Donald Trump’s promise of jobs, jobs and more jobs for Michigan and Ohio could be bad news for the Canadian auto industry.
Trump has promised to bring back auto manufacturing plants to those areas and it doesn’t take an economics genius to figure out that Trump is targeting Canadian and Mexican auto manufacturing.
It’s important to remind ourselves that there are really no ‘Canadian’ auto manufacturers; what we have are Canadian branches of foreign automakers who set up shop in our country, and that’s a good thing.
It means thousands of jobs for Canadians in the auto sector and related industries.
The concern now is , will Trump pressure American auto makers to shift operations back to the United States ?
His promises to tear up NAFTA and the Auto Pact indicate that dark days may be ahead for Canadian workers.
We know that recent contracts between the auto makers and Canadian unions have promised substantial investment into Canadian operations, but don’t forget that U.S. Steel made similar promises when they purchased Stelco, and how did that work out ?
During this past presidential campaign , Trump has shown little more than a rudimentary knowledge of the ‘give and take’ of international trade.
Canada is an exporting nation and if our largest trading partner doesn’t want to play ball, it could spell trouble for Canadian workers from coast to coast.