Vehicle production way up in Canada

Consumer demand grows and more production follows.

January 13, 2011   by Canadian Manufactruing Daily Staff

TORONTO‑Canada’s vehicle production increased by 41.2 per cent in 2010 from 2009 as consumer demand grew by 6.6 per cent, according to the Canadian Vehicle Manufacturers Association (CVMA).

Canadian manufacturers pumped out more than two million cars in 2010, an output increase of over 600,000 from 2009’s production figures. Chrysler, Ford and General Motors collectively produced more than 1.3 million vehicles, all three staying within the top five auto makers in Canada.

Production is only set to increase in the coming year, according to the most recent Scotiabank Global Forecast Update. It projects Canadian vehicle output will jump to 2.4 in 2011 and 2.5 in 2012.

President of the CVMA Mark Nantais said stronger consumer demand increased production. More demand for new cars helped economic output throughout supply chains in most manufacturing sectors.

Investments from the federal and provincial governments and the CVMA have attracted new product mandates that have helped secure the automotive manufacturing industry’s footprint, said the CVMA. Massive investments have also helped the industry uncover more efficient manufacturing processes and better the environmental performance of the facilities, vehicles and engines being produced.

The auto industry currently employs one in seven Canadians.

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