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Reasserting Canada as an Asia-Pacific Nation

Remarks by Hon. David Kilgour
MP for Edmonton Southeast and Secretary of State (Asia-Pacific)
Club of Rome, Canadian Chapter
Army Officer’s Mess

Ottawa, 28 April 2003

Check Against Delivery

Thank you for the invitation; it’s an honour for anyone, who is brave enough, to address a chapter of the Club of Rome.

Je vous remercie de m’avoir invité. C’est toujours un plaisir de prendre la parole devant le Club de Rome. Le Canada est un pays qui a profondément plongé ses racines dans la région Asie-Pacifique. Je discuterai aujourd’hui de cette question et de l’incidence qu’elle aura sur notre politique étrangère dans les prochaines années. Comme je crois savoir que tout le monde ici n’est pas bilingue et que, malheureusement, aucun service de traduction n’est disponible, je présenterai mon discours en anglais. Cependant, si vous désirez obtenir une copie des observations préparées en français, je serai heureux de vous en procurer.

One challenge about speaking here was deciding what to talk about in front of an audience as well-informed and engaged as all of you. To say that there is much to choose from would be serious understatement. To borrow from Thomas Friedman, the well known author and columnist for the New York Times, “huge tectonic plates of history [are] moving ... and now we are all present at the creation of some kind of new global power structure.” [i] Friedman is definitely on to something.

Ladies and gentlemen, what I’d like to discuss briefly are those shifting tectonic plates and how they affect Canada’s relations with the Asia-Pacific region. This question is of enormous importance because – and it’s what many people do not often realise – Canada is an Asia-Pacific nation. And we’re becoming more so by the day. Canada’s largest sources of immigrants last year, accounting for some 90,000 people, were China, India, Pakistan, and the Philippines. [ii] China has been our number one source of immigrants five years running. Our two way trade across the Pacific exceeds our trade across the Atlantic, and has for the better part of ten years.

And if one was looking for a current example to indicate just how tied we are to Asia, the current SARS outbreak is most unfortunate case in point: it really shouldn’t be all that surprising that -after Hong Kong, Beijing, and Singapore – Toronto has registered the largest number of SARS cases. Indeed, we are tied to the Asia-Pacific region like never before. Given our close links, I believe that we have a prime opportunity -- as the title of my talk indicates – to re-assert ourselves as a major Asia-Pacific nation.

Setting the Stage

Before getting to that, allow me to set the stage by touching on some of the broad issues – some of those shifting tectonic plates – I’ve alluded to that impact on our relations with the Asia-Pacific. The war in Iraq has highlighted our broad and very deep relationship with the United States. We face enormous pressure to ensure that our decision not to be part of the military coalition does not adversely affect the relatively seamless passage of people and goods across our common border - across which flows almost $2 billion in trade a day. In allocating more resources to keeping it open, we need to make sure it doesn’t come at the expense of our relations with other parts of the world, especially in Asia-Pacific.

The second pressure resulting from the war is economic. As American Ambassador Paul Cellucci noted a few weeks ago, “Probably for Canada, the priority is trade. For us, the priority is security.” Canada’s economy will be tested if more economies of the West fall into recession. Although the war’s economic impact may hopefully be less severe than many people predicted, we can’t ignore that much uncertainty remains about the state of the world economy. The United States is far and away the most important component of the planet’s economic engine; any further downturn in its economy will have far and wide repercussions, including in Canada. Asia-Pacific countries are also exposed, where exports to the US account for 5% of the region’s entire GDP.

The world now also faces the economic and social uncertainty generated by the onset of SARS. Here in Canada, some private economists are predicting alarming drops in growth forecasts by 1 to 2%.[iii] In Asia, the results could be even worse. This week’s Economist has mused that SARS could be China’s Chernobyl.[iv] The World Bank recently estimated that the combined effect of SARS and the aftermath of the war in Iraq are likely to knock almost one-sixth off economic growth in Asia this year.[v] SARS alone, according to the latest issue of the Far Eastern Economic Review, has already cost Asia $USD11 billion in lost revenue – and this figure is rapidly rising.[vi]

Finally, and perhaps most importantly, such economic anxiety adds to the potential for political unrest fomented by the war in the Middle East. The brevity of the war in Iraq by no means reflects the veritable chasm of misunderstanding between faiths and societies. Some hitherto moderates in the Middle East could be radicalized by the conflict; governments in the region face the constant threat of destabilization. Faith-based opposition to the aftermath of the war in Iraq could play itself out violently in the streets of capitals around the world. Asia-Pacific, home to the world’s three largest Islamic countries, four if one includes India, and some of the most progressive Islamic governments in the world, faces substantial threats to its stability. Let’s not kid ourselves, no country - including Canada - should consider itself immune to this impact.

