A Taicanada IT editorial, March - April2021. Dedicated to Canadian innovators, 

Taicanada.com editorials are both political science and technical with opinions based on available facts

Taicanada.com also publishes short fictional stories from years of experience in Asia primarily Taiwan but also Thailand, Korea, Japan and Vietnam. 

 

A Taicanada.com Editorial, March 2021: 

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Canadian Innovation at Risk

Democracies are not perfect; we have to fight many battles to protect their constitutional principles.  Advances in technology and the very definition of a workplace are accelerating changes in our daily lives while history remains relevant to our ethical and moral compasses. Democracies are always evolving. Although CCP China has no identifiable ethical standards or related verifiable legal processes protecting individual human rights that we enjoy; its governance has evolved into a powerful technocratic authoritarian state which is feeding efficiently into its innovation leaps.

This article focusses on Canada’s challenges and the role and need for engineers and scientists in democratic governance policies to provide support and compliment the accelerating technological changes we find ourselves in. With legalists and idealists dominating political chambers, technocrats are rare in politics within Canada and America.

Most remain in the private sector with a focus on economic development and innovation to the benefit of shareholders.  The decisions of CEOs to outsource relies almost exclusively on direct cost analysis not national economic consequences or domestic employment. As an example of the disconnect between value to Canadian society and sustainability of our under-represented technocrat’s governance model, one only has to consider the bankruptcy of Nortel Networks. As one of the world’s former leading producers of international patents in telecommunications it essentially received no support by our federal government to survive, unlike GM in America.   While one might conclude their trillion-dollar failure resulted from stolen IP property to China that is but one factor.  The larger lesson is that the Canadian government failed to support our brightest innovative multinational blue-chip company financially, through enforcement of IP with China and through lack of robust fair-trade policies.  Sequential Canadian governments kept doubling down on unregulated free trade while Canadian manufacturing under preformed and trade deficits grew. CCP China’s unfettered technocracy is building more than just staple commodities. Its’ military weapon programs and dangerous unregulated biochemical experiments are some of the most advanced.  This article therefore would be incomplete without also including recent deadly consequences of China’s thriving technocracy.

Innovation Competitiveness of Canada

While there is undeniable value in the ethical to legal checks and balances of legalists in control of constitutional law the absence of experienced industry leaders on the technical side in what is a technology age is a detriment to maintaining global innovation pace. Densely populated countries with a large consumer base like China can leverage scale at the expense of countries like Canada.  References attached clearly show CCP China pulling away in terms of patents issued.  Canada’s innovation world index is not only behind China but also countries like Israel as well with poor overall R&D spending. The Global Innovation Index is a leading reference for measuring an economy’s innovation performance. The relationship between a strong manufacturing base and innovation is indisputable. Canada has been on a path for the last two decades not only to outsource most of its manufacturing but it is also forfeiting its innovative capacity at the same time.

The Covid pandemic has opened Canadians eyes to the importance of science-based solutions with the vaccines produced in record time by Europe and America being nothing short of a 21st century miracle. People in democracies listened to top scientists coaching and advising us on how to survive this pandemic, yet their science-based directives were often coached, highly influenced and sometimes disregarded by some politicians both federally and provincially. Besides Canada’s decline in innovation paralleling our outsourcing and IP theft losses, these economic dynamics expose the weakness in democracies ignoring the place of technocrats in governance. If Canada continues on its current trajectory of dependence on outsourcing, free trade deficits not fair-trade and insidious partnerships with untrusted CCP China the new reality our next generation will face will lead to further erosion of our innovative abilities. There is currently no sustainable path towards meaningful and globally competitive employment in the policies that I observe from Canadian political leadership. What is supposed to be a new reality is only all about “any “ job, “any” foreign investor and no incentives to our remaining but dwindling Canadian manufacturers to keep jobs and innovation at home in Canada.  The term globalization remains “code” to outsource everything not invest in Canadian human capital.

