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Presentation: The Japanese Auto Industry
in Canada

"Helping Drive the Canadian Economy"

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(updated Mar. 19/03)
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3/19/2003
The Japanese The Japanese- -affiliated Auto affiliated Auto
Industry in Canada Industry in Canada – – 2003 2003
Helping Drive the Canadian Helping Drive the Canadian
Economy Economy
Prepared by Prepared by
Japan Automobile Manufacturers Association of Canada Japan Automobile Manufacturers Association of Canada
For more information, go to For more information, go to www.jama.ca www.jama.ca
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JAMA Canada JAMA Canada
is a non is a non- -profit trade association established in 1984 profit trade association established in 1984
• • to represent its members in Canada, to represent its members in Canada,
• • to promote greater understanding on trade and to promote greater understanding on trade and
economic matters in the automotive sector, and economic matters in the automotive sector, and
• • to encourage closer cooperation between Canada and to encourage closer cooperation between Canada and
Japan Japan
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JAMA Canada Members’ Operations JAMA Canada Members’ Operations
British British
Columbia Columbia
Regional offices Regional offices
Parts Distribution Parts Distribution
Port Facilities Port Facilities
Parts Parts
Manufacturing Manufacturing
Alberta Alberta
Regional Office Regional Office Quebec Quebec
Regional offices Regional offices
Parts Distribution Parts Distribution Ontario Ontario
Cold Test Cold Test Facility Facility
Vehicle Assembly Vehicle Assembly Plants Plants
Head / Regional Offices Head / Regional Offices
Parts Distribution Parts Distribution
Nova Scotia Nova Scotia
Regional Offices Regional Offices
Cold Test Facility Cold Test Facility
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Review of 2002 Review of 2002
• • In 2002, total Canadian light vehicle sales up 8.4% to In 2002, total Canadian light vehicle sales up 8.4% to
1.7 million, an all 1.7 million, an all- -time record level. time record level.
• • JAMA Canada members as a group also set a new sales JAMA Canada members as a group also set a new sales
record with 482,692 light vehicles sold, up 12.1% over record with 482,692 light vehicles sold, up 12.1% over
2001, with a record 28.3% market share, up from 2001, with a record 28.3% market share, up from
27.4% in 2001. 27.4% in 2001.
• • 3 of every 5 vehicles sold by JAMA Canada members 3 of every 5 vehicles sold by JAMA Canada members
were built in North America. were built in North America.
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Results of 2002 Results of 2002
• • 2002 set new records for Canadian production and overall light 2002 set new records for Canadian production and overall light
vehicle sales: vehicle sales:
• • 641,000 vehicles built 641,000 vehicles built (HCM, TMMC, CAMI) (HCM, TMMC, CAMI)
• • 489,000 vehicles exported 489,000 vehicles exported (HCM, TMMC, CAMI) (HCM, TMMC, CAMI)
• • 482,000 light vehicles sold 482,000 light vehicles sold (all members) (all members)
• • JAMA Canada members had 5 of the 10 top JAMA Canada members had 5 of the 10 top- -selling cars in 2002: selling cars in 2002:
• • Honda Civic Honda Civic – – #1 #1 (69,073 units sold) (69,073 units sold)
• • Mazda Protegé Mazda Protegé – – #3 #3 (48,872 units sold) (48,872 units sold)
• • Toyota Corolla Toyota Corolla – – #5 #5 (44,790 units sold) (44,790 units sold)
• • Honda Accord Honda Accord – – #7 #7 (30,060 units sold) (30,060 units sold)
• • Toyota Camry Toyota Camry – – #8 #8 (28,967 units sold) (28,967 units sold)
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Economic Impact Economic Impact
• • On average, 76% of all Canadian On average, 76% of all Canadian- -made vehicles produced by made vehicles produced by
Honda, Toyota and CAMI were exported in 2002 to the US and Honda, Toyota and CAMI were exported in 2002 to the US and
several other countries, including Japan. several other countries, including Japan.
• • Canada has been a net exporter of ‘Japanese’ vehicles since 1993 Canada has been a net exporter of ‘Japanese’ vehicles since 1993. .
Exports have exceeded imports from Japan, the US and Mexico by Exports have exceeded imports from Japan, the US and Mexico by
more than 1.4 million vehicles over the last ten years. more than 1.4 million vehicles over the last ten years.
• • Current employment by all JAMA Canada members, dealers and Current employment by all JAMA Canada members, dealers and
Japanese related auto parts, materials and machine tool Japanese related auto parts, materials and machine tool
manufacturers exceeds 54,000. manufacturers exceeds 54,000.
