bush_cheney2004 Posted March 31, 2009 Report Posted March 31, 2009 Ford Canada provided a competent showing today at a Parliamentary subcommittee (CPAC > C-SPAN). Despite all of Ford Canada's flex manufacturing innovations, a new product mix that is less dependent on light trucks, and even a proposed government upgrade to "scrappage" program incentives (a la Germany), it became obvious that with 80% of vehicle production going to the United States, there is little Canada can do to save automotive jobs with its own market share. Ford Canada related that excess capacity will force plant consolidations in North America if credit channels are not restored to stabilize consumer demand; the dramatic loss of leasing options hurts consumers by forcing them into a more costly purchase decision, including taxes. Quote Economics trumps Virtue.
benny Posted March 31, 2009 Report Posted March 31, 2009 Ford Canada provided a competent showing today at a Parliamentary subcommittee (CPAC > C-SPAN). Despite all of Ford Canada's flex manufacturing innovations, a new product mix that is less dependent on light trucks, and even a proposed government upgrade to "scrappage" program incentives (a la Germany), it became obvious that with 80% of vehicle production going to the United States, there is little Canada can do to save automotive jobs with its own market share. Ford Canada related that excess capacity will force plant consolidations in North America if credit channels are not restored to stabilize consumer demand; the dramatic loss of leasing options hurts consumers by forcing them into a more costly purchase decision, including taxes. Canada can ask a share of jobs (at Ford) equivalent to its market share. Quote
bush_cheney2004 Posted March 31, 2009 Report Posted March 31, 2009 Canada can ask a share of jobs (at Ford) equivalent to its market share. Right....but it gets more complicated because Ford has improved market share in Canada by 200 basis points in a shrinking market. Even the flex assembly or engine plants will not be economically viable below a certain volume level. There is a tipping point that begins to idle and then close plants in Canada Ford Canada laid it all out, giving some insight into why they have gotten along without the latest round of government bailouts. They are ruthlessly managing costs to make their liquidity last as long as possible. When ask by a MP about why Ford was absent from a Quebec car show, Ford replied that all they could afford was one appearance in Montreal (no show is better than a poor showing). Ford had some anectdotal exhibits that couldn't be submitted to the committee because they weren't translated into French, as required by law. Quote Economics trumps Virtue.
benny Posted March 31, 2009 Report Posted March 31, 2009 Right....but it gets more complicated because Ford has improved market share in Canada by 200 basis points in a shrinking market. Even the flex assembly or engine plants will not be economically viable below a certain volume level. There is a tipping point that begins to idle and then close plants in CanadaFord Canada laid it all out, giving some insight into why they have gotten along without the latest round of government bailouts. They are ruthlessly managing costs to make their liquidity last as long as possible. When ask by a MP about why Ford was absent from a Quebec car show, Ford replied that all they could afford was one appearance in Montreal (no show is better than a poor showing). Ford had some anectdotal exhibits that couldn't be submitted to the committee because they weren't translated into French, as required by law. The Chrysler case is more thrilling. Quote
bush_cheney2004 Posted March 31, 2009 Report Posted March 31, 2009 The Chrysler case is more thrilling. Chrysler is toast...think Fiat 124. Quote Economics trumps Virtue.
benny Posted March 31, 2009 Report Posted March 31, 2009 Chrysler is toast...think Fiat 124. Fiat means "let it be done". Quote
Wilber Posted March 31, 2009 Report Posted March 31, 2009 I had a Fiat 124. Good car mechanically but a rust bucket like many makes of that era. The first generation Honda Civics were worse than Fiat for rust. Twin cam engine, four wheel disc brakes. Leading edge stuff for an economy car in the late sixties and early seventies. Drove it from Toronto to Vancouver in early February without a hitch. Quote "Never trust a man who has not a single redeeming vice". WSC
bush_cheney2004 Posted March 31, 2009 Report Posted March 31, 2009 I had a Fiat 124. Good car mechanically but a rust bucket like many makes of that era. The first generation Honda Civics were worse than Fiat for rust. Twin cam engine, four wheel disc brakes. Leading edge stuff for an economy car in the late sixties and early seventies. Drove it from Toronto to Vancouver in early February without a hitch. Friend of mine bought a brand new Fiat 124 back in the 70's....there was a lower end problem so the dealer pulled the oil pan and discovered a rusty crankshaft. Quote Economics trumps Virtue.
benny Posted March 31, 2009 Report Posted March 31, 2009 Fiat CEO Sergio Marchionne in a statement yesterday thanked Obama for his encouragement to finalize a Fiat-Chrysler alliance. Quote
Wilber Posted April 1, 2009 Report Posted April 1, 2009 Friend of mine bought a brand new Fiat 124 back in the 70's....there was a lower end problem so the dealer pulled the oil pan and discovered a rusty crankshaft. I started mine on a 40 below morning in Edmonton. The throttle had frozen open and the RPM went off the clock before I could turn the key off. A few days later the low oil pressure light came on. When it over revved, the crankcase pressure had pushed the frozen dipstick O ring out and it gradually blew most of the oil out the dipstick hole. Filled it up with oil and no more problems. Drove it another 4 years and it was still running great when I got rid of it. Quote "Never trust a man who has not a single redeeming vice". WSC
benny Posted April 1, 2009 Report Posted April 1, 2009 Chrysler's future in Canada looks good to me since Fiat CEO Sergio Marchionne is a Canadian. Quote
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