Canada’s manufacturing sector is a foundational piece of our economy. It employs 1.7 million Canadians, represents more than 10% of our total GDP, and makes up over 68% of all physical goods sold to other countries. It’s also an integral component of the complex Canada-U.S. trade relationship, with exports equaling almost $30 billion per month.

Risks and Uncertainty for Canadian Manufacturing

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The manufacturing sector has faced domestic challenges since the early 2000s — high tax and regulatory burdens, labour and skill shortages, sluggish productivity and low investment — but it’s also facing external threats. 

Because of the manufacturing sector’s role in our economic relationship with the U.S. — most of our imports and exports with the U.S. are intermediate inputs that are used by producers to make another product — the sector is often affected by changes in U.S. policies, regulations and tariffs.

We can’t know the exact priorities for the Trump Presidency, but we do know that if steps are not taken to strengthen Canada’s manufacturing sector, the next four years could have potentially serious implications across multiple industries.

Growing Protectionist Sentiment in the U.S.

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Lately, there’s been growing bipartisan consensus in the U.S. on “Buy America” protectionist policies that are at odds with the goal of North American economic cooperation. In the lead up to the election, President Trump regularly declared his love for tariffs, saying he’d enact tariffs on U.S. imports of anywhere from 10% all the way up to 50%.

We can’t know which number he’ll land on, but even if it’s at the lower end of the spectrum, the economic impacts will be significant. In the Business Data Lab’s new report, Partners in Prosperity: Exploring the Significance of Canada-U.S. Trade, author Trevor Tombe projects that a 10% tariff would result in a 22% decline in Canadian energy and manufacturing exports and a nearly 1% reduction in labour productivity!

The 2026 CUSMA Review

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The goal of the Canada-United States-Mexico Agreement (CUSMA) is North American economic cooperation. Since the agreement came into effect in 2020, there has been a 47% increase in North American trade, as well as an additional 4 million new jobs supported by this trade.

On July 1, 2026, the three participating countries will decide whether to extend CUSMA for a new 16-year term. If they choose not to, there will be a review every year until the Agreement terminates in 2036.

And though CUSMA was introduced and passed during President Trump’s first administration, that doesn’t mean the Agreement is safe. During the recent election campaign, President Trump stated that he intends to open up the trade deal with Canada and Mexico. 

As a trading nation, Canada’s economic success is linked to our relationships with the United States and Mexico, our first and third largest trade partners respectively. Even the promise of changes to CUSMA could result in investment uncertainty for manufacturers, driving Canadian manufacturing companies to establish operations in other countries with fewer import barriers and trade restrictions. The preservation of CUSMA will be essential if we want to uphold the free flow of goods between Canada and the U.S. and maintain the integrated nature of North America’s manufacturing operations and supply chains.

Read “Policy Matters: Why It’s Time to Care about CUSMA” for more about the Agreement and what it means to Canada.

Read our submission to Global Affairs Canada regarding the 2024 CUSMA Joint Review.

The Automotive Industry

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Canada’s automotive industry is one of our largest manufacturing sectors, directly employing almost 120,000 people and contributing $12.5 billion in GDP. Motor vehicles and parts are the second most significant U.S. import for Canada.

The Inflation Reduction Act, enacted in 2022 by the Biden administration, has had repercussions on Canada’s automotive industry. In the Standing Committee on International Trade’s report, The United States’ Inflation Reduction Act of 2022: Trade Impact on Certain Canadian Sectors, the Committee compiled the testimonies of witnesses, with some expressing concern that the IRA is an act of trade protectionism and that it “seeks to ‘forc[e] the onshoring’ of certain automotive production capabilities to the United States from abroad at the expense of Canada and other countries.” 

It may have been a Biden-era Act, but Trump doesn’t seem to disagree about onshoring the U.S. automotive manufacturing industry. During his campaign, he announced a 100% tariff on cars made in Mexico to encourage U.S. based manufacturing in the auto industry. He’s also promised to remove electric vehicle mandates and shift production back to the U.S., focusing on bringing jobs to states like Pennsylvania and Georgia.

Trade in motor vehicles and parts is largely balanced between the U.S. and Canada. If a Trump Administration were to introduce more protectionist automotive industry policies, this balance could shift in the U.S.’s favour, reducing Canada’s market access and leading to increased production costs and complications. In turn, this would put pressure on our EV transition and reduce opportunities for Canadian companies to benefit from collaborative R&D initiatives with U.S. companies.

Manufacturing Sovereignty

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With uncertainty and risks ahead for Canadian manufacturing, the best thing Canada can do is strengthen our manufacturing sector so that its fate and fortune aren’t determined by the choices of the U.S.’s current and future administrations.

Recommendations

• Diversify our export market destinations to the U.S. by exploring opportunities in Europe, the Indo-Pacific and other regions through targeted trade missions and agreements.
• Protect crucial supply chains by giving government the tools to compel binding arbitration.
• Introduce targeted investment tax credits to spur innovation and productivity in the manufacturing sector.
• Modernize Canada’s regulatory framework to increase investment, economic growth and jobs by fixing outdated and complex regulations that block innovation, increase costs and hinder our competitiveness.
• Mandate an economic lens for regulators to support economic growth and competitiveness.
• Expedite credential recognition to let qualified workers fully use their skills wherever they are needed across the country.
• Bolster regulatory harmonization between Canada and the U.S.

A coordinated industrial policy that includes the above recommendations would put Canadian manufacturers in the best possible position to innovate, grow and scale.

This blog was provided by our partners at AtkinsRéalis

“We can’t reduce our greenhouse gas emissions and reach our net zero goals without mining.”

