West Coast port strike risks derailing the economy – auto sector may suffer particularly | Canada News Media
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West Coast port strike risks derailing the economy – auto sector may suffer particularly

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Longshoremen with the International Longshore and Warehouse Union Canada (ILWU) strike outside New Westminster Port in Surrey, B.C. on July 4.CHRIS HELGREN/Reuters

Brian Kingston is president and chief executive officer of the Canadian Vehicle Manufacturers’ Association.

Recent economic indicators are starting to point in the wrong direction, with businesses anticipating slow growth ahead. According to the Bank of Canada’s latest Business Outlook Survey, sales growth will be weak over the next year, investment intentions have declined and concerns with inflation remain elevated.

One of the few bright spots in the survey is an improvement in supply chains allowing companies to work through backlogs, including in the auto industry. But now that bright spot is rapidly fading, with dire economic consequences.

Labour strife at Canada’s largest port threatens supply chain improvements and could send the economy into the ditch. On Canada Day, longshore workers at B.C. ports, including the Port of Vancouver, launched a strike – crippling a key component of the country’s transportation infrastructure network.

For the Canadian auto sector, which is responsible for an estimated 500,000 middle-class jobs, B.C. ports are particularly important. Vancouver is a key transit point for parts and finished vehicles produced and sold in Canada and North America. Last year, 333,734 vehicles were handled by the port, representing nearly a quarter of total Canadian vehicle sales. It also serves as a key transit point for materials needed to build electric vehicle (EV) batteries.

In addition, the port is a critical hub for wheat and canola, fertilizers, minerals, fuels and forest products. It is approximately the same size as Canada’s next five-largest ports combined, handling one-third of goods traded outside North America. Port activities sustain an estimated 115,300 jobs, $7-billion in wages and $11.9-billion in GDP across Canada.

The stoppage is forcing the automotive companies that depend on the port to reroute shipments, adding significant costs and increasing uncertainty at the worst possible time. For Canadians, this means higher vehicle prices and delays just as the sector was rebounding from pandemic-related inventory shortages.

And if the strike continues much longer, auto assemblers may face another wave of plant closures due to a lack of parts. This would be particularly detrimental as the auto sector is one of the key drivers of the Canadian economy. Motor vehicles and parts exports were up 16.2 per cent year over year in April and accounted for one-third of export growth.

Perhaps most concerning is the damage being done to Canada’s reputation on the world stage as a reliable jurisdiction for the production and movement of goods. This job action is on top of recent rail disruptions, bridge blockades and a strike at the Port of Montreal. According to a survey by Canadian Manufacturers & Exporters conducted last year, manufacturers have lost nearly $10.5-billion in sales because of disruptions in the supply chain, and are experiencing nearly $1-billion in increased costs.

Transportation and logistics companies that rearrange supply chains to limit exposure to an increasingly unreliable Canadian network may simply never return. For businesses in the automotive sector that depend on fast and efficient logistics, Canada’s competitiveness for job-creating investment is under question.

This is particularly problematic amid the auto industry’s once-in-a-century transformation to electrification. Canada has attracted more than $25-billion in new auto investment over the past three years, most of which is dedicated to assembling EVs and building a North American battery supply chain. Failing to address increasingly frequent transportation infrastructure disruptions is hurting our ambition to become an EV superpower.

The longer the strike at B.C. ports goes on, the more significant the damage will be to Canada’s fragile economy. Now is the time for the federal government to work with the parties and bring it to an immediate end. Delays are not affordable and not in the best interests of the country or our economy.

 

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Construction wraps on indoor supervised site for people who inhale drugs in Vancouver

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VANCOUVER – Supervised injection sites are saving the lives of drug users everyday, but the same support is not being offered to people who inhale illicit drugs, the head of the BC Centre for Excellence in HIV/AIDS says.

Dr. Julio Montaner said the construction of Vancouver’s first indoor supervised site for people who inhale drugs comes as the percentage of people who die from smoking drugs continues to climb.

The location in the Downtown Eastside at the Hope to Health Research and Innovation Centre was unveiled Wednesday after construction was complete, and Montaner said people could start using the specialized rooms in a matter of weeks after final approvals from the city and federal government.

“If we don’t create mechanisms for these individuals to be able to use safely and engage with the medical system, and generate points of entry into the medical system, we will never be able to solve the problem,” he said.

“Now, I’m not here to tell you that we will fix it tomorrow, but denying it or ignoring it, or throw it under the bus, or under the carpet is no way to fix it, so we need to take proactive action.”

Nearly two-thirds of overdose deaths in British Columbia in 2023 came after smoking illicit drugs, yet only 40 per cent of supervised consumption sites in the province offer a safe place to smoke, often outdoors, in a tent.

The centre has been running a supervised injection site for years which sees more than a thousand people monthly and last month resuscitated five people who were overdosing.

The new facilities offer indoor, individual, negative-pressure rooms that allow fresh air to circulate and can clear out smoke in 30 to 60 seconds while users are monitored by trained nurses.

Advocates calling for more supervised inhalation sites have previously said the rules for setting up sites are overly complicated at a time when the province is facing an overdose crisis.

More than 15,000 people have died of overdoses since the public health emergency was declared in B.C. in April 2016.

