Letter from John Maloney to Bob Bowman re: Canada's Auto Policy

Skilled Trades Association, CAW Local 199 St. Catharines (General Motors Unit)

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Your friends at STA

remind everyone, at

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Work Smart and Work Safe!

Dear Mr. Bowman:

Thank you for your letter of October 7, 2004, concerning a new auto policy.

You make some very valid points about the importance of the automotive industry to our country and to the Niagara Region. The automotive sector is a major contributor to Canada’s economic performance, accounting for 12% of manufacturing GDP and employing 151,000 people in vehicle and component manufacturing. The government continues to recognise this impact – Canada’s largest manufacturing sector – and we are delivering on our commitment to support the industry in advancing its global with major initiatives such as:

The creation of the Canadian Automotive Partnership Council, which is composed of senior executives from industry (assembly, parts manufacturers, distributors and dealers), labour and academia. The mandate of the Council is to identify ways to strengthen the Canadian automotive industry in the short and long term. The government continues to work with CPAC to develop the national automotive strategy;

Major investments at the Windsor, Niagara Falls and Fort Erie border crossings to ensure the uninterrupted flow of auto products across the border;

The creation of AUTO21, a network of Centres of Excellence involving over 30 Canadian universities and colleges conducting innovative research projects to shape the 21st century vehicle;

Investments in strategic R&D initiatives and next generation automobile development through Technology Partnerships Canada, and investments in advanced science and technology to support innovative work on the next generation of smart, fuel efficient and hybrid vehicles and renewable fuels.

You may be interested to note the recent announcement that the Government of Canada will provide $100 million in assistance to Ford Motor Company of Canada to support the company’s $1 billion redevelopment of its Oakville facility through Project Centennial. This is a major investment for Canada and fulfils our June 2004 commitment to provide assistance to Ford in support of the company’s investment plan.

In the June election, this government committed to help ensure that the automobile industry remains a leading contributor to Canada’s economic growth. We will prepare a new National Strategic Framework for the auto sector in consultation with industry, labour and Members of Parliament, to ensure the strength of this critical industry in the 21st Century. The framework will include a review of existing government programs (including R&D tax credits) to ensure that they are accessible to the auto industry. It will also address issues facing the industry related to climate change, infrastructure, skills development, regulation and research and innovation.

Once again, I thank you for taking the time to write and assure you of my appreciation for the importance of this sector to Welland Riding. You may be interested to learn that the Niagara-Hamilton Caucus, that I chair, and the Ontario Caucus makes regular, direct representations to the Prime Minister reminding him of our commitments to this vital sector. I am also a member of the “Auto Caucus” that meets with the Minister of Industry from time to time to reinforce the auto industry concerns.

With best wishes, I remain,

Yours truly,

John D. Maloney, M.P.
Welland Riding