{"id":126609,"date":"2022-04-13T10:50:37","date_gmt":"2022-04-13T10:50:37","guid":{"rendered":"https:\/\/fin2me.com\/?p=126609"},"modified":"2022-04-13T10:50:37","modified_gmt":"2022-04-13T10:50:37","slug":"analysis-canadas-accelerated-timetable-for-evs-brings-spotlight-on-key-bill","status":"publish","type":"post","link":"https:\/\/fin2me.com\/markets\/analysis-canadas-accelerated-timetable-for-evs-brings-spotlight-on-key-bill\/","title":{"rendered":"Analysis-Canada's accelerated timetable for EVs brings spotlight on key bill"},"content":{"rendered":"

TORONTO (Reuters) – Canada\u2019s accelerated timeline to fully embrace electric vehicles (EVs) presents a threat to some auto suppliers and auto mechanics, with the latter pinning hopes on a key legislation to adapt to the changing needs of the industry.<\/p>

FILE PHOTO: A charging port is seen on a Mercedes Benz EQC 400 4Matic electric vehicle at the Canadian International AutoShow in Toronto, Ontario, Canada, February 13, 2019. REUTERS\/Mark Blinch\/File Photo<\/figcaption>

Last month, Justin Trudeau\u2019s Liberal government set out a mandatory target for all new light-duty cars and passenger trucks to be zero-emission by 2035, from an earlier goal of 2040. Recent investments by General Motors Co and Ford Motor Co in their Canadian units to primarily boost EVs give the parts industry some hope in the immediate future.<\/p>\n

\u201cWhere there\u2019s risk is on the parts manufacturers that make parts for internal combustion components like engines and transmissions,\u201d said Flavio Volpe, president of the Automotive Parts Manufactures\u2019 Association.<\/p>\n

Volpe noted these parts will disappear in future years, and there are concerns the companies won\u2019t be capable of adapting, if they even remain the suppliers after new competition enters the market.<\/p>\n

Auto parts are Canada\u2019s fifth-biggest export industry, employing roughly 71,400 workers as of January, according to official data. Volpe is still confident many established parts makers will be preferred, given their track record.<\/p>\n

Industry groups say the switch to EVs is a bigger threat to auto mechanics, who may struggle unless the \u2018right to repair\u2019 bill is passed in Canada.<\/p>\n

That bill was reintroduced in the Parliament in February, after it was killed in the House of Commons in August 2021 ahead of the federal election. The bill would force big automakers to share the parts, software and training used to repair products.<\/p>\n

Failure to pass the bill could result in the closure of many mechanics down the line and substantial job losses in the sector, said Jean-Francois Champagne, president of the Automotive Industries Association of Canada, which represents automotive after-market supply and service chains.<\/p>\n

Roughly 109,816 Canadians are employed in the automotive repair and maintenance industry, according to a 2022 report by Statistics Canada. A move to EVs that are loaded with technology that allows greater automation and over-the-air software updates could lead to the loss of as many as 53,707 jobs by 2051 in the worst case scenario, according to the Conference Board of Canada.<\/p>\n

FIGHT FOR DATA<\/h2>\n

Currently, computers in EV makers like Tesla are connected in a \u2018closed ecosystem,\u2019 making them inaccessible to typical mechanics.<\/p>\n

\u201cIf you have a Tesla today, pretty much Tesla will determine where you go to get your car serviced, they\u2019ll determine which parts you put on and how much you\u2019re going to pay,\u201d said Champagne.<\/p>\n

Tesla did not offer an immediate comment. But in 2020, Tesla urged its Massachusetts customers to vote against the updated \u2018right to repair\u2019 legislation, arguing it would pose security concerns. Tesla already has an open-source philosophy for much of its patented intellectual property, it said. Yet, Massachusetts voters approved the \u2018right to repair\u2019 bill.<\/p>\n

Jamie Keeler, owner and sole mechanic of Keeler Automotive in Ontario, said the Canadian legislation will ensure customers have the freedom to choose who repairs their car.<\/p>\n

\u201cIf you\u2019re a licensed mechanic, you should be able to fix anything that\u2019s on the road, and have access to the software to do it,\u201d said Keeler, who on average services 50-60 cars a week.<\/p>\n

Keeler, who has been a licensed mechanic for three decades, said if a petition for \u2018right to repair\u2019 comes around, he will happily sign or vote for it.<\/p>\n

The United States already passed a \u2018right to repair\u2019 policy in July of 2021, as part of sweeping executive order signed by President Biden. With the contents of Canada\u2019s bill already formed, and previous support established, its biggest hurdle will be automakers fighting to quash it in coming months.<\/p>\n

Alliance for Automotive Innovation did not offer an immediate comment when asked about Canada\u2019s \u2018right to repair\u2019 bill.<\/p>\n

\u201cAutomakers want to control the data in the car, because that\u2019s what\u2019s going to get monetized down the road, the same as your cell phone did,\u201d said Champagne. \u201cSo, it\u2019s a fight to control the data, and they\u2019ve been very active in fighting those legislations everywhere they can.\u201d<\/p>\n

Source: Read Full Article<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

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