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Adam Chambers

  • Member of Parliament
  • Member of Parliament
  • Conservative
  • Simcoe North
  • Ontario
  • Voting Attendance: 68%
  • Expenses Last Quarter: $121,028.17

  • Government Page
  • Feb/17/23 10:06:38 a.m.
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  • Re: Bill C-34 
In 2017, the government did not request a security review of Norsat when it was purchased by Hytera Communications, which is partially owned by the People’s Republic of China. Just recently, at the end of 2022, it was exposed that the government awarded a hardware contract for RCMP communications equipment to a Norsat subsidiary. The United States blacklisted Hytera because it “poses an unacceptable risk to the national security of the United States or the security and safety of United States persons”. Where was Canada's review? Was Canada informed by the United States about its findings? Did Canada do the due diligence we would expect it would normally do before a contract like this is awarded, or maybe even before a transaction is approved? There are more examples, but members can see that our approach can actually weaken our relationships with our partners. We are not holding up our end of the bargain when it comes to national security and defence, and I worry that some countries think we are not taking it very seriously anymore. I want to talk a bit about the governance we see at some state-owned enterprises and some of the entities that are owned, controlled or heavily influenced by foreign governments. The issue is that the objectives of these entities are not necessarily commercially minded first. They have some other interests potentially at play. They might be interested in locking up the supply of critical minerals. They might be interested in trying to get information, whether that is intellectual property, communications or information about national defence. Proper governance is important for ensuring we have faith in a free market. If these entities are not playing by the same rules and the same principles, we cannot trust all of their motives. We have to be skeptical. In the last Parliament, a very good proposal was made by the industry committee that when a state-owned enterprise is involved, there is no threshold too low to trigger a review. That is a reasonable approach. When there is a state-owned enterprise involved or an entity that is heavily influenced by a foreign power or could be heavily influenced by a foreign power, the government needs to think about the best interests of Canada. Who knows what these critical assets will be in the future? I am not sure 20 or 30 years ago people realized that lithium would be as important as it is now, but what about water in the future? Is that something we should be discussing now, or should we have some more flexibility to discuss that? The other issue is assets versus shares. One can sell a business by selling assets and one can sell a business by selling the shares in the company that owns the assets, but right now we are only looking at issues where shares are purchased. We are exposing ourselves to a loophole that companies and entities can plan around, especially those that have hostile foreign interests. There are some expanded powers for the minister, and that is okay if we believe and trust the minister. I think the minister in this case is a wonderful individual, and I do trust his judgment. However, we might get a dud in the future. We need to make sure we have proper oversight of the minister, so the Governor in Council and cabinet should have expanded power. Maybe there should even be a third body. We are required to be stewards of our assets in this country. Defence and security sometimes is more costly. We might not be able to sell to the highest bidder if it undermines our national security. We need to be working to secure Canada's best interests for her future. I hope that the minister and the government are open to amendments. I appreciate the fact that this has been brought forward as a stand-alone piece of legislation. It will enable the committee to do some good work, I believe, and hear from some important stakeholders. However, I view this legislation as merely a starting point for a conversation and hope to see it enhanced at committee. I appreciate the opportunity to speak to this important issue this morning. Before I close, I need to say a very happy birthday to Amanda Philp today, who I am sure is watching this and will see it on repeat a number of times.
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