The video addresses an economic conference, highlighting the vital economic relationship between Canada and the United States. The speaker emphasizes the impressive trade volume between the two countries, which amounts to over $1.3 trillion annually. They also highlight the interconnectedness of economies, particularly in the automotive industry, arguing that splitting them would negatively impact both nations. Shared geographic, historical, and value-based bonds form the bedrock of this relationship, fostering mutual prosperity and security.

Moreover, the speaker encourages collective innovation to tackle global threats such as climate change. They mention initiatives like the development of electric vehicle (EV) supply chains and clean energy projects such as the Champlain Hudson Power Express to fuel collaborative growth. Additionally, the talk delves into economic indicators, noting Canada's strong fiscal position with low public deficits and its potential for economic growth within the G7 nations.

Main takeaways from the video:

Please remember to turn on the CC button to view the subtitles.

Key Vocabularies and Common Phrases:

1. convene [kənˈviːn] - (verb) - To bring people together for a meeting or activity. - Synonyms: (assemble, gather, summon)

I want to extend my gratitude to both Bloomberg and National bank for convening this conference.

2. panelist [ˈpænəlɪst] - (noun) - A member of a panel who participates in a discussion. - Synonyms: (discussant, speaker, member)

you've got a pretty impressive lineup of panelists and speakers.

3. bilateral [ˌbaɪˈlætərəl] - (adjective) - Involving two parties, often countries. - Synonyms: (mutual, reciprocal, two-sided)

bilateral trade of more than $1.3 trillion last year.

4. mutual prosperity [ˈmjuːtʃuəl prɑːˈspɛrɪti] - (noun) - Common or shared well-being and success. - Synonyms: (shared success, common wealth, collective welfare)

No other two countries rely so profoundly on each other for mutual prosperity and collective security.

5. friendshoring [ˈfrendˌʃɔːrɪŋ] - (noun) - Relocating supply chains to friendly or allied countries. - Synonyms: (allied sourcing, cooperative offshoring, allied relocation)

We often hear the term friendshoring, but I prefer to use the term value shoring.

6. resilient [rɪˈzɪliənt] - (adjective) - Able to withstand or recover quickly from difficult conditions. - Synonyms: (strong, robust, hardy)

Our financial system remains robust and resilient, providing a solid foundation for economic stability.

7. existential threats [ˌɛɡzɪˈstɛnʃəl θrɛts] - (noun) - Dangers that threaten the very existence of something. - Synonyms: (survival threats, life-threatening dangers, major risks)

let's innovate and invent our way out of existential threats like climate change.

8. fiscal management [ˈfɪskəl ˈmænɪdʒmənt] - (noun) - The process of managing government revenue, expenditure, and debt. - Synonyms: (financial administration, budget control, economic stewardship)

Canada continues to hold its aaa credit rating, a testament to its sound fiscal management.

9. transition to a clean economy [trænˈzɪʃən tuː ə kliːn ɪˈkɑːnəmi] - (verb phrase) - The process of shifting from an economy reliant on fossil fuels to one utilizing renewable energy sources. - Synonyms: (shift to sustainable economy, move towards renewable energy, switch to green economy)

Those include housing affordability, inclusive growth, and the transition to a clean economy.

10. carbon capture [ˈkɑːrbən ˈkæptʃər] - (noun) - The process of capturing carbon dioxide emissions from industrial processes to mitigate global warming. - Synonyms: (carbon sequestration, CO2 capture, emission control)

credits will support investments in critical aspects of the transition to a clean economy, such as carbon capture, utilization and storage.

Canada’s New York Consul General Tom Clark at the Bloomberg Canadian Finance Conference 2024

Good morning, everybody, and thank you, Carolyn and Derek, for the introduction. Bonjour, Mesdames, monsieur, Grand Plaisir de Trevigue, vous ce matin. Thanks very much for joining us on this. First of all, I want to extend my gratitude to both Bloomberg and National bank for convening this conference. It's an exceptional conference, and as you can see on the program, you've got a pretty impressive lineup of panelists and speakers.

This is the 12th edition of this conference, and I think that after you've done ten, you can declare it to be a success. So there are two past that right now, but it really is a testament to the dedication of both Bloomberg and National bank that this is now twelve. Their commitment to delivering valuable insights into the canadian economy and capital markets really is truly commendable and a great help to somebody like me. On a personal note, this is my second conference since arriving in New York as the consul general. And much like high level week at the United nations in September, this annual conference has become sort of a key milestone for me, marking the transition from summer to fall.

Although with the weather in New York these days, you might not know it, this is not a traditional canadian fall. This is a little warmer than that, perhaps spurred on by a few things going on in this country at the same time. But this is a unique event that gathers an impressive array of economic and financial experts to delve into my favorite topic, and that is Canada. So give me a minute or two. I'm excited to see a distinguished gathering of issuers, buy side investors, and market intermediaries from both sides of the border. In the room today, your collective presence underscores the essential role you play in facilitating the vital flow of capital between our two nations.

Today's conference is a unique opportunity to explore the vital connections between the United States and Canada, whether through capital flows, investments, or trade. The conference offers a remarkable platform to highlight the significance of the Canada US relationship. The bond between our two nations is unparalleled, as no other two countries rely so profoundly on each other for mutual prosperity and collective security. The value of our economic partnership cannot be overstated, but it can be measured, and it's pretty impressive. bilateral trade of more than $1.3 trillion last year, that's about $2.5 million every minute, 24 hours a day, seven days a week. Or let's put it another way, this speech will last about five minutes, or about $12.5 million, and I think that's pretty good value for the money.

