LIVE: Carney Announces Investment in Canadian Manufacturing

We have referred 27 nation-building initiatives to the new Major Projects Office. What does that translate into? Half a trillion dollars in new private investment. And the shovels are already in the ground at Darlington New Nuclear, at the Contre-Coeur terminal at the Port of Montreal, at the Nouveau-Mont Graphite mine in Quebec, and the Mackenzie Highway in my native Northwest Territories. Crucially, as we're building, we are restoring our industrial might and capacity, reinforcing our factories, the supply chains, and building the talent that lets our country stand on its own. You know, for too long, we've bought from abroad what we were more than capable of building right here at home. We're bringing that work back, and we're turbocharging it. Canada needs better, more reliable passenger rail. Our railcars on our long-distance and remote routes are more than 70 years old. They were built when the NHL had six teams. Goalies wouldn't wear masks. The Leafs would win the Cup. That's a long time ago. Things are changing, even for the Leafs. Those old cars have served our country well, but they're long overdue for retirement. It's time to build new ones, to build them here at home. And to that end, I am proud, with my fellow colleagues, to announce that the Government of Canada is investing $4.7 billion to manufacture and maintain So we'll manufacture and maintain 313 passenger railcars for Via Rail's long-distance, regional, and remote fleet right here in Canada. For the first time in four decades, those cars will be produced and assembled and maintained in our country. Cars that used to be built in the United States will be built right here in Thunder Bay at Alstom Canada. By the best workers in the world. It's the most important investment in the history of Via Rail, and also the biggest investment in interurban rail transport in a generation. And that doesn't stop there. Five weeks ago, we announced an investment of nearly $2 billion to build new train parks and also new facilities in Montreal, where cars will be assembled and maintained. We are giving ourselves the means to manufacture each component of these trains here at home. We are bringing this industry home. And we are going to act quickly. The first train will be put into service by 2031. And the entire park, four years later. These 313 new-generation passenger cars will be produced in Canada. And they will be built in Saint-Bruno-de-Monteville, on the southern shore of Montreal, and manufactured and assembled in Thunder Bay, with the support of the Alstom plant at Poquetière, in the Bas-Saint-Laurent. These new passenger cars will be a tribute to Canadian talent, a showcase of our innovation, our expertise, and our industrial capacity. The construction of this fleet will directly support nearly 700 good jobs here in Ontario and in Quebec. And in line with our Buy Canadian policy, Alstom will leverage and expand its extensive network of more than 900 Canadian suppliers to deliver this new fleet, maximizing the use of Canadian steel in structural assembly supports and fabricated metal elements. It will be Canadian electricians that install the wiring, Canadian machinists that will make the precision parts, Canadian welders will build the steel frames from Canadian carbon steel. And that work, as you know, reaches well beyond the factory floor into communities across our country. All told, this project will generate more than $1.6 billion in economic benefits, hundreds of good jobs, hundreds more down the supply chain, paychecks that stay here in Canada. And you're building something deeper. Because we know in Canada that rail is more than a means of transportation. It's part of our country's story. It's a thread that's always connected us. The iconic VIA service that runs between Toronto and Vancouver over four days and four nights covers 4,000 kilometres. Thus far, it's journeyed more than 150 million kilometres, equal to almost 200 round trips to the moon. Every year, 750 litres of maple syrup are consumed on board. And on board, many young Canadians travel across this great country for the first time to witness its beauty, meet its people. There's no journey quite like it. You can fall asleep under the prairie sky and wake up to sunrise over the Rockies. As you know, it's called the Canadian. When I was governor of the Bank of Canada, we put the Canadian on the $10 bill because it represents the connections between us. And it's a great feat of engineering from Canada's past, joining the East and West by rail. And now, we're here today because the Canadian will be made in Canada. This is one of many VIA services that will have a new generation of passenger cars. Cars that are more energy efficient, better for the environment, more reliable, more comfortable. Engineered to run through Canada's most extreme temperatures, so service is safe, dependable year-round. Modern comfort, better accessibility. Cars that keep what people love. The sleepers, the full-service dining, the panoramic views. Nous