Dr. Gabriel Castillo-Devoto, director of ESG and sustainability, North America, Minerals and Metals, AtkinsRéalis.

As one of Canada’s largest industries, mining has a big part to play in our country’s efforts to create a more sustainable future by helping us achieve net zero. Canada has some of the biggest mining operations in the world; the minerals sector accounts for almost 700,000 Canadian jobs, $148-billion of the country’s gross domestic product and more than 20 per cent of its domestic exports ($158-billion). 

Minerals and metals, such as lithium in electric vehicle batteries and silicon in solar panels, are essential for decarbonization. They are also crucial for medical devices, construction materials and household appliances. Without mining and critical minerals, our modern world would be vastly different, missing many of the conveniences we depend on and hindering technological progress, economic development and our capacity to address environmental challenges.

As a key leader in the industry, Montreal-based AtkinsRéalis is poised to help miners set the example for what climate-friendly practices look like in action. The company’s global experts work on sustainable mining projects from inception to closure, including water resources, environmental assessment and compliance, mine-closure planning and decommissioning and tailings-storage design and management. And Dr. Castillo-Devoto says it’s all done with sustainability in mind.

“What’s unique is that we speak the mining language, we have the technology, but we also understand the mining footprint throughout the mine’s lifecycle, bringing multistep analysis to areas like biodiversity, climate change adaptation and community involvement, says Dr. Castillo-Devoto. 

The reality of that footprint is that demands for certain metals essential for achieving sustainable, net zero infrastructure are increasing dramatically. Copper, for instance, will be required at unprecedented levels as countries shift to more electric energy solutions, requiring double the current annual copper production to 50 million metric tons.

To access these critical minerals mining projects today ensure that energy use is minimized, natural resources are managed carefully and strategies to incorporate clean energy sources are implemented.

In a remote, subarctic landscape of Canada’s Northwest Territories for example, experts at AtkinsRéalis defined the water management strategy for a large diamond mine, including the estimated capital and operating costs of water treatment plants. 

“From the top of the mountains to the ocean, we provide a holistic perspective with water management at the mining site and an integrated water stewardship along the basin,” explains Dr. Castillo-Devoto. “Forming a responsible plan for water management requires experts who understand the watershed, the unique requirements for each project, the potential impacts from extreme weather events and a number of other complex factors.”

The End Is as Important as the Beginning

A mining project’s closure is a significant part of its lifecycle and must be planned in detail to address the impact to the local biodiversity and the community.

“Years ago, closing was looked at as a cost instead of a value, an investment,” says Dr. Castillo-Devoto. “But that’s no longer the case. Now, our priority is planning for closure land use options that enhance nature, biodiversity and sustainability over time. We take great care to leave a place in better shape than it was before we arrived.” 

For example, at a nickel mine on an island near Australia, a rare species of tree was discovered during the project’s early days. Focused on protecting biological diversity, the team at AtkinsRéalis found a way to save the tree, clone it and plant hundreds more, leaving behind a forest.

Similarly, tailing ponds, one of the methods used to store tailings – the waste material left over from ore extraction processes – are designed carefully so that when they are no longer used, “they can be a nice place to go for a walk, even a park,” Isabelle Richard, head of sustainability, Quebec, Minerals and Metals at AtkinsRéalis. “The objective with site closures is that no one would even know there was a mine there at one point.”

This sustainable approach to mine closures was on display in northern Quebec, where local community leaders, including those from regional First Nations, were engaged and consulted for nearly three years. 

“We wanted the community to feel empowered and these considerations are embedded in the way that we design a project, so the communities have to be involved from the start because that is their home and they need to have their say,” says Ms. Richard.

Mining Needed for Net Zero

It’s a fact that the mining industry and its products are intertwined into almost everyone’s everyday life, including smartphones, laptops, clothing and bicycles.

“But even more than that, metals and minerals are a necessity in the building of both the technology and infrastructure that will lead us to our decarbonization goals,” says Ms. Richard. For instance, lithium for lithium-ion batteries used in most of today’s electric vehicles requires extraction from the earth and likewise for the metals and silicon needed in solar panels. 

She adds that mining companies that want to stay relevant and competitive have already made, or are looking at making, changes to their practice as regulations are moving in the sustainable direction, including a more diverse workplace.

“Mining is an industry focused on the future, not the past, offering a promising path to those who wish to join this dynamic and vibrant sector,” she says.

To thrive, the industry must embrace diversity, she explains, by attracting women, younger generations and individuals from various backgrounds as well as fostering mutually respectful relationships with local Indigenous communities.

“This requires a shift in how we communicate and present the industry,” Ms. Richard adds, “because critical minerals are essential for safeguarding our planet, and we must show that sustainable mining is possible.”     

This blog was provided by our partners at Contextere.

In the rush to embrace artificial intelligence, we have often overlooked a crucial element: the human factor. While AI has revolutionized many sectors, its implementation has frequently focused on replacing workers rather than enhancing their capabilities. This approach not only undermines the potential of AI but also neglects the valuable skills and experience of our workforce, particularly in industrial settings.

Industrial technical workers make critical minute-to-minute decisions that impact productivity, safety, and costs. Despite their importance, they often contend with outdated processes and digital tools. As we face a growing skills gap and an aging workforce transitioning to fewer, less experienced workers, it is imperative that we leverage AI to support and empower these essential employees. By upskilling workers and providing them with AI-enhanced tools, we can create a workforce that is more productive, autonomous, and adaptable to changing industry needs. Providing industrial workers with AI-powered tools that offer real-time, contextualized information, we can enhance their decision-making capabilities and productivity.

