The Globe and Mail reports in its Saturday, April 5, edition that Southwestern Ontario's automaking sector is still worth investing in. The Globe's Adam Radwanski reports that Canadian parts manufacturers have already shown their ability to adapt, such as when they produced medical equipment during the COVID-19 pandemic, and there is potential for them to shift focus to meet other domestic needs. One major opportunity comes from the planned increase to Canada's defence spending. Trillium Network for Advanced Manufacturing director Brendan Sweeney said, "The most logical thing they could do instead of automotive is, like, a military truck." Other needs parts makers could help meet, he suggested, include mining equipment and even components for Ontario's planned new builds of nuclear reactors.
Government cannot dictate that companies diversify. However, it could empower them to do so through procurement policies, plus training programs and financial incentives for necessary capital investments.
None of that would mean giving up on automaking, which will hopefully bounce back. But it could strengthen the industry regardless, while allowing more needs to be supplied domestically.
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