Ignoring Asia-Pacific at our own peril

Given these circumstances, Asia-Pacific is ignored at our own peril. Ne pas tenir compte de l’Asie-Pacifique est risqué. On trade, the region represents an opportunity to diversify our heavily slanted pattern. Undeniably, the U.S. does - and always will - represent our most important bilateral relationship. The idea is not to reduce trade with any of our current partners, but to ‘widen the pie’ and expand opportunities in a mammoth part of the world that has been largely overlooked for too long. Canadian businesses risk losing market share to faster and more persistent movers, thereby missing the opportunity to build the all-important long-term relationships needed to succeed. Doing business in Asia-Pacific is not for everyone, but there are a lot more Canadian success stories than most realize. We have to convince Canadian business people that, as Manulife CEO, Dominic D’Allesandro, puts it, “it’s at least as attractive to go East as it is to go South”. One Canadian diplomat says much of the ‘70s and ‘80s were characterized by Canadian business communities pushing the government to develop new markets. However, comfort with North American markets, particularly in provinces like Ontario where upwards of 93% of its exports currently flow to the U.S., has reversed the tide from ‘push’ to ‘pull’: in many areas our various governments are now promoting opportunities to the business community.

In the matter of security, Asia-Pacific is of critical importance. While much of the world’s current focus is on Iraq, the DPRK should never be far from anyone’s thoughts. Although the Bush administration has said repeatedly that it does not intend to attack, the DPRK maintains it is a target. Last week’s meetings in Beijing are hopefully the start of process that maintains a de-nuclearized Korean peninsula. It’s also no secret that some terrorist groups, including al Qaeda, have been associated with other parts of the region.

Geopolitically, Asia-Pacific could hardly be more important. Nations include both developed and developing countries, active participants in the war in Iraq as well as vocal opponents, members of the UN, NATO, ASEAN, the Commonwealth, the Organization of Islamic Conference, and the Non-Aligned Movement. The world’s future over the next 50 years will be decided to a very considerable degree by decisions made in New Delhi and Beijing. Japan’s economy is larger than that of all other Asia-Pacific countries combined. Indonesia is the largest Muslim country on earth.

Asianification

At a time when some accuse Canada of having a fading influence in the world, we need to be more aware than ever of all opportunities within our grasp. Canadians are more tied to Asia-Pacific than ever before. As part of what I refer to as Canada’s “Asianification”, our population is increasingly linked through immigration and education. Canada’s existing and potential people to people links are unparalleled almost anywhere in the world. From Afghanistan to the South Pacific, Mongolia to Australia, each Asia-Pacific nation has its own community in Canada. Our capacity for building human bridges is enormous. Many see Vancouver itself as the epitome of a North American Asia-Pacific city. Over 60% of students in the Vancouver school board, and half of UBC’s domestic graduates don’t speak English at home!

We are, of course, a nation of immigrants and our historical immigration patterns have undoubtedly shaped our approaches to both domestic and foreign policy. There is little reason to believe that the results of Canada’s “Asianification” will be any different.

The faces of Canada’s Parliament, legislatures, city halls, boardrooms, classrooms and kitchen tables are changing. Our head of state, Governor General Adrienne Clarkson - one of the most patriotic Canadians one could ever meet - was an immigrant from Hong Kong. Our policy of multiculturalism has encouraged Canada’s diaspora communities to thrive. As University of Toronto Professor, Michael Szonyi, explains, new Canadians are now “tied in complex and ever-changing ways to their countries of origin, which include some of the most dynamic economies of the world, as well as some important political hot-spots.”

Canada’s Sri Lankan community is a good case-in-point. As Sri Lanka continues along its currently bumpy road towards peace after more than two decades of war, Canada finds itself in a unique position within the international community. With over 200,000 Canadians of Sri Lankan origin and the largest Tamil diaspora in the world, we are expected to be active supporters of the peace process - both politically and through development aid-and we are. As a government, we hope to see members of the diaspora extolling the benefits of federalism and the spirit of compromise which has been the foundation of Canada’s history as a nation.

Canadian education has also served to forge ties throughout Asia-Pacific for decades. Many of the region’s government and business leaders have been educated in Canada. With so many students from Asia-Pacific countries currently studying in Canada, we’re set to leave a lasting influence on the next generation of leaders as well - and vice versa.

New Responsibilities

We have an opportunity to expand our role in Asia-Pacific and leverage our changing Asian face. Facing us now, I would argue, is a new responsibility to do so as well. More than ever, the world needs bridge builders. As Canadians, we have defined ourselves as proponents of multilateralism and seekers of constructive compromises. It is a matter of sharing experiences and seeking common ground. Economic and political transformations in many of Asia-Pacific’s developing nations will be shaky and we should be asking ourselves, ‘what can and should we offer?’.

