically destined for the U.S. Despite modest gains in services, overall activity is struggling to rebound.

While the economic outlook is challenging, the Bank of Canada projects that Canada will avoid a technical recession. Under the current tariff scenario, GDP will rebound modestly by about 1% in the second half of 2025, gradually reaching 1.8% by 2027 if trade uncertainty eases. Inflation is expected to remain close to the 2% target, though overall activity will remain on a permanently lower path compared to a scenario without tariffs.

The labour market is showing clear signs of stress, with significant job losses concentrated in goods-producing industries that are critical to Canada's industrial capacity. The details indicate that the decline in employment was primarily the result of job losses in sectors impacted by US tariffs and the related uncertainty, with significant losses in the manufacturing sector and transportation and warehousing. For example, manufacturing alone lost nearly 30,000 jobs between January and September 2025, and broader layoffs are eroding confidence in the labour market.

Tariff changes are hitting small and medium-sized enterprises (SMEs) especially hard. The U.S. elimination of the US$800 de minimis exemption on low-value shipments has raised costs for Canadian firms that depend on e-commerce and parcel delivery, with nearly one-third of SMEs expecting negative impacts. Rural economies are also under particular strain, as the sectors most targeted by U.S. tariffs – agriculture, food processing, and resource extraction – represent the backbone of rural employment. Any further escalation in trade disputes risks amplifying job losses in these regions, undermining household incomes and local economic stability.

Tariffs and economic uncertainty are compounding Canada's long-term structural challenges, including stagnant productivity and weak business investment. Trade barriers disrupt trade flows, raise input costs, and increase the complexity of supply chains, limiting firms' ability to invest in productivity-enhancing assets and technologies. Catalyzing private investment is essential to reverse this trend, enabling businesses to grow, scale, and adopt technologies, particularly in green and digital sectors, thereby strengthening Canada's competitiveness and resilience in the global economy.

The government has responded to these challenges with a comprehensive strategy that links immediate relief with long-term resilience. The Strategic Response Fund (SRF), a $5 billion initiative designed to help firms in trade-exposed sectors not only survive immediate tariff pressures but also pivot to diversify trade beyond the U.S. and support long-term growth. The SRF is part of a wider set of tariff response measures, including immediate liquidity relief for SMEs and Large firms through the Business Development Bank of Canada, flexibilities to the Large Enterprise Tariff Loan Facility, and the Regional Tariff Response Initiative. Together, these programs form a comprehensive package to support workers and businesses through a period of heightened trade uncertainty.

Industrial strategy to make Canada more globally competitive

Question: What is the government doing to help build an Industrial Strategy that will make Canada more globally competitive?

Key messages:

• The Government of Canada's core mission is to build the strongest economy in the G7
• Through Canada's new Industrial Strategy, we are acting with purpose: Protecting industries and workers from global shocks; Creating the industries and jobs of the future through investments in defence and major projects; and, Attracting the talent and investment that will power long-term growth
• By using Canada's strengths—our people, resources, stability, and innovation—we are building a more resilient, secure, and productive economy that can compete and win in a more complex world

Background:

Global competition, trade and geopolitical tensions, and rapid technological disruption are reshaping the foundations of economic prosperity. Long-standing assumptions that open markets and stable alliances would guarantee growth and security no longer hold. Rising protectionism, economic coercion, and industrial policy competition are forcing countries to act deliberately to secure strategic capabilities.

The Government of Canada's mission is to build the strongest economy in the G7. Canada's Industrial Strategy establishes a plan to achieve this by building an economy that is resilient, secure, productive, and globally competitive through three priorities: Protect critical sectors and build a diversified, resilient economy capable of withstanding global uncertainty; Create new jobs and industries by strengthening Canada's industrial base, defence capabilities, and overall competitiveness; and Attract top talent and investment to grow Canadian champions, deepen capital markets, and expand innovation ecosystems that drive long-term prosperity. It aims to protect; create; and attract.

1. Protect industries and workers to safeguard Canadian jobs and promote Canada's economic
   resilience.

   Canada will protect its industries and workers from global shocks, unfair trade practices, and tariff disruptions while laying the foundation for long-term diversification and resilience. This means providing trade-exposed sectors with the financing and tools needed to manage immediate pressures, adapt to new market realities, and strengthen competitiveness over time.

   The $5-billion Strategic Response Fund (SRF) supports sectors affected by tariffs and global trade risks – such as automotive, steel, aluminum, and forestry – while retaining flexibility to intervene in other high-value industries critical to maintaining domestic capacity. Complementary measures expand Business Development Bank of Canada (BDC) loans for small and medium-sized enterprises to $5 million.

   The Strategy also enhances the Regional Tariff Response Initiative, providing $1 billion over three years in flexible support for affected SMEs. Globally, a new Trade Diversification Strategy and investment in trade corridors will expand access to international markets and strengthen domestic capacity.

2. Create jobs and industries to stimulate job creation and supply-chains, and build sovereign capacity for Canada to compete and lead globally.

   The Strategy advances major initiatives to build Canada's long-term industrial and technological capacity. The Defence Industrial Strategy (DIS) will leverage procurement to strengthen Canada's sovereign manufacturing base in aerospace, shipbuilding, and advanced manufacturing, while supporting innovation in dual-use and defence-related technologies such as artificial intelligence (AI), quantum, and space systems. A newly established Defence Investment Agency will accelerate investment decisions and align public procurement with industrial development objectives.