modernisons le Canadien et l'Océan qui relie Montréal à Halifax et qui est le plus ancien train de voyageur sans interruption en Amérique du Nord. Nous permettons aussi à plus de gens que jamais de prendre le train. Grâce au Laissez-Passer en CanadaPort, nous avons aidé les Canadiens et Canadiennes à découvrir leur propre pays. Plus de 50 000 réservations ont été faites et 43 millions de kilomètres ont été parcourus, l'équivalent de 9 000 traversées du Canada. As Minister McKinnon and Steve mentioned, in addition to these long-distance routes, we're protecting regional and remote services that are lifelines for many communities, including 165 First Nations. On some of these routes, the nearest essential service is a train ride away. It's how people fill their prescription, stock their kitchen, get care that they need. So we're keeping the trains running from Winnipeg to Churchill, from Jasper to Prince Rupert, so patients can reach their doctor, students can get home, families stay together. And we're protecting a lifeline to communities that roads never reach to keep Canada connected. So today, we're here on truly historic ground, a place that built the railcars that opened this country, the aircraft that helped defend freedom, and now will build the trains that will keep us connected for generations to come. History isn't something that's behind us. It's a foundation. Our history points our way forward. Years from now, a young Canadian will ride the Canadian built in this factory. A new car, all Canadian, built here at home. The timeless, beautiful landscapes rolling past. That tradition, that quintessentially Canadian experience, lives on. And by renewing Thunder Bay's tradition of railcar manufacturing, we're strengthening the city that builds what this country needs in a time when Canada needs it the most. And this is how we build Thunder Bay strong. We build Canada strong, for all and forever. Thank you very much. We're now going to turn to questions. Please identify yourself and who the question is for. First question. Oh, I'm so sorry. Please go ahead. Just a last speech. It's not going to be long. Welcome, everybody. Welcome to Thunder Bay. Hello, everyone. Today is a historic day for VRL. It's obviously a historic day for Alstom and our 5,200 Canadian employees. It's a historic day for rail manufacturing and for economic growth across the country and here in Thunder Bay. For generations, rail has connected Canadians from coast to coast. And today we have the privilege of writing the next chapter of rail history here at home. And I want to sincerely thank the Government of Canada and VRL for their ambition, their leadership, and for the trust they are placing in us today. Prime Minister Carney, Minister McKinnon, today's announcement is a powerful example of what Buy Canada stands for, a nation-building, once-in-a-generation investment that will not only transform the way Canadians travel, but also strengthen our economy for the years to come. For Alstom Canada, this contract is the contract of the decade, the most important we've won over the last 10 years, and more importantly, a showcase for us to demonstrate our Canadian expertise at home here, but also worldwide. And what makes us proud is that these 313 cars will be entirely and fully engineered, designed, manufactured, commissioned, tested here in Canada. And we can proudly say they are made by Canadians for Canadians. For Alstom Canada, this contract is the contract of the decade, the most important we've won over the last 10 years, and we are particularly proud that the 313 cars are entirely designed, manufactured, designed, manufactured and commissioned here in Canada by Canadians for Canadians. So throughout the production period and the following decades of technical support, we will create and preserve hundreds of jobs here at Alstom and across our Canadian supply chain. We will generate significant GDP growth, tax revenues and social and economical benefits across the country, design and engineering will be executed out of our San Bruno site, where we have built unique expertise in North America with more than a thousand engineers and rail professionals. The car structures will be manufactured in La Poquetière, Quebec. And here in Thunder Bay, we will be responsible for the final assembly using components built by Alstom or procured from many Canadian suppliers. And today I'm very proud to announce that Alstom will invest $38 million to upgrade and modernize this Thunder Bay facility. In closing, I want to recognize our friends and partners at Unifor, as well as the business community, our local suppliers and the elected officials here in Thunder Bay. Thank you. We could not have won this competition without your continuous support. This project will provide long-lasting jobs, economic stability for the community and hopefully inspire the next generation of workers to join our great industry. And to our proud employees here in Thunder Bay, we did it again. In February, we announced the new subway cars for Toronto. Today is the VRL new