Canada’s Motor Vehicle Manufacturing Industry: Industrial Outlook Autumn 2016

Production Volumes—The Detroit Three Canadian subsidiaries have reached contract agreements with their workers that include stable production volumes through 2020. Although the Consolidated Line at General Motor’s Oshawa assembly plant will close in 2017, the Canadian industry’s overall production levels are not expected to fall.

Vehicle Sales—Annual vehicle sales in the U.S. will remain around the 17-million mark through the medium term, supported by post-recession pent-up demand and the need to replenish an aging vehicle stock.

Investment—Canadian automakers have committed $1.6 billion for upgrades to existing facilities, but no investments to expand capacity are expected over the forecast.