Part of an integrated North American market
The United States is the primary destination for exported automotive goods in Canada. Today, Canada enjoys a $19.5 billion surplus with the United States on two-way trade worth $137.3 billion. North American Free Trade Agreement (NAFTA) gives Canada access to an integrated market with annual sales of 20 million vehicles.
- No tariffs on original equipment parts imported into Canada, compared to the 2.5 per cent tariff rate in the United States.
- Canada and the United States are actively expanding border capacity through:
- the “smart border” accord
- the allocation of $300 million over five years for Windsor-Detroit bridge, tunnel and road improvements
Well-developed infrastructure
Strategically linked with the U.S. market, Canada´s automotive industry is well served by an excellent infrastructure featuring:
- Multiple border crossings
- Integrated transportation system linking suppliers and customers
- Abundant, reliable, and low-cost utilities including electricity, natural gas and water
- World-class telecommunications and wireless