coaches. This is not happening by chance. This is a testament to your talent and your hard work. And now the responsibility is ours to deliver on the commitments we've made to our customers, to our partners and to Canadians and to deliver on time and on budget. Well done all and all the best. Thank you very much. Thank you, Michael. We'll do this again. Take two. We'll go to questions now. Good day, Prime Minister. First of all, I'd like to say thank you for all your hard work and your intelligent approach to everything that's been happening. Sir, I'd like to ask you, does this mean that we are going to have a connection of ViaTrax coming through Thunder Bay in northwestern Ontario? I have to ask you that. Well, we just happen to have the CEO of Via Rail. So this announcement today with those new equipments will give us more possibilities. So we're always exploring new routes and how we can connect more Canadians. It's probably a bit too soon to tell if one day we're going to be connecting Thunder Bay, but we're definitely looking at adding services and connecting more Canadians. Thank you. What did you think of that answer? I think what I will say is that for this government it's a priority, yes. Thank you. And one question for you, sir. Thunder Bay, of course, has the biggest inland port on the Great Lakes. How do you see your government expanding the use of that port to build Thunder Bay as an economic hub for Canada? Well, thank you. And for both elements of your question, both legs of your question. Because our core strategy of the government, and this is already unfolding, as you see with the number of announcements, but will accelerate over the coming year, is around strategic transportation, strategic transportation corridors. For passengers, today's announcement. For goods, a series of announcements around ports and rail, intermodal and other elements. In fact, we're working on a series of measures that we've seen. I mentioned Compte-sur-Coeur, which is Port of Montreal, the Pacific Gateway, Port of Churchill, Port here, Port of St. John's, Quebec City. We've taken measures that help with efficiencies there. It's all linked together, and just expect a consistent element of that. If I can make one final point, which, as you would appreciate, is that the port here and the scale of markets to which goods that come into this port can be exported depend on those downstream investments that we're making as well. So we're getting the downstream ones right. We're getting the expansion that makes available, including the icebreakers that I referenced, the six new icebreakers that we announced for Davie Shipyard, which will help with commercial traffic into St. Lawrence. And then as we move up, we'll move on that. And the final point is you can expect, or Canadians can expect, that there will be legislation in the next parliament that will reinforce exactly what we're talking about. Thank you. Question and question. Next question. Thank you. And it's Andy Krasowski with the Chronicle Journal newspaper. Thank you, sir. Okay. Thank you. Hi. Leith Dunnick with Thunder Bay Source and TV News Watch. Prime Minister, you recently implemented retaliatory tariffs against the U.S., but Northwestern Ontario's forestry sector is already reeling from ongoing lumber disputes. What specific financial aid or help, economic support, can your government deploy to ensure mills in this region don't lay off workers? Yeah. Thanks for the question. I think one of the, and let me say this, and I'm going to answer, I'm going to broaden the question a bit and then come back to the core of it. One of the core things that we were fighting for and will continue to fight for in our trade negotiations with the United States is real relief on these unjustified tariffs that are hitting our forest product sector right across the country, certainly here as well. And we were not satisfied with what was offered or the durability of what was offered. A key point. One of the things is we don't want to make gains in the short term that then are taken away a few months later or a year later from that. That's not fair to our workers, our companies, our communities. So that's part of the reason why the deal wasn't good enough, was in the forest product sector specifically. That being the case, it means that we need to reinforce the supports that we have in place for the forest product sector to the companies themselves as well as to the workers. Minister Hajdu announced a series of those last week, a few days ago. The forestry strategy that's resulting from the Forestry Task Force is going to lead to some major announcements in the coming weeks. So I will defer specifically to that. But the general point is to bridge companies and workers beyond this trade dispute and at the same time allow them to give them the resources to pivot to become more competitive. So there's a lot in place. There's more to come. Follow-up? Follow-up question. Switching to highways. Our highways have proven to be getting deadlier and deadlier every year. What appetite is there in