The Globe and Mail reports in its Thursday edition that jaws were dropping on factory floors in Ontario's auto belt last week after Export Development Canada (EDC) announced plans to loan about $530-million to help Volkswagen finance growth in Mexico and Tennessee. The Globe's guest columnist Jim Stanford (economist with Unifor) writes that EDC is a federally owned agency, offering loans to Canadian exporters. Mr. Stanford notes that Volkswagen can easily raise all the commercial capital it needs on its own. EDC support for Volkswagen is not contingent on buying anything from Canada. The only requirement is that Volkswagen network with Canadian suppliers to discuss business opportunities in Mexico and Tennessee. Even if a Canadian supplier wins a Volkswagen contract, it is unlikely the work would occur in Canada. Mr. Stanford says the EDC does not mind, because helping Canadian-owned firms open plants in Mexico is part of its strategy. Mr. Stanford notes that trade unionism and other political activity is suppressed, often violently, in Mexico. Mr. Stanford calls Canada's auto strategy fatalistic and incoherent.