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Develop This: Economic and Community Development

DT #554 Navigating the Complexities of Tariffs on the North American Auto Industry - Flavio Volpe

09 Apr 2025

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Summary In this episode of Develop This, Dennis Fraise speaks with Flavio Volpe, president of the Automotive Parts Manufacturers Association (APMA) in Canada. They discuss the historical ties between the Canadian and US automotive industries, the integration of the North American auto supply chain, the current state of tariffs and their impact on the industry, and the future of the Canadian auto parts sector. Flavio emphasizes the importance of collaboration and understanding between the two countries to navigate the complexities of trade and tariffs. Takeaways Flavio Volpe is the president of the APMA, representing Canada's automotive sector. The historical relationship between Canada and the US auto industries dates back to 1904. Canada plays a significant role in the North American auto supply chain, with many parts crossing borders multiple times. Tariffs imposed on auto parts can severely impact the industry, threatening jobs and production. The Canadian auto parts industry is intricately tied to US and Mexican operations, employing thousands across North America. Free trade agreements have allowed for significant investment and growth in the Canadian auto sector. The integration of the automotive supply chain means that parts come from various countries, not just the US and Canada. The future of the Canadian auto parts industry depends on maintaining strong trade relations with the US. Trust and collaboration are essential for navigating the current trade environment. The Canadian auto sector has a symbiotic relationship with the US, and both countries benefit from this partnership.

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