Looking beyond supporting the historically under-supported industrial blue collar workforce, AI must also pivot towards more sustainable and ecological practices.  Implementing small, energy-efficient language models can help reduce the environmental impact of AI systems. These models consume less computational power and energy, making them more environmentally friendly and cost-effective in the long run.

Retrieval-Augmented Generation (RAG) methodologies play a crucial role in achieving both sustainability and accuracy. RAG allows AI systems to access external knowledge sources, reducing the need for constant model updates and retraining and thereby minimizing the computational resources required for maintaining these models. Furthermore, RAG techniques significantly enhance the reliability of AI systems by providing clear, referenceable sources of truth, ensuring that the information used by front-line technicians is accurate and verifiable. This approach significantly reduces the risk of AI hallucinations, which are common in large language models, by grounding responses in factual, retrievable data.

We believe in a future driven by more job losses due to automation but more job opportunities through technology. To realize this vision of human-centric, accessible, and sustainable AI, we must invest in AI tools designed specifically for industrial workers while prioritizing jobsite-appropriate user interfaces and real-time contextual information delivery. By embracing this approach, we can create a future where AI does not replace workers but empowers them, leading to increased productivity, improved safety, and a more engaged workforce. It is time to shift our focus from viewing AI as a replacement to seeing it as an enhancement, ensuring that the benefits of this transformative technology are accessible to all workers across all industries.

On November 4, 2024, our Senior Director, Digital Economy, Technology & Innovation, Ulrike Bahr-Gedalia, appeared before the Senate Standing Committee on National Security, Defence and Veterans Affairs to express our concerns on Bill C-26, an Act respecting cyber security.

With Canadians frequently accessing digital services, the risks are at an all time high and considered to be a “persistent threat to Canadians” by Canada’s Centre for Cyber Security. Protecting privacy and data protection and securing Canadian critical infrastructure, supply chains and businesses of all sizes from cyberthreats are essential actions in our modern economy. The clock is ticking, and the geopolitical environment continues to get worse, as does cybercrime.

The full remarks and session recording can be accessed below

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Mr. Chair, members of the Senate — good evening.

My name is Ulrike Bahr-Gedalia, and I am the Senior Director of Digital Economy, Technology and Innovation at the Canadian Chamber of Commerce.

I am also the Canadian Chamber’s policy lead for the Digital Economy Committee, Future of Artificial Intelligence Council, and Cyber. Right. Now. Council.

As Canada’s largest and most activated business network representing over 400 chambers of commerce and boards of trade, as well as more than 100 associations and over 200,000 businesses of every size, from all regions and economic sectors of Canada, the Canadian Chamber is pleased to once again provide feedback on Bill C-26, following our appearance before SECU in February.

I’d like to start off by acknowledging the adoption of some changes the Canadian Chamber had put forward during the Bill’s Committee study.

• Deletion of clause 10, thereby restoring due diligence defence
• Removal of the requirement for immediate reporting of cyber security incidents
• Harmonization with existing obligations

I’d also like to acknowledge the recent appointment of Sami Khoury as a Senior Government Official for Cyber Security —  a role and responsibility the Canadian Chamber’s Cyber. Right. Now. Council had been advocating for over the past two years with the goal to ensure policy coherence, coordination of cybersecurity activities and initiatives, and alignment of resources across the government, all while increasing and improving two-way information sharing which was also a concern we had expressed during our previous appearance.

While we were pleased to see the House SECU Committee conclude their study on Bill C-26, and support the Bill overall, certain amendments are still needed at this stage to ensure the Bill reaches its full potential.

More specifically, with respect to the Telecommunications Act, while we applaud the House for making important changes to the Bill, including a due diligence defence for administrative monetary penalties, we remain concerned that the Bill suggests companies can’t be compensated for changes they may have to make under this regime. We believe the Senate should amend the legislation to allow the Minister or Governor in Council to award compensation on a case-by-case basis.

With respect to the CCSPA, our members continue to seek the following improvements:

• Two-way information sharing. As currently drafted, the CCSPA only contemplates one-way information sharing from designated operators to the government. We believe this is a missed opportunity and a potential weakness.

• A clearer definition of a reportable cyber security incident. This will ensure industry is not forced to report events that do not pose a material threat to a vital system. Failure to clearly define the parameters for a reportable incident will undermine the purpose of the ill and overwhelm government authorities, who will have to process and assess each cyber incident reported.

Another key area of concern is the continuing rise of ransomware incidents. In this context, we commend Canada on its involvement in the International Counter Ransomware Initiative (CRI), which includes the development of a CRI Public-Private Sector Advisory Panel.

The following facts emphasize the severity and urgency for more action on this issue:

• The RCMP states that almost 60% of cyber incidents reported to its National Cybercrime Coordination Centre are ransomware attacks.
• The Canadian Centre for Cyber Security calls ransomware “the most disruptive form of cybercrime facing Canada”.  
• Their most recent National Cyber Threat Assessment report notes that ransomware is the top cybercrime threat facing Canada’s critical infrastructure. And Bill C-26 is about protecting Canada’s critical infrastructure.

While this Bill will help increase visibility of ransomware and other cyber threats, we believe the issue of ransomware requires more public discussion and study and would encourage the Senate to look into how this scourge is affecting our country beyond the critical infrastructure sectors the federal government has focused on in the Bill.

As more collective action and coordination to combat this growing challenge are required, the Canadian Chamber, together with the Cyber. Right. Now. Council, will be hosting their second cyber security and ransomware Hill Day later this month to discuss these challenges and opportunities with senior government officials from across government departments, ministries and agencies.

To conclude, we’d like to stress the urgency to pass the Bill, so we can move on to developing the regulations and implementation framework. The clock is ticking, and the geopolitical environment continues to get worse, as does cybercrime.

