LIVE: Canada PM Mark Carney at the Canada-UAE Investment Summit

Key Concepts

• Unite, Act, Deliver: The overarching theme from COP 28, emphasizing global cooperation, decisive action, and tangible results.
• Energy Transition: The shift from fossil fuels to renewable energy sources, a key focus for both Canada and the UAE.
• Climate Competitiveness Strategy: Canada's plan to incentivize investment in clean energy and related industries.
• Foreign Investment Promotion and Partnership Agreement (FIPPA): An agreement between Canada and the UAE to facilitate and protect investments.
• Comprehensive Economic Partnership Agreement (CEPA): A trade agreement aimed at reducing tariffs, removing red tape, and expanding market access between Canada and the UAE.
• Critical Minerals: Essential elements for clean energy technologies, a strategic focus for both nations.
• Artificial Intelligence (AI): A rapidly developing field where both Canada and the UAE see significant opportunities for collaboration.
• Dual-Use Technologies: Technologies with both civilian and military applications, particularly relevant in the context of defense spending.

Canada-UAE Business Council Address

This address, delivered at an event hosted by the Canada UAE Business Council, highlights the deepening partnership between Canada and the United Arab Emirates, framed by the "Unite, Act, Deliver" ethos of COP 28. The speaker emphasizes the shared ambition and complementary strengths of both nations in navigating a changing global landscape, particularly in the realms of energy transition, technological innovation, and economic development.

COP 28 and the Global Climate Consensus

• Theme: The address begins by referencing the COP 28 theme, "Unite, Act, Deliver," championed by His Highness Sheikh Mohammed bin Zayed.
• UAE Consensus: Under the leadership of Dr. Sultan Al Jaber, COP 28 achieved a significant global climate agreement, uniting the global North and South.
• Key Commitments: The agreement included commitments to:
  • Triple renewable energy capacity.
  • Double energy efficiency.
  • Achieve near-zero methane emissions by the end of the decade.
  • Move towards energy systems beyond unabated fossil fuels.
• UAE's Action: The UAE is actively implementing these commitments, with Mazdar leading large-scale clean energy investments, including a recent announcement of over 70 gigawatts in clean power and the development of the world's largest solar PV and battery energy storage system, capable of achieving base load solar power.

Canada's Transformation: Unite, Act, Deliver

The speaker posits that Canada is undergoing a similar "Unite, Act, Deliver" transformation, driven by several factors:

• Unity:

  • US Trade Policy: Canadians have united in response to fundamental changes in US trade policy.
  • Global Landscape: Unity has emerged in the face of a more dangerous and divided world.
  • Technological Change: Canadians are uniting to address the opportunities and challenges of accelerating technological change.
  • Intergovernmental Cooperation: Unprecedented cooperation is occurring across all levels of government, regions, and between the public and private sectors.

• Action and Ambition:

  • Economic Transformation: Canada is fast-tracking major projects to transform its economy and breaking down interprovincial trade barriers.
  • International Partnerships: A key focus is finding new partners and deepening existing relationships abroad.
  • Nation-Building Projects: Over the past few months, Canada has announced over $115 billion in nation-building projects, including new ports (e.g., Contrecoeur at the Port of Montreal with DP Ports), energy corridors, critical minerals, and clean energy initiatives.
  • Budget 2024: The government's first budget aims to unleash $1 trillion in investment over the next five years.
  • Climate Competitiveness Strategy: This strategy aims to double Canada's clean electricity grid (currently over 80% clean) through incentives like:
    • Clean electricity tax credit.
    • Productivity super deduction.
    • 100% write-off for investments in the sector.
    • Dedicated funds for power grid connections.
  • Expanded Tax Credits: Incentives are being boosted for carbon capture and storage, clean technology, clean hydrogen, clean tech manufacturing, and critical minerals development.
  • Critical Mineral Sovereign Fund: A $2 billion fund is established to finance new projects, emerging companies, and provide price certainty for critical minerals.
  • Infrastructure Investment: Over $10 billion will be spent on essential infrastructure, from mines to trade corridors and ports.
  • Defense Spending: An $80 billion increase in defense spending over five years, with a focus on dual-use technologies like AI and aerospace.