Canada’s agricultural base may be the only remaining sector that hasn’t been taken over by foreign interests, many by CCP China. By “any jobs” consider the millions of jobs which Canadian youth will return to in retail, food service and tourism which are typically the lowest paying jobs in our country. This while outsourced Canadian brand manufacturing is dependent on highly sophisticated modern factories in China staffed by proud skilled Chinese employees in Wuhan or Shenzhen where everything from carbon fiber hockey sticks, skates, all sports equipment and every staple imaginable are made. This while Canadian youth are serving beer and giving tours to mainland Chinese Nationals buying their next convenient Vancouver or Toronto CCP hedge real estate property. Otherwise, Canadian youth is homeless living in tents throughout the only urban greenspaces left from the greed of CCP party members or associates driven speculative real estate in Canada.  These are unquestionably what dominates Chinese favorite North American destinations like Vancouver.  The restrictions in Canada against foreign real estate ownership are laughable compared to those in Australia and New Zealand.

Canada has had few politicians that were engineers or scientists.  There are currently only five engineers serving in federal politics, a poor representation from one the largest professional associations in Canada. Much of the public is also unaware that in addition to advanced technical education, Professional Engineers are required to pass entrance exams on Ethics and Law. If Canadian manufacturing is to be rebuilt to world scale automation standards, it is not lawyers and idealistic politicians that will force the change, it is the doers, the makers and the hard working people of Canada.

Democracies will continue to fall behind in innovations as measured by patent applications and R&D spending. Without industrial and high technology leadership in government that partners with trusted foreign governments like Japan, Korea and India who are world leaders in technology. Without immediate large partnerships, Canada doesn’t have a chance. Staying away from any commercial agreements with untrusted countries like China, Iran or North Korea all being hostile regimes is also essential for our sustainability.

With 58,990 applications filed in 2019 via WIPO’s Patent Cooperation Treaty (PCT) System, China ended the U.S. (57,840 applications in 2019) reign as the biggest user of the PCT System that helps incentivize and spread innovation – a position previously held by the U.S. each year since the PCT began operations in 1978.  In the graph below Canada’s dismal number of patents now and its WIPO index list of weaknesses are averaged out by less tangible positives. Assessing the weak positives and critical weaknesses it is my view that Canada’s current index is actually much lower and is characterized by deep rooted problems harming innovation. Canada was unable to even manufacture its own Covid vaccine as did Australia.  I would speculate that much of Canada’s WIPO innovation index is also now driven through insidious partnerships with hostile CCP regime-controlled firms forcing it into further dependency, now on the innovation side. See below.

What further accentuates Canada’s declining and poor record of patent filings is both its lack of training in post-secondary institutions and high level of bureaucracy versus technical orientation in its patent systems, Also Australia. (90.8%), Canada (88%) and India (67.5%) reported a high share of non-resident filings. In 2018 Patent applications filed worldwide reached 3.3 million, and Canada’s is below 10,000. I believe Canada’s poor record of innovative patent filings to be directly connected with its outsourcing of manufacturing. A production environment is an irreplaceable partner to innovation.

Trusted International Partners

 Japan, Taiwan (while independent) and Korea in Asia are our strongest technology allies in democracy. There has never been a more important time to invite those countries to help us rebuild our manufacturing base back to world class status. CCP China must be disqualified from any bidding on such contracts and business investments in Canada by the CCP should be restricted as in India. We are now the developing country whereas these Asian countries are far more advanced than Canada in almost every area of infrastructure and mainstream innovative technologies. Keeping up to provide modern everyday convenience, human dignity, security and health care is essential to keeping our brightest engineers and scientists at home. Below is only a preliminary incomplete listing of day-to-day technology areas related to infrastructure that Canada urgently needs partnering on with our trusted allies in Asia. Not China.