As a nation serious about promoting justice for all, peace, and the rule of law around the world, we need to find more creative ways of dealing with new problems. We must become more creative in engaging with some countries-perhaps adapting Norway’s low-key approach more often.

One example is the idea that a “community of democracies” working together can help preserve and promote democratic values around the world. I’ve been fortunate enough to attend both ministerial conferences on this subject. At the latest one in November in Seoul, then President Kim Dae-Jung of South Korea commented that the greatest achievement of the 20th century was helping democracy to take root and spread across the planet. He noted, “Out of 200-odd countries in the world, 140 have adopted a multi-party system.” Efforts by Canadians at both the government and ‘grassroots’ level – such as people like Gail Stewart and other members of the Club of Rome – are making progress here possible.

In my opinion, one of the most unique roles that Canada can play is to promote inter-faith understanding and dialogue. The subject merited only a short paragraph in the Foreign Policy Review discussion paper, but is, in my mind, one of the most important contributions Canada can make in the Asia-Pacific region.

The power of faiths to move peoples in many parts of the world is increasing. A host of other philosophies and political ideologies - all the “isms” if you like - appear to be discredited and are in any case now unable to motivate large numbers of men and women for long. As new democracies ‘find themselves’ and emerging economies finally blossom, a widespread fear is that perceived religious and cultural divides will deepen and widen.

Undoubtedly, the ‘war on terrorism’ and the one in Iraq will impact the West’s relations with the Islamic world. Within Canada, many remain unaware of the extent to which peaceful Muslim communities around the world feel they are under siege. Malaysian Prime Minister Mahathir’s recent comment that “An attack on Iraq is an attack on Islam,” was immediately discounted by many in the West, but was cheered in many other parts of the world.

Our Foreign Affairs Department recently asked Dr. Uner Turgay, Director of Islamic Studies at McGill University, to travel to some Asia-Pacific countries to assess relations between Canada and Muslim communities in South East Asia. Upon his return, he reported that the Islamic community in the region feels “under siege” and described what he termed an “intense lack of communication between the West and the Islamic world.” As a result of these findings, we are working with Turgay on some follow-up projects, including hosting roundtables and conferences on this topic.

The need for meaningful inter-faith dialogue is striking - and growing daily. However bridges needed are not limited to those between faiths and religious institutions. Nor should they be designed to flow in only one direction. The greater the contacts between organizations, people, cities, NGOs, parliamentarians and more, the better.

Prime Minister Chrétien has noted many times, “We can talk to the world because we have the world within our borders.” Not only do we have the world inside our borders; we have them living peacefully - working and living side by side, teaching and learning from each other. In my own constituency in Edmonton Southeast, we have numerous churches, two mosques, two gurdwaras and a pagoda. With some very regrettable exceptions (many post-September 11th), diverse communities within Canada are demonstrating interfaith understanding. We work together for the security and prosperity of our country and are eager to see Canada’s model of peaceful and productive coexistence enjoyed elsewhere, particularly in our myriad places of origin.

Within Canada itself, this remains a largely unexplored concept. As a nation defined in part by the separation of church and state in practice, some are unsure of our capacity, and some say ‘jurisdiction’, even to deal with these issues. Unlike many of the governments with which these discussions could take place, we also lack an institutional structure to do so. Fresh ideas on how to tackle this are needed. I’m anxious to hear your thoughts on how Canada could best set out to play a bridging role.

Some of the questions we are all asking ourselves is how can we make better use of our hidden “people to people” advantage? How can we better exploit Vancouver as Canada’s gateway to the rest of the region?

Ladies and gentlemen, I hope I have been clear: Asia-Pacific has never been more relevant to Canadians, and vice versa.

Thank you for giving me the opportunity to be here today. I look forward to your comments and questions.

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[i].Thomas Friedman, “NATO’s New Front,” The New York Times, Late Edition, Section 4, page 13, 30 March 2003.

[ii].Available at: http://www.cic.gc.ca/english/monitor/issue01/02-immigrants.html

[iii].Terry Weber, “SARS likely to hit economy, Bank of Canada says,” Globe and Mail Update, 23 April 2003; available at: www.globeandmail.ca.

[iv]. “The SARS Virus: Could it become China’s Chernobyl?” The Economist, 26 April 2003.

[v].Cited from: “Still Spreading,” The Economist Global Agenda, 22 April, 2003; available at: www.economist.com. Also available at: “China Seals off Major Beijing Hospital,” BBC News Online, 24 April 2003, www.bbc.co.uk

[vi]. Trish Saywell, Geoffrey Fowler, & Shawn Crispin, “The Cost of SARS: $11 Billion and Rising,” Far Eastern Economic Review, 24 April 2003, 12-16.

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