Honda report a wake-up call to Canadian manufacturers to become more competitive

Honda has announced that it is considering moving production to the U.S., striking worry in Windsor. CTV Windsor’s Robert Lothian has more.

In the wake of since downplayed rumours regarding Honda’s production in Canada, a Windsor-based industry leader feels this is a wake-up call for the country to become more competitive.

When reports broke claiming the Japanese automaker was considering shifting production from Canada to the U.S., Peter Frise had difficulty giving “credence” to the article.

While not outright denying the report published by Nikkei, Honda Canada has stated operations at the Alliston, Ontario facility will continue for the “foreseeable future.”

“So, if Honda were to move, that wouldn’t just affect Honda and people who work for Honda in Canada, it would affect all the companies that supply Honda,” said Frise, a professor of mechanical and automotive engineering at the University of Windsor.

Due to the industry’s “complexity,” Frise said the loss of an assembly plant would have effects noticed across the country.

In Windsor, Canada’s automotive capital, Frise said he’s hopeful Honda’s response provides some ease to concerns of losing manufacturing infrastructure.

After a two-week shutdown, the Windsor Assembly Plant will see workers return for both shifts starting next week.

“I think that people need to understand that these kinds of industrial moves take a long, long time, and it would take many years to plan and execute the move,” Frise noted.

However, the professor warned Canada must make moves to be more desirable to the global market, and less reliant on U.S. decisions.

“No company will invest here unless they are certain that they can make a good return on their investment here,” Frise told CTV News.

“Jobs do not come from collective agreements. Jobs come from people buying your products.”

Though he doesn’t foresee the loss of any Canadian auto assembly plants in the near future, he noted Canada must remember it is in a competition with the rest of the world.