Latest news with #CanadianManufacturersandExporters
Yahoo
13-05-2025
- Business
- Yahoo
Keep calm and train skilled manufacturing workers in spite of tariffs: report
U.S. tariffs on Canadian imports may contribute to unemployment in the short term, but Ontario's manufacturing sector still stands to grow long-term, and much more needs to be done to make sure Canada has enough workers with the skills to do the jobs. That's the message of a new report from Canadian Manufacturers and Exporters titled Keep Calm and Keep Training. Canada's automotive sector may be under pressure from U.S. tariffs, said the organization's president and CEO, Dennis Darby. But the country is a major producer of food products, machinery, chemicals and oil and gas, and recent investments in EV and battery production present huge opportunities. "We think there could be a million people working in manufacturing by … 2035," Darby said. The sector employed just over 830,000 people in 2024. The report draws information from two surveys of manufacturers conducted in December 2024 and January through March 2025. Focus on education funding "The big insight was somewhere just under 30,000 people a year are going to retire out of the sector over the next eight years," Darby said. "And we are certainly not in a great position right now to be able to replace all of those folks." It found that even in southwestern Ontario, which is heavily exposed to the effects of the U.S. trade war, respondents cited shortages of some skilled trades people. "While this pressure will abate to an extent as the short-term impact of tariffs is felt, general concerns with the aging of manufacturing workers highlight the need for long-term regional coordination," it read. The report touches on a number of threats to the sector's workforce – economic unpredictability, skill shortages and funding constraints at colleges and universities – and identifies a range of potential solutions. Those included more incentives for apprenticeship programs; more exposure to trades in high schools; better collaboration between industry and post-secondary institutions; more degree offerings, such as mechatronics; more seats in college apprenticeship programs and attracting workers from underrepresented groups. But a big focus is funding for education, particularly at the secondary and post-secondary levels – money to expand programs, invest in high tech equipment and create more seats. There is also a call for more incentives for apprenticeship programs. Economist Jim Stanford, the director of the Vancouver-based Centre of Future Work, said the report's focus on continued training makes sense because as Canada navigates through the instability caused by the Trump administration, it will need the best workforce possible. Employers need to do their part And he said he fully supports governments playing a bigger role in it. But he said employers also need to do their share, including paying corporate taxes. "You know, it's always ironic when business groups who are constantly demanding tax cuts and other forms of incentives are also saying, 'Government, you must step up your support for colleges and universities,'" he said. "Yes, we need that support. And everyone, including companies, has to pay their fair share toward it." CBC News reached out to the Ministry of Colleges, Universities, Research Excellence and Security for a response to the report. Among other things, we asked whether the government intended to increase post-secondary funding and address the request for funding for high tech training equipment. The press secretary for Minister Nolan Quinn replied with an emailed statement saying the ministry continues to ensure Ontario has the highly skilled workforce needed to drive economic growth. "As our latest step to protect Ontario, we're investing over $800 million to fund news STEM and skilled trades seats at colleges and universities across the province, building on last year's historic $1.3 billion investment and the $5 billion we contribute annually to post secondary education – strengthening the pipeline of highly skilled workers to drive our economy across our critical sectors, including manufacturing," Bianca Giacoboni said. "We're also expanding the Skills Development Fund by nearly $1 billion to support workers impacted by U.S. tariffs, provide in-demand job training, help employers up-skill staff, and [create] new, innovative partnerships between industry and post secondary [institutions]."