the federal government or with the federal government to work with the province to expand twinning or expansion of the highways here to make them safer and keep our people from getting killed? Yes. Well, first, let me, you know, each of these accidents are tragedies, tragedies for the families and friends and the communities. And there are structural issues that are there. This has been going on far too long, as your question says. And yes, you're right, we have to work with the province in order to do that. This needs to be a priority of the province as well as the federal government. I know it's a priority for your representatives in the federal government because they bring it up with me. I will be raising this with the premier. We have a lot to work on together. There's a lot we can get on together. But it needs to be a priority for the province of Ontario. It will be a priority for the federal government and we'll work to rectify it. Thank you. Next question. Hi there. My name is Sam Goldstein. I'm with Acadia Broadcasting. Three years ago, my friends at the CBC reported that in the prior decade, the on-time reliability of VIA passenger rail had dropped by more than 20 points. At the time, VIA attributed that mostly to the fact that they own so little of the track that so much of the track is owned by just two companies. In the same vein, we have just three companies that control most of our telecom infrastructure, just five that sell most of the groceries. To most Canadians, what's your government doing to address competition in essential markets and is there any appetite for serious antitrust? In a word, yes, although we take an approach where we're working on making structural changes. So let me answer that by – let me go to the food sector and food security in this country. One of the issues is, as you say, the relative concentration of the large grocery stores. But it's also an issue that the concentration – when you move up the chain, so the wholesalers, who can you buy from? You and I set up a grocery store. Where are our options to buy those groceries? The concentration there means that our ability to offer cheaper prices is very limited. In fact, it's hindered. And then the buying power all the way up back to the farm gate. So in our food security strategy, what we're doing is we're changing the wholesale sector. We're increasing existing independent wholesalers so that independent grocers have access to them. We're building new ones. We're building new elements. We're supporting private investment for new elements in controlled growing settings. So think greenhouses and other aspects like that, so that there is more competition all the way through the food chain. Same issues, I think, in telecom. I'll give you an example of what this government did last summer. It sounds technical, and I'm going to lose the entire audience here, but it's important. We allowed companies to use each other's broadband lines across the country. I'm grossly simplifying, but that's effectively what was the case. The regulator made the suggestion, and that increases competition. Here in Ontario, it increases competition in Quebec and also in Western Canada because more companies can come in. That has helped to contribute to the fall in broadband costs, still one of the biggest expenses that people have. We're going structurally into how our industries are organized in order to do so. Of course, with VIA, it's working with the existing railways to ensure the availability of the tracks as much as possible. It's ongoing work. Some progress has been made, but I think we all know that more needs to be done. Part of that will be major rail investment. I know it doesn't come all the way to here, but I'm speaking to all Canadians. Part of the value of ALTO is it creates significant additional capacity, and the integration of the regional routes with that high-speed rail will increase competition in all forms of transport and improve reliability and service. We're really going to the heart of it. It's too late to make this a short answer. What we're not doing is theatre. We're not hauling people in and wagging our fingers at them and saying, what we're doing is making the investments so that there is more competition and Canadians have more choice. To circle back, is there any interest in buying up more track for VIA or laying more track? There's strong interest in getting ALTO done. That would be one of the biggest elements here. And yes, more broadly, having the rail infrastructure built out. That will be a key unlock. Scott Sumner, North Superior Publishing, Thunder Bay Business Publications. I have a softer question for you today. You're in an entirely different position than in the past in your corporate career. We're facing a lot of negativity and hostility that emanates maybe from the U.S. How are you personally dealing with it and your team? How do you cope with that? Thank you for caring, Scott. Good people at Thunder Bay. I found in my business career or when I was at the Bank of Canada and the financial crisis was at