February 8, 2007
MEXICO CITY, Mexico
2007/5
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I am delighted to be welcomed by the Canadian Chamber of Commerce, and to be
surrounded by so many friends of Canada, on this, my first official visit to Mexico. It is a
year ago to the day since Prime Minister Harper and the new government were sworn
into office in the capital, and two months since President Calderón formed the
government of Mexico with our Prime Minister in attendance.
The 25th Anniversary of “CanCham” is an auspicious occasion to come to Mexico and
talk about this diverse, dynamic and remarkably successful Canada-Mexico
relationship.
To think of where we were when this Chamber was formed in 1982—I see a very
different time, and a different world. It is informative and helpful to calibrate our
progress on the path forward in the areas of cooperation and competitiveness of our
growing economic relations.
Globally, in 1982, we were in a massive recession. Interest rates and national debts
sky-rocketed, while currencies tumbled and oil prices started to fall. At the time,
Canada had not yet joined Mexico as one of the world’s leading energy powers.
At that time, democracies in Latin America were well in the minority. Canada, for its
part, was just enacting its first ever made-in-Canada national constitution. And although
there was a conservative government in Ottawa, the MacKay sitting in the House of
Commons at that moment happened to be my father!
In the early 1980s, only around 5 percent of homes in Canada had personal computers;
fewer still in Mexico. And the idea of conducting business instantaneously through
wireless and satellite networks was pure science fiction.
Canada and Mexico had a good relationship then—make no mistake—but it lacked
momentum and recognition of our real relative importance to each other. In 1982, our
two-way trade stood at around $1.5 billion annually, and investment at $225 million.
We did not really connect throughout North America, in the absence of NAFTA, nor
throughout Latin America with Canada still outside of the Organization of American
States (OAS). Mexico also had yet to join the OECD [Organization of Economic
Cooperation and Development], or accede to the General Agreement on Tariffs and
Trade (GATT), the precursor to today’s World Trade Organization (WTO).
And yet here, in the origins of this Chamber, the potential of our partnership—or to use
the more evocative Spanish word, "alianza"—was seen and seized. You were the
incubator of much of what was to come.
It was an interesting decision and a courageous and forward-looking one, and one that
has proven to be highly successful. If the commodity of belief in this partnership had
been shares of stock up for sale in 1982, some people would be very rich today! As we
fast-forward to the world of 2007, the riches, as it were, of this Canada-Mexico
relationship can be counted and calculated in so many ways.
Following on those lean days of the early 1980s, each country made its own choices to
liberalize trade and open more of our economies to foreign investment. NAFTA was a
watershed, and since 1993, we have seen two-way trade between our countries rise by
300 percent, and two-way investment grow by almost 400 percent in the same period.
Canada and Mexico are now both among the top 10 oil producers and exporters in the
world today. As for that old home computer statistic, it almost goes without saying that
the Internet has simply become a way of life, as well as a way of business, for all of us.
We are both more open to the world as a whole—as partners in the United Nations, in
the OAS, in the Asia-Pacific Economic Cooperation forum (APEC), and the
OECD—where, as it so happens, a Mexican recently took over from a Canadian as
Secretary General.
Closer to home and to our most pivotal interests, we have constructed a new framework
for cooperation with our mutual top partner, the United States, through the Security and
Prosperity Partnership for North America.
Complementary to NAFTA and to our various bilateral arrangements, the SPP is a
means for the three North American partners to better manage this increasingly
integrated and interdependent continent that we share, with the common objectives of
enhancing the competitiveness, security and quality of life of our countries and citizens.
Canada is very pleased to be hosting the Mexican and American SPP ministers in
Ottawa later this month, including Foreign Secretary Patricia Espinosa, Economy
Secretary Eduardo Sojo and Interior Secretary Ramirez Acuna. Our Prime Minister,
Stephen Harper, also looks forward to welcoming President Calderón, together with
President Bush, for the North American Leaders Summit, later in the year.
What is perhaps most interesting in the evolution of relations on this continent, is the
emergence of a distinct and maturing Canada-Mexico voice, which complements our
trilateral and dominant Canada-U.S., Mexico-U.S. engagements.
We have come to recognize that there are things that we can do together—ideas and
initiatives that we can advance—that are particular to this new paradigm:
competitiveness, integrated commerce systems and sectors, border issues, health and
human capital, student exchanges and quality of life, to name a few.
The best example is, of course, the Canada-Mexico Partnership, or CMP, which was
designed to accelerate public and private sector collaboration in economic and human
capital development. We appreciate the opportunity to meet here in Mexico in one
month’s time, in conjunction with your annual “CanCham Day.”
The CMP does a number of things that make it unique and effective. First, it draws
together private and public sector leadership into a single forum, and may soon
incorporate provincial and state participation as well. Second, it allows us to focus in a
concrete and constructive manner on targeted sectors of the greatest mutual
importance—energy, agri-business, housing, sustainable cities, infrastructure, human
capital development and overall competitiveness. And third,it is above all a flexible
mechanism that reflects depth of our relationship, allowing for the incorporation of new
and evolving priorities, as well as the conclusion of other projects that no longer fit our
mutual needs. The crucial issues of labour mobility and of collaborative Science and
Technology are areas that may well join the CMP family in future.