   Complementing these efforts, the Buy Canadian policy positions federal purchasing power as a nation-building instrument – ensuring that public procurement, grants and contributions, as well as Crown investments strengthen domestic supply chains, drive innovation, and create predictable demand for Canadian firms across strategic sectors.

   Nation-building investments under the Building Canada Act and Major Projects Office are fast-tracking transformative infrastructure projects, including the Darlington Small Modular Reactor (SMR) and the high-speed rail corridor between Toronto and Québec City. These initiatives are expected to mobilize more than $60 billion in private investment and create thousands of jobs across construction, engineering, and advanced manufacturing supply chains.

   The Strategy also supports structural reforms to unlock domestic economic growth. Bill C-5: The One Canadian Economy Act removes federal exceptions under the Canadian Free Trade Agreement, reducing internal trade barriers and enabling a more integrated national economy. The Build Canada Homes initiative complements this effort by catalyzing a modern housing manufacturing industry through modular and prefabricated construction, doubling national homebuilding capacity while stimulating productivity gains in construction and materials manufacturing.

3. Attract talent and investment to create a predictable, innovation-driven environment that supports long-term investment, competitiveness, and growth.

   Canada aims to attract the talent, capital, and research excellence needed to drive the next wave of industrial growth. Strengthening venture and financing ecosystems will enable Canadian firms to scale, commercialize, and compete globally, while targeted investments in research, artificial intelligence (AI), and digital infrastructure will anchor world-class innovation and talent. By connecting researchers, entrepreneurs, and investors, the Strategy will translate Canadian discoveries into industrial strength and global market leadership.

   A renewed Artificial Intelligence Strategy, supported by $2 billion in federal investment is advancing technological leadership through initiatives such as the Sovereign AI Compute Strategy and National Quantum Strategy. These efforts will boost productivity and position Canada as a global exporter of advanced technologies. A memorandum of understanding with Cohere Inc. will accelerate the deployment of generative AI across the federal government, while an AI Strategy Task Force will provide expert guidance to maintain Canada's global leadership.

   Complementary actions under the Red Tape Review, which identified over 500 measures to streamline regulation and reduce administrative burden, will enhance investor confidence and improve efficiency.

Steel and aluminum sectors: Impact of excess production capacity

Question: What is the Government of Canada doing to protect the domestic steel and aluminium industries from the impacts of excess production capacity?

Key messages:

• Steel and aluminium are the base of Canada's construction and manufacturing economy. They are also essential for securing Canada's energy future and generate high-quality, high paying Canadian jobs
• Excess production capacity is a global problem that needs a global solution and Canada is working with other market-based economies to address the issue
• Domestically, Canada has taken steps to even the playing field through the imposition of a 25% surtax on steel and aluminum products imported from China

Supplementary messages:

• The Government of Canada sees excess capacity as a global trade problem in which non-market economies subsidize products to compete unfairly against market-based economies
• The excess steel capacity problem is expected to rise from 601 million tonnes in 2024 to 721 million tonnes by 2027, reaching its highest level in a decade
• The problem of excess capacity and subsidized metal production is made worse through the production of higher-carbon metal production in non-market jurisdictions
• Canadian investments in high-cost technology to support low-carbon metal production are challenged to compete with cheap, carbon-intensive production subsidized by non-market economies

Background:

Global excess production capacity

Excess capacity is the surplus of potential steel production that exceeds actual steel demand – the total capacity to produce steel and the actual output, with higher levels of excess capacity leading to depressed prices, reduced profitability for producers, and market distortions. Countries with significant excess capacity are typically non-market nations supported by government policies and practices that shield them from market conditions. When their production outstrips that of their domestic demand, they off-load product onto other markets, displacing the product of their domestic production, which is then sold off to other countries. Policies that continue the build-up of inefficient steel are being used by China and its proxy countries (those in which they subsidize steel production or stand up steel mills) to take market share and realize market dependence on them as suppliers to gain further global market dominance. Producers in market economies, meanwhile, subject to the discipline of market cycles and price signals, are hard-pressed to compete against nationally backed, deep-pocketed, state-owned enterprises who do not need to concern themselves with profitability.

While many countries are contributing to the problem, China's steel production capacity accounts for approximately half of global capacity, while their share of global aluminum production capacity has grown to 57 percent as of 2023. The problem worsens as China's domestic demand decreases as their economy slows down.

It is notable that, countries who are subsidizing steel capacity for which there is insufficient demand are also subsidizing high carbon steel production as the inefficient steel mills are the mills that require the most subsidies to keep in production. These high carbon steel products are eroding the competitive position and profitability of domestic producers making it harder for them to have sufficient capital to invest in decarbonization initiatives.

Canadian surtaxes on steel and aluminum

On October 22, 2024, Canada imposed a 25 percent surtax, under section 53 of the Customs Tariff Act, to certain steel and aluminum products imported from China. Measures will be reviewed within a period of one year from their entry into force, and FIN also implemented a remission framework for firms to request surtax relief.

To be effective, Canada needs other nations to work together on solving these market distortions. As the problem worsens, the need for a global solution becomes more urgent.

