Automotive Production Trends Post-COVID-19: Canada

The future of Canada's economic stability lies in the auto parts and automotive industry; it is defining Canada's role in developing and manufacturing electric vehicles (EVs) and related technology.
May 10, 2021

Automation, collaboration, and investment are the three ingredients to keep the automotive industry afloat during and post-COVID-19. The future of Canada's economic stability lies in the auto parts and automotive industry; it is defining Canada's role in developing and manufacturing electric vehicles (EVs) and related technology. After the pandemic exposed Canada's supply chain's weaknesses and the importance of having a flexible, innovative manufacturing base, economic planning by governments shifted toward a more focused industrial policy. Canada needs to position itself more in a supplier role and push more toward being in the decision-making seat. Toyota, Honda, General Motors, Ford, and Fiat Chrysler have chosen to establish Canada's operations to tap into the country's manufacturing expertise and wealth of talent. The Canadian automotive industry benefits from well-established supply chains and easy access to North American markets through secure trade corridors (Invest in Canada, 2019).

The pace of automation technologies to be deployed has been accelerated in 2020 due to COVID-19, the uncertainty of how long the pandemic would last, and the bottom line of changes and costs moving forward. The new technologies will also help keep employees safe and allow robots to work collaboratively alongside humans, which helps establish social distancing between employees. This was a considerable concern back in March 2020 when plants first shut down due to COVID-19. As plants reopened, they were only able to reactivate up to 50% capacity (CMAJ News, 2020). Robotics and automation technology are an additional plus for keeping workers safe during these uncertain times. Remote monitoring, predictive monitoring, and A.I. will provide essential data on plant operations to improve workflow and free employees for more important tasks. Supplier plants had to demonstrate to GM – and in the case of Mexican plants, to government authorities – that they had safety procedures to protect people returning to work.

 Supply Chain Operational Shifts

Automation, collaboration, and investment are the key to Canada's economic success and future (Invest Canada, 2019). The connected provinces of Montreal, Quebec, and Ontario account for 45% of automotive manufacturing in North America, making them the largest hubs of automotive manufacturing and engineering, research and development, and businesses in the continent. Canada has been focused on the future of automobiles and COVID-19, and the decline of oil demand has proven industry leaders and investors right. Their strength in information technology and automotive manufacturing has made the country a global leader in innovation. Montreal is the world's leader in AI for autonomous and connected vehicles, as well as in the electrification of transportation, both for research and development and manufacturing. Quebec leads the market for electric cars (Electric Autonomy, 2019).

The information provided in this article is based on research and report provided by George Washington University – CIBER Bootcamp and commissioned by IBDGi on behalf of AMT.


References

Invest in Canada. (2019). Invest Canada: Automobile Sector. Retrieved from Invest Canada: https://www.investcanada.ca

CMAJ News. (2020 June 12). Coronavirus in Canada. CMAJ News. Retrieved from https://bit.ly/3g0GSNn

Electrica Autonomy. (2020, March 2) Canada's EV Charging Networks Retrieved from https://bit.ly/2DSSq8o

Recent intelligence News
Japanese industrial manufacturers are being encouraged to not exclusively rely on China but instead to also find a “plus one” country to shift production into – if not back into Japan itself...
Last June, the Brazilian auto manufacturing market plunged 58%, continuing its downward trajectory that had begun due to the COVID-19 pandemic (Calmon, 2020). At the time, ANFAVEA predicted the market would not recover before 2025 (ETAuto.com, 2020)...
COVID-19’s spread rapidly accelerated trends in robotics and electric vehicles that will greatly change the Chinese automotive scheme. Even before the pandemic, by 2018, China had increased its purchase of robots by 15%-20%...
Electric vehicles (EVs) will replace light-duty internal-combustion-engine vehicles (ICEVs) that run on gasoline and diesel in the coming years. The shift is necessary to combat climate change. It could also upend global competition in the world’s...
Recently on IMTS spark, Dave Leone, Director of Engineering, Dimensional Control at GE Appliances (GEA), sat down with Robert Schoenberger, Editor, Today’s Motor Vehicles, to discuss the digital transformation that happened at GEA when they embraced 3D...
Similar News
undefined
Technology
By Stephen LaMarca | Jun 11, 2021

Women in Manufacturing Hall of Fame now accepting nominations. Italian Roboze bringing additive manufacturing hub to Texas. No longer satisfied with building watches and jewelry, the Swiss look to growing them. Size matters: Boston Micro Fabrication.

5 min
undefined
Technology
By Benjamin Moses | Jun 11, 2021

Episode 51: Ben and Steve share their pre-college manufacturing and tradecraft education and experiences. Stephen claims Boston is the new Switzerland in terms of precision manufacturing. Benjamin talks about the precision of manufacturing electric...

22 min
undefined
Intelligence
By Mario Winterstein | Jun 11, 2021

Japanese industrial manufacturers are being encouraged to not exclusively rely on China but instead to also find a “plus one” country to shift production into – if not back into Japan itself...

5 min