According to Bloomberg, the Trillium Network for Advanced Manufacturing (“Trillium”), a manufacturing think tank, said Canadian auto plants will produce about 1.3 million vehicles this year, the lowest level in decades except during the New Crown epidemic. This is the lowest level in decades, except during the New Crown epidemic, as U.S. companies idled factories in Canada amid slowing demand.
In contrast, in 2018, the Canadian plant also produced more than 2 million cars and light trucks. Trillium stated in a report that Mexico is currently the second largest supply country in Canada’s sales of cars, and the Canadian country has been reduced to the third largest supply country. It can be seen that Canada’s car production has declined. The United States is still the largest producer of Canada in selling cars and trucks.
According to data from Trillium, about 50%of the cars and light trucks sold in Canada were calculated in the US dollar value, and 15%were produced in the Mexican factory.
At the same time, according to Trillium’s calculations, in the Canadian automotive market, the market share of cars and trucks made in Canada has fallen to 9%, while cars from Japan, Germany, South Korea and other countries occupy the remaining market share.
Trillium’s data reveals the damage to the Canadian automobile industry because in the Canadian automotive market, Asian competitors have snatched the share of Detroit car manufacturers in the United States, and Detroit Automotive manufacturers are also trying to transform to electric vehicles.
However, the next President Donald Trump in the United States has said that 25%of tariffs are imposed on all products from Canada and Mexico, which will further hinder industries that rely on the supply chain of North America (the United States, Canada and Mexico).
Although Trump’s threat to tariffs is currently shrouded in the Canadian automotive industry, the decline in Canadian automobile production this year is more related to the cooling of electric vehicle demand.
Ford Motor is the only Canadian assembly plant in Oakville, the only Canadian assembly plant in Ontarian, Ontario, because Ford Motors originally planned to produce electric vehicles, but it has once again changed the electric vehicle strategy. Ford has previously stated that it will produce a large electric SUV in Canada, but this plan was canceled in April this year. Today, Ford Motor said it plans to produce the F series super pickup in Oakville by 2026.
About a year ago, Stellandis produced the last Chrysler 300C sedan in Blanpton, Canada, Canada. However, according to the company’s previous statement, the factory intends to put into production again in the future to produce a Jeep model.
GM’s factory in Ontario, Canada is still operating to produce electric commercial bikes, but its production capacity is far from enough.
At the same time, the Canadian automobile parts industry is still growing to provide raw materials for factories across North America. For example, Ford Motors produced heavy pickups in southwestern Ontario, Canada, used for heavy pickups made by Louisville, Kentucky, USA.
Brendan Sweeney, the managing director of Trillium, said in a telephone interview: “If the United States impose tariffs on Canada, then the United States is also imposing tariffs on Ford Motors, which may increase the Ford iconic model F-favored by American consumers F- The cost of 250 and F-350.