• Delivery and Results:

  • Non-US Exports: Efforts are underway to double non-US exports, generating an additional $300 billion in new orders for Canadian goods and services.
  • Trade Agreements: Canada has signed trade deals and partnerships globally in the last six months, including a comprehensive economic partnership agreement with Indonesia and launched negotiations for free trade agreements with Thailand and the Philippines, aiming for finalization alongside the ASEAN free trade agreement next year.
  • Re-engagement: Canada is re-engaging with global economic powers like India and China.

Canada-UAE Alignment and Partnership

Despite apparent differences, Canada and the UAE share deep alignment:

• Trading Nations: Both are fundamentally trading nations.
• Ambitious Builders: Both are home to builders with ambitions matching their potential.
• Energy Superpowers: Both can lead in the energy transition.
• AI Leadership: Both have the expertise and ambition to lead the AI revolution through infrastructure, applications, and diffusion.
• Foreign Policy Cooperation:
  • Gaza Humanitarian Relief: Canada and the UAE are uniting to scale up humanitarian relief in Gaza, with the UAE's partnership being crucial for delivery.
  • Afghan Refugees: Joint efforts have been made to help evacuate and resettle Afghan refugees.
• Economic Ties:
  • Canadian Companies in UAE: Over 150 Canadian companies operate in the UAE.
  • Annual Trade: Trade exceeds $3 billion annually.
  • Two-Way Investment: Exceeds $100 billion.
  • AI Cooperation: An agreement on AI was signed to expand cooperation on digital infrastructure.
  • Foreign Investment Promotion and Partnership Agreement (FIPPA): Signed yesterday, this agreement is expected to unlock tens of billions of dollars in investment between the two countries. It offers opportunities for Canadian engineering, construction, aerospace, agro-food, seafood, and AI firms.
  • Comprehensive Economic Partnership Agreement (CEPA): Launched yesterday, this agreement aims to take the partnership to a new level by cutting tariffs, removing red tape, expanding market access, and lowering costs for exporters. For comparison, Canada's CEPA with Chile and Korea doubled trade in a decade, and similar or faster growth is expected with the UAE.
• UAE's Strengths: The UAE is described as an economy of $700 billion with over 11 million people, dedicated to leading AI and energy revolutions, a magnet for global talent and trade, and a globally significant commercial corridor and logistic hub.

Canada's Strengths and Investment Opportunities

Canada offers investors certainty due to its:

• AAA Credit Rating:
• Fiscal Discipline:
• Financial Resilience:
• Rule of Law:

Upcoming Initiatives to Elevate the Relationship:

• Canadian Pension Funds: A delegation of Canada's pension funds, managing $2 trillion in capital, will visit the UAE early next year to deepen partnerships and develop new investment opportunities.
• Business Delegation: Canada's Minister of International Trade will lead a business delegation in January, focusing on energy, AI, infrastructure, and agriculture sectors.
• UAE Investor Visits: UAE investors are encouraged to visit Canada to explore investment in transformative projects.
• Direct Commercial Flights: More direct flights will be added to increase tourism, cargo, and trade.
• AI Research Partnership: MA is launching a new partnership with the UAE's Technology Innovation Institute to advance AI architecture research and open a lab in Montreal.
• Cybersecurity Cooperation: Builds on existing cooperation, including BlackBerry's partnership with the UAE's Cybersecurity Council.
• Critical Minerals Processing: An agreement valued over $1 billion is being finalized to expand critical minerals processing capacity in Canada, creating jobs and boosting the long-term supply of essential minerals.

Conclusion

The address concludes with a reiteration of the new chapter in the Canada-UAE relationship, emphasizing unity behind shared interests and values, acting with speed and determination, and delivering a transformative partnership for the benefit of citizens. Canada is presented as possessing what the world wants (resources, innovation) and what the world needs (values), coupled with the ambition to build a better future together with the UAE.