Bailout agreement expiring 2016 for GM in Canada
|General Motors Canada (Photo credit: Wikipedia)|
The warning comes at a time when the auto parts industry, autoworkers union Unifor and others dependent on the auto sector are saying Canada is missing out on its share of new auto investment.
in plants and equipment by the automotive industry is in the range of $1.5 billion annually, down from an average of at least $3 billion each year during the early 2000s, according to a recent study from the Canadian Automotive Partnership Council.
CAPC, a partnership of auto assemblers, parts suppliers, federal and provincial ministers and union representatives, warned that Canada is losing out to the U.S. and for new investment.
On Wednesday, Joe , president of AutoForecast Solutions, sounded a fresh warning on General Motors, saying he expects the auto giant to pull out of Oshawa and reduce its , Ont., plant to a single shift, perhaps by 2019.
Bailout agreement expiringGM’s promise to maintain 16 per cent of its production in Canada in return for its 2008 bailout expires in 2016.
McCabe said the automaker is not making plans for continued production in Oshawa.
"We talk to suppliers, the people who are responsible to bid on new programs at these facilities, and they are looking two to four years in advance, they are not hearing anything from GM," he said in an interview with 's The Exchange with Amanda Lang.