Thank you for listening and for the continued opportunity to participate in the study of Bill C-26.

Whether you’re an American politics devotee looking for a refresher or you’re in the very specific situation of not knowing a lot but wanting to keep up with your friends, family or coworkers as they discuss the implications of the upcoming U.S. presidential election on Canada’s economy… well then, this blog is for you!

We’ve pulled together the various content we’ve published in the past year on Canada-U.S. economic relations to give you a quick primer ahead of November 5.

CUSMA

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Canada, the United States and Mexico share one of the largest trading relationships in the world, jointly accounting for almost a third of global gross domestic product (GDP). This critical economic partnership among the three North American economies is underpinned and enabled by the Canada-United States-Mexico Agreement (CUSMA), a free trade agreement that took effect in March 2020, replacing the North American Free Trade Agreement (NAFTA). 

On July 1, 2026, Canada, the United States and Mexico will decide whether to extend CUSMA for a new 16-year term. If they choose not to, there will be a review every year until the Agreement terminates in 2036. Worryingly, there is growing bipartisan consensus in the United States on “Buy American” protectionist policies that is at odds with CUSMA’s goal of North American economic cooperation. Regardless of whether a Democrat or a Republican president occupies the White House when the CUSMA review happens, there is a risk that the United States will seek changes to CUSMA that are detrimental to the interests of Canada and Canadian businesses. 

Related Content

• Read our submission to Global Affairs Canada regarding CUSMA 2026 Joint Review.
• Read “Policy Matters: Why It’s Time to Care about CUSMA”.
• Read our submission to the Standing Committee on International Trade regarding CUSMA 2026 review and related trade irritants.
• Read “What if Harris wins the U.S. election and Poilievre wins in Canada? How the ensuing tension could hurt Canada’s economy” in the Toronto Star.

Canada-U.S. Trade

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Trade between the United States and Canada goes far beyond the buying and selling of physical goods — our economies are intertwined in a complex web of supply chains across many sectors. Which is why a 10% across-the-board tariff on United States imports, like what President Trump is promising, would significantly impact trade flows, productivity, prices and real income levels in both Canada and the United States.

The potential consequences:

• Canadian labour productivity would drop by nearly 1%.
• Almost $1,100 per person would be lost in real annual income for individuals in Canada and the United States.
• For Alberta, Manitoba, Ontario and New Brunswick in particular, trade with the U.S. accounts for a significant portion (41% or more) of GDP. On the other side of the border, Canada is the main exporter to over 20 states. This flow of trade would be severely impacted by tariffs and the GDPs of many provinces and states would take a hit.

In an era of increasing global supply chain disruptions, Canada’s role as a stable and dependable trade partner is more critical than ever. Trade with Canada not only bolsters American productivity but also ensures that U.S. businesses have access to high-quality resources vital for their operations. By maintaining and strengthening trade ties, both Canada and the U.S. can secure long-term economic stability, enhance productivity, and remain globally competitive.

To safeguard this essential trade relationship, Canada and the United States should pursue trade policies that:

• Promote growth for firms on both sides of the border
• Prevent retaliatory measures that could harm both economies
• Prioritize long-term agreements for economic resilience
• Steer clear of short-term, reactionary policies
• Continue to support the principles of free trade
• Promote free trade

Related Content

• Read Partners in Prosperity: Exploring the Significance of Canada-U.S. Trade, a report from BDL and Trevor Tombe.
• Read the report’s press release.
• Read our statement regarding the Prime Minister’s announcement on NATO defence spending commitment.

The Digital Services Tax

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The Digital Services Tax is a retroactive tax on revenue earned by large foreign and domestic businesses on online services, including marketplaces, advertising and social media. Canada’s implementation of this tax is souring diplomatic and economic relations with the United States, as well as affecting our relationships with other countries who have signed onto the multinational agreement that Canada is now undercutting.

The United States, our biggest trading partner, is strongly opposed to unilateral digital taxes like the DST. A recent announcement by the USTR says that the DST “appears to breach Canada’s commitments under [CUSMA].” The announcement goes on to say that “Canada appears to have targeted its DST on U.S. companies providing Canadian digital services and to be discriminating against U.S. companies and in favor of Candain companies providing those services.”

When France imposed a digital services tax, the United States implemented 25% tariffs on products unrelated to digital services, ranging from champagne and cheese to handbags and perfume. Similar retaliatory tariffs in Canada could result in huge price increases for Canadian goods that are exported to the United States and empty shelves in Canada as businesses with cross-border manufacturing and supply chains struggle to produce products amid the tariffs.

To put it into perspective, our trade with the United States was valued at $960.9 billion in 2022, with $2 billion worth of trade crossing our land border every day, whereas the most generous estimate for how much the DST will earn is less than $1.5 billion per year over the next five years. At such a sensitive time in our trade relationship, Canada should be looking to minimize trade irritants with the United States, not increase them.

Related Content

• Read “Costing You More…5 Ways the Digital Services Tax Will Impact You”.
• Read our statement on the USTR announcement.
• Read our letter to Minister Anand, President of the Treasury Board, regarding the DST.

As part of our Canada-U.S. Engagement Plan, the Canadian Chamber recently organized the third of four 2024 business-led trade missions to the United States.

Reflecting on the success of our Critical Minerals Mission to Denver and Golden, Colorado, from September 11-13, 2024, we are excited to share highlights from this landmark initiative. Building on the momentum from our inaugural mission to Washington, D.C., this second mission further strengthened the Canada-U.S. partnership in the critical minerals sector.