Now here's another value another measure rather of the relationship. More than 2.2 million jobs in Canada depend on exports to the United States, and more than 7.8 million jobs in the United States are related to trade with Canada. We are literally in each other's kitchens. Our connection is rooted in shared geography, history, but more than anything else, it is rooted in values. Put simply, we believe in the same things. Prime among them is enhancing the well being of our citizens. We often hear the term friendshoring, but I prefer to use the term value shoring, because friendship, especially among nations, sometimes simply doesnt survive. But values are eternal.

This deep cooperation has forged one of the most prosperous and open regions anywhere in the world. In fact, I would wager that there are no two other countries in the world that share a border that wouldn't, in a nanosecond, change their situation for ours. Although we have faced our share of differences over the years, our ability to resolve these issues speaks to the resilience of this partnership. This enduring relationship has weathered changes in government on both sides of the border because both Canadians and Americans understand that if one of us does well, then so does the other.

Now, we understand the desire to bring business home, to provide jobs and opportunity here instead of abroad. But we can't do that at the expense of what we have built together for more than a century. Neither country can do all that the future demands of us alone. The road to America's goals run right through Canada, and vice versa. Yes, let's rebuild and rationalize our supply chain so that a conflict on the other side of the world doesn't tear our economies apart. Yes, let's innovate and invent our way out of existential threats like climate change. But let's do this together. Buy America. How about buy North America, collectively the richest, most advanced region of the world?

We've already shown we can do it, too. Take a look at the automotive industry. All the pieces that make a car on the streets of New York today have likely gone back and forth over the Canada US border seven or eight times before being sold in a showroom in Brooklyn. Our economies are so integrated that pulling them apart would be a fool's game, and an expensive one at that. And it would impoverish both sides.

Now, a very brief word about what this country is facing on November 5 and how it might affect us. We are very clear about this. We will work with whoever the american people elect, whether that be in the White House or in Congress. And while we will adjust to any change that happens in this country, what we're going to focus on are the things that don't change. And those are the issues. Those are the matters that concern energy, the future of semiconductors, the future of our shared national security. Those issues endure. And it is on those issues that our two countries do well.

The new economy, the electrified, AI based world needs really just four things to take hold. It needs land, water, energy and talent. That's it. That's the secret sauce right there. And we have all four, both in Canada and in the United States. We also have the capital to actually make it grow, and few, if any other regions in the world have it so good.

Why wouldn't we want to nurture this garden? But it's already started. From critical minerals to the development of EV batteries to semiconductors that will power the present and the future. We together, as I said, have it all.

Let me color all of this with some sound economic context. Recent years have been characterized by elevated interest rates and tighter liquidity across many countries, including Canada, resulting in increased costs for capital for businesses and higher financing costs for consumers. Now, as we gather for this conference, inflation in Canada is now back on target at about 2%. It's actually 1.6%, while the labor market is starting to ease, setting the stage for more rate cuts to ensure a soft or softer landing. Essentially, in my mind, we're looking at a potential return to pre pandemic conditions, a scenario that, frankly, many of us would welcome after the challenges of the past four years.

And the story coming out of Canada is indeed very promising. Right now, Canada continues to hold its aaa credit rating, a testament to its sound fiscal management. Our public deficits are relatively modest and declining, and our net debt to GDP ratio was well below that of our g seven peers. Our financial system remains robust and resilient, providing a solid foundation for economic stability. The IMF projects that Canada's real GDP will grow by 1.3% in 2024, making it the second fastest growing economy in the g seven, just behind the United States for 2025. The forecast is even brighter, with a 2.4% growth rate that could see Canada leading the g seven in economic expansion.

While Canada's economy remains strong and resilient, we must stay vigilant in tackling some key domestic and global challenges. Those include housing affordability, inclusive growth, and the transition to a clean economy. On this last point, Canada is leading the global race to attract investment and harness the opportunities of a clean economy. Our government has announced an ambitious net zero economic plan, committing over cad160 billion to this crucial transition.

This plan features a groundbreaking suite of major economic investment tax credits, expected to provide $93 billion in incentives by 20 34 35. These credits will support investments in critical aspects of the transition to a clean economy, such as carbon capture, utilization and storage, clean technology adoption and manufacturing.

Click well. So about our ability to sell electricity to New York, that was the next thing on my list. Here it said clean electricity. And of course, the other advantage we have is the EV supply chain, the massive investment that Canada has made in battery technology. Canada also boasts some of the largest known reserves of rare earth elements, estimated at over 14 million tons as of 2021. Through our critical minerals strategy, we are actively funding a diverse array of industrial initiatives, from geoscience and exploration to mineral processing, manufacturing and recycling. This includes robust support for R and D and the deployment of cutting edge technologies.

Our friends at Bloomberg, NEF recognize Canada as one of the most promising countries for building a reliable EV supply chain. As they aptly put it, don't sleep on Canada. Remember about a million dollars ago? So a couple of minutes ago when I talked about our mutual reliance, well, a shining example of this collaboration in our backyard right here is the Champlain Hudson Power Express. When completed in 2026, this project will deliver 1250 megawatts of reliable, clean hydroelectric energy from Quebec to New York City. That is enough to power over 1 million homes, help it to combat climate change and reduce harmful air pollutants. It is going to be supplying New York City with about 20% to 25% of its electrical needs. That's huge. It will reduce carbon emissions by 37 million metric tons statewide, the equivalent of taking over half a million cars off the road every single year.

So look, Canada remains an exceptionally attractive investment destination for us and multinational companies. Their success not only drives our growth, but also strengthens our economies, laying the groundwork for shared prosperity and a very sustainable future. Merci beaucoup. Je vous suet en. Excellent journey. Thank you very much and thank you and enjoy the day.

Economics, Canada, United States, Innovation, Finance, Leadership, Bloomberg Live