China country of melt and pour / smelt and cast import measure

On July 31, 2025, the Government implemented a 25 percent surtax on imports of steel melted and poured and aluminum smelt and cast in China to address risks associated with non-market policies and practices in the sectors, which are exacerbated by U.S. actions. The details of this measure include:

• All countries, except for the U.S. and China are covered by the measure, as there are existing surtaxes on their steel and aluminum imports into Canada
• Product scope aligns with the surtax on steel and aluminum from China (October 2024)
• After September 22, 2025 (end of the winddown period), only certificates demonstrating that the goods do not contain steel melted and poured or aluminum smelt and cast in China will be accepted, with more details on documentation to be provided in the Customs Notice
• If an importer fails to provide the required documentation, the steel or aluminum goods will be deemed to contain steel melted and poured in China or aluminum smelted and cast in China
• The surtax applies to the entire value of the imported product if it contains Chinese melted and poured or smelt and cast steel or aluminum
• For applicable steel products, the surtax will apply to covered products that are within the quota levels of the TRQ, however, it will not stack with the TRQ for out of quota imports (i.e., the maximum applicable rate applying to over-quota imports will be 50%). The surtax will apply in addition to any relevant anti-dumping or countervailing duties

Canada's steel and aluminum sectors: Impacts of U.S. tariffs

Question: What is the Government of Canada doing to support Canada's steel and aluminum sectors considering U.S. tariffs?

Key messages:

• The Government of Canada is committed to maintaining a strong Canadian steel and aluminum industry and the good-paying jobs that come with it
• In the face of U.S. tariffs, the government has taken decisive action to safeguard workers and businesses, including counter-tariffs, worker support programs, and funding measures to help steel and aluminium companies better serve the Canadian domestic market
• The government continues to consult industry on further measures to counter unfair trade practices and restore access to the U.S. market
• U.S. tariffs are hurting millions of people on both sides of the border by raising cost, raising prices, and lowering demand

Supplementary messages:

• Canada and the U.S. have balanced steel and aluminum trade which shows how strongly connected their economies are
• Any measure that shuts out Canadian steel and aluminum exports harms U.S. companies and the integrated supply chains that rely on long-term contracts and just-in-time delivery
• Canada is deeply concerned about the inclusion of 407 new derivative products applicable to steel and aluminum tariffs that will cause further harm to integrated supply chains that are imperative to our shared prosperity
• Canada has responded to the tariffs by introducing a suite of countermeasures designed to urge the U.S. to remove them as soon as possible

Background:

The imposition of U.S. tariffs have significant consequences for Canada's steel industry, introducing material financial injury and directly impacting firm operations. Concrete statistics on current and expected job losses are not yet available. However, initial estimates are in the high hundreds, with thousands at immediate risk.

Most major producers have reported a precipitous drop in shipments to the U.S. and other significant operational disruptions, forcing production adjustments and worker layoffs. Overall, the Canadian steel industry is doing extremely limited business with the U.S. with exports likely dropping by over a million tonnes of steel in the first two quarters. The administration's widening of the scope of products for which the tariffs apply to, adding 407 new derivative products, compounds these impacts even further.

Primary aluminum producers have not experienced the same level of acute and immediate impact as steel producers, primarily given high commodity prices and continued U.S. reliance on Canadian primary aluminum – the U.S. can only meet about one-third of its primary aluminum demand at full capacity. However, a sustained U.S. tariff rate of 50 per cent on Canadian aluminum exports are expected to have a long-term impact on the industry's sustainability, as demand drops in response to high-prices and companies pull back on capital investment decisions.

The most significant near-term impacts of the tariffs, are being felt in the downstream aluminum sector which is much more reliant on two-way cross-border trade. Downstream aluminum producers continue to grapple with elevated input costs and constrained access to the U.S. market. While high prices benefit primary aluminum producers, it has significantly increased input costs for downstream firms, particularly SMEs, greatly eroding their profit margins.

The government has also announced a series of measures to bolster its response, including:

• Commitment of $5 billion, delivered through the new Strategic Response Fund (SRF), with flexible terms to help firms in all sectors impacted by tariffs adapt, diversify and grow
• Stricter tariff rate quotas (TRQs) to curb foreign steel imports. For non-Free Trade Agreement (FTA) countries, TRQs will be reduced to 50% of 2024 volumes, with a 50% tariff applied above that threshold. FTA partners (excluding the U.S. and Mexico) will be subject to TRQs at 100% of 2024 levels, with the same over-quota tariff
• Additionally, a new 25% tariff will apply to imports containing steel melted and poured in China. Canada is also reviewing its remission framework and trade arrangements to strengthen the competitiveness of domestic producers. Smelt and cast tariffs on China and Russia are also forthcoming
• A new reskilling package for up to 50,000 workers, more flexibility and extended benefits in the Employment Insurances, and a new digital jobs and training platform to connect Canadians workers more quickly to careers
• $150 million of the Regional Tariff Response Initiative (RTRI) carved out for steel producers
• Enhanced financing tools, including changes to the Large Enterprise Tariff Loan (LETL), expanded support through the Bank of Canadian Entrepreneurs' (BDC) Pivot to Grow, and Regional Development Agencies (RDAs)
• Prioritizing the use of Canadian steel and aluminum in publicly funded projects

Strategic Response Fund

Question: What is the Strategic Response Fund and how will it help Canadian industry?