CBC
02-05-2025
- Business
- CBC
Getting youth interested in manufacturing crucial for future of Ontario sector: report
As local manufacturers grapple with the ongoing trade war with the U.S., they're also contending with another equally pressing issue — a rapidly aging workforce and an urgent need for new, trained workers. A new report from Canadian Manufacturers and Exporters (CME), released Thursday, shows Ontario's manufacturing sector is set to lose 22,500 workers per year through 2033 from retirement. It's an issue set to hit the London to Windsor corridor hard, where the sector employs tens of thousands of people, or nearly 16 per cent of all jobs. Considered the heart of Canadian manufacturing, the corridor has faced ongoing labour shortages and challenges securing enough graduates in certain trades, CME says. A projected drop in college enrolment numbers, driven by the federal cap on international study permits, will only exacerbate the problem, along with corresponding financial pressures and program cuts. "We've had a difficult time getting new folks in and really getting (them) ready to be that productive, next-generation workforce," Dennis Darby, CME's president and CEO, told Afternoon Drive. That next-generation workforce is needed not just to replace retirees but to fill new positions at new manufacturing expansions, including the EV battery plants in St. Thomas and Windsor. It's critical, Darby says, to begin engaging students as early as Grade 6 and 7 about the possibility of entering careers in manufacturing. "It's about not only ... how do we get kids to take the courses, like everything from mechanics to machinists to CNC operators, but also to upskill the workers we have," he said. "We've got an awful lot of people that have been in the sector for years ... and we've got to constantly upskill, all because we're going to have to be more competitive." The association makes several proposals, including improving incentives for employers to offer on-the-job training, and "addressing obstacles causing apprentices and students to abandon the sector." It also suggests more be done to attract women, Indigenous people and immigrants to the sector. It comes on the heels of a separate report from the Financial Accountability Office of Ontario (FAO). Released Wednesday, the FAO report estimates U.S. tariffs and Canada's response could lead to an estimated 68,100 fewer jobs in Ontario this year, rising to 119,200 by next year. The tariffs would impact southwestern Ontario cities and manufacturing hardest. In the London area specifically, employment could fall 1.3 per cent in 2026, making it the fifth-most impacted Census Metropolitan Area (CMA) in Ontario, the FAO says. Driven by reduced demand for Ontario exports, the province's real GDP growth would slow to 0.6 per cent, compared to 1.7 without tariffs. "This implies that a modest recession would occur in 2025," the report says. Ontario's GDP would take the biggest hit from tariffs on motor vehicle parts, primary metals, and motor vehicle manufacturing. The agency based its analysis on trade actions announced by Canada and the U.S. as of April 17. U.S. Customs and Border Protection guidance released Thursday said CUSMA-compliant auto parts would not face the 25 per cent auto part duties set to go into effect May 3. It's not clear what effect this would have on the FAO's projections. Trump trying to 'break' the auto industry, says car parts association president 8 days ago Duration 7:22 U.S. President Donald Trump said Wednesday that auto tariffs on Canada 'could go up.' Flavio Volpe, president of the Automotive Parts Manufacturers' Association, says Trump is 'trying to break the industry' and adds that Trump is not taking into account the jobs in the U.S. that depend on Canada's auto industry. The trade war has eroded consumer confidence on both sides of the border, driving down demand for goods and services, said Fraser Johnson, a professor of operations management at Ivey Business School. Johnson runs the Ivey Purchasing Managers Index, which measures the month-to-month variation in economic activity as indicated by a panel of purchasing managers from across Canada. "We've seen a softening in terms of purchases, which is a leading economic indicator, and we've seen an escalation of prices over the last four months," he said. "It presents the risk of stagflation, where we have slow economic growth and rising prices." Small and medium-sized businesses are most vulnerable, he said. Canada's real GDP shrank in February by 0.2 per cent, while in the U.S., the economy shrank at a 0.3 per cent annual pace from January through March, the first decline in three years. Trade with the U.S. accounts for at least 77 per cent of the Ontario's total goods exports. Nearly 940,000 jobs in Ontario, roughly one out of every nine, are U.S. export-related, many of them in manufacturing, the FAO said.
CBC
27-03-2025
- Business
- CBC
Kinew commits $1.5M to tariff-impacted industries, orders Manitoba to buy only Canadian-made steel
The Manitoba government is giving a grant of $1.5 million to the Canadian Manufacturers and Exporters to develop a program to support industries impacted by the Trump tariffs. Premier Wab Kinew says he has also ordered the provincial civil service to ensure from now on that Canadian-made steel is used "anytime we build something, anytime we buy something, anytime we acquire a piece of equipment." He made the announcements Thursday at the Gerdau Ameristeel Manitoba mill in Selkirk, just north of Winnipeg, backed by a large Canadian flag and dozens of steel workers in hardhats. "Our government commits to you that your jobs are going to be here, the Selkirk steel mill is going to be here and we're going to have a strong steel sector in Manitoba long after Donald Trump leaves office," Kinew said. "We gotta stand up for our way of life and we have to stand up for the true north strong and free. And that's what today is all about." The U.S. president imposed a 25 per cent tariff on Canadian steel and aluminum, among other products, on March 12. Asked whether his declaration that steel jobs won't disappear means there won't be layoffs, Kinew didn't hesitate. "Yeah, that's what I'm saying. We're going to work together," he said, pointing to loans and other financial supports announced in the