00:00Let me ask you to put not only your prime minister hat on, but you've been a central bank governor, you've been an investor, you've been a finance.
00:08Looking around the world now, you've got China sort of playing by its own playbook economically, including a lot of excess capacity that's being exported to the rest of the world.
00:18You have the U.S. playing by its own playbook, ignoring various agreements, including at times USMCA.
00:25What does it mean if the two largest economies of the world are playing by their own set of rules?
00:31What does that mean for the rules-based system for a middle power like Canada?
00:36Do you keep on playing by the rules even if nobody else is?
00:40Okay, so who else is willing to play by the rules and can you get critical mass in that?
00:46That's one of the big questions.
00:48So, and nobody's perfect in this, but one of the things about the European Union is it's a rule-based system.
00:57Sometimes there's too many rules and they're playing by too many rules, but it is a rules-based system.
01:02We have a free trade agreement with the European Union.
01:07CPTPP, newer, the U.S. made a decision not to be part of that.
01:13I heard about that.
01:13Yeah, you heard about that.
01:16And it's not too late.
01:17You can come back in.
01:19But it's not the European Union, obviously, to the same degree.
01:23But you recognize it as a rules-based, multi-plural lateral trade deal that has labor standards, has sustainability.
01:33There is open discussion.
01:37We're part of it.
01:39I don't want to overplay it because it's still early days.
01:41But of a bridge between the EU and the NCPTPP.
01:45Well, Canada's in both, effectively.
01:50We're deepening with Europe.
01:51We're deepening with some of those players there.
01:53Then we're in a pretty big system that is rules-based.
01:56We would like to think that we will get to a position with the U.S. where we have new rules as part of U.S. MCA or a reaffirmation of these are the rules of conduct in U.S. MCA.
02:12And, you know, we're re-engaging with China and other major economies in terms of developing the rules bilaterally with them.
02:24So there's more to play for it than there appears.
02:27And, you know, one of the things that – now I'm going to be a central banker, but this is important.
02:33It's really exciting.
02:34This is a chance.
02:35Check your phones.
02:38But so much of economics is on the margin.
02:42Right?
02:42So, yes, we're heavily weighted to the United States, and a big adjustment is going on in big sectors.
02:49Steel, autos, as examples, are forced products because of the trade shock, and we're hoping to make progress in all of those.
02:58But on the margin, when you grow into very large markets, which are represented by the EU and CPTPP, it makes a big difference.
03:09So it's the delta, it's the growth that's going to impact it.
03:13So, we're going to make money on our cost.
03:18So, let's move on.
03:19So, let's move on.
03:20So, let's move on.
03:21So, let's move on.
03:22So, let's move on.
03:24Let's move on.
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