  1. Transportation; Accessibility, convenience and safety. Canada dos not even have secondary safety gates in municipal subways, or convenient washrooms.
  2. Smart Card payment systems. In some Canadian municipality’s coins are still required to board a bus with exact change. National and municipal smart cards in Asia expand payment systems from essential public transportation systems to cover everything from parking to bikes.
  3. Centralized healthcare data. Immediate access to all individual Canadian health care records upon admittance is critical to save lives. Currently Canada’s systems are inadequate across provinces, cities, hospitals and clinics. Medical services are antiquated.
  4. Sanitary Personal Hygiene. Densely spaced convenient, private and modern toilets are unavailable in Canada adding to pandemic risks and overall health risks. The longest municipal commuter train system in North America, Vancouver’s Skytrain does not even have washrooms at its stations.
  5. Public Security systems. Canada is ten years behind street level security surveillance available to police for investigations of crimes. The lack of security cameras in apartments extends from elevators to hallways and garages.
  6. National Emergency Response. Advanced countries in Asia have robust natural disaster mitigation systems and emergency response systems that help protect citizens within minutes if not seconds of an emergency.
  7. Flexible Intermodal Transporatation, Canadian urban areas are years behind providing flexible and affordable options for the public to commute without the prohibitive costs unaffordable to many of those Canadians struggling for even a roof over their heads.
  8. Drone Technologies. In Asia affordable advanced drone technologies with built in GPS limits preventing incursions into restricted air space are readily available to the general public and businesses. Why aren’t some being built in Canada.

Canada has been completely naïve about the risks of China technologies, its security risks and the dependencies it creates. An example of blatant exposures to risk of Canadians is the wide spread adoption of network connected Chinese made Xray and other security equipment in airports. These types of cost analysis decisions are made by untrained bureaucrats and not engineers and IT specialists.

Trusted Asian Partners versus China

Commercial agreements including fair trade agreements can be reliable with trusted Asian partners. History has repeatedly shown us that CCP China will unilaterally change the terms of any commercial or treaty agreement to their favor and for geopolitical gain. Canada needs the expertise, knowledge and modern experience to modernize its manufacturing base. Japan and Korea have shown through their automotive plants in Ontario that they are not predatory trade partners and support mutually beneficial trade based on balanced trade deficits through joint ventures under internationally recognized commercial agreements.

China has always demanded too much in terms of ownership, control and demanded relinquishing our Intellectual Property information to CCP profiteers. Understanding how innovation works in parallel with production facilities is poorly understood and conveniently ignored by our current elected leaders in Canada. Imagine for a moment a Canada that had Taiwan TSMC chip wafer manufacturing plants, Samsung galaxy assembly plants or Japanese robotics manufacturing plants. Our mindset that Canadians are insufficiently skilled, disciplined or available do not reflect reality. Canada has those kinds of relations with our historic allies in Europe, America and needs to push forward with our trusted Asian partners, easing taxation burdens.  The UK and commonwealth countries are also facing similar challenges. The future is clearly not in free trade with the worlds’ largest factory China that can dump billions of products at cost under state subsidies to gain market share while putting all competition out of business. Canada needs to take the World Trade organization assessment of China trade practices seriously and not sugar coat or appease such illegal proclamations as their racist One China principle.

Post COVID-19, Canada needs to put enough financial might into policies that provide incentives to Canadian manufacturing to offset the narrow-minded direct cost calculations corporations use to outsource manufacturing to large scale factories with untrusted regimes located in densely populated countries. Countries that Canada once provided charity to like China are now hostile regimes undeterred from any concept of reciprocity. The wage differential with China has also narrowed while the social costs of unemployed in Canada has skyrocketed and trade deficits are bankrupting us.  Canada’s dire need for sustainable self-resilience away from trade of only our raw materials in an unfair bargain putting us into supply chain dependency has been painfully accentuated through Covid.

