Mining has a place in Justin Trudeau’s green agenda in restoring Canada’s economy.
The prime minister called IAMGOLD’s Cote Gold Mine development “a model” for Indigenous engagement that Ottawa would like to see replicated across the country.
“This is part of reconciliation,” said Trudeau during a Q & A with reporters at the Sept. 11 sod-turning for the mining company’s $1.8-billion open-pit gold project outside Gogama.
Trudeau said the federal government is “very much focused” in investing in a mining sector that brings good jobs to communities, particularly First Nations.
“It’s important that we do it with an eye to the future which means sustainablity and in partnership with Indigenous communities.”
In his prepared remarks, Trudeau praised the Canadian mining industry for its innovation, mentioning Canada’s first all-electric mine at Newmont’s Borden Gold Mine near Chapleau.
Tackling the global climate change problem, he said, can’t be solved without strong leadership from the natural resource sector.
“Innovations across this sector will be crucial for a green recovery and will help drive the clean transition that we need.”
He also acknowledged the industry’s contribution to Canada’s green-tech sectors.
“From the nickel and cobalt that are used in electric vehicles and solar panels, the mining sector is really important in building a better future for us all.”
The Cote Gold Mine will provide an economic boon for mine-related businesses in Timmins and Sudbury. But it stands to be a life-changer for members of Flying Post and Mattagami First Nations.
The two communities signed an impact benefit agreement with IAMGOLD in 2019, the result of a long consultation and negotiation process that began when the company acquired the exploration property in 2012.
There will be employment opportunities for locals among the more than 1,000 contractors expected to be on site next summer, and the 450 operational jobs when commercial production begins in 2023.
Cote promises an initial mine life of 18 years and more than $5 billion in wages over that span.
Energy, Northern Development and Mines, and Indigenous Affairs Minister Greg Rickford reminded Trudeau and Premier Doug Ford that there could be more red letter days like this one in the Ring of Fire.
Rickford said mines like Cote provide “tremendous economic and social opportunities” as Canada moves into a period of economic recovery that can be continued by tapping into the “incredible potential” in the Far North.
“Instead of issues, it’s about opportunities.”
As with the Cote Mine and Harte Gold’s Sugar Zone Mine, Rickford said progress in the Ring of Fire has been “burdened” by more than a decade of delays and bureaucracy.
But after two years, with access road environmental assessments underway, Rickford feels the province is making headway to advance the project.
“For the first time in a decade,” said Rickford, glancing over his shoulder to a construction-prepped clearing behind him, “I believe there’s a real opportunity we could be standing there, prime minister and premier, in a place just like this.”
Despite growing Indigenous opposition by downstream communities, Rickford finds encouraging signals coming from Ottawa in a willingness to partner with Queen’s Park to open up the mineral potential in the James Bay region.
He extended an offer for the feds to join Ontario in cost sharing on critical infrastructure that stands to benefit communities like Marten Falls and Webequie and the entire region.
Rickford said it’s possible for all levels of government to “overcome the issues, focus on opportunities to create something incredible like we’re celebrating here today.”
OTTAWA – Canada’s unemployment rate held steady at 6.5 per cent last month as hiring remained weak across the economy.
Statistics Canada’s labour force survey on Friday said employment rose by a modest 15,000 jobs in October.
Business, building and support services saw the largest gain in employment.
Meanwhile, finance, insurance, real estate, rental and leasing experienced the largest decline.
Many economists see weakness in the job market continuing in the short term, before the Bank of Canada’s interest rate cuts spark a rebound in economic growth next year.
Despite ongoing softness in the labour market, however, strong wage growth has raged on in Canada. Average hourly wages in October grew 4.9 per cent from a year ago, reaching $35.76.
Friday’s report also shed some light on the financial health of households.
According to the agency, 28.8 per cent of Canadians aged 15 or older were living in a household that had difficulty meeting financial needs – like food and housing – in the previous four weeks.
That was down from 33.1 per cent in October 2023 and 35.5 per cent in October 2022, but still above the 20.4 per cent figure recorded in October 2020.
People living in a rented home were more likely to report difficulty meeting financial needs, with nearly four in 10 reporting that was the case.