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2003 Industry Awards 2003 Industry Awards
AJAC Car of the Year AJAC Car of the Year
Canadian Car of the Year Canadian Car of the Year Nissan 350Z Nissan 350Z
Canadian Truck of the Year Canadian Truck of the Year Nissan Nissan Murano Murano
Economy Car Economy Car Mitsubishi Lancer ES Mitsubishi Lancer ES
Family Car Family Car Honda Accord Sedan Honda Accord Sedan
SUV SUV < $45000 < $45000 Nissan Nissan Murano Murano
Sports/Performance Car Sports/Performance Car Nissan 350Z Nissan 350Z
Best New Sports Coupe Best New Sports Coupe < $35000 < $35000 MazdaSpeed Protegé MazdaSpeed Protegé
Best New Design Best New Design Nissan 350Z Nissan 350Z
1. 1. AJAC AJAC – – Automotive Journalists Association of Canada Automotive Journalists Association of Canada
2. 2. Five out of nine segment winners were Japanese brands. Not all J Five out of nine segment winners were Japanese brands. Not all JAMA AMA
Canada members participate in the AJAC awards. Canada members participate in the AJAC awards.
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CAA 2003 Pyramid Awards CAA 2003 Pyramid Awards
Overall Vehicle Satisfaction Award Overall Vehicle Satisfaction Award
1997 1997- -2001 Toyota Camry 2001 Toyota Camry
Vehicle Satisfaction Light Truck Award Vehicle Satisfaction Light Truck Award
1998 1998- -2001 Toyota Sienna 2001 Toyota Sienna
Environmental Initiatives Award Environmental Initiatives Award
Honda Canada Honda Canada – – 2003 Honda Civic Hybrid 2003 Honda Civic Hybrid
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CAA 2003 Ownership Survey CAA 2003 Ownership Survey
1. 1. Toyota Camry (1997 Toyota Camry (1997- -2001) 2001)
2. 2. Toyota Sienna (1998 Toyota Sienna (1998- -2001) 2001)
3. 3. Toyota Echo (2000 Toyota Echo (2000- -2001) 2001)
4. 4. Toyota Corolla (1993 Toyota Corolla (1993- -1997) 1997)
5. 5. Honda Accord (1998 Honda Accord (1998- -2002) 2002)
6. 6. Toyota Camry (1992 Toyota Camry (1992- -1996) 1996)
7. 7. Honda CR Honda CR- -V (1997 V (1997- -2001) 2001)
8. 8. Nissan Nissan Sentra Sentra (2000 (2000- -2002) 2002)
9. 9. Toyota Toyota Tercel Tercel (1996 (1996- -1999) 1999)
10. 10. Toyota Toyota Tercel Tercel (1991 (1991- -1995) 1995)
Ownership Satisfaction Ownership Satisfaction – – Top Ten Vehicles Top Ten Vehicles
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2003 Industry Awards 2003 Industry Awards
EnerGuide Most Fuel EnerGuide Most Fuel- -Efficient Awards, 2003 Efficient Awards, 2003
Honda Insight Honda Insight – – 2 2- -seater seater
Toyota Celica Toyota Celica – – Sub Sub- -compact compact
Toyota Prius Toyota Prius – – Compact Compact
Toyota Matrix Toyota Matrix – – Mid Mid- -size size
Mazda B2300 Mazda B2300 – – Pick Pick- -up Truck up Truck
Mazda Tribute Mazda Tribute – – Special Purpose Special Purpose
Information on the EnerGuide Awards is available in Natural Reso Information on the EnerGuide Awards is available in Natural Resources urces
Canada publication Canada publication 2003 Fuel Consumption Guide. 2003 Fuel Consumption Guide.