its worst and there was concern. I think this is the lesson here at Alstom. You focus on what you can control. You're positive. In other words, you move forward. How can I be positive? How can I move forward? How can I build up from where I am? You have a clear vision of where you want to go. So people get behind it and then you move from there. And so I personally look as you would expect and that's what Canadians hired me and my colleagues for. We're working long hours and are well aware of the stakes of what's going on. But we also have the support of Canadians. We also have the positive attitude of Canadians. It is a country that takes care of each other. And so we're looking for the ways to reinforce that and that's what we're doing. In the end, actually, I'm doing just fine. Thank you. Now here's the Ottawa Press Gallery. Hi, Catherine Morrison with the Canadian Press. Politicians, including Howard Lutnick, say you walked away from their deal because of domestic politics. And they also say any future deal won't be as good as the one you said no to. What do you say to him and other Republicans? Well, I don't communicate with Canadians. In the U.S. administration, I communicate with the president. So it's not a comment directed to those individuals per se. The first thing is that, look, we were elected 16 months ago, 17 months ago, to build Canada strong and build Canada strong for all. And that's what we've been focused on. The core of it is announcements such as today and everything that it represents. It's building it home. It's that positive attitude building out. It's one Canadian economy. It's a diversifying economy with more than 20 partners around the world, reliable partners who want to do more with Canada. That's the core of what we're doing. I don't think, with all respect, appointed, unelected cabinet members in the United States are experts on Canadian politics. Our core role, everything this government is doing, everything I'm trying to do, is to work with provinces, work with willing partners around the world, work with labour, work with business to move forward to the benefit of our citizens. That's the small p. If you want to call that politics, that's small p politics. We're not positioning on this stuff. I'll say one other thing, which is that there are a few issues that the United States was arguing right up to the last hour. Red lines, we're not going to change, boom, it's in there, our way or the highway, take it or leave it attitude. Now they're not. So all of a sudden they don't care about Canadian language or culture and those elements. Well, if they didn't care, they should have kept them in the deal up until now. But it's good. We welcome that. We care about those issues. Those are rights. Those are fundamental to who we are. So that's not there. You know, an F-350 pickup, which is going to be built in the Ford factory in Oakville, 350s, 450s, 550s. Where I grew up in Alberta, those, you know, those are subcompacts. Same here. Right. And they're just discovering that. And they're like, of course, we weren't going to keep them out. Well, they were going to keep them out. Right. Core plan and other elements. So some of these, some of what they're saying now is different than what they were. We're drawing the line on. And we are always going to stand up for what's in the best interest of Canada. Canadian workers, Canadian families, not look for an easy win, not look for an announcement, but something that's durable. And that deal is possible. That's in both of our benefits. And I'll say one final thing, which is the deal that's possible, that's in the interest of Canadian workers, families and businesses, is also the deal that is in the interest of American families, American businesses, American consumers. And and, you know, we're ready to sit down and strike that deal when the Americans are ready. Thank you. Thank you. And then on another topic, the U.S. invited Russian finance minister to the Russian finance minister to a meeting this week. And there are signs Vladimir Putin will attend the G20 this year in Miami. Should the U.S. bar him from attending? And if they don't, what will you say to Putin at the meeting? Well, two things. It's the host prerogative to invite. I've been at the G20 since the start, so it's the host prerogative to invite who they invite to the G20. They're very valid reasons. Russia's unprovoked attack in 2014 was why they were ejected from the G7. And then the further attacks of almost five years ago now, why they were ejected from the G20. And Canada stands steadfastly with Ukraine. And I think we all know that. I've met Vladimir Putin in the past multiple times. He understands. He only understands strength and directness. And the message would be simple. Get out of Ukraine. Give back all of Ukraine to Ukraine. End this war, which is killing more than 30,000 of your people every single month. And I'd leave it at that, to be honest, because that's the core thing. We'll get to the last question. Sarah Law, CBC News, Thunder Bay. If you could answer in English