Key messages:

• The Government of Canada is launching the Strategic Response Fund (SRF) to help Canada respond to a rapidly changing global economy marked by trade disruptions, supply chain volatility and intensifying international competition
• The SRF is designed to drive Canada's industrial transformation and develop its long-term industrial capabilities to build economic resilience
• The SRF builds on the mandate of the Strategic Innovation Fund (SIF), maintaining support for innovation and growth, while expanding its focus to include responsive, targeted investment to support trade-impacted sectors to adapt, pivot and diversify to new markets

Supplementary messages:

• The Strategic Response Fund (SRF) is designed to ensure Canada not only weathers today's uncertainty but emerges stronger, more competitive, and better positioned to lead future global economic growth
• The SRF replaces the Strategic Innovation Fund (SIF) and builds upon its mandate of de-risking large-scale innovative projects by expanding the scope to support firms significantly impacted by trade disruption to build their industrial capabilities, diversify markets and build long-term resilience
• The SRF will also continue to provide targeted support for Canada's artificial intelligence sector through the $700-million Artificial Intelligence (AI) Compute Challenge
• Under the recent $5 billion investment, the program is delivering flexible and timely support with a focus on strategic sectors disproportionately exposed to U.S. tariffs and global trade risks – notably the automotive, steel, and aluminum and forestry sectors
• The SRF maintains a portfolio of 153 active contribution agreements, including agreements absorbed from the SIF valued at $11.9 billion resulting in $33.5 billion in research and development and other commitments to create and maintain over 151,000 jobs
• The SRF will seek to maintain industrial capacity by offsetting new market access costs, supporting retooling, and facilitating plans by Canada-based firms to expand or secure new markets

Background:

U.S. tariffs threaten billions of dollars in Canadian exports and tens of thousands of jobs. They also affect a wide range of Canadian exports, including a 25 percent duty on automobiles, and 50 percent on steel and aluminum products.

On September 5, 2025, the Government of Canada launched the Strategic Response Fund (SRF), including $5 billion to support businesses impacted by trade disruption to adapt, diversify their capabilities, and secure new markets. SRF will deliver timely, targeted funding to impacted firms across the Canadian economy, especially to those most profoundly affected, such as automotive, steel, aluminum and forestry.

The SRF replaces and builds upon on the mandate of the Strategic Innovation Fund (SIF). The SRF will maintain support for industrial innovation and the AI Compute Challenge while expanding its focus to include responsive, targeted investment to trade-impacted sectors. Across these priorities, the SRF provides investment in areas of strategic industrial advantage for Canada's long-term economic resilience and industrial future.

The SRF continues to support projects across all sectors of economy, including in areas of emerging importance such as defence and digital technologies such as AI and quantum. These sectors require investment as they transform the economy and are critical to long-term economic competitiveness and national security.

The SRF focuses primarily on projects larger than $20 million, for contributions of $10 million and above, to ensure federal investments drive large-scale impact and meaningful industrial transformation. The program funds activities ranging from early-stage research and development (R&D) and commercialization to large-scale capital investments that modernize production, expand domestic capacity and strengthen Canada's AI ecosystem.

Existing SIF projects under negotiation or with signed contribution agreements will continue under the SRF. The transition will ensure these projects remain fully supported, while also creating new opportunities to address emerging issues and align future investments with Canada's broader economic priorities.

A Buy Canadian policy to protect, build and transform Canadian strategic industries

Question: What is the government doing to build a Buy Canadian Policy?

Key messages:

• The Government's mission is clear: build the strongest economy in the G7 by investing in Canadians and Canadian industry
• Through a new Buy Canadian policy, we are turning procurement into an engine of economic growth. This means prioritizing Canadian suppliers, applying the same rules to federal funding and Crown corporations, and guiding provinces and municipalities to follow suit
• By aligning federal procurement, business supports, and trade policy, Buy Canadian will drive innovation, strengthen supply chains, and grow the strategic industries that anchor Canada's future prosperity

Background:

The Government is investing in workers and prioritizing federal procurement to strengthen Canadian industry, grow the economy and create high-quality jobs.

On September 5, 2025, the Prime Minister announced a new Buy Canadian Policy to ensure the federal government buys from Canadian suppliers, require local content when domestic suppliers are unavailable, extend this approach to all federal funding streams and Crown corporations, and provide a roadmap for provinces and municipalities to apply similar standards to their own procurement.

To move from an approach of "best effort" to a clear obligation to support Canadian industries, the new Buy Canadian Policy, as announced in September, will:

• Ensure the federal government buys from Canadian suppliers: By November 2025, the Government will introduce new measures to make sure that Canadian suppliers, and their products are prioritized in all federal spending. The Government will launch a new Policy on Prioritizing Canadian Materials in Federal Procurement that will require domestic and foreign suppliers contracting with the federal government to source key materials from Canadian companies in defence and construction procurements exceeding a certain threshold. This policy will initially cover Canadian steel and softwood lumber and will be sufficiently flexible to allow the Government to adjust the parameters and include additional domestic materials over the following months
• Require local content and purchases from trusted partners when Canadian suppliers are truly unavailable, requiring approvals so such cases remain the exception not the norm: There will be times when the Government cannot purchase goods and services entirely made in Canada, often because the capacity does not exist or certain inputs cannot be sourced domestically. To address this, the Government will implement new local content requirements so that strategic procurements which cannot be completed by Canadian suppliers will still require the use of Canadian content. This will ensure that Canadians benefit from federal spending, even when foreign suppliers are involved. The Government will also fully implement the Policy on Reciprocal Procurement, to ensure non-defence procurements are limited to Canadian goods and services as well as those originating from Canada's trading partners. This will include supplier eligibility being based on the origin of goods and services being offered. This policy is to be fully implemented by spring 2026
• Expand this approach to infrastructure spending, grants, contributions, loans and other federal funding streams: Each year federal organizations spend billions of dollars supporting major infrastructure projects and other purchases by other levels of government. However, until now there have not been rules that require third parties using federal funding to procure goods and services from Canadian suppliers, or to insist that foreign companies develop and build their products and services in Canada
• Streamline regulation and introduce new supports to ensure businesses can access federal procurement: The Government will cut red tape and streamline its processes to make sure that businesses can access federal procurement opportunities easily. A Small and Medium Business (SMEs) Procurement Program will be set up to create specific streams of procurement for SMEs and also to help them navigate the federal procurement system more easily
• Apply this mandate to federal agencies and crown corporations to the government leverages all the dollars at our disposal: Federal procurement requirements to date have applied to federal public service organizations but have not applied to federal agencies and crown corporations, which are responsible for billions of dollars of federal spending. The Government will extend Buy Canada obligations to all federal organizations
• Provide a roadmap that can be adopted by provinces, territories, and municipalities: The Government will formalize and extend obligations for infrastructure spending, grants, contributions, loans and other federal funding streams By scoping in procurements over and above what federal public service organizations do, the reach of the Buy Canada effort will extend to an additional $70 billion of spending in these areas

A Buy Canadian policy will be a key element in support of a new Industrial Policy for Canada. Buy Canadian will help transform Canada's economy – to built on the solid foundation of strong Canadian industries to achieve economic growth across the economy.

ACOA: Regional Tariff Response Initiative

Issue: Support for Atlantic Canadian businesses impacted by tariffs

Response:

• The Government of Canada is focused on protecting Canadian industries, reinforcing the competitiveness of Canadian businesses and building one strong Canadian economy
• The $1 billion Regional Tariff Response Initiative (RTRI) is being delivered by Canada's RDAs to support SMEs affected by tariffs, helping them respond, adapt, and compete amid shifting market conditions
• In Atlantic Canada, ACOA is delivering $80 million under the RTRI to help impacted businesses diversify markets, boost productivity, strengthen supply chains, and unlock new opportunities for growth at home and abroad
• SMEs are the backbone of Atlantic Canada's economy and communities, and success has always come from resilience, collaboration and a little grit – and together, we'll keep moving forward

Supplementary response:

• The RTRI was designed to be flexible and responsive to the specific needs of sectors in each region of the country
• ACOA received dedicated funding under the RTRI to support businesses in Atlantic Canada, including those in industries like fish and seafood processing, and is focused on addressing trade-related challenges facing businesses across the region
• RDAs are on the ground, helping businesses succeed. They collaborate with federal, provincial, and territorial partners and use complimentary and flexible programs to meet the unique needs of their regions

Background:

In March 2025, the government announced the Regional Tariff Response Initiative, a $450 million fund to support SMEs directly or indirectly impacted by U.S. and China tariffs, so they could step up investments to diversify their products and markets as well as adopt innovative technologies to boost competitiveness. In July 2025, the government announced that up to $150 million of the Regional Tariff Response Initiative would be targeted to projects in the steel sector.

On September 5, 2025, the Prime Minister announced that the Regional Tariff Response Initiative would be more than doubled going from $450 million to $1 billion over three years. The announcement included the ability for RDAs to provide non-repayable contributions of up to $1 million to businesses in all impacted sectors in order to allow more SMEs to invest in their growth, diversify markets, create new revenue sources by adopting innovative technologies and bringing new products and services to market.

On September 8, 2025, the Prime Minister announced that $80 million from the RTRI will be dedicated to businesses in Atlantic Canada.

The RTRI is designed to help impacted SMEs and sectors to boost productivity, catalyze growth and diversify markets by helping businesses to undertake projects to raise productivity, enhance competitiveness and reduce costs, thereby mitigating tariff impacts. Additionally, it seeks to strengthen resiliency among Canadian businesses through more robust domestic supply chains, enhanced internal trade, market diversification and future-proofing their operations.

Eligible recipients include:

• Incorporated companies, corporations, co-operatives, or individuals operating a business
• Indigenous-owned businesses and organizations
• Non-profit organizations that support businesses

Applicants must demonstrate that they are directly or indirectly impacted by the ongoing trade disruptions, including imposed tariffs by the U.S. and China and Canadian counter-tariffs, and show that at least 25% of their sales are to the U.S. and/or to China, or demonstrate that they, or the businesses they support, have been directly affected.

The Regional Tariff Response Initiative is part of a broad set of tariff support measures, including the Workforce Alliances, Large Enterprise Tariff Loan Facility, the Business Development Bank of Canada's Pivot to Grow initiative, and the Strategic Response Fund. Together, these measures are reinforcing Canada's industrial strength and defending jobs across the country.

