ameri resources


Need an office in metro Detroit, Alabama or Toronto? Office suites, meeting rooms, virtual offices, network access




free downloads
USA: "U.S. Office Demand Steady on Strength of ICEE Industries" report

USA: "U.S. Office Demand Steady on Strength of ICEE Industries" report. 16-page report by Colliers International.

proceed to download
eJournals





back to index backAMERItalk November,  2016


Canadian Auto Industry Worth Investing In, Says Parts Association

The recent investments in the auto sector indicate Canada is still appealing to foreign investors and manufacturers, says the head of the Automotive Parts Manufacturing Association.

Last week The Solcz Group Inc. sold auto supplier Valiant TMS Group of Companies to an unnamed Chinese consortium of companies and investors. That followed the recent investment commitment by Fiat Chrysler Automobiles and General Motors during contract negotiations with Unifor.

Investments like this tell everybody that Canada is worth investing in,”  said APMA president, Flavio Volpe. We’re inundated with the negative perception of where the Canadian growth chart is going.”

During contract negotiations, GM and FCA combined to promise about $900 million in Canadian investments. Unifor is currently in negotiations with Ford Motor Co. and seeking investment in the company’s Windsor engine plants.

Two GM plants and two FCA plants will see significant upgrades and investments and FCA has already spent about $3 billion retooling its Windsor, Ont., assembly plant where it builds the Chrysler Pacifica minivan.

Volpe said the Oct. 20 Valiant sale, and the recent investment commitment by FCA and GM are good indicators for the future of the Canadian industry.

The fact a foreign investor, regardless of origin, sees a Canadian supplier as a strength is always good news,” he said.

It also means the Chinese are looking to expand into the North American market.

The Chinese have been making acquisitions large and small around the world including in the Great Lakes in automotive for the past several years. This one hit our radar and other people’s radar because Valiant is such a high-profile company and such a big player in Canadian automotive,” Volpe said. It looks like an acquisition of a strategic asset to serve a market here.”

Volpe said the Chinese group will gain ready-made business access” to North American assembly and supply.

They certainly see the value in supplying the American, Japanese, European and Korean customers of Valiant in North America,” he said. They maybe want to have a footprint here for when Chinese assemblers show up, they could supply them directly.”

The group may also be taking advantage of Valiant’s long-term desire to expand in the Asia-Pacific market, Volpe said. Valiant already developed Valiant TMS Technology in Shanghai a few years ago.

They may want to supply in-house needs for machines for their assembly in China,” Volpe said of the Chinese consortium.

Volpe said everything about the deal is right” and predicted that it’s likely not the last investment in the country.

You can surmise from this that there are other active conversations ongoing,” he said. It’s probably happening on a wider scale than you can imagine.”

Source: AutoServiceWorld - GAI





previous page

go top
search our site


Loading

AMERItalk

Other articles from the same issue (November,  2016).

The Economic Implications of Potential NHTSA and EPA Regulatory Revisions on U.S. Light Truck Sales and Manufacturing
play read on

North America Autos: Q3 Build Finishes Ahead of Estimates; Inventory Being Addressed
play read on

Canadian Auto Industry Worth Investing In, Says Parts Association
play read on

US SAAR Likely Finishes Ahead of Estimates for Second Consecutive Month
play read on

Canada auto deals secure plants for now, longer-term uncertain
play read on

Apple is developing automotive software in Canada with former BlackBerry employees
play read on

Tech & Car Companies Resist California's Proposed Autonomous Vehicle Rules
play read on

Experts release new roadmap for US robotics
play read on

Keeping Up With Advanced Manufacturing
play read on

The chief legal officer and the board: Dealing with challenges in a challenging role
play read on

Supply Chain Strategies For A Post-Global World
play read on

Worried about China, the US pushes for homegrown chip development
play read on

U.S.: Use of Non-Compete Agreements – Too Much of a Good Thing?
play read on

Moody's: Outlook for the North American manufacturing industry remains negative
play read on

The Trans-Pacific Partnership and U.S. Trade Policy
play read on

NAFTA costs U.S. manufacturing jobs, but so does China
play read on

The reindustrialization of America
play read on

U.S.: Social Security Wage Base Increase 7% for 2017
play read on

What’s In Store for EB-5?
play read on

Getting Ahead of the Megatrends in Transportation and Logistics
play read on

U.S.: Employer Beware: Antitrust Enforcement Agencies Set Their Sights on Anti-Competitive Hiring and Compensation Agreements
play read on

The “What’s in it for my business” approach to Next Manufacturing
play read on

Looking to Canada to Satisfy Your Workforce Needs
play read on

U.S. Court of Appeals upholds ELD mandate, denies OOIDA’s request
play read on

Canada: CPP expands, affecting employer pension plans; Ontario plan dropped
play read on

The 10 Worst (and Best!) US Airports for TSA Security Delays
play read on

U.S.: NLRB Continues to Click “Dislike” on Social Media Policies
play read on


Our Free eJournals
GlobalAutoExperts

To visit GlobalAutoExperts Directory, click here.


©2008 GlobalAutoIndustry.com | HCI Group, Ltd.
101 West Big Beaver Road, Suite 1400 | Troy, MI 48084 USA
USA Tel: +1.248.687.1060 | USA Fax: +1.248.927.0347
Fax UK: +44.(0)845.127.4765 | Fax Europe: +31.20.524.1659 | Fax Asia: +852.3015.8120