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

This report examines the short-and medium-term economic and profitability outlook for Canada’s Motor Vehicle Parts Manufacturing Industry.

Document Highlights

• Surging Vehicle Sales—Strong replacement demand, low financing rates, and a desire for better fuel efficiency are driving U.S. consumers back to dealerships, prompting automakers to boost production.
• Moderating Raw Material Prices and a Weaker Loonie—The European debt crisis and softer growth in developing countries will weigh on oil and primary metals prices and limit loonie appreciation—good news for profits.
• Global Economy Remains Vulnerable—The European debt crisis continues to be a major threat to the global economic recovery.