The topic for this November is an obvious one: I simply can’t ignore last week’s U.S. election.
What might be the potential consequences for us in the life sciences sector in Quebec and Canada? It’s difficult to predict, as there’s no guarantee that, once in office, the officeholder will want or be able to keep all campaign promises, especially the more outrageous ones. However, we can expect an increase in protectionism and a return of taxes at the borders. These measures will have a devastating impact on American consumers’ purchasing power, but also on several of our companies that export their products. This is definitely an aspect to keep an eye on.
Will this tightening of borders also mean a shift in capital financing towards prioritizing American companies? Will our Canadian companies have a harder time securing funding in the U.S.? Some might even face the costly option of opening a branch in a U.S. state—or worse, relocating entirely south of the border.
Based on the rhetoric we’ve seen over the past few years, the future administration may want to tackle pharmaceutical companies and the cost of medications. What would be the impact of a decrease in these prices on the Canadian market, especially when the local industry has already been severely impacted by the PMPRB reform? More broadly, what impact might this have on the industry’s capacity to innovate, knowing that a large part of global pharmaceutical R&D is conducted in the United States?
Looking at the actions taken during the first term and the campaign promises, corporate taxes are likely to drop significantly. This will have a direct impact on the fiscal competitiveness of Quebec and Canada. How will we need to adjust to continue attracting and retaining businesses in our region? And all of this in a context where tax revenues are crucial for maintaining the level of services for the population.
I could continue speculating on many other fascinating topics like research, ecology, the free trade agreement, etc. But I’d rather end with the strangest question to consider: what will the United States look like after four years under a “health czar” who promotes conspiracy theories about vaccines, refutes scientific consensus and advocates for unproven alternative treatments?
I don’t really have an answer to that question… Do you?