Embed Size (px)
Citation preview
JAPAN AUTOMOBILE MANUFACTURERS ASSOCIATION OF CANADA
Annual Industry Review – 2017
CONTENTSIntroduction 4
A Partnership Spanning Half A Century 6
Sales & Trade Drive Production Forward 8
Free Trade Drives Growth 10
2016 Highlights 12
Employment 14
2016 Manufacturing Operations 16
Plants In Canada 18
Exports & Imports 20
New & Recent Developments 22
Celebrating over 50 years of economic
contributions and growth in Canada
JAMA Canada
Annual Industry Review – 2017 / 54 \ Japan Automobile Manufacturers Association of Canada
For over 50 years, Japanese brands have played a vital role in the success of Canada’s automotive industry. This partnership continues to grow as Japanese vehicle sales, production and exports reach record volumes in Canada for the third year in a row.
In 2016, for the first time, over one million Japanese-brand vehicles were produced in Canada in a single year. This represents about 44 per cent of all light-duty vehicles manufactured in Canada*. Hundreds of thousands of Canadians drive safe, reliable, environmentally-friendly Japanese-brand vehicles built right here in Ontario.
According to a recent study*, since 2001, the Japanese-brand segment of Canada’s automobile industry has generated a 61 per cent increase in direct, intermediate, and expenditure-induced jobs stemming from JAMA Canada members’ head and regional offices, vehicle assembly and auto parts manufacturing plants, and Japanese-brand dealerships across Canada. Including spin-off employment, the Japanese-brand auto industry in Canada supports over 203,000 Canadians in high quality jobs in local communities across the country.
The growth of Japanese-brand presence in the market continues to buck trends, growing its share of vehicle production and job creation, even as Canada’s automotive industry has experienced volatility in overall light vehicle production capacity in the post-NAFTA period. The proportion of Japanese-brand OEM employment compared to the entire market increased in 13 out of 15 years between 2001 and 2016.
As Japanese automakers and Canadians continue to build a solid partnership built on shared values, the growth of key performance data shows Japanese-brand contributions are helping to grow a strong and globally competitive auto industry in Canada.
* The Economic Contributions of the Japanese-brand Automotive Industry to the Canadian Economy (2001 – 2016),
by Greig Mordue & Brendan Sweeney, June 2017. (http://www.jama.ca/aq/news/index.asp#A201706280)
INTRODUCTION
TYPE OF OPERATION:
1. Head Office
2. Regional Office/Sales & Service Reps/Parts Distribution Facility
3. Vehicle Manufacturing & Assembly Plant
4. Parts Manufacturing Plant
5. Port/Transportation Facility
6. R&D
A. BRITISH COLUMBIA
Hino 2
Honda 2,5
Mitsubishi 5
Nissan 2,5
Subaru 2
Toyota 2,4,5
B. ALBERTA
Toyota 2
Nissan 2
Honda 2,5
C. ONTARIO
Hino 1,2,3
Honda 1,2,3,4,5,6
Mazda 1,2
Mitsubishi 1,2
Nissan 1,2
Subaru 1,2
Toyota 1,2,3,5,6
D. QUEBEC
Hino 2
Honda 2,5
Mazda 2
Nissan 2
Subaru 2
Toyota 2,5
E. NOVA SCOTIA
Honda 2,5,6
Toyota 2
AB
C
D
E
JAMA Canada Members’ Operations
Annual Industry Review – 2017 / 76 \ Japan Automobile Manufacturers Association of Canada
A PARTNERSHIP SPANNING HALF A CENTURY
$1.7 BILLION In EI premiums,
CPP/QPP contributions,
personal income taxes
and import tariffs
$5 BILLION In income earnings
helping contribute to
the Canadian economy
The contributions of Japanese automakers have played a critical role in
the Canadian economy since Japanese brands first came to Canada in
1965. From vehicle and parts manufacturing to distribution and sales
and service infrastructure, Japanese automakers have invested billions
of dollars in the success of Canada’s automotive industry.
The Japanese-brand segment of the market continues to support
hundreds of thousands of skilled jobs, support vibrant local economies
across the country and compete as a vehicle exporter on a global scale.
