Hon. Sergio Marchi (Minister for International Trade, Lib.)

Mr. Speaker, it is unfair to suggest that the involvement of the Minister of Foreign Affairs has been absolutely ineffective, far from it.

Through his actions in talking with his counterpart, the secretary of state in the United States, they have been able to put in the four month review. In this respect industries are talking. We have made it abundantly clear to the Americans that this is as negative for Canadian firms as it is for American firms. If they have been integrated for the last 40 years, our message is do not fix something that clearly is not broken.

Hon. Sergio Marchi (Minister for International Trade, Lib.)

Mr. Speaker, we have an agreement with the United States. It is an agreement that was agreed to by all the four provinces within the agreement and by the entire industry from one coast to the other. The member knows this.

Now the commodity sector has come under great pressure both in Canada and the United States. That clearly does not justify the single-handed action the United States has taken. We will use every possible aspect of this agreement as well as the world customs and NAFTA to redress in the proper way the proper functioning of the agreement between our two countries.

Hon. Sergio Marchi (Minister for International Trade, Lib.)

Mr. Speaker, I think the member rather than joke about incredible non-starting comparisons should treat the issue with the seriousness it deserves.

We have an agreement that his province and that industry urged the federal government to get into two and a half years ago. It is obviously disappointing that the Americans are trying to expand the focus of this agreement. We have taken action. We have taken action against them at the world customs. The world customs has agreed with us again. If they continue to persist on the softwood rougher headed issue, we will continue to take action against them.

Hon. Sergio Marchi (Minister for International Trade, Lib.)

Mr. Speaker, we have always said that Bill C-55 was founded on the services level where we do not have the clause for national treatment to impose on services as opposed to goods.

Also there is a great deal of difference between countries around the world offering assistance or subsidies to domestic industries as long as those products are not for export.

Hon. Sergio Marchi (Minister for International Trade, Lib.)

Mr. Speaker, the Minister of Canadian Heritage said moments ago that there was no cultural exemption at the WTO. That is why we were taken to the panel in the first place.

There was an abdication of rules and that is precisely what the Minister of Canadian Heritage was saying. We got an historic agreement, one that caps their advertising from 100% to 18%, one that for the first time gives us content, and one that encourages additional investment in the publishing industry in Canada. I think by any measure that is a pretty good deal.