budget. "If push comes to shove and we get to a tougher situation, I can tell you that the minister of finance has a whole binder full of contingency plans we can activate," he said. However, he says, the first step in helping businesses stay afloat is to support them through the supply chain, which is why he gave the Canadian steel procurement directive. Asked whether that will make things more expensive for the province, Kinew said "if the government of Manitoba has to invest a few more dollars to ensure we're creating and sustaining steel jobs here in our province, then that's what we need to do. "There has, over the years, been a cost to being cheap when we spend your tax dollars. We always want to get good value for money, but along the way, sometimes, that's led to contractors and subcontractors using steel that's brought in from other countries," he said. "Right now, in this moment of a trade war … it's really important that we think through how we build up this country. The trade war is an economic challenge Canada never asked for, but is ready to fight, Kinew said. "When it comes to patriotism, when it comes to the maple leaf and rallying around the flag, then I think every single Manitoban that I know is willing to step up," he said. "I am not going to let Donald Trump take manufacturing jobs away from Manitoba." However, Kinew balked when asked how the government is helping tariff-affected workers at Eascan Automation. The Winnipeg-based company laid off about a third of its employees as orders for its products dried up due to the trade war. "I'm not going to criticize anyone but Donald Trump," the premiers said when asked whether he was disappointed by the company's decision. There are federal government supports through employment insurance and the work-share program, Kinew said, and repeated the financial packages his government has prepared. As for $1.5-million grant to the CME, it will be used the to help businesses "plan to operate in this new environment," Kinew said. The expertise of CME — Canada's largest trade and industry association — makes it a strong partner to reach manufacturers and equip them with information and support to face the economic uncertainty of the proposed tariffs, according to a government news release that accompanied Thursday's announcement. The program to be offered by CME will include training on tariffs and market diversification, a summit to promote business-to-business connections and financial support for tariff-planning consultations, the release says. Gerdau was established in 1907 in Winnipeg (as Manitoba Rolling Mills) before relocating to the south end of Selkirk in 1913. It continues to be the single-largest employer in the city, which is also home to Karrich Industries and Castle Metals, two other players in the steel industry. More than 70 per cent of the steel produced in the city heads south of the border, Mayor Larry Johannson has previously told CBC News. "They process over 400,000 tons of scrap automobiles, railcars, bridges, and more every year to produce some of the cleanest recycled steel in the world," Johannson said on Thursday.
CBC
04-03-2025
- Business
- CBC
Holt unveils N.B. tariff relief plan, but holds fire on aggressive measures
Social Sharing New Brunswick's Liberal government has unveiled a $162 million "action plan" aimed at blunting the impact of U.S. tariffs on the province's exporters. "When push comes to shove, we will do whatever it takes to defend New Brunswickers and our province," Premier Susan Holt declared Tuesday, hours after the tariffs went into effect. "Our government is using every tool in our toolbox to protect New Brunswick workers and our economy." That includes tens of millions of dollars in the provincial budget to help companies absorb the impact of the tariffs and to support any laid-off workers retrain for other jobs. But Holt is holding her fire for now on two possible ways to pressure the U.S.: cutting off electricity exports to New England, and requiring government pension funds not be invested in U.S. companies. "We will look at other steps," she told reporters. "They are on the table now. They may be implemented in the future." WATCH | Here's how New Brunswick is responding to U.S. tariffs: New Brunswick Premier Susan Holt reveals tariffs action plan 2 hours ago Duration 6:38 From internal trade to the seafood sector, here's how the provincial government is responding to the 25 per cent tariffs imposed Tuesday by U.S. President Donald Trump. Holt's comments followed calls by the Canadian Manufacturers and Exporters to put maximum pressure on the U.S. to get the tariffs quickly. "It's time to fight — fight as in economically. We're not about to be a pushover," Ron Marcolin, the group's vice-president for New Brunswick and Prince Edward Island, told CBC's Information Morning Fredericton. "Yes, collectively we can make President Trump back down, and we will." The Trump administration imposed a 25 per cent tariff on all Canadian imports to the U.S. at midnight. The rate applies to everything but energy, which is subject to a 10 per cent tariff. The tariffs are passed on to consumers and serve to make Canadian products more expensive and thus less competitive in the American market. New Brunswick is the province that relies the most on the U.S. market, with 92 per cent of all exports going there. Marcolin said it won't take long to see the impact of the tariffs. He expects cross-border traffic to slow down by the end of the week and for some companies to start shedding jobs soon as they lose U.S. customers. "It is hard to predict," he said. "It is certainly a case-by-case basis, and certainly a lot of variables are involved, but I would say within weeks." The province estimates that 35,000 jobs in the province are linked to exports to the U.S. and expects 4,000 to 6,000 of them could be lost as a result of the tariffs. Holt called Trump's move illegal and unjustified, and her choice of verb tenses signalled the sense of betrayal Canadians are feeling toward the U.S. "They're our neighbours, they were our best friends and now they're attacking Canada." Among the measures Holt announced Tuesday: A $40 million competitive growth program to help large New Brunswick exporters become more competitive and protect existing jobs, and fund projects to make them