Related news releases

These communications products (News Releases, Backgrounders, etc.) support committee appearances by providing context and background on recent government announcements:

• Canada takes decisive action to protect auto industry and workers (October 23, 2025)
• Government of Canada welcomes largest investment in Canada's auto industry with the first large-scale domestic EV battery manufacturing facility (March 23, 2022)
• Investing in Canada's auto sector, its workers, and our clean future (May 2, 2022)

Letter: Minister of Industry and Minister responsible for Economic Development for Quebec regions

October 15, 2025

Antonio Filosa
Chief Executive Officer
Stellantis
1000 Chrysler Drive
Auburn Hills, Michigan 48326
UNITED STATES OF AMERICA

Dear Antonio Filosa:

I am writing following calls yesterday with the Government of Canada and Stellantis to express my extreme concern with Stellantis' investment plans in Canada and to demand that the company respects its obligations flowing from billions of dollars of financial support extended to you over decades.

While the current U.S. tariff environment is creating complex challenges, Stellantis has made important commitments to Canada and to its workforce. Canadians expect that Stellantis will respect and honour these commitments. Anything short of this is unacceptable. Should Stellantis choose not to respect its obligations, we will act in the interests of all Canadians and hold the company to full account, and exercise all options, including legal.

Over decades, Stellantis and the Government of Canada have built a strong and enduring partnership. We were there for the company in 2009 to pull it back from the brink of bankruptcy, and now we expect you to be there for Canadians.

We have worked diligently for the long-term viability of Stellantis' Canadian operations, with millions of vehicles having been produced at Brampton and Windsor. Your new joint venture with LG Energy Solutions represents an important investment in the future of electrification. Our work together served to anchor your investments in Canada—a market where you continue to sell over 150,000 vehicles annually—and deliver meaningful economic benefits to workers and communities alike.

The business decision to move the mandate of the Jeep Compass is unacceptable. It jeopardizes the future of Brampton and its unionized workforce. It is critical that you quickly identify new mandates for Brampton that ensure the facility remains central to your manufacturing footprint, and that contracts with Canadian suppliers be honoured.

It is imperative that you extend the worker's transition program, agreed to with Unifor, until at least 2027.

Stellantis agreed with the Government of Canada and the Province of Ontario to maintain its full Canadian footprint, including Brampton, in exchange for substantial financial support. Anything short of fulfilling that commitment will be considered a default under our agreements.

In particular, the legally binding commitments that Stellantis made by accepting support through both the Strategic Innovation Fund and through the Special Contribution Agreement with NextStar Energy must be respected.

We are ready and at the table to work with you, all levels of government and union leaders to ensure a positive future for our workers, and all those in the supply chain for parts and other accessories.

We value our strategic partnership and believe that fulfilling these commitments is essential to demonstrate Stellantis' continued dedication to Canada.

We expect to see a plan to ensure the long-term success of Stellantis, Ontario, and all of Canada.

Yours sincerely,

(Signature)

The Honourable Mélanie Joly, P.C., M.P.

c.c.:

Jeff Hines, President, Canada, Stellantis North America

The Honourable Vic Fedeli, M.P.P., Minister of Economic Development, Job Creation and Trade, Government of Ontario

His Worship Patrick Brown, Mayor, City of Brampton

Lana Payne, National President, Unifor

Details of the appearance

The House of Commons Standing Committee on Industry and Technology (INDU) is undertaking a study on the Canadian Auto Industry and the Commitments Made by the Government With Stellantis. This study was agreed to as a result of an "emergency meeting" of the committee, and unanimously supported by MPs.

INDU has set aside three meetings (October 27, 29, November 3) for this study.

Full motion:

That given that the Parliamentary Budget Officer estimates the cost of government support for EV investment in Canada at up to $52.5 billion between October 8, 2020 and April 25, 2024.

Given that Stellantis has announced it will move production of the Jeep Compass from its Brampton facility to Illinois, putting 3,000 Canadian jobs at risk.

That the committee undertake a study to defend the interests of Canadian workers and taxpayers by examining the short- and long-term commitments made with Stellantis, in the context of the current situation of the Canadian auto industry.

That the committee invite as witnesses:

• The Minister of Industry (for no less than one hour)
• The former Minister of Industry, François-Philippe Champagne (separately from the Minister of Industry, for no less than one hour)
• Relevant departmental officials involved in contract negotiations and subsidy approvals
• The Chief Executive Officers and Chief Financial Officers of Stellantis
• Lana Payne, National President, Unifor
• Brian Kingston, President & CEO, Canadian Vehicle Manufacturers' Association
• Flavio Volpe, President, Automotive Parts Manufacturers' Association
• Any other industry representatives, impacted stakeholders, experts, and other witnesses
• Global Automotive of Canada, Dave Adams, CEO

That the committee hold no fewer than three meetings on this study and that this this study take precedence over all other matters before the committee.

Appearance logistics

November 3 will be the third and final meeting under this study. During the first two meetings, the following witnesses appeared:

• Canadian Automobile Dealers Association
• Canadian Vehicle Manufacturers' Association
• Global Automakers of Canada
• Stellantis
• Unifor

Minister Joly and officials are the only witnesses that are scheduled for November 3. During the first hour, the Minister will give opening remarks (5 mins), followed by questions. ISED officials will remain for the second hour and will not provide any opening remarks.