and French, that would be great. The U.S. Treasury Secretary Scott Besson says the trade dispute will need to be resolved at the leaders' level. What are you doing to resolve this with U.S. President Donald Trump? And how confident are you that a breakthrough could occur before counter-tariffs take effect on Labor Day? I'll start in French. Canada's position is clear. First of all, there are fundamental issues. Protection and the right for Canada not only to protect but to promote French, Canadian and Quebecois culture. First of all, the right to sovereignty of Canada in terms of new trade agreements with other countries. Third, we need to have trade terms for the automotive sector, for the steel and aluminum sectors that are competitive. Yes, we won't be using the same terms as before, we know that. But we need to be competitive, and that requires recognition of Canadian content, especially in the automotive sector. Then, in terms of the stability of an agreement, we need to have an element of stability, of credibility in an agreement. In other words, to have the most favored nation aspect, and no recidivism. It's a technical matter, but there were some examples in the negotiations. I just gave an example in the forestry sector of recidivism in the United States in terms of the countervailing duties. In terms of Canada's position, our position is clear. We need to have retained the right to protect and promote the French language, Canadian culture, Quebec culture. Fundamental. We need to maintain our ability, our sovereignty to conclude trade deals with other countries. There needs to be some stability and credibility, if you will, to an accord, so that we would have most favored nation elements to the accord. As well as not clawbacks, I used recidivism en français, but clawbacks of tariff reductions. There were a few instances in the negotiations where those protections were not going to be given. In fact, the opposite was going to be inserted, which is unacceptable. We understand the fundamental change that the U.S. has made in its tariff policy and commercial policy. It's not a question of going back to what was passed. However, the terms for our automobile sector, our steel sector, our aluminum sector have to be competitive. That competitiveness includes recognizing Canadian content. I'll just go back to just refer to my previous answer, which is, if you take the example of Canadian content, one of the things that helps with the competitiveness viability of the U.S. auto sector is the Canadian auto parts sector, the Canadian auto sector, the integration. The fact that Canada buys more cars than Europe, Japan, Korea combined. The EU as well combined. We're by far and away the U.S.'s biggest customer for automobiles. That's an integrated market, so recognizing that in the terms is necessary. When will that happen? We'll see at the appropriate time. The conversation will happen, but the most important thing we can do is not to spend all our time waiting by the phone, waiting for a call, refreshing on social media to see what's coming across. No, it's building. It's building here. It's building bold. It's building now. It's moving forward. It's making those connections, those trade connections, interconnections. It is talking to and concluding agreements with all of those countries around the world who want to deal with Canada. That is what this government is doing. Thank you. A follow-up question is that wildfires destroyed two First Nations in northwestern Ontario this summer. That was Nomegusa-Sagagan and Whitewater Lake. They displaced more than 2,800 people across our region. First Nation leaders say more could have been done to prevent this catastrophe. What is your government doing to better protect communities as wildfire seasons become increasingly severe? First, I will be going from here to the Provincial Fire Detection Agency and a tour there, meet many of the first responders. I want to salute the support of the Canadian Armed Forces, more than 900 evacuees through Hercules and others. I want to thank my colleagues here who were helping on the front lines during these difficult times. I want to recognize as well the humanity and hospitality of the people of Thunder Bay who welcomed in hundreds and hundreds of people to this community who have been displaced and who continue to host many of them. What more can be done? We have made major investments and we have more to come in terms of early warning and detection. More can be done in terms of investing in firefighting and aircraft and other equipment. More can be done working with communities, particularly Indigenous communities, on both traditional methods of countering fires but also for preparations for evacuations and others as those become necessary. We have to recognize, certainly do recognize, this is the worst forest fire season in Ontario history. But the dynamics, unfortunately, are such that that record may be broken and we're preparing for that possibility. Thank you very much. Thank you everyone. This puts an end to our press conference.