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2003 Industry Awards 2003 Industry Awards
CarGuide CarGuide / Globe & Mail 2003 Best Buy Awards / Globe & Mail 2003 Best Buy Awards
Economy Car Economy Car Toyota Echo Toyota Echo
Compact Car Compact Car Nissan Nissan Sentra Sentra SE SE- -R R
Family Car Family Car Nissan Nissan Altima Altima SE SE
Prestige Car Prestige Car Lexus SC430 Lexus SC430
Wagon Wagon Mazda Mazda Protegé5 Protegé5
Compact Sport Utility Compact Sport Utility Honda CR Honda CR- -V EX V EX
People’s Choice (most votes) People’s Choice (most votes) Honda Odyssey Honda Odyssey
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Benefits for Canada Benefits for Canada
• • Significant direct investment Significant direct investment
• • Joint ventures and industrial cooperation Joint ventures and industrial cooperation
• • Direct employment Direct employment – – manufacturing, distribution, sales, manufacturing, distribution, sales,
service service
• • Indirect employment Indirect employment – – local sourcing of supplies and local sourcing of supplies and
services services
• • Contribution to Canada’s external automotive trade Contribution to Canada’s external automotive trade
balance balance
• • Stimulating competition for the benefit of Canadian Stimulating competition for the benefit of Canadian
consumers consumers
Helping Drive the Canadian Economy Helping Drive the Canadian Economy
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Future Developments Future Developments
2003 2003
TMMC to build Lexus RX 330 SUV TMMC to build Lexus RX 330 SUV
• • $625 million new investment, including $200 $625 million new investment, including $200
million for a new paint facility million for a new paint facility
• • 30,000 units new capacity 30,000 units new capacity
• • 300 new jobs 300 new jobs
• • First Lexus vehicle to be built outside of Japan First Lexus vehicle to be built outside of Japan
Helping Drive the Canadian Economy Helping Drive the Canadian Economy
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Future Developments Future Developments
New investments in vehicle and parts manufacturing New investments in vehicle and parts manufacturing
2003 2003
Aisin Canada Inc. Aisin Canada Inc. – – Woodstock Woodstock
FIO Automotive Canada FIO Automotive Canada – – Stratford Stratford
Trim Masters Inc. Trim Masters Inc. – – Elmira Elmira
2004 2004
Amino Corporation Amino Corporation – – St. Thomas St. Thomas
CAMI Automotive CAMI Automotive – – Ingersoll Ingersoll
($500 million to build a new compact utility vehicle, 2005 Equin ($500 million to build a new compact utility vehicle, 2005 Equinox) ox)
Helping Drive the Canadian Economy Helping Drive the Canadian Economy
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Investment, Capacity & Employment In Vehicle Investment, Capacity & Employment In Vehicle
Manufacturing Manufacturing – – 2003 2003
• • $5.6 billion investment $5.6 billion investment
• • Honda Honda – – $ 1.73 billion $ 1.73 billion
• • Toyota Toyota – – $ 2.9 billion $ 2.9 billion
• • CAMI CAMI – – $ 1.0 billion $ 1.0 billion
• • 840,000 units of capacity 840,000 units of capacity
• • Honda Honda – – 390,000 390,000
• • Toyota Toyota – – 250,000 250,000
• • CAMI CAMI – – 200,000 200,000
• • 9,700 employed in vehicle manufacturing 9,700 employed in vehicle manufacturing
• • Honda Honda – – 4,300 4,300
• • Toyota Toyota – – 3,500 3,500
• • CAMI CAMI – – 1,900 1,900
Helping Drive the Canadian Economy Helping Drive the Canadian Economy
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Summary of Contributions Summary of Contributions
• • Current total employment at 54,000 in Current total employment at 54,000 in
vehicle & parts manufacturing, export, import, vehicle & parts manufacturing, export, import,
sales & service sales & service
• • Automakers build well over 1 vehicle in Automakers build well over 1 vehicle in
Canada for every 1 sold in Canada Canada for every 1 sold in Canada
• • Stimulating competition among automakers for Stimulating competition among automakers for
the benefit of Canadian consumers the benefit of Canadian consumers
• • In 2003, annual capacity is 840,000 In 2003, annual capacity is 840,000
units, almost double current sales volume units, almost double current sales volume
Helping Drive the Canadian Economy Helping Drive the Canadian Economy
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Summary of Contributions Summary of Contributions
• • Since 1993, Canadian net vehicle exports have Since 1993, Canadian net vehicle exports have
enhanced Canada’s automotive trade balance enhanced Canada’s automotive trade balance
• • Over $5.6 billion investment in Canadian vehicle Over $5.6 billion investment in Canadian vehicle
manufacturing. Since 1986, over 5 million vehicles manufacturing. Since 1986, over 5 million vehicles
have been produced and over 4 million exported have been produced and over 4 million exported
• • By 2004 over 40 Japanese By 2004 over 40 Japanese – – affiliated auto parts & affiliated auto parts &
materials manufacturing plants will have set up in materials manufacturing plants will have set up in
Canada Canada
• • Investment and industrial cooperation in Canada Investment and industrial cooperation in Canada
has opened up business opportunities, technology has opened up business opportunities, technology
transfer and Canadian parts investment in Japan transfer and Canadian parts investment in Japan
Helping Drive the Canadian Economy Helping Drive the Canadian Economy