auto industry 2020 and beyondcompetitiveness innovation talent investment priorities capc vision to...
TRANSCRIPT
AUTO INDUSTRY 2020 AND BEYOND
DON WALKER CEO
Topics for Today
• CAPC
• USMCA
• BCC
• Global Automotive Industry
Competitiveness Innovation Talent Investment
Priorities
CAPC VISIONTo be the location of choice for automotive manufacturing within North America, driven by an environment that is globally competitive, promotes research and innovation, and develops the people, skills and technology necessary to succeed today and in the future.
Competitiveness
Manufacturing Competitiveness Dean Stoneley, Ford
Regulatory Efficiencies Dean Stoneley, Ford Frank Voss, Toyota
Borders and Infrastructure Reid Bigland, Fiat Chrysler Jerry Dias, Unifor
Innovation
Advanced Manufacturing and Productivity Improvements
Linda Hasenfratz, Linamar
Next Generation Technologies Scott Bell, General Motors
Talent Talent Attraction and Skills Development
Bob Magee, Woodbridge
Investment Investment Attraction Flavio Volpe, APMARob Wildeboer, Martinrea
CAPC Committee
5
1
2
Strengthening the
Investment Climate
3 Focusing on Talent
Harmonizing Environmental
Policies
Common Themes
USMCA/CUSMA
• Two Years in the Making
• Importance of Auto (Jobs, Investment, Innovation)
• US Objectives (Assembly Plants, Balanced, Level Playing Field)
• Canada Needs to Sign
• Auto Details Being Worked on
Reginal Value Content (RVC)
• 60% up to 75%
• Core Parts 75% by the End of Year Four
• Principal 70%
• Complimentary 65%
Labour Value Content (LVC)
• $16 US/Hour
• Define “Direct Production Worker”
• Define what is included
Uniform Regulation• How to Calculate
• RVC, LVC, Steel/Aluminum Content
• Timing
Industry Trends
• Electrification
• ADAS
• New Mobility
• Data
ADAS Penetration Rates
LARGEST GROWTH
L1-L3
Source: Internal Magna Q4 2019 Estimated
10%
21%
39%
21%
7% 2%
Level 0 Level 1 Level 2 Level 3 Level 4 Level 5
2030
Powertrain Electrification
ICE Micro hybrid Mild hybrid PHEV / HEV EV
17-19%28-29%
10-15%
26-29%11-17%
2030
ESTIMATED VEHICLES
WITH ELECTRFIED
POWERTRAIN IN 2030
70M
Source: Internal Magna
Sustainability
• Industry Perception
• Focus Areas -- Products & Manufacturing
• Greener Initiatives
– Water & Energy Conservation
– Emission Controls
– Waste Management
Business Council of Canada
• Reduce Regulations
• Significant Infrastructure Projects
• Simplify the Tax System
• Re-examine Foreign Policy
• Increase Immigration
• Develop National Resource & Climate Strategy
Vision for Canada
• Economic Strategy
• Education
• Health care
• Taxation
• Innovation