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"Whether or not they ever be put into place, the damage is done," said Greig Mordue, a former auto industry executive and associate professor at the W. Booth School of Engineering Practice and Technology at McMaster University.

He says Trump's threats have already changed the landscape. Whether he goes ahead with the tariffs or not, or whether he carves out specific exemptions, the threat alone will drive investment out of Canada and into the U.S.

"For at least the next four years, there will be no serious investment in the Canadian automotive industry," said Mordue.

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[-] CanadaPlus@lemmy.sdf.org 2 points 3 days ago* (last edited 3 days ago)

According to the wiki they still have a plant, but yeah, it shrank over the decades. Then again, other Aussie industries expanded to take it's place.

We're not trying to build this from scratch, and we only need to guarantee continued operation for the near future, not forever. I don't think it's a totally straight comparison.

It’s that they are right next door + 100 years ahead of us on R&D and progress, not to mention having long established integrated facilities and economies of scale.

Both of those things are equally in Canada, and I'm surprised you don't know that given the current news cycle.

Where is your steel going to come from?

We're a big net exporter of that, too!

and the absence of said product in the marketplace kind of tells you everything you need to know about the viability of it.

That's because crossing the border has been free and was assumed to always be free, so it's integrated with the US. American cars are Canadian cars, basically. Now that's changed, and the market (and politics) will have to adapt.

Organising a new company would be a huge problem, and selling overseas even bigger, but we have all the pieces on the production end.

[-] GrindingGears@lemmy.ca 1 points 3 days ago

No doubt we have a lot of production capabilities, and you are right, I'm sure you could piece most of the rest together. The marketplace is the biggest conundrum, I would propose. All those manufacturing facilities are in SW Ontario, so the only way to get them to other markets (which is going to be necessary here, because the Canadian marketplace isn't big enough), it is going to involve ocean liners. Which is feasible, but your margins are going to get cooked here. There's too much risk.

This ain't the industry Canada needs to double down on, in a suddenly protectionist world. It's natural resources, and maybe service related. And hopefully all sorts of other industries that we aren't even thinking about.

[-] CanadaPlus@lemmy.sdf.org 1 points 2 days ago

Yes, in the long term it might make more sense to just let Europe, South Korea and Japan take the lead. Or a poor country - hopefully a democratic one; I trust China only slightly more than the US right now.

The reason intervention would make sense is just to make the transition tolerably gradual. Right now we're talking about production lines and parts companies just sitting and rotting for (sudden, artificial) lack of customers, while Canadian consumers have trouble buying new cars at the same time.

this post was submitted on 16 Feb 2025
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