After the car, the 3500 car dealerships in the country which now crying for help and seek help from the federal government.
The Corporation Dealers Association automobiles (CADA) calls for "creative" from Ottawa to increase their liquidity, while its members are finding it increasingly difficult to obtain credit to finance their inventories.
The chairman of the CADA, Richard Gauthier, argued in a press conference Friday that it was now necessary that the Government provides assistance "imaginative and proactive" to retailers, particularly to ensure they get the credit necessary to ensure the viability of their operations.
He expressed concern about the overall situation of American automobile industries and Canadian strongly shaken by the financial crisis and economic slowdown, ask their respective governments to fly to their rescue.
"If you are not careful here and if we do not take proactive measures (...), could get caught in this hurricane there," he argued.
Nearly 140 000 people work in the automotive retail sector.
Gauthier said that Ottawa clearly wish to banks that they must help small and medium businesses, for the moment, the discussions he had had with them have turned in circles ".
"There is no reason to help banks to be safer and have more cash if the money does not find its way to small companies," added the director of public affairs of the CADA, Huw Williams.
The Canadian banks have benefited from cash injections of $ 110 billion since the beginning of October.
The irony of the thing is that auto sales in the country this year are doing well, even wonderfully, with 1.6 million cars sold so far in 2008, one of the three best years of 'history.
The drop in car prices has greatly contributed to these sales, said the CADA, who fears that the financial crisis of recent months Canadians sends the signal that this is the time to buy.
"Consumers are at the appointment. What worries us is the impact (of the crisis) on those consumers who may think that it is safer to buy a car," said M . Williams.
Meanwhile, the Commons, opposition parties have again accused the Conservatives to sit at the difficulties of this sector.
The industry minister, Tony Clement, visited Washington and Detroit this week to take the pulse of the crisis, while the Big Three (General Motors, Ford and Chrysler) are calling on Congress to support $ 25 billion to enable them to keep their heads above water.
A possible bankruptcy of these manufacturers would give the coup de grace to the Canadian industry, primarily located in Ontario.
In House, the Ontario Liberal MP Mark Holland said he was concerned about the plight of communities that depend on the health of these manufacturers.
"The Conservative government did not realize what the situation was urgent and more mismanagement could mean thousands of jobs lost and more misery to communities already suffering," he said.
According to the New Democrat Peter Julian, Ottawa should not delay to support the industry without him sign a blank check ", ensuring that it is committed to preserving the jobs of its workers.
For its part, the Bloc Pierre Paquette said hoped that the assistance of the federal "guides the industry to attractive" as the vehicle less energy and smaller.
At the local level, political actors have also tried to organize to ensure the future of this sector.
Twenty mayors of municipalities in Ontario, where the automotive industry is predominant, met Friday in Toronto to find a solution "made in Canada".
They believed that the loan guarantees should be the number one priority of governments and argued that no aid simply sign the death warrant of the automotive industry in the country.
The Corporation Dealers Association automobiles (CADA) calls for "creative" from Ottawa to increase their liquidity, while its members are finding it increasingly difficult to obtain credit to finance their inventories.
The chairman of the CADA, Richard Gauthier, argued in a press conference Friday that it was now necessary that the Government provides assistance "imaginative and proactive" to retailers, particularly to ensure they get the credit necessary to ensure the viability of their operations.
He expressed concern about the overall situation of American automobile industries and Canadian strongly shaken by the financial crisis and economic slowdown, ask their respective governments to fly to their rescue.
"If you are not careful here and if we do not take proactive measures (...), could get caught in this hurricane there," he argued.
Nearly 140 000 people work in the automotive retail sector.
Gauthier said that Ottawa clearly wish to banks that they must help small and medium businesses, for the moment, the discussions he had had with them have turned in circles ".
"There is no reason to help banks to be safer and have more cash if the money does not find its way to small companies," added the director of public affairs of the CADA, Huw Williams.
The Canadian banks have benefited from cash injections of $ 110 billion since the beginning of October.
The irony of the thing is that auto sales in the country this year are doing well, even wonderfully, with 1.6 million cars sold so far in 2008, one of the three best years of 'history.
The drop in car prices has greatly contributed to these sales, said the CADA, who fears that the financial crisis of recent months Canadians sends the signal that this is the time to buy.
"Consumers are at the appointment. What worries us is the impact (of the crisis) on those consumers who may think that it is safer to buy a car," said M . Williams.
Meanwhile, the Commons, opposition parties have again accused the Conservatives to sit at the difficulties of this sector.
The industry minister, Tony Clement, visited Washington and Detroit this week to take the pulse of the crisis, while the Big Three (General Motors, Ford and Chrysler) are calling on Congress to support $ 25 billion to enable them to keep their heads above water.
A possible bankruptcy of these manufacturers would give the coup de grace to the Canadian industry, primarily located in Ontario.
In House, the Ontario Liberal MP Mark Holland said he was concerned about the plight of communities that depend on the health of these manufacturers.
"The Conservative government did not realize what the situation was urgent and more mismanagement could mean thousands of jobs lost and more misery to communities already suffering," he said.
According to the New Democrat Peter Julian, Ottawa should not delay to support the industry without him sign a blank check ", ensuring that it is committed to preserving the jobs of its workers.
For its part, the Bloc Pierre Paquette said hoped that the assistance of the federal "guides the industry to attractive" as the vehicle less energy and smaller.
At the local level, political actors have also tried to organize to ensure the future of this sector.
Twenty mayors of municipalities in Ontario, where the automotive industry is predominant, met Friday in Toronto to find a solution "made in Canada".
They believed that the loan guarantees should be the number one priority of governments and argued that no aid simply sign the death warrant of the automotive industry in the country.
No comments:
Post a Comment