Canadian Auto Execs Urge Bolder Action as Trump Looms Threats
TORONTO — Leaders in the Canadian automotive sector argue that the nation should leverage the challenges triggered by the Trump-era industrial crisis to foster greater development within its own borders.
At a Canadian Club gathering in Toronto, Flavio Volpe, who leads the Automotive Parts Manufacturers’ Association, advocated for investigating the possibility of establishing a new car company based in Canada.
Next to housing, the largest expenditure globally is transportation, making it the costliest, most sophisticated mobile item one can purchase. So, why shouldn’t we venture into this market?
Although Canada boasts a robust automotive sector with approximately $50 billion in investment pledges from six major car manufacturers in recent times, the nation also possesses every element required to foster a homegrown leader in the field, as per his statement.
We simply never found the drive to take that next step and ask ourselves, why can’t we? Why don’t we?
He is advocating for a thorough examination of just how feasible this could be, pointing out that nations such as Vietnam, Turkey, and Mexico are already making strides with their national branding efforts as electric vehicles remove certain obstacles to market entry.
Volpe, who has spearheaded an initiative for developing a domestically designed electric vehicle, acknowledged the difficulties of establishing a new automotive company. However, considering the disruptions caused by Trump’s tariffs, he emphasized the importance of being bold and investigating alternative options.
The disgrace would lie in not making an attempt, as all we ultimately end up doing is playing defence.
Robert Wildeboer, the executive chairman of Martinrea International, stated during the event that the disruption in trade relations with the U.S. serves as both an alarm and a significant chance for advancement.
He expressed faith that Trump will see the importance of a strong North American trade block to counter China, even if he summarizes the current U.S. trade approach as “incoherent.”
“That doesn’t imply that we’re unable to collaborate on something truly excellent within this context,” stated Wildeboer.
The United States will need to recognize who its allies and friends are.
He emphasized that for the purpose of strengthening the Canadian and North American industries, a new trade agreement should be established alongside increased requirements for North American content—with penalties severe enough to ensure compliance.
Overall, efforts should be made to encourage international car manufacturers to produce more vehicles within the area to bridge the gap between the 20 million cars purchased by North Americans and the 15 million assembled locally.
If higher productivity is achieved, everyone feels content.
The report from The Canadian Press was initially released on May 21, 2025.
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The Canadian Press