Kate Salters, a senior researcher at the centre, said they worked with mechanical and chemical engineers to make sure the site is up to code and abidies by the highest standard of occupational health and safety.

“This is just another tool in our tool box to make sure that we’re offering life-saving services to those who are using drugs,” she said.

Montaner acknowledged the process to get the site up and running took “an inordinate amount of time,” but said the centre worked hard to follow all regulations.

“We feel that doing this right, with appropriate scientific background, in a medically supervised environment, etc, etc, allows us to derive the data that ultimately will be sufficiently convincing for not just our leaders, but also the leaders across the country and across the world, to embrace the strategies that we are trying to develop.” he said.

Montaner said building the facility was possible thanks to a single $4-million donation from a longtime supporter.

Construction finished with less than a week before the launch of the next provincial election campaign and within a year of the next federal election.

Montaner said he is concerned about “some of the things that have been said publicly by some of the political leaders in the province and in the country.”

“We want to bring awareness to the people that this is a serious undertaking. This is a very massive investment, and we need to protect it for the benefit of people who are unfortunately drug dependent.” he said.

This report by The Canadian Press was first published Sept. 18, 2024.

The Canadian Press. All rights reserved.

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N.B. election: Parties’ answers on treaty rights, taxes, Indigenous participation

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FREDERICTON – The six chiefs of the Wolastoqey Nation in New Brunswick distributed a survey on Indigenous issues to political parties ahead of the provincial election, which is scheduled to kick off Thursday. Here are some of the answers from the Progressive Conservative, Liberal and Green parties.

Q: How does your party plan to demonstrate a renewed commitment to recognizing our joint treaty responsibilities and acknowledging that the lands and waters of this territory remain unceded?

Progressive Conservative: The party respectfully disagrees with the assertion that land title has been unceded. This is a legal question that has not been determined by the courts.

Liberal: When we form government, the first conversations the premier-designate will have is with First Nations leaders. We will publicly and explicitly acknowledge your treaty rights, and our joint responsibility as treaty people.

Green: The Green Party acknowledges that New Brunswick is situated on the unceded and unsurrendered territories of the Wolastoqiyik, Mi’kmaq and Peskotomuhkati peoples, covered by the Treaties of Peace and Friendship. Our party is committed to establishing true nation-to-nation relationships with First Nations, grounded in mutual respect and co-operation as the treaties intended.

Q: How does your party propose to approach the issue of provincial tax agreements with First Nations?

Progressive Conservative: The government of New Brunswick operates in a balanced and fair manner with all organizations, institutions and local governments that represent the citizens of this province, including First Nations. Therefore, we cannot offer tax agreements that do not demonstrate a benefit to all citizens.

Liberal: Recent discussions with First Nations chiefs shed light on the gaps that existed in the previous provincial tax agreements with First Nations. Our party is committed to negotiating and establishing new tax agreements with First Nations that address the local needs and priorities and ensure all parties have a fair deal.

Green: The Green Party is committed to fostering a respectful relationship with First Nations in New Brunswick and strongly opposes Premier Blaine Higgs’s decision to end tax-sharing agreements. We believe reinstating these agreements is crucial for supporting the economic development and job creation in First Nation communities.

Q: How will your party ensure more meaningful participation of Indigenous communities in provincial land use and resource management decision-making?

Progressive Conservative: The government of New Brunswick has invested significant resources in developing a robust duty to consult and engagement process. We are interested in fully involving First Nations in the development of natural resources, including natural gas development. We believe that the development of natural gas is better for the environment — because it allows for the shutdown of coal-fired power plants all over the globe — and it allows for a meaningful step along the path to reconciliation.

Liberal: Our party is focused on building strong relations with First Nations and their representatives based on mutual respect and a nation-to-nation relationship, with a shared understanding of treaty obligations and a recognition of your rights. This includes having First Nations at the table and engaged on all files, including land-use and resource management.

Green: We will develop a new Crown lands management framework with First Nations, focusing on shared management that respects the Peace and Friendship Treaties. We will enhance consultation by developing parameters for meaningful consultation with First Nations that will include a dispute resolution mechanism, so the courts become the last resort, not the default in the face of disagreements.

This report by The Canadian Press was first published Sept. 18, 2024.

The Canadian Press. All rights reserved.

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Canadian Coast Guard crew member lost at sea off Newfoundland

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ST. JOHN’S, N.L. – A crew member of a Canadian Coast Guard ship has been lost at sea off southern Newfoundland.

The agency said in a release Wednesday that an extensive search and rescue effort for the man was ended Tuesday evening.

He was reported missing on Monday morning when the CCGS Vincent Massey arrived in St. John’s, N.L.

The coast guard says there was an “immediate” search on the vessel for the crew member and when he wasn’t located the sea and air search began.

Wednesday’s announcement said the agency was “devastated to confirm” the crew member had been lost at sea, adding that decisions to end searches are “never taken lightly.”

The coast guard says the employee was last seen on board Sunday evening as the vessel sailed along the northeast coast of Newfoundland.

Spokeswoman Kariane Charron says no other details are being provided at this time and that the RCMP will be investigating the matter as a missing person case.

This report by The Canadian Press was first published Sept. 18, 2024.

The Canadian Press. All rights reserved.

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