2.0
1.8
1.6
1.4
1.2
1.0
0.8
0.6
0.4
0.2
0.0
Mill
ions
Year
65 70 75 80 85 90 95 00 05 10 15
Japanese Automakers in Canada (1965-2016)
Total light vehicle market in Canada
Vehicle production (Honda/Toyota/(CAMI 89-08)
Vehicle exports
Japan-built vehicle sales
NAFTA-built auto sales
Annual Industry Review – 2017 / 98 \ Japan Automobile Manufacturers Association of Canada
SALES & TRADE DRIVE PRODUCTION FORWARD
15.8 MILLION Japanese-brand vehicles have
been sold in Canada, since 1965
The free flow of trade, technology and ideas between Japan and
Canada has opened the door to massive economic benefits and
increased production and sales domestically.
In the mid-1980s, virtually 100 per cent of Japanese-brand vehicles
sold were made in Japan. When the Canada-US FTA came into force
in 1989, Japanese-brand light vehicle production in Canada was a
little more than 100,000 units annually. In 2000, six years after the
NAFTA was implemented, output had climbed to about 535,500 units
annually. And in 2016, production had nearly doubled to over
1 million units for the first time.
By 2016, 76 per cent of Japanese-brand vehicles sold in Canada were
locally built in North America: 29 per cent were built in Canada, 36 per
cent were built in the US, and 11 per cent were built in Mexico.
Since 1986,
17.4 MILLION Japanese-brand vehicles have been BUILT in Canada
Annual Industry Review – 2017 / 1110 \ Japan Automobile Manufacturers Association of Canada
As a result of long-term investment in vehicle manufacturing in North
America by Japanese automakers, all NAFTA partners benefit from their
growing presence:
2016 2000 Change2016
Share2000 Share
Canada 1,012,880 530,535 90.9% 15.9% 16.1%
USA 3,976,482 2,433,769 63.4% 62.3% 73.8%
Mexico 1,291,918 332,297 318.9% 21.8% 10.1%
Total NAFTA 6,381,280 3,296,601 93.6% 100.0% 100.0%
NAFTA Production - Japanese Brands
(source: Ward’s, JAMA Canada)
Needless to say, the investment and growth of production in
Canada would not have happened without open access to the
much larger US market through preferential trade agreements
like the Canada-US FTA and NAFTA.
As a result of increased production domestically, currently over
79,000 direct and indirect jobs have been created in Canada:
including sales, service, distribution, manufacture, export and
import of vehicles and parts.
Japanese-brand automakers built over
1 MILLION vehicles in Canada for the first time in 2016
FREE TRADE DRIVES GROWTH
Annual Industry Review – 2017 / 1312 \ Japan Automobile Manufacturers Association of Canada
2016 HIGHLIGHTS
680,314Japanese-brand light
vehicles sold in
Canada in 2016
Key Industry Metrics
Japanese auto brands revved up production, export and sales volumes
in 2016, achieving record volumes for the third year in a row.
CURRENT KEY INDUSTRY METRICS 2016 2015 % change
Total Cdn Light Vehicle Sales 1,948,899 1,898,485 2.6%
Japanese Brands 680,314 656,233 3.7%
Market Share 34.9% 34.6% --
Total Cdn Light Vehicle Production 2,356,170 2,268,996 3.8%
Japanese 1,012,880 975,705 3.8%
Share 43.0% 43.0% --
Japanese-Brand Canadian-built Exports 816,585 784,457 4.1%
Imports from Japan 163,433 144,762 12.9%
Imports from NAFTA/others 324,014 316,681 2.3%
Total Employment - Direct & Indirect 79,865 77,043 3.7%
Vehicle/Parts Plants 33,215 31,927 4.0%
Head/Regional Offices 2,144 2,116 1.3%
Dealerships in Canada (est.) 44,506 43,000 3.5%
(source: JAMA Canada)
816,585The record-breaking number
of Japanese-brand vehicles
exported from Canada in 2016
Annual Industry Review – 2017 / 1514 \ Japan Automobile Manufacturers Association of Canada
203,000 Skilled jobs
across Canada
EMPLOYMENTSince 2001, direct employment by the Japanese auto industry in
Canada has increased 70 per cent, with direct, intermediate and spin-
off employment currently estimated at nearly 203,000 skilled jobs
across the country.*
12,296 Vehicle Manufacturing
20,919 Parts, Materials,Machinery,
Tool Die Mold, etc.
2,144 Head Offices
Administration & Sales
44,506 Dealership (est.)
