Canada’s Motor Vehicle Parts Manufacturing Industry: Industrial Outlook Autumn 2012

The Conference Board of Canada, 9 pages, November 2012
Report by Ksenia Bushmeneva
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This report examines the short-and medium-term economic and profitability outlook for Canada’s Motor Vehicle Parts Manufacturing Industry.

Document Highlights

  • Surging Sales—Pent-up demand for vehicles in the U.S. is expected to persist until 2014, leading to strong growth in sales volumes.
  • Moderating Raw Material Prices—The ongoing European debt crisis and softer growth in developing countries continue to weigh on oil and primary metal prices.
  • Looming U.S. Fiscal Cliff—Uncertainty surrounding U.S. fiscal policy in general and the fast-approaching “fiscal cliff” in particular poses the main risk to the outlook. Failure by Congress and the White House to reach a compromise could send the U.S. economy back into recession.

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