Auto production in Canada is about to reach 2.5 million vehicles this year, the highest level since 2008, before the recession.
The record sales level was reached thank to the US market which accounts for 80% of the Canadian auto sales, according to a report by Scotiabank.
“In the United States, passenger vehicle sales continue to gain momentum, with purchases revving up to an annualized 14.9 million units in September,” said Carlos Gomes, Scotiabank senior economist and auto industry specialist.
Sales in Canada are also strong, 6% up year-over-year in September thanks to a 12% increase in sales for import brands. The North American plant s are running at full capacity, with several of them adding third shifts, to be prepared to meet stronger demand.
The increase comes when the CAW signed a new four-year deal with the Detroit Three, according to which Ford, GM and Chrysler cut costs of new hires and preserve the existing workers’ benefits and wages. Ford promised to add 600 new jobs, and GM will add 1,750 new employees in the following four years. Ford of Canada remained the top-selling brand in September and year-to-date, followed by Chrysler up 2% and GM took the third place despite a 12% increase last month.