As of June 2017
79,865Total Direct/Indirect
Employment in Canada
Direct & Indirect Employment in Canada
Auto Dealerships And Parts-Related Plants
1,238 new vehicle
dealerships
60 parts-related
plants
* Source: Economic Contributions Study, Mordue/Sweeney, June 2017
Annual Industry Review – 2017 / 1716 \ Japan Automobile Manufacturers Association of Canada
2016 MANUFACTURING OPERATIONS2016 Manufacturing Operations: Over $11 billion has been invested
by Japanese car brands in Canadian automotive manufacturing and
assembly plants since 1986.
Toyota Motor Manufacturing Canada (TMMC)
Location: Cambridge, Ontario & Woodstock, Ontario
Start-up: November 1988 (Cambridge) &
November 2008 (Woodstock)
Cumulative Investment: $7.2 billion
Vehicles Built: Cambridge North: Corolla
Cambridge South: Lexus RX 350, RX450h
Woodstock: Toyota RAV4
Employment: 8,000 +
Production: 601,716 - 2016
Export: 504,891 - 2016 (83.9%)
Annual Capacity: 500,000 units (2 shifts)
Honda of Canada Mfg (HCM)
Location: Alliston, Ontario
Start-up: November 1986
Cumulative Investment: $4.7 billion
Vehicles Built: Plant 1: Civic Coupe/Sedan
Plant 2: CR-V
Engine Plant: 4 cylinder
Employment: 4,200
Production: 411,164 - 2016
Export: 311,694 - 2016 (75.8%)
Annual Capacity: 400,000 vehicles & 260,000 engines (2 shifts)
Hino Motors Canada, Ltd.
Location: Woodstock, Ontario
Start-up: April 2006
Cumulative Investment: $3 million (equipment only)
Vehicles Built: Models: 165, 195, 258, 268, 338, 368
Employment: 96
Production: 2,506 - 2016
Export: For Canada only
Annual Capacity: 2,000 units (1 shift)
Annual Industry Review – 2017 / 1918 \ Japan Automobile Manufacturers Association of Canada
