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Annual Industry Review 2019 Annual Industry Review Japan Automobile Manufacturers Association of Canada The Driving Force of the 4 Canadian Auto Industry Staying The Course 6 Putting Canada in the Driver’s Seat 7 Strengthening Partnerships 8 Through Open Trade Manufacturing Plants in Canada 10 JAMA Canada member operations 14 2018/2019 Japanese-Brand 16 Auto Manufacturing In Canada New and Recent Developments 18 New JAMA Canada Directors in 2019 20 01 Key Industry Metrics 2018 2017 % Change The Driving Force of the 46.5% Total Canadian Light 1,984,992 2,038,798 -2.6% Vehicle Sales Canadian Auto Industry 46.5% Nearly half of Canada’s light Japanese-Brand Sales 733,318 719,807 +1.9% Growing Localization Since 1965 vehicle production in 2018 Production Share 36.9% 35.3% - Total Canadian Light Vehicle Production 1,999,691 2,180,488 -8.3% 1.3 Vehicles Japanese-Brand Sales 930,140 1,001,746 -7.1% Built for every one sold in Canada, 5th year of Record Sales Production Share 46.5% 45.9% - Japanese-brand automakers first arrived in soon after. Since 1965, approximately Japanese-Brand Canada back in 1965 – emerging global players 17.2 million Japanese-brand vehicles have Exports 726,838 795,980 -8.7% eager to establish their place in North America’s been sold to Canadians. car market. Ever since, the auto industry in Imports from Japan 198,756 188,591 +5.4% 83,761 Canada and around the world has undergone With a relatively small domestic market in Canadian directly and constant and dramatic change: including Canada, the heart of this growing localization Imports from indirectly employed 294,410 305,826 -3.7% oil shocks, stricter regulations, trade policy, has been trade liberalization, from the Auto Europe intense competition, currency fluctuations and Pact to NAFTA, along with a highly skilled Total employment- disruptive technologies, just to name a few. and globally competitive Canadian workforce. direct & indirect 83,761 80,531 +4% Fortunately, Japanese automakers were ready, What’s more, Canada has new diversified trade Vehicle/parts plants 33,162 33,025 0.4% resilient and up to the challenge. agreements with Asia Pacific (CPTPP) and 210,000+ Europe (CETA), which promise to continue Canadian jobs supported through direct, Head/regional offices 2,258 2,201 +2.6% With rising sales and market share, the first to level the playing field and offer new intermediate, and spin-off employment, Japanese auto manufacturing plant in Canada opportunities for expanded trade. according to a 2019 study Dealerships in 48,341 45,305 +6.7% opened in Alliston in 1986, and others followed Canada (est) 4 Annual Industry Review – 2019 Annual Industry Review – 2019 5 02 03 Staying The Course Putting Canada in A renewed focus on steady, Unrivalled Growth the Driver’s Seat long-term growth Japanese-brand auto manufacturing output in Canada has nearly doubled Celebrating over 50 years since 2000 of contributions and economic With a pragmatic belief in ‘building where you sell,’ growth in Canada Japanese automakers have steadily strengthened their commitment to the Canadian auto industry, $$$ creating high-quality jobs in distribution, sales, service, manufacturing, exporting, and importing motor vehicles $12.7 Billion and auto parts. In fact, we build more vehicles than we Cumulative investment in auto sell and export more than we import. manufacturing since 1986, plus $1.9 billion announced in 2017 / 2018 The automotive industry is inextricably linked to on with a long-term commitment to Canada. Canada’s Japanese-brand auto industry remains resilient economic prosperity in Canada. Recent reports In 2019, Toyota Motor Corp reaffirmed its in the face of global trade and economic uncertainty have identified Canada’s automotive industry commitment to manufacturing in Canada, over the past year. While Canada’s trade-dependent as the second largest manufacturing industry, announcing plans to assemble the Lexus economy derives significant benefits from the robust, adding an approximate $18 billion a year to NX, a compact luxury crossover, at the plant 14 rules-based global trade system, it is also important for 17.2 Million GDP, $86 billion a year to Canadian exports, in Southwestern Ontario. This continued JAMA Canada members that our success continues to 17.2 Million: Vehicles sold in Canada and employing over 126,000 people directly and investment in Canada will give manufacturers be a made-in-Canada story. since 1965 half a million people indirectly. Yet, the market the opportunity to assemble SUVs that have is in flux. Consumer interests are changing. The previously only been built in Japan and will market for mid-sized cars is declining rapidly, secure more long-term growth in the Canadian shifting towards trucks, SUVs, and crossovers. auto sector. Despite the challenges, Canada is benefitting 19.3 Million from innovations by technology startups and a 19.3 Million: Vehicles built in Canada since skilled engineering and technical workforce. 