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North American Car Production Faltering

An article from Agence France-Presse notes that a recent study conducted by Canadian Scotiabank, indicates automobile production in Brazil, Russia, India, and China will surpass that of North America this year.

The falloff in North America reflects plant closures by the traditional US automakers, in addition to growing assembly capacity in emerging nations. This trend has advanced 15% per year over the past five years as automakers chose to build new plants in markets that offered greater growth potential and lower-cost manufacturing.

Rising car production in emerging nations is particularly troubling for the Canadian auto parts sector, because that industry remains almost exclusively ...

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