Canada needs a Buyer Of Last Resort program.
Because every time an economic downturn hits (2008, Tariffs, etc), the same culprit industries are begging for bailouts over and over: Lumber, Steel, and Autos. And the same silly socialist response gets proposed every time: bailouts, bridge loans, and stronger EI payments. This is stupid. The following industries should be designated as strategically important:
STEEL: Steel is a commodity with an unlimited shelf life. So if a steel/aluminum sector shutdown looms, govt would step in to stockpile common steel SKU's to keep industry running. Coordinating with large steel consumers (shipbuilders, rail, civil) should also occur. Gov can sell into the market rebound.
LUMBER: Same thing. Lumber has an unlimited shelf life. Gov can begin stockpiling finished lumber (to a limit) to bridge a lumber downturn, selling into the rebound.
AUTO MAKERS: The Canadian army has desperately outdated light vehicles. Shutting down manufacturing during this shortage, when the
Silverado and
Roshel Senator are MADE IN CANADA, is insane. Gov agencies should have an emergency order on standby for these downturn instances. Drop $5B or $10B to redo the whole light army fleet. Pre-engineer the vehicle before hand and setup quickly pivotable production lines with industry, to bridge downturn events. Similar can happen in the aerospace sector.
Stop pissing away opportunity please, Canada.