3. Toyota Motor Manufacturing Canada (Woodstock)
4. Hino Motors Canada, Ltd.
1. Honda of Canada Manufacturing
2. Toyota Motor Manufacturing Canada (Cambridge)
5. Canadian Autoparts Toyota Inc. (CAPTIN)
6. Waterville TG Coaticook
7. Waterville TG Inc. (Waterville)
8. Bridgestone Canada Inc. (Joliette)
9. NTN Bearing Mfg. Canada
10. F & P Inc.
11. TRQSS, Inc.
12. MSSC Canada
13. TS Tech Canada Inc. (On Leslie St.)
14. Vuteq Canada Inc.
15. Bridgestone Canada Inc. (Woodstock)
16. Freudenberg-NOK
17. Tasus Canada Corporation
18. INOAC Interior Systems LP
19. TS Tech Canada Inc. (On Harry Walker Pkwy North)
20. Trimont Manufacturing Inc. (Scarborough)
21. Listowel Technology Inc.
22. ACG Automotive Canada Inc.
23. Dyna-Mig, A Division of F & P Mfg., Inc. (Stratford)
24. Sanoh Canada, Ltd.
25. Jefferson Elora Corp. (JEC)
26. KTH Shelburne Mfg. Inc.
27. Kumi Canada Corporation
28. Musashi Auto Parts Canada Inc.
29. Denso Manufacturing Canada, Inc. (DMCN)
30. Showa Canada Inc.
31. Waterville TG Ontario
32. TG Minto Corporation
33. FIO Automotive Canada Corp.
34. Toyota Boshoku Canada Inc. (Elmira)
35. Amino North America Corporation
36. Toyotetsu Canada, Inc.
37. Toyota Boshoku Canada Inc. (Woodstock)
38. Aisin Canada Inc.
39. Hayashi Canada Inc.
40. Takumi Stamping Canada Inc.
41. ABC INOAC Exterior Systems, Inc.
42. Arvin Sango Canada Inc.
43. TG Minto Corporation - Stratford Plant
44. Howa Canada Manufacturing Inc.
45. THK Rhythm Automotive Canada Ltd. (St. Catharines)
46. THK Rhythm Automotive Canada Ltd. (Tillsonburg)
47. Mitsui High-tec (Canada) Inc.
48. Canada Mold Technology Inc.
49. SMC Pneumatics (Canada) Ltd.
50. DJ Galvanizing
51. Coilplus Canada Inc.
52. Durez Canada Company, Ltd.
53. Maple Automotive Corp. (Cambridge)
54. Kintetsu World Express (Canada) Inc.
55. Horiba Automotive Test Systems Inc.
56. Toyota Tsusho Canada, Inc. (Woodstock)
57. Tsubaki of Canada Ltd.
58. NGF Canada Limited
59. Green Metals Canada, Inc.
60. Maple Automotive Corp. (Woodstock)
61. Toyota Tsusho Canada, Inc. (Cambridge)
62. Autrans Corporation Ingersoll Plant
63. Jervis B. Webb Company of Canada, Ltd.
64. KWE Guelph
65. Omron Automotive Technologies
66. Simcoe Parts Service Inc.
67. Sanyo Canadian Machine Works Inc.
VEHICLE MANUFACURING PLANTS
AUTO PARTS PLANTS
MATERIALS, MACHINE TOOLS, SUB-ASSEMBLY & SERVICES
33,215Manufacturing Employment in Canada
Vehicle Manufacturing Auto Parts Materials, Machine Tools,
Sub-Assembly & Services
9
1
52
54
63
57
27
166
2
37
51
565960
623 4
1646
36
42
35 40
31
12
1150
ONTARIO
Toronto
London
Windsor
WoodstockStratford
St. Thomas
Cambridge
GuelphListowel
HamiltonFort Erie
Alliston
Newmarket
Orangeville
55
Barrie
St. Mary’s
Petrolia
Chatham
Tillsonburg
Simcoe
Ingersoll
St. Catharines
Oakville
33 38 394323
18 4815
14
21
32 28
25
34 29
1745
41
2024
10 30
1319
44
26
22
5361
5864
67
4965
Delta
BRITISH COLUMBIA
5
JolietteWaterville
Coaticook
QUEBEC
87
6
47
PLANTS IN CANADA
Annual Industry Review – 2017 / 2120 \ Japan Automobile Manufacturers Association of Canada
IN 2016, CANADA EXPORTED
OVER 5 TIMES the number of Japanese-brand
vehicles imported from Japan.
EXPORTS & IMPORTS
900
800
700
600
500
400
300
200
100
Year
87 90 95 00 05 10 15 16
Thou
sand
s
The manufacturing and export of Japanese cars in Canada has had a
tremendous impact on Canada’s economy for decades. Canada continually
exports more Japanese-brand vehicles than have been imported from Japan.
Since 1993 Canada has exported 4.5 million more Japanese-brand vehicles
than have been imported from Japan, the US and other countries combined.
The Importance of Imports
In 2016, while 29% of Japanese brand Canadian sales were built in Canada,
47% of sales were imported from the US & Mexico (NAFTA), and 24% were
imported from Japan. Since high volume vehicles are the typical models built
locally in North America, imports from Japan are critical for JAMA Canada
members as this 24% share represents about half of all the various models
needed to meet the diverse transportation needs of Canadian consumers.
Exports from Canada Imports from Japan, US, Mexico, others
4.5 million net vehicle exports since 1993
Canada Net Export Of Japanese-Brand Vehicles
4.1% INCREASEof vehicle exports from 2015-2016,
the third consecutive year of growth
22 \ Japan Automobile Manufacturers Association of Canada
NEW & RECENT DEVELOPMENTS
Honda Canada announced an $857 million investment in its three
manufacturing plants in Alliston, Ontario. HCM is now the global lead
plant for the current Honda Civic.
Toyota Motor Manufacturing Canada will produce RAV4 vehicles in
its Cambridge North Assembly plant starting in 2019, including a RAV4
Hybrid model. Toyota will also launch the next generation of Lexus RX
350 and 450h in Cambridge, Ontario with a $421 million investment.
Hino Motors Canada has expanded its operation in Woodstock
(an additional 43,000 sq. ft.) to localize the cab trim line, which will
increase local parts sourcing, as well as increasing plant employment
to 96 team members.
Mitsui High-tec (Canada) Inc. has opened its first Canadian plant in
Brantford to develop precise motor core tooling for the automotive
industry. Highly skilled employment is expected to more than double
in the near future.
INQUIRIES:Japan Automobile Manufacturers
Association of Canada
151 Bloor Street West, Suite 460
Toronto, Ontario, CANADA
M5S 1S4
Tel: 416-968-0150
Email: [email protected]
Web: www.jama.ca
Celebrating over 50 years of economic
contributions and growth in Canada