Officials appearing (TBC):

• First hour (alongside Minister Joly):
  • Philip Jennings, Deputy Minister of Innovation, Science and Economic Development Canada
  • Charles Vincent, Senior Assistant Deputy Minister, Industry Sector
  • Stephanie Tanton, Assistant Deputy Minister, Innovation Canada
• Second hour (officials only):
  • Philip Jennings, Deputy Minister of Innovation, Science and Economic Development Canada
  • Charles Vincent, Senior Assistant Deputy Minister, Industry Sector
  • Stephanie Tanton, Assistant Deputy Minister, Innovation Canada
  • Benoit Tessier, Director General, Innovation Canada
  • Denis Martel, Director General, Innovation Canada
• Questioning round:
  • First round: 6 minutes to the CPC, LPC, a BQ, in that order
  • Second (and subsequent rounds): 5 min to the CPC and LPC, 2.5 min to the BQ, and then 5 min to the CPC and the LPC

Additional context and Parliamentary environment:

Canada's automotive industry (including Stellantis investments) continues to dominate debate in Parliament (i.e. Question Period) and the media. Criticism in the media and in Parliament have focused on the following themes:

• Jobs protection: Reports indicate that Stellantis' relocation will put up to 3,000 jobs at risk. Given the significant federal investment, MPs are looking for confirmation that these jobs will be protected and workers will be supported
• Tariff negotiations: The ongoing trade negotiations with the United States have put a strain on Canada's auto sector in many ways. MPs are likely to question when a trade deal will be reached and how it will impact the auto sector and workers
• Value for taxpayers dollars: Given the size of the federal investment ($15 billion), MPs will question whether this is good value for tax payers dollars, considering the lowering demand for EVs and the job losses
• EV mandate: During the committee's first meeting with representatives from the auto sector, all witnesses called for the cancellation of the EV mandate. While the mandate is currently paused, sector (and opposition MPs) called for it be cancelled to provide more certainty to the auto sector

Additionally, the House of Commons Standing Committee on Government Operations and Estimates (OGGO) has passed a motion ordering the production of all contracts, MOUs and agreements between any department and Stellantis (or any subsidiary), unredacted by November 3. ISED is currently gathering this information and consulting with the ISED's legal team.

Standing Committee on Industry and Technology (INDU)

Committee Member Biographies
Parliamentary Affairs,
August 2025

Committee mandate

The standing Committee on Industry and technology (INDU) studies and reports on legislation, the activities and spending of Industry Canada and its portfolio members, and other issues related to:

• Industry and technology capability
• Scientific research and development, telecommunications policy
• Investment, trade, small business and tourism
• Rules and services that support the effective operation of the marketplace

Chair: Ben Carr (Winnipeg South Centre, Manitoba)

Liberal

• First elected in a by-election in 2023, previously served as Chair of the House of Commons Procedure and House Affairs Committee (PROC)
• Prior to his election, he worked as a high school principal and political staff for the Minister of Canadian Heritage
• He is the son of former cabinet Minister Jim Carr

Key Parliamentary interests:

• Indigenous rights
• Antisemitism (he voted against an NDP motion regarding Palestinian statehood and arms transfers to Israel)

Legislative activities:

• Nil.

1st Vice-Chair: Raquel Dancho (Kildonan—St.Paul, Manitoba)

Conservative – Shadow Minister for Industry

• First elected in 2019, previously served as CPC critic for public safety from November 2021 to March 2025
• Prior to her election, she worked in provincial politics and for Frontier Centre for Public Policy, an independent "think tank"

Key Parliamentary interests:

• Stronger bail laws for repeat offenders and support for victims of intimate partner violence
• Support for Canadian manufacturing sector
• Opposed to the electronic vehicle (EV) mandate

Legislative activities:

• House sponsor of S-205 (44-1), which ensures that dangerous abusers of women wear ankle bracelets during important times throughout the criminal justice process. This bill received Royal Assent in 2024, with all party support

2nd Vice-Chair: Gabriel Ste-Marie (Joliette-Manawan)

Bloc Québécois – Critic for Industry, Technology and Housing

• First elected in 2015, most recently served as BQ critic for finance
• From 2015-18 he served as his party's industry and science critic
• Former economist and educator

Key Parliamentary interests:

• Support for Quebec's aluminum industry
• Supply management
• Dismantling tax havens

Legislative Activities:

• Sponsor of two bills in previous parliaments that would create a single tax return for Quebec residents. Both died on the Order Paper

Parm Bains (Richmond East—Steveston, British Columbia)

Liberal

• First elected in 2021, prior to election, he taught business at Kwantlen Polytechnic University
• Born in Canada, parents immigrated from Punjab

Key Parliamentary interests:

• Support for South Asian communities
• Foreign interference and disinformation
• Use of artificial intelligence to spur innovation

Legislative activities:

• Previously served on House of Commons oversight committees (Access to Information, Privacy and Ethics, Government Operations and Estimates)

Karim Bardeesy (Taiaiako'n—Parkdale—High Park, Ontario)

Parliamentary Secretary to the Minister of Industry

Liberal

• First elected in 2025
• Prior to his election, worked as a professor at Toronto Metropolitan University and a principal secretary to Ontario Premier Kathleen Wynne

Key Parliamentary interests:

• Nil

Legislative activities:

• Nil

Kathy Borrelli (Windsor—Tecumseh—Lakeshore, Ontario)

Conservative

• First elected in 2025. Representing a blue-collar riding with many autoworkers
• Prior to election she worked as a registered nurse and owned a small business

Key Parliamentary interests:

• Auto and manufacturing industries
• Support for sectors in response to tariffs

Legislative activities:

• Nil

Ted Falk (Provencher, Manitoba)