The Colorado Mission was a testament to both nations commitment to addressing the global challenges of securing access to critical minerals. At the heart of this initiative was the Minerals Security Partnership and the Canada-U.S. Joint Action Plan on Critical Minerals Collaboration, which lay out a blueprint for mutual success in securing essential resources. This mission has laid a robust foundation for shared economic prosperity and security, reflecting the strategic importance of collaborative efforts.

This mission brought together industry leaders, policymakers, and experts, creating a platform for recognizing past achievements and discussing future strategies for sustainable economic growth. By uniting representatives from both countries, the event underscored the importance of a coordinated approach to addressing the challenges posed by the critical minerals sector, emphasizing our shared commitment to securing these vital resources and ensuring the resilience of our supply chains.

Throughout the mission, delegates participated in productive industry and government roundtables, engaging in strategic discussions focused not only on the present opportunities but also on shaping a sustainable and secure future. At the Colorado School of Mines’ annual Critical Minerals Symposium, delegates connected with over 300 attendees and heard from a diverse range of experts, further enriching our understanding of the sector.

The Canadian Chamber’s delegation included over 25 Canadian companies, national industry associations, academic institutions and provincial representatives.

Here are some key highlights:

Kick-off lunch with Consulate General 

To kick off the proceedings, we were welcomed in Colorado by Sylvain Fabi, Consul General of Canada in Denver, at a kickoff lunch. We heard from Rob Stewart, Deputy Minister of Trade for the Government of Canada, Stan Pence, Trade Commissioner for Foreign Investment Attraction to Canada (Mining, Oil and Gas), as well as Sean Clark, Senior Trade Commissioner. They shared valuable information about their work in Colorado and the surrounding states, including Kansas, Montana, Utah, and Wyoming.

Panel 1: The State of Mining in Colorado 

Moderated by Kelly Ward, President of Women in Mining USA (Denver Chapter), this panel discussion provided an in-depth look at Colorado’s mining industry. Featuring insights from Senator Cleave Simpson of the Colorado General Assembly, Adam Eckman, President & CEO of the Colorado Mining Association, Scott Petsel, President of Metallic Minerals, and John Wilmot, General Manager of Colorado Operations at Climax Molybdenum, the session explored the historical significance, current developments, and future prospects of mining in Colorado. Key topics included the state’s pivotal role in the critical minerals supply chain, the impact of local policies, and how Colorado’s mining sector contributes to both national and international markets.

Panel 2: Building a Skilled Mining Workforce in North America 

The panel discussion, moderated by Lesley Warren, Director of the Mining Future Initiative at the University of Toronto, focused on the challenges and opportunities in developing a skilled workforce for the mining industry. Panellists included Misael Cabrera, Director of the University of Arizona School of Mining, Dr. Snehamoy Chatterjee, Associate Professor at Michigan Technological University, and Sarah Derdowski, Program Manager IN2 at the National Renewable Energy Laboratory (NREL). The conversation highlighted the impacts of an aging workforce and the shortage of mining engineers and skilled labour. Strategies for attracting and retaining new talent were discussed, with a strong emphasis on educational initiatives, training programs, and the importance of partnerships between industry and educational institutions to ensure the sustainability and growth of the mining sector in North America.

Panel 3: Critical Minerals and National Security, Defense, and Geopolitics 

Moderated by Photinie Koutsavlis, Vice President of the Mining Association of Canada, this panel brought together industry experts — Cullen Hendrix, Senior Fellow at the Peterson Institute; Robert Johnston, Executive Director at the Center on Global Energy Policy, Columbia University; Morgan Bazilian, Director of the Payne Institute for Public Policy; and Adam C. Burstein, Lead for Strategic & Critical Materials at the Office of the Secretary of Defense — to explore the strategic importance of critical minerals in national security and defense. Discussions highlighted the geopolitical implications arising from dependencies on these essential resources, their indispensable use in defense technologies, and proactive strategies for mitigating risks posed by geopolitical tensions and supply chain vulnerabilities.

Fireside Chat | Governor of Colorado

Matthew Homes, Senior Vice President of Policy and Government Relations at the Canadian Chamber of Commerce, hosted a fireside chat with Jared Polis, the 43rd Governor of Colorado. Their discussion centered around developing critical mineral projects in North America and Colorado’s clean energy initiatives.

Mission Reception 

A cocktail reception was held at the Governor’s Residence (Carriage House) in Denver, Colorado, bringing together government and industry leaders to discuss critical issues in the natural resources sector. The event featured remarks from notable speakers, including: Rep. Matthew Soper, Colorado House of Representatives, Jeff Gaulin, General Manager of Vale Base Metals, David Anonychuk, Global Vice President of Metallurgy and Consulting at SGS (Co-Chair of the Critical Minerals Council) and Rob Stewart, Deputy Minister of Trade.

Panel 4: Financing Critical Minerals Projects in North America  

The panel moderated by Brad Handler, Program Lead of the Sustainable Finance Lab at the Payne Institute, featured insightful discussions from Karr McCurdy, Partner at Rock Elm Capital, and David Hammond, Principal Mineral Economist at Hammond International Group. The discussion examined the financial aspects of developing and sustaining critical mineral projects in North America, including funding opportunities, investment challenges, and innovative financial models such as public-private partnerships and government incentives. Key topics included the necessity for increased capital investment to ensure both the economic viability and environmental responsibility of these projects, as well as strategies to mitigate geopolitical risks related to China’s dominance in the critical minerals sector.

Panel 5: Canada-US Collaboration on Critical Minerals 

During the panel discussion moderated by Marcella Munro, Head of Government & Regulatory Affairs at Teck Resources, expert panellists Chris Davy, Director for Energy Transformation at the U.S. Department of State, and Rob Stewart, Deputy Minister of International Trade at Global Affairs Canada, explored strategies to strengthen cross-border collaboration between Canada and the U.S. The focus was on enhancing economic resilience and competitiveness, particularly regarding critical minerals. With the upcoming CUSMA/USMCA review and Canada’s G7 presidency in 2025, the discussion emphasized how trade policy, regulatory harmonization, strategic partnerships, and innovation can drive shared progress.

