It’s a rare good move by the Trudeau government.
It is almost impossible to find a good decision by the Trudeau government.
And yet, the announcement that the government has blocked the takeover of iconic Canadian construction company Aecon by China is a good thing.
Aecon is a massive Canadian construction company that helped build the CN Tower and the Halifax Shipyards. It also does work in sensitive sectors, such as Canada’s telecommunications apparatus.
The company was set to be taken over by China Communications Construction Company Ltd.
Considering that companies in China are really run by the Communist Party, and considering China’s long history of intellectual property theft and other economic abuses, there was immense concern over letting a Canadian company be taken over by China.
Now, according to BNN Bloomberg, “The Canadian government has blocked a proposed takeover of construction firm Aecon Group Inc. by a unit of China Communications Construction Company Ltd. on national security grounds. Prime Minister Justin Trudeau’s government announced its decision Wednesday after launching a security review earlier this year, according to a statement from Canadian Innovation Minister Navdeep Bains obtained by Bloomberg News.”
This is a good decision, and the government deserves credit for doing the right thing here.
Notably, the Conservatives had been calling for the government to block the takeover for many months prior to this decision.
There was also immense public pressure on the government to block the deal, and keep Aecon in Canadian hands.
That said, this is the first time the Trudeau government has stood up to China in this way, and it doesn’t undo the fact that they have previously ignored warnings from Canada’s national security experts and let China takeover sensitive companies with links to our national security.
Additionally, the government is still pushing for a Canada-China ‘free trade’ agreement which would be devastating to Canadian workers, and includes the possibility of China being able to import workers into Canada – which would severely reduce the already weakening bargaining power of Canadian workers.
That’s why we need to be careful that the government doesn’t try using this decision to look like they are all of a sudden tough on China, while pushing the dangerous ‘free trade’ deal through behind the scenes.
So, while today is a rare good decision by the Trudeau government, the government has still shown themselves far too unwilling to stand up to China, and it would take far tougher policies over a consistent period – including rejecting the ‘free trade’ deal – for that to change.
Photo – YouTube