We have held our first-ever talks on political and military issues, and look forward to a
continued deepening and broadening of our cooperation on a variety of security
matters. We have also welcomed Mexico’s past invitations to engage in public policy
dialogue, with the exchange of experiences and best practices in a variety of sectors,
including governance modernization. We hope to continue this cooperation where it is
of mutual interest. I look forward to my bilateral meeting with my colleague Secretary
Espinosa, to have open and frank discussions on such matters as security, trade and
tourism.
And through all of this, we can count upon political engagement at the highest
level—underscored by President Calderón’s welcomed visit to Canada last October
ahead of his inauguration, and by Prime Minister Harper’s decision to be present in
Mexico City on December 1, for the change of government ceremony.
To put it mildly, the changes we have undergone in 25 years are simply extraordinary.
However, nothing stays still for long in today’s world.
We are constantly faced with new challenges, evolving ambitions, unpredictable threats
and equally unforeseen opportunities that demand our response, and even more, our
leadership. As members of the Chamber, you play an important role with business and
community leaders.
I would like to set out a few of the things that I think we will want to address together in
the next phase of our cherished relationship, as strategic issues in advancing further
those fundamental, common goals of ensuring prosperity, security and quality of life for
ourselves, and for all peoples.
The first of these is public safety; this is a top priority for President Calderón, and one
of the Canadian government’s principal commitments upon taking office one year ago.
Our capacity to provide security for our communities and protection for our citizens,
within a framework of rule of law and respect for human rights, is a true test of
governance, and a test that none of us can afford to fail. It impacts quality of life, but
also the confidence of our partners and neighbours. In Mexico, I know this is an acute
concern and I can tell you that the Government of Canada supports President
Calderón’s determination to counter criminal violence and the drug trade in this country
and at its borders. With such a significant Canadian business presence in Mexico, and
over a million tourist visitors per year, we too have a stake and a strong vested interest
in Mexico’s success in this area, and we are prepared to work closely with Mexico in
creating a safer environment. Upon request, we will share training and techniques that
can assist in criminal investigation and forensics.
Second is competitiveness—a broad concept that captures many ideas. The most
important of these, as you know in business, is that competitiveness is a shifting target
each and every day. With the rise of new markets—and competitors—in Asia, and the
increasing importance of being integrated into global supply chains, it is now more
important than ever for us to work cooperatively to ensure sustainable growth and
quality of life for our citizens. For our integrated North American economy, this means
attention to measures that will bring us still greater advantages in the global market:
open and efficient energy, telecommunications and transportation sectors; connected
infrastructure and commerce systems; investment in human capital and flexibility of
labour forces; and, I would add, ensuring that not only the benefits of growth, but also
the tools of growth—access to education, capital and opportunity—are brought to every
part of our respective nations. I would be remiss if I did not mention the gateway
concepts on both coasts that are becoming a reality: deep large ports in British
Columbia and in Nova Scotia getting ready to receive the post-Panamax containers.
The third area is the entrenchment of democracy, human rights and the rule of law in
the Americas. We have come a very long way since the early 1980s, but vulnerabilities
remain. Democratic governance and electoral processes remain fragile in parts of the
world and can be strengthened further, with the landmark Inter-American Democratic
Charter as our guide. Security dialogue cooperation, including on transnational crime
and emergency preparedness, can be intensified. Market-based economic growth can
be expanded and made more equitable; in this, Canada is attentive to Mexico’s efforts
to foster greater economic and social development in southern Mexico and Central
America, through the Plan Puebla Panama. And both of our countries can play a
continued leadership role in strengthening our vital hemispheric institutions, such as
the OAS and the Summit of the Americas.
Finally, we have the question of how Canada and Mexico can best project—and
protect—these same values and principles within the global community. Our traditions
have been different in some respects—Canada’s NATO role that today places us in
Afghanistan is but one example—but we have often found ourselves working in
common cause in vital areas like disarmament, UN reform and international human
rights. On the latter subject, we value our close contact with Mexico as it holds the
weighty position as Chair of the new UN Human Rights Council at a time of critical time
importance. We can also work together to build momentum for a resumption in global
trade liberalization talks at the WTO.
It is a heady agenda—and an exciting future. When we meet again in another 25 years,
we can only wonder what accomplishments and advances will be on our balance sheet
then.
Much of what we thought in 1982 to be impossible, or even fantastic, has already been
achieved and surpassed. Political will, initiative, ingenuity and sheer hard work across
nearly every segment of our governments, business communities and societies at large
are to be credited—and are the very same tools that will now take us into the next,
promising phase in Canada-Mexico relations. And at the base of them all, lies this
unshakeable foundation of partnership that we have built together, which makes all
things possible.
In closing, I would like to extend my sincerest congratulations to the Canadian
Chamber of Commerce in Mexico and to all of its many committed members over the
last 25 years, both Mexicans and Canadians, for your collective achievement in helping
our bilateral trade and investment reach record levels. On behalf of the Government of
Canada, I wish you even greater success in the next quarter century.
Thank-you.
