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Canadian auto manufacturing safe whatever happens

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Canadian auto manufacturing safe whatever happens

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While Canada has remained largely aloof on the topic of tariffs, NAFTA and all the noise coming from the US, work has been going on in the background to mitigate any potential fallout from developments.

Were Canada to be slapped with the same kinds of tariffs on cars that is being threatened at the EU, we should survive fine. If NAFTA doesn’t go well, we should be fine. If anything were to happen to Chrysler, we would be fine.
With FCA having a significant presence here in Canada and thousands of jobs at stake, it’s good to know that those in the know have been assessing and planning just in case.

Apparently Unifor President Jerry Dias has been looking at Chrysler and Dodge here in Canada. The assessment was apparently begun after both brands were not included in FCA’s five year plan which was published earlier this year. In a useful coincidence, the work already done is relevant were we to suffer any tariffs or disruptions in trade relations with our southern neighbours.

Canadian auto manufacturing
Fiat Chrysler Automobiles has quite a presence in Ontario. The Dodge Charger, Dodge Challenger, Chrysler 300, Chrysler Pacifica and Dodge Grand Caravan are all manufactured here. Ram trucks are also fully or partly manufactured in the province and all dependent industries are around and about. In all, many thousands of jobs are tied to the success of these brands. Or their continued existence.

Part of the reason for this optimism is that FCA have recently invested over $1.3 billion in retooling and upgrading both its Windsor and Brampton plants. No automaker can ignore that kind of capital investment, or the good, or bad-will of the government should anything happen.

Aside from the investment, the domestic market for these vehicles is strong. The automaker also said steps were being planned to mitigate any tariffs or negative fallout from NAFTA negotiations. They didn’t go into what those steps were.

FCA isn’t the only automaker to have a presence in Canada but as we sell FCA brands in Jeep, Ram, Chrysler and Dodge, we have a vested interest in their survival. It is reassuring that work is being done behind the scenes to mitigate any protectionism from the US and ensure Canada is not affected by the trade policies of a neighbouring country.

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