1896, on track to reach 20 million in 2019 In the same vein, Japanese-brands are soldering 6 Annual Industry Review – 2019 Annual Industry Review – 2019 7 04 Strengthening Liberalized trade and open global competition bring greater choice, along with innovation in vehicle safety, Partnerships lower emissions, higher fuel efficiency and alternative Canada is a net exporter Net exports from Canada power trains. Modernizing NAFTA and diversifying trade of Japanese brand vehicles Imports from Japan, US, Mexico, and others Through in the CPTPP will level the playing field on import vehicle tariffs and strengthen the trade relationship between Open Trade Canada and Japan. Since 1993, Canada has exported 5 million more Japanese-brand vehicles than were imported from Japan and all countries during the same period. 5 million net vehicle exports since 1993 Over the past 53 years, the growing presence of JAMA Canada members has helped raise the competitiveness 900 of the Canadian auto industry and continues to push the 800 boundaries of design, engineering, and innovation for the benefit of consumers, associates and team members, 700 suppliers and dealers across Canada. 600 500 400 300 78% 200 x 3.7 70.6% 78% 100 1987 1990 1995 2000 2005 2010 2015 In 2018, Canada exported 3.7 times of Japanese-brand sales in Canada Export ratio: Canada exported more Japanese-brand vehicles than were built in NAFTA in 2018 over 726,000 Japanese-brand it imported from Japan vehicles in 2018 8 Annual Industry Review – 2019 Annual Industry Review – 2019 9 05 Manufacturing Plants in Canada Ontario Light vehicle, truck and engine production Auto parts Materials, machine, tools, sub-assembly and services British Columbia 8 Joliette 5 Delta 7 Quebec Waterville 6 Coaticook 10 Annual Industry Review – 2019 Annual Industry Review – 2019 11 06 Manufacturing Light Vehicle, Truck 17. INOAC Interior Systems LP 39. Takumi Stamping Canada Inc. 55. Horiba Automotive Test Employment In Canada and Engine Production 18. ABC INOAC Exterior Systems 40. Arvin Sango Canada Inc. Systems Inc. 19. Trimont Manufacturing Inc. 41. TG Minto Corporation - 56. Toyota Tsusho Canada, Inc. 1. Honda of Canada 20. Listowel Technology Inc. Stratford Plant (Woodstock) Vehicle Manufacturing 12,832 Manufacturing (2 vehicle 21. ACG Automotive Canada Inc. 42. Howa Canada 57. Tsubaki of Canada Ltd. and 1 engine plant, Alliston) 22. Dyna-Mig, A Division Manufacturing Inc. 58. NGF Canada Limited Auto Parts 17,550 2. Toyota Motor Manufacturing of F & P Mfg., Inc. 43. Blenheim Interior Trim 59. Green Metals Canada, Inc. Canada (Cambridge North 23. Sanoh Canada, Ltd. 44. THK Rhythm Automotive 60. Maple Automotive Corp. Materials, Machine Tools, and South plants) 24. Jefferson Elora Corp. (St. Catharines) (Woodstock) Sub-Assembly & Services 2,780 3. Toyota Motor Manufacturing 25. KTH Shelburne Mfg. Inc. 45. THK Rhythm Automotive 61. Toyota Tsusho Canada, Inc. Canada (Woodstock) 26. Kumi Canada Corporation (Tillsonburg) (Cambridge) Total: 33,162 4. Hino Motors Canada, Ltd. 27. Musashi Auto Parts 46. Mitsui Hi-Tec Canada 62. Autrans Corporation Canada Inc. Ingersoll Plant Auto Parts 28. Denso Manufacturing Materials, Machine Tools, 63. Jervis B. Webb Company Canada, Inc. Sub-Assembly & Services of Canada, Ltd. 5. CAPTIN Auto Parts (BC) 29. Showa Canada Inc. 64. KWE Guelph 6. Waterville TG (Coaticook) 30. Waterville TG Ontario 47. Sanyo Canadian Machine 65. Omron Automotive 7. Waterville TG Inc. (Waterville) 31. TG Minto Corporation Works Inc. Technologies 8. Bridgestone Canada Inc. 32. FIO Automotive Canada Corp. 48. Canada Mold Technology Inc. 66. Simcoe Parts Service Inc. (Joliette) 33. Toyota Boshoku Canada Inc. 49. SMC Pneumatics (Canada) 67. Nippon Express Canada 9. NTN Bearing Mfg. Canada (Woodstock) Ltd. 10. F & P Mfg Inc. 34. Amino North America 50. DJ Galvanizing 11. TRQSS, Inc. Corporation 51. Coilplus Canada Inc. 12. MSSC Canada 35. Toyotetsu Canada, Inc. 52. Durez Canada Company, Ltd. 13. TS Tech Canada Inc. 36. Toyota Boshoku Canada Inc. 53. Maple Automotive Corp. 14. Vuteq Canada Inc.. (Elmira) (Cambridge) 15. Freudenberg-NOK 37. Aisin Canada Inc. 54. Kintetsu World Express 16. Tasus Canada Corporation 38. Hayashi Canada Inc. (Canada) Inc. 12 Annual Industry Review – 2019 Annual Industry Review – 2019 13 07 Type of 1. Head office JAMA Canada member Operation 2. Regional office / sales & service reps / parts distribution facility operations 3. Vehicle manufacturing & assembly plant 4. Parts manufacturing plant 5. Port / transportation facility 6. R&D British Columbia Alberta Ontario Hino: 2 Honda: 2 Hino:
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