Conservative

• First elected in 2013 (by-election). Prior to being elected he owned a construction company and served on the board Steinbach Credit Union.
• Has served on a number of Parliamentary committees, notably Natural Resources and Finance
• Previously served as a member of the National Security and Intelligence Committee of Parliamentarians (NSICOP) in 2020-21

Key Parliamentary interests:

• US tariffs (Represents a riding that borders the US; very engaged on the tariff file)
• Support for the agricultural sector

Legislative activities:

• In previous parliaments he has introduced PMBs related to continued access to cash and preventing digital currency from replacing hard currency, and increasing tax deductions for chartable gifts. Neither were adopted

Nathaniel Erskine-Smith (Beaches—East York, Ontario)

Liberal

• First elected in 2015, was named Minister of Housing, Infrastructure and Communities briefly (December 2024-May 2025)
• Has a history of being an outspoken critic of his own party's actions
• Has voted against his party on key issues in the past, including on electoral reform, medical assistance in dying, and most recently on a closure motion related to the One Canadian Economy Act (C-5)
• Prior to his election he worked as a commercial litigator
• Unsuccessfully ran for the leadership of the Ontario Liberal Party in 2023, has expressed interest in entering Ontario provincial politics

Key Parliamentary interests:

• Previous member of INDU (2020-2023), where he introduced a number of motions, including those calling senior grocery company CEOs, calling CRTC to discuss wholesale rates, and for the committee to examine SIF and the NZA
• Has focused questions in committee on broadband connectivity, low-cost data plans, domestic vaccine manufacturing

Legislative activities:

• In previous parliaments has introduced a number of PMBs, notably bills related to expanding the powers of the Privacy Commissioner (C-413 – 42nd Parliament) and adding non-judicial options for individuals in possession of certain substances (C-236 – 43rd Parliament). None were adopted

Michael Guglielmin (Vaughan—Woodbridge, Ontario)

Conservative

• First elected in 2025
• Prior to election he was an executive in the steel industry

Key Parliamentary interests:

• Tariffs on steel and aluminum
• Cutting government red tape
• Cracking down on violent crime

Legislative activities:

• Nil

Dominique O'Rourke (Guelph, Ontario)

Liberal

• First elected in 2025
• Prior to election she was a municipal politician

Key Parliamentary interests:

• Support for communities and small businesses
• Affordability

Legislative activities:

• Nil

Ben Lobb (Huron Bruce)

While not a regular member of the committee, MP Lobb is expected to be an part of any committee work related to AI.

Conservative – Shadow Minister for Digital Government and Artificial Intelligence

• Has represented Huron Bruce (ON) since 2008
• Held a variety of roles within the Conservative Party previously, including as the Special Advisor to the Leader of the Opposition on Blockchain Technologies and Cryptoassets
• Is an Associate Member of INDU, but expected to be at committee regularly

Key Parliamentary interests:

• Keen interest in AI and technology, notably a co-founder of the Conservative Blockchain Caucus
• In session 44-1, was a member of SRSR, often questioning witnesses about the use and value of government funding for research

Legislative activities:

• Sponsor of Bill C-234, which would exempt the carbon tax charged on natural gas and propane used by farmers to dry their grain and heat their barn. It died on the Order Paper awaiting consideration of Senate amendments

Media scan: Stellantis

Coverage Period: August 1, 2025 – October 27, 2025

Between August 1, 2025 and October 27, 2025 coverage on Stellantis generally focused on larger discussions on tariffs and the EV industry. More specific coverage highlighted several sub-topics, such as their commitments to Canada and moving their production plans, raising concerns over worker impact and Canada's automotive industry as a whole.

August coverage of Stellantis tied into the wider discussions on EV mandates, as industry stakeholders cautioned against zero-emission sales targets and highlighted the risks tariffs pose to the auto sector (The National Post, The Hill Times, The Hill Times, The Globe and Mail). An article by CBC also reported on Stellantis laying off workers at its assembly plant in Windsor as the company shifts away from its electric muscle car (The Hill Times,The National Post).

The following month, coverage continued to focus on tariff tensions and their implications for Canada's auto sector (The Globe and Mail, The Hill Times, The National Post). Outlets also reported on Minister Joly's comment on potentially using EV batteries for defense purposes (The Logic, Journal de Québec) and the reversal of the 20% zero-emission vehicle sales target for next year (The Globe and Mail, CBC). Coverage on Stellantis more specifically highlighted their new faster-charging EV battery (The Globe and Mail), a data breach affecting North American customers (CBC), and concerns that foreign workers were operating forklifts and performing tasks at the plant (CBC). Outlets also shared news that the assembly plant will return to a three-shift operation in early 2026, bringing back as many as 1,000 jobs (CBC, The Globe and Mail).

This month, several outlets reported on Stellantis backtracking on plans to build the Jeep model and shifting production to Illinois (CBC ,The Canadian Press, Toronto Star). Articles also shared Premier Ford and Minister Joly's calls for Stellantis to fulfill their commitment to the Brampton Plant (The Canadian Press, Globe and Mail). CBC shared Minister Joly's response highlighting her "extreme concern" over the decision and calling it "unacceptable,"noting that not fulfilling the commitment would be considered as default of their agreement. CBC later reported that Prime Minister Carney spoke with Stellantis and received assurances there are options for its plant and support would be provided to local workers and. This week, several outlets reported that for not fulfilling their promises to Canada, Stellantis and GM will have to pay duty on U.S. vehicles (The Canadian Press, The Globe and Mail, Toronto Star).