This report summarizes what industry stakeholders and researchers have indicated helps automotive manufacturers win production mandates and explains the context for the variable demand side of the labour market forecasts we will produce in the later part of the project.

Of course, many other factors will influence the demand for labour in this sector including the introduction of new technologies, changing consumer preferences, and economic cycles. However, corporate decisions that relate to allocating the production of specific vehicles to specific locations within North America are central to determining the share of North American production that occurs in Canada. These corporate decisions will therefore have a critical impact on the demand for labour within the sector.

At the time this report is released, our team is working on how to define the sector and measure the size of the workforce. We do know that the industry has an extensive and complex supply chain. Our preliminary research indicates that in Canada between 177,000 and 188,000 people are employed in the broadly defined automotive sector, and that the economic output of automotive assembly and exported automotive parts is well over $83 B per year. Included in the total jobs provided by the sector are over 20,000 skilled trades jobs and over 28,000 senior management, engineering and other technically oriented jobs. Thus, the automotive industry is a key driver of economic activity in Canada.