Along with Canada’s outsourcing of manufacturing has gone middle income employment, innovative capacity and economic resilience. If Canada can have the strength to shut down entire cities during the pandemic, it should have the resources and resolve to change the unsustainable path of insidious foreign relations and dependency on China supply chain imports. Canada, a nation of forests is even importing without tariffs millions in wood products like laminated boards and furniture.  Canada’s appeasing and friendly relations with a hostile CCP is running in parallel with dwindling Canadian innovation, bankruptcies of major world technical leaders like Nortel and the steady erosion of good jobs. How else to describe the unconscionable corporate outsourcing of manufacturing on all our basic staple commodities but as out of control multinational corporate greed? This can only be replaced by Canadian government incentives. These changes will never happen in Canadian corporate boardrooms without a government partnership that offsets the temporary shareholder losses necessary to decouple from China and bring back jobs to Canada.   

Recent Consequences of CCP China’s Technocracy.

China is much more then only a hostile authoritarian communist state under the absolute control of a single man and party, it is a powerful technocracy. Its’ day-to-day governance operations are run by highly educated engineers and scientists whose goal is to stay one step ahead of rivals through R&D and innovation. Ethics and legalities are hardly a constraint as in democracies as these field experts answer only to the CCP party elite in accordance with ideological goals. The reach of the CCP into every country around the world through extreme nationalists or bribed spying researchers is alleged to feed daily IP into the machinery of innovation in China.

Technocrat CCP leaders are protected by the same type of lies and censorship that CCP China relied on to cover up the origin of Covid19 along with its calculated delays for urgent containment of the Wuhan virus. (see below Taicanada.com FB Post – Mar 20). In a crisis of potential harm to humanity, the communist mission statement of “ kill one to save many” must be taken into consideration. Disclosures of any mistakes or accidents is silenced immediately. The harm to others is a last consideration after defending centralized authoritarian control at any human cost.  Sometime after that its own Chinese population might be considered. For the CCP, globalization is only a commercial opportunity not a responsibility nor one that recognizes or respects human lives of non-Chinese equally.  

Much of CCP China’s current aggressive global posturing is derived from its rapid rise in advanced technologies, much of it originally based on stolen Intellectual property. Its central control abilities have been strongly reinforced by the worlds most advanced internal firewalls, surveillance and communication infrastructures. Its use of technology, is primarily to support central control power and is now a primary weapon for spreading its ideology in todays connected world, in which the CCP claims representation of every Chinese globally in its assertions of rights. In actuality technology for human convenience and life enhancement is secondary to these goals. Its ability to create private Chinese only global communications networks is particularly insidious with financial , immigration and spying activities of less concern to the CCP than any disloyalty to communist ideology.

The effects outside its borders from its predatory behaviors on humanity are measured mainly in terms of commercial opportunities and war on others is through attrition. As an example, instead of declaring an international emergency on Covid, the laboratory that was fueling biotech innovation including potential weapons effectively let the world become an expanded laboratory global experiment, putting millions at risk. The cause of the Wuhan virus, an RNA string that the Wuhan biolab was actively working on, could very well have been spread accidently by those scientists enjoying a bowl of noodles at the Wuhan seafood market. Uncovering a mystery possibly associated with unregulated innovative research, whether it be biological, artificial Intelligence or military relies on access to information and data. That is simply not available from CCP China. This was clearly proven in the carefully orchestrated and severely restricted international W.H.O. investigation team in 2021. One of many international organizations which China should not be allowed to be a member until an international criminal investigation clears it of wrong doing.

Political Commentary by Author

It is difficult to say if more technocrat leadership within Canadian politics could have stopped Canada’s shift into being a dependent consumer nation but surely, they have a better grasp on the relationship between innovation and home-based production facilities. Western EPC (Engineering, Procurement and Construction) firms certainly have a better fundamental understanding of what needs to be done to fix this situation, Canadian politicians have led us into.

The world as a whole is now trying to understand more clearly how CCP communist Nationalist ideology and Chinese culture are working in synergy to drive this perfect storm against democracies and human rights with its web of complex predatory commercial practices. It is ironic that Canada who recognizes the right for Quebec or any province to vote itself out of confederation appeases and economically sponsors through trade policies an expansionist and hostile CCP regime forcing its authoritarian communist governance down the throats of independent democracies and close allies like Taiwan. The appeasement of a One China principle is the racist equivalent of endorsing a One Japanese or One German principle that previously ignited World War II wherein population demographics legitimize annexation. Has the free world learned nothing from the sacrifices of so many?  More recently this same evil racist doctrine was used by Russia to ruthlessly occupy the Crimea.

