As Small Car Sales Expand Ontario's Importance Shrinks
Greg Keenan — AUTO INDUSTRY REPORTER
From Tuesday's Globe and Mail
Published Monday, Feb. 06, 2012 7:23PM EST
Last updated Monday, Feb. 06, 2012 7:27PM EST
Just as the auto industry recovery kicks into a higher gear in Ontario, billions of dollars in new investment in southern North America and a shift to smaller vehicles are threatening the long-term health of the province’s key economic engine.
Auto makers produced more vehicles in Ontario than they did in Michigan again last year, but these trends are alarming in what auto makers say is now the highest-cost country in the world to make cars and trucks.
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“Almost all greenfield [investment] is going to be small products because of the environmental regulations and we can’t compete on small products,” said industry analyst Dennis DesRosiers, president of DesRosiers Automotive Consultants Inc. of Richmond Hill, Ont.
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