Tuesday, August 22, 2006

Dennis Vs. Buzz



Here is some more ammunition for you to help you understand the state of the automobile business in Canada. Certainly, it is crucial for us in Windsor. Do our local politicians have to start making some tough decisions about going after the business of the "non-union" Imports the way the Michigan Governor is doing or do they fear the wrath of the CAW voters? Is there some other solution that can help us?

Want to bet whether this subject will be an issue in the municipal election campaign?

In a CTV news story the other day about the Ford layoffs, Buzz Hargrove said,
  • "Buzz Hargrove, president of the Canadian Auto Workers Union, told CTV Newsnet the union is working to avoid more job loss.

    "We're worried that there is more to come," Hargrove said.

    "We're working with Ford, trying to find a commitment for the St. Thomas assembly plant. We're working to ensure the commitment they made to us in bargaining last fall for a new engine project in Windsor is going to continue on. But there's so much uncertainty as Ford continues to lose market share to the imports, we just have to keep working with them."

    Hargrove blamed unfair trade rules that bar North American producers from selling vehicles in Japan or Korea, but allow those countries to ship "literally millions" of vehicles to be sold in Canada.

    He said General Motors and Chrysler are also losing market share to foreign imports.

    "So until our government comes to grips with this unfair one-way trade situation, you're going to see a continuation of this loss of market share."
Dennis DesRosiers differed with that comment and wrote to me providing to me the data above and stating:
  • "And I say, thank goodness most of those import nameplate products are built in North America. Buzz doesn't understand that the problem is not that Japanese or Korean consumers are unfairly being prevented from purchasing GM, Ford and DCX product. The problem is that Canadians and Americans aren't buying GM, Ford or DCX product.

    Dennis

    See attached table that documents sales by source. import nameplates sell more vehicles in Canada made in North America than they sell that are imported. They certainly don't sell "literally millions"

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