Presentation: Updates from the Wilson Center

Christopher Sands, Director of the Canada Institute at the Wilson Center, presented on the state of America’s electric vehicle (EV) supply chain and critical minerals strategy. He discussed two pivotal reports: Securing the EV Supply Chain in America and Multidimensional Strategy for Strengthening America’s Critical Minerals Supply Chain. Sands highlighted the vulnerabilities and opportunities within the EV supply chain, emphasizing the importance of U.S.-Canada collaboration in building a resilient and sustainable system.

Visit of the Edgar Experimental Mine 

Delegates visited the Edgar Experimental Mine in Idaho Springs, Colorado. This educational facility serves as a practical training ground for mining students from the Colorado School of Mines, where they can develop their skills in a real-world setting. Once a producer of gold, silver, lead, and copper in the mid to late 19th century, the mine now operates as an “underground laboratory,” allowing prospective engineers to learn essential techniques for exploring and extracting natural resources. The visit was accompanied by Ryan Peay, Deputy Assistant Secretary for the Office of Resource Sustainability at the U.S. Department of Energy.

Summary

As we look ahead, the message from America is clear: we need to accelerate the extraction of Canadian critical minerals to enhance the North American ecosystem, supporting both energy transition and the continent’s energy and national security. The conversations in Colorado also served as a strong reminder of the power of the Canada-U.S. partnership, driven by the dedication of individuals, companies, and organizations committed to a future where critical minerals symbolize not just economic growth but our unwavering commitment to a more secure and prosperous world.

Special thanks also go out to our sponsors: Vale Base Metals, Lundin Mining, and SGS, as well as the Colorado School of Mines, the Payne Institute for Public Policy, and the Canadian Consulate General in Denver for their invaluable support and collaboration.

Thank You to Our Sponsors

Our 2024 AGM & Convention in Halifax was packed with insightful discussions, centered around themes of productivity, economic growth and innovation. The Canadian Chamber Network also set the policy agenda for the upcoming year by voting on key priorities that will shape our advocacy work.

Here are the top takeaways and how you can get involved!

1. Halifax’s Biggest Export Is No Longer People

The Honourable Timothy Halman humorously noted that Halifax used to be known for people leaving, but that’s no longer the case. Halifax and Atlantic Canada are booming, with Nova Scotia exporting over $6 billion in goods! Atlantic Canadians have been saying it for years: “Halifax is open for business!” Local businesses are leading the way in natural resources and green innovation, making Halifax a hotbed of economic opportunity.

2. “To Be Creative Means to Be Vulnerable”

In her keynote, Rowena Chan, President of Sun Life Financial Distributors (Canada) Inc., Senior Vice-President, Retail Advice & Solutions., highlighted the need for businesses to step out of their comfort zones with digitization. Across industries, clients expect options and customization, and leveraging data is key to delivering that. Organizations that embrace this shift will earn trust and stay relevant in an ever-evolving market.

3. Entrepreneurship Drives Economic Growth

Tareq Hadhad, CEO of Peace by Chocolate, and Savior Joseph, President of Breathing Green Solutions, sat down with Isabelle Hudon, President and CEO of BDC, to discuss how supporting entrepreneurs from marginalized communities, including refugees, can bolster Canada’s economy. There’s a communication gap between the passion of entrepreneurs and the formal language of banks, and bridging this gap is essential to unlocking entrepreneurial potential.

4. The Important Role Local Chambers Can Play in AI Adoption

With governments looking to speed up digital and AI adoption among SMEs, local chambers need a voice in the design of these programs to ensure they address real business needs. Different companies are at varying stages in their digital journeys and having chamber insights will help these initiatives be impactful.

5. Productivity: Canada’s Key to Growth

Canada’s productivity lags behind other nations, with only two regions making it into the top 40 states (U.S. and Canada) for real GDP per capita. Small businesses — often treated as a single category — face unique challenges, with nearly half in construction, professional services, retail, and hospitality. While Atlantic Canada has benefitted from immigration, the region’s aging population and reliance on international trade remain pressing concerns.

6. Canada-U.S. Relations: Engage Locally

As political enthusiasm for trade agreements wanes in the U.S., Canada needs to focus on regional engagement to keep our trade relationship strong. The impact of Canada-U.S. trade is huge, but it’s about more than just numbers — it’s about local engagement and community impact.

ICYMI: Read Our Report, “Partners in Prosperity: How the Canada-U.S. Trade Relationship Goes Beyond Buying and Selling

7. “Data is Sexy” and Businesses Want More of It

Our Business Data Lab just got a fresh look! With new tools and insights, businesses can dive deeper into the Canadian economy. If you haven’t already, sign up to receive our latest commentaries, reports and economic outlooks from our team of data specialists.

8. The Policy Resolutions Bring Out the Best of the Chamber Network!

The consensus is clear: the policy resolution process is the foremost way for the Canadian Chamber Network to bring real issues to a national level and connect their communities with federal policymakers. A truly non-partisan process, these debates guide our work in advocating for the future of business success and a better life for all.

Halifax was a fantastic host, and these discussions are paving the way for our 2025 initiatives.

To stay up to date on our events, conversations and what we are working on, subscribe to our weekly newsletter.

This blog was provided by our partners at Meta.

Over the last two years, generative AI and the foundation models that power it have given us a glimpse into the significant economic and social benefits that lie ahead. From scientific discoveries to education to energy efficiency, the use cases seem boundless. 