more productive and help them diversity markets. Another $30 million to support other businesses, along with $4 million specifically for the fisheries sector. $33 million to support laid off workers with income support and retraining. $5 million redirected from existing Opportunities New Brunswick programs to provide working capital loans to companies affected by the tariffs. $ 5 million for communities affected by the tariffs, particularly border towns. New Brunswick's largest forest products exporter, J.D. Irving Ltd., would not comment Tuesday on how the tariffs would affect its operations, including the pulp it ships from New Brunswick to an Irving Tissue plant in Macon, Ga. "All we can really say at this stage is that we are currently working out the details of what it will mean across our operations," spokesperson Brendan Langille said. "We will continue to work with all levels of government and industry partners as we face these challenges together." The Trump administration released preliminary new rates this week as part of the annual resetting of existing anti-dumping duties on Canadian softwood — a separate measure from the new tariffs. They would raise the combined softwood duties on most New Brunswick exporters to 26.8 per cent from 14.4 per cent, and on J.D. Irving to 23.9 per cent from 11.7 per cent IMAGE] The U.S. administration has also launched an investigation into imposing additional duties on national security grounds, which could place an even greater cost burden on provincial mills. Holt said her government will also remove some of its interprovincial trade barriers to make it easier for Canadian provinces to do business with each other. That includes unilaterally removing nine of the exemptions it has claimed to the internal Canada Free Trade Agreement, the narrowing of one other exemption and the possible elimination of six others — most of them related to procurement. The province has already stopped signing contracts with U.S. suppliers and halted the selling of American alcohol in N.B. Liquor stores. "New Brunswick is ready to take a leadership role to reduce interprovincial trade barriers in Canada," said Intergovernmental Affairs Minister Jean Claude D'Amours. He also said the province was "looking at" automatically recognizing job-training credentials from other provinces for up to 120 days. Holt said her government will assess the impact of its measures over the next three weeks before deciding whether to do more. She said she wanted to avoid punishing Maine residents who rely on New Brunswick for electricity. "Our neighbours in Maine are our friends, and we want to put serious consideration into the decisions that might hurt some of the people that have already spoken up against the tariffs." Marcolin said many manufacturers and exporters in the region have already scaled back on spending on hiring, expansion and maintenance since Trump first threatened tariffs late last year. "We do feel that we're ready — ready as much as you can be, with such a large tariffs," he said. But, he added, "even though today is day one … it hits hard. It certainly is a wake-up call. Today is really the day that we know it's here."
CBC
10-02-2025
- Business
- CBC
Latest threat of steel and aluminum tariffs would hurt N.B., trade expert says
Social Sharing U.S. President Trump's plan to levy 25 per cent tariffs on all steel and aluminum tariffs would put New Brunswick in a bind, according to Canadian Manufacturers and Exporters. "We are in uncharted waters on one hand, but charted waters on the other, meaning that we've been through this before," said Ron Marcolin, the group's divisional vice president for New Brunswick. Trump levied tariffs on Canadian steel and aluminum in 2018 during his first term, and they lasted for just under a year. "But it certainly is, yet again, an upsetting situation," Marcolin said. The move comes after Trump initially threatened tariffs against nearly all imports from Canada, which was ultimately delayed until March 4. WATCH | 'It's rewinding the tape back to 2018': Tariffs could be devastating for N.B. manufacturing, expert says 3 hours ago Duration 1:53 But if Canada were to retaliate and match the tariffs, "It would be very risky for a Canadian and New Brunswick-based manufacturer, who used aluminum and steel in their production, to continue," Marcolin said. He described the use of steel and aluminum as "all-encompassing" in manufacturing in New Brunswick, and added that it's challenging to put a number on the dollar amount of goods affected and how many workers may be at risk. "You look at the average car — it includes both steel and aluminum and goes back and forth across the border a lot. We use steel and aluminum in building buildings, in various pieces of machinery, in infrastructure like bridges and culverts." New Brunswick is not a steel- or aluminum-producing province, Marcolin said, so when those products are needed for manufacturing here, they are brought in from Ontario or Quebec or imported from the U.S. "We then process it and make it into various parts and then we export it to the United States." The tariffs will directly raise prices in Canada, and companies will not be able to absorb the added 25 per cent so will pass the cost onto consumers, he said. But it's not just Canadians who will be impacted, Marcolin said. Americans will also start to feel the heat. "It's irony at its best because all the households in the United States, which were told by President Trump both before and leading up to the election that he will bring down ... costs," will actually see increased costs immediately, he said. Marcolin used the example of household appliances, such as refrigerators, that are commonly manufactured in the United States using Canadian aluminum. "It's going to be very hard to absorb all of that in one fell swoop if you are an American." In light of this most recent tariff threat, Premier Susan Holt is headed to Washington, D.C., with a delegation from the province. "Our economies are deeply connected, supporting workers and businesses on both sides of the border in sectors such as energy, seafood, forestry, agriculture and aquaculture, among others," Holt said in a statement. "We are heading to Washington to stress how this partnership benefits both of our economies and our communities."