That compares with just under a quarter of those living in an owned home by a household member.
Immigrants were also more likely to report facing financial strain last month, with about four out of 10 immigrants who landed in the last year doing so.
That compares with about three in 10 more established immigrants and one in four of people born in Canada.
This report by The Canadian Press was first published Nov. 8, 2024.
The Canadian Institute for Health Information says health-care spending in Canada is projected to reach a new high in 2024.
The annual report released Thursday says total health spending is expected to hit $372 billion, or $9,054 per Canadian.
CIHI’s national analysis predicts expenditures will rise by 5.7 per cent in 2024, compared to 4.5 per cent in 2023 and 1.7 per cent in 2022.
This year’s health spending is estimated to represent 12.4 per cent of Canada’s gross domestic product. Excluding two years of the pandemic, it would be the highest ratio in the country’s history.
While it’s not unusual for health expenditures to outpace economic growth, the report says this could be the case for the next several years due to Canada’s growing population and its aging demographic.
Canada’s per capita spending on health care in 2022 was among the highest in the world, but still less than countries such as the United States and Sweden.
The report notes that the Canadian dental and pharmacare plans could push health-care spending even further as more people who previously couldn’t afford these services start using them.
This report by The Canadian Press was first published Nov. 7, 2024.
Canadian Press health coverage receives support through a partnership with the Canadian Medical Association. CP is solely responsible for this content.
As Canadians wake up to news that Donald Trump will return to the White House, the president-elect’s protectionist stance is casting a spotlight on what effect his second term will have on Canada-U.S. economic ties.
Some Canadian business leaders have expressed worry over Trump’s promise to introduce a universal 10 per cent tariff on all American imports.
A Canadian Chamber of Commerce report released last month suggested those tariffs would shrink the Canadian economy, resulting in around $30 billion per year in economic costs.
More than 77 per cent of Canadian exports go to the U.S.
Canada’s manufacturing sector faces the biggest risk should Trump push forward on imposing broad tariffs, said Canadian Manufacturers and Exporters president and CEO Dennis Darby. He said the sector is the “most trade-exposed” within Canada.
“It’s in the U.S.’s best interest, it’s in our best interest, but most importantly for consumers across North America, that we’re able to trade goods, materials, ingredients, as we have under the trade agreements,” Darby said in an interview.
“It’s a more complex or complicated outcome than it would have been with the Democrats, but we’ve had to deal with this before and we’re going to do our best to deal with it again.”
American economists have also warned Trump’s plan could cause inflation and possibly a recession, which could have ripple effects in Canada.
It’s consumers who will ultimately feel the burden of any inflationary effect caused by broad tariffs, said Darby.
“A tariff tends to raise costs, and it ultimately raises prices, so that’s something that we have to be prepared for,” he said.
“It could tilt production mandates. A tariff makes goods more expensive, but on the same token, it also will make inputs for the U.S. more expensive.”
A report last month by TD economist Marc Ercolao said research shows a full-scale implementation of Trump’s tariff plan could lead to a near-five per cent reduction in Canadian export volumes to the U.S. by early-2027, relative to current baseline forecasts.
Retaliation by Canada would also increase costs for domestic producers, and push import volumes lower in the process.
“Slowing import activity mitigates some of the negative net trade impact on total GDP enough to avoid a technical recession, but still produces a period of extended stagnation through 2025 and 2026,” Ercolao said.
Since the Canada-United States-Mexico Agreement came into effect in 2020, trade between Canada and the U.S. has surged by 46 per cent, according to the Toronto Region Board of Trade.
With that deal is up for review in 2026, Canadian Chamber of Commerce president and CEO Candace Laing said the Canadian government “must collaborate effectively with the Trump administration to preserve and strengthen our bilateral economic partnership.”
“With an impressive $3.6 billion in daily trade, Canada and the United States are each other’s closest international partners. The secure and efficient flow of goods and people across our border … remains essential for the economies of both countries,” she said in a statement.
“By resisting tariffs and trade barriers that will only raise prices and hurt consumers in both countries, Canada and the United States can strengthen resilient cross-border supply chains that enhance our shared economic security.”
This report by The Canadian Press was first published Nov. 6, 2024.