Canada has long been a leader in AI, but the enormous resources and compute needed to keep up with the cutting edge of generative AI model development makes for a compelling case that a made-in-Canada approach requires strong public-private partnerships based on open-source technologies that are free to use, highly customizable, and safe and secure for deployment. 

What is Open-Source AI?

Unlike proprietary AI models like Open AI’s ChatGPT and Google’s Gemini, where applications can be built on top of APIs but access to the underlying model are restricted, an open-source approach to AI involves making public the underlying foundation AI models, which can be downloaded, inspected, fine-tuned, and tailored for an unlimited amount of use cases and applications, all for free. Meta’s Llama (for Large Language Model Meta AI) is one prominent example of an open-source generative AI model.

Already, hospitals and health professionals are using open-source models like Llama to run health applications on premise, processing patient data locally within the hospital’s secure IT environment rather than sending sensitive data into the cloud for processing. Similarly, non-English speaking countries are taking Llama and training the model to speak different languages, creating highly localized and culturally relevant large language models and applications.

Just last month, during United Nations General Assembly week,  we unveiled alongside UNESCO and Hugging Face a new online translation interface built  on Meta’s No Language Left Behind (NLLB) open-source AI model, supporting high-quality translation in 200 languages, including low-resourced and Indigenous languages like Asturian, Luganda, Maori and Urdu. Through this partnership, open-source AI is helping power the International Decade for Indigenous Languages.

So What are the Benefits of Open-Source AI for Canada?

1. More jobs and economic growth
   According to J.P. Morgan Research, AI could increase global GDP by $10 trillion and accessible open source AI is a quicker path to getting there. Open source models will help spread this general purpose technology, spur innovations and its economic benefits.  As one example of this democratization effect, as of early April, Llama has been downloaded over 180 million times by developers, innovators and entrepreneurs around the world, including in Canada.
   
2. Better privacy, security and control
   Open source facilitates more security and control over data access because open models can be downloaded onto local hardware. There is no need for developers to share any data with external providers – a significant advantage, particularly when much of the innovation from open models results from applications of novel (often proprietary) datasets. Organizations with concerns over data access – for data protection, commercial, or other reasons – can experiment and innovate with open models with greater peace of mind.
   
3. Increased competition will come from an equal playing field
   Open source models , like Llama, democratize access and reduce barriers to entry by providing state of the art AI tools to a wider range of developers and innovators – lowering the cost of innovation and experimentation that would otherwise be prohibitive.  Rather than being deployed and guarded by a  few technology companies with the computing infrastructure to pretrain large models, open source AI can be used by the  broader community of developers and organizations that stand to benefit from these innovations. This puts all of our country’s small and medium sized businesses  on an equal playing field – with a fair shake at success with access to the tools to solve for their own unique business challenges.
   
4. The pace of scientific discovery will be accelerated
   Foundation models are critical for modern scientific research, and broader access to them is necessary for scaling scientific discovery. Housing some of the top researchers in the world, Canada will benefit from turbocharging discoveries using AI.
   
5. A made in Canada approach and better social outcomes
   Open source AI models can be customized and fine-tuned using Canadian data leading to truly made-in Canada large language models (LLMs) and generative AI applications.

We look forward to discovering what open-source can do for Canada .

Read Meta’s NewsRoom poston Open Source AI  here.

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By Kevin Chan, Global Policy Campaign Strategies Director

Kevin Chan is Global Policy Campaign Strategies Director at Meta Platforms, and helped lead the effort to build the UNESCO Language Translator, powered by Meta and Hugging Face

Many Canadians think that economic growth will lead to an increased cost of living, leaving them worse off than before.

At a time when our productivity is floundering — we rank 29^th out of the 38 OECD countries and our workers contribute 30% less to the national economy than American workers do with the same time and effort — bringing Canadians back into the fold is critical.

And businesses, particularly small businesses, are in a position to do just that. According to the 2023 Edelman Trust Barometer, employers are the most trusted institution and considered more believable than media or government.

What this means is that Canadians don’t trust the direction of the economy, but they do trust that their employers are well positioned to find the solutions to our economic challenges that serve Canadians’ best interests. Because growth is, in fact, good — it’s what allows us to invest in social services and strong communities, have healthy and wealthy populations, and build an inclusive economy that creates a better life for everyone.

Our response — that is, the response of businesses, chambers of commerce and boards of trade — should therefore be to genuinely reflect on what resonates with Canadians so that we can talk about productivity in a way that highlights the real downstream benefits for everyday people. Businesses have the potential to reach millions of Canadians and get them engaging in commerce and building the economy in support of a better life for all.

This is an abridged version of an op-ed from Candace Laing, President and CEO of the Canadian Chamber of Commerce, which appeared in the Toronto Star. Read the full op-ed, here.

Canada’s natural resources sector is more than just a collection of industries; it is a key driver of our economy and a critical component of our national identity.

This sentiment was echoed throughout our Natural Resources Tour, titled “Charting the Path: Canada’s Potential as a Natural Resource Powerhouse and the Impact on Canadians”. From September 24 to October 10, the Canadian Chamber of Commerce traveled across five cities—Ottawa, Toronto, Winnipeg, Vancouver, and Calgary— sparking a vibrant exchange of ideas, insights and aspirations for the natural resources sector. Industry leaders, policymakers, and Indigenous representatives came together not only to confront the challenges facing the sector but also to highlight its tremendous potential for driving sustainable growth and fostering community resilience.