If it wasn’t so sad it would be laughable that Canada is currently led by an idealism whereby the only real-life experience of understanding Asian culture is possibly that from career teaching in Vancouver.  Canada’s current political parties sorely lack experienced business leaders or strong pro Canadian worker rights like Bob Rae. Our minority government relies on the failed naïve vision of former Prime Ministers like Chretien and P.E.T. who simplified the China relationship economic dynamics in terms of free trade, anti-Americanism and not fair balanced trade with regulated deficits.

The understanding of the CCP China problems in socio economic terms is more relevant and understood in western Canada and Canada’s largest metropolitan areas of Vancouver and Toronto. For many eastern Canadians their only exposure to the insidious nature of Canada’s China supply chain dependence may be through shopping trips to Canadian Tire where made in Canada products can no longer be found.  In Vancouver, the Chinese dominate city areas exclusively like Richmond while the Vancouver Port thrives from Chinese import traffic ballooning our trade deficit. This while Canadian exports of oil from Alberta are blocked by environmental protests that could care less if Vancouver raw sewage was dumped into waterways. No, it is unlikely that BC will champion any real change to the existing Canadian supply chain dependency with China.

 

In Quebec, I attended high school in the same city, Shawinigan, Quebec as Jean Chretien and my siblings. I understand and have thankfully lived in French culture considering it a blessing. It is widely believed and taught in history that modern democracy was founded by the French revolution yet what has happened since? The French colonization atrocities in Vietnam which eventually led to a CCP sponsored genocide there along with widespread racism in France against black immigrants doesn’t offer much hope and understanding of geopolitics. in Quebec politics the ban on traditional Islamic hijabs has ironically been replaced with mandatory Covid masks.

It seems in many ways that the sequence of Quebec based Canadian liberal leaders who fostered close relations with the hostile CCP has almost brought us back full circle to colonial days. This time our foreign oppressor is CCP China, its trade practices and political subversion not taxes from England or France. Hopefully the resetting of these relations and the accountability of those in Canada currently profiteering from China predatory opportunistic trade and its racist ideology will be held accountable.

There are federal, provincial and municipal level taxes and tariffs that can be applied at every step of the way. Heavy taxation through their secondary Canadian homes, through tariffs on China imports and its associated profiteers as well as targeted high global income taxes. Also severe penalties on Mainland Chinese raiding our social programs in Canada, avoiding taxes and leveraging AirBnBs landlord profits while many Canadians go homeless.  None of these opportunistic exclusionary business practices help Canada. These targeted taxes and tariffs can help the badly needed national financial incentive programs to rebuild Canada’s innovative capability and manufacturing base to provide Canadians meaningful employment again.

In addition our leaders need to support the many honest hard working HK , Taiwanese and Asian immigrants that consider Canada their home, not just a convenient secondary residence as recent Nationalist mainland Chinese use to profit, financially sponsor and promote CCP ideology.   

See Paid advocacy FB Posts in February and March 2021 at Taicanada.com Facebook business page and please like and subscribe to Taicanada.com Facebook and Youtube channels. 

References:

  1. Global Innovation Index 2020 (wipo.int)
  2. China Becomes Top Filer of International Patents in 2019 Amid Robust Growth for WIPO’s IP Services, Treaties and Finances
  3. World Intellectual Property Indicators 2019 -Patents (wipo.int)
  4. Day 12: Rejecting Technocracy
  5. https://hbr.org/amp/1986/09/the-folly-of-free-trade
  6. https://www.wsj.com/articles/the-problem-with-innovation-the-biggest-companies-are-hogging-all-the-gains-1531680310
  7. Five engineers elected in the federal election | Engineers Canada
  8. Taicanada.com Facebook business Page posts

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