We were honoured to hear from experts such as Karen Proud from Fertilizer Canada, John Desjarlais from the Indigenous Resource Network, Pierre Gratton from the Mining Association of Canada, Jon McKenzie and Jeff Lawson from Cenovus Energy, Kyle Larkin from the Grain Growers of Canada, Linda Coady from the BC Council of Forest Industries, Jonathan Price from Teck Resources, Chris Doornbos from E3 Lithium, Jeff Gaulin from Vale Base Metals, Dr. Monica Gattinger from the University of Ottawa’s Positive Energy, David Hansen formerly from CANTERRA SEEDS, Hugues Jacquemin from Northern Graphite, Shannon Joseph from Energy for a Secure Future, and Stewart Muir from Resource Works.

View all photos per city:

Here are the key themes and takeaways that emerged from these conversations:

1. Economic Significance and Global Competitiveness

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The natural resources sector is a cornerstone of the Canadian economy, contributing approximately $213 billion to GDP and supporting over 900,000 direct jobs. This sector not only ensures economic stability but is essential for Canada’s competitiveness on the global stage. Natural resources account for 50% of Canada’s exports, helping to stabilize the Canadian dollar and ensuring the affordability of imported goods. However, our natural resources compete for investment on a global stage, and in a world where capital is highly mobile, it is becoming increasingly difficult for investors to make Canada their opportunity of choice.

Next Steps: To enhance global competitiveness, balanced regulatory reforms are essential. Streamlining project approvals and providing certainty to investors will create a supportive policy framework that attracts both domestic and foreign investment in natural resources.

2. Impact on Canadians and Cost of Living

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The tour highlighted the significant impact of the natural resources sector on Canadians’ daily lives, especially as Canada continues to experience rising costs of living. Beyond being a critical driver of Canada’s economy, the sector provides high-paying jobs across a range of skill levels and ensures access to reliable energy sources like oil and gas that power everyday needs. Additionally, the substantial tax revenues generated by the industry fund essential public social programs, helping to alleviate financial pressures on households across the country.

Next Steps: To address increasing costs and enhance the public’s understanding of the natural resources sector, stakeholders should prioritize public education initiatives. Clear communication about the sector’s role in job creation and energy security, and the Canadian economy is essential. Policymakers must also focus on developing frameworks that attract investment and ensure the sector’s benefits are distributed equitably for the benefit of all Canadians.

3. Indigenous Engagement and Economic Reconciliation

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A consistent theme throughout the tour was the crucial role of Indigenous communities in the natural resources sector. Indigenous peoples are increasingly at the forefront of successful resource projects, demonstrating the power of collaboration in achieving economic self-determination. Projects like the Cedar LNG terminal, for instance, highlight the impact of Indigenous leadership in building community trust and meeting project timelines.

Next Steps: Industry leaders and government representatives must continue to prioritize partnerships with Indigenous communities, ensuring that their voices are central to decision-making processes. This collaborative approach not only advances economic reconciliation but also promotes sustainable development for the benefit of all Canadians.

4. Innovation and Technological Advancement

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Innovation is driving progress in the natural resources sector, with advancements in sustainable practices and technology playing a key role in enhancing efficiency and reducing environmental impact. From lithium extraction for battery production to precision agriculture, the sector is leveraging technology to drive productivity and sustainability.

Next Steps: Continued investment in research and development is essential to position Canada as a leader in resource innovation. Encouraging collaboration between industry, technology companies, government and academic institutions can foster new technologies that address climate challenges while maintaining economic growth.

5. Sustainable Practices and Environmental Stewardship

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Companies in the natural resources sector are increasingly committed to reducing their environmental footprint while ensuring that their operations contribute positively to local communities, to Canada and the world. Discussions around circular economy practices in mining and agriculture showcased how innovation can lead to both environmental and economic benefits.

Next Steps

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Natural resource industries must prioritize sustainable practices by adopting innovative technologies that minimize environmental impact. Implementing strategies for biodiversity conservation and emissions reduction will not only help meet regulatory requirements but also enhance the sector’s reputation, appeal to investors, and align with global sustainability trends.

The Canadian government needs to expedite the delivery of the full suite of Investment Tax Credits (ITCs) to spur innovation and support major decarbonization efforts, as well as advancements in clean technology, mining, and manufacturing projects. Additionally, increasing investment in research and development (R&D) can facilitate breakthrough technologies that further mitigate environmental impacts.

The discussions during the Natural Resources Tour underscored the immense potential of Canada’s natural resources sector to not only strengthen the economy but also directly improve the lives of Canadians. From creating well-paying jobs across diverse skill levels to providing reliable energy sources and supporting public services through tax revenues, the sector plays a key role in easing financial pressures on families and fostering social equity. By addressing challenges head-on and harnessing the sector’s strengths, Canada can position itself as a global leader in resource management.

As we move forward, it is crucial for industry leaders, policymakers, and communities to collaborate effectively, ensuring that the natural resources sector continues to benefit of all Canadians. Together, we can chart a path toward a sustainable and prosperous future, using our rich natural resources to strengthen the economy and enhance the well-being of future generations.

Prior to the tour, the Canadian Chamber of Commerce’s Business Data Lab (BDL) released a report titled “Canada’s Natural Wealth: Highlighting Canada’s Strong Natural Resources Sector.” This report outlined essential recommendations for tackling Canada’s productivity challenges through strategic investment in this sector. Furthermore, an op-ed in the Calgary Herald, titled titled “Investing in our natural resources will power Canada forward,” reinforced the need for targeted investment and supportive regulatory reforms to unlock Canada’s natural wealth for the benefit of all Canadians.

Thank you to our Canadian Chamber Network co-hosts, the Ottawa Board of Trade, Winnipeg Chamber of Commerce, British Columbia Chamber of Commerce and Calgary Chamber of Commerce, for their support in bringing this tour to life.