Evidence of meeting #42 for Industry, Science and Technology in the 44th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was vehicle.
A video is available from Parliament.
12:55 p.m.
Liberal
Iqwinder Gaheer Liberal Mississauga—Malton, ON
Yes.
Ms. Baker, I'm wondering if you would agree with this statement: “OEMs have increasingly and will continue to resort to [use designs and] design...rights to raise prices to consumers, prevent competition, and threaten the viability of the aftermarket in exterior automobile repair parts.” Do you want to expand on that?
12:55 p.m.
Senior Director of Government Relations, Automotive Industries Association of Canada
Sure. Thank you for the question.
Let me speak to the cost and affordability piece you mentioned. We already know that Canadians are stretched with increases to the cost of living. I mean, you gave a statistic about dealerships charging 36% more for repairs, which I've also seen. We're happy to share multiple examples from consumers that show that an inability to service the car is resulting in increased costs.
Think about having to tow your car to a dealership. If you're in an accident in Thunder Bay with your Tesla, for example, and you need to have it towed to Toronto, that's an increased cost. It's the same if you're being pushed towards higher-cost OEM parts rather than aftermarket parts. As vehicle technology advances, there is a concurrent increase in the cost to service vehicles. Having consumer choice helps Canadians to access service and repairs at a wider range of price points.
I would also add that independent shops are small business owners. They've invested their livelihoods into these shops. They're family-operated businesses. These are second and third generations, often with a fourth generation coming in. To make it such a burden to offer a service to those within their own neighbourhood who are coming in where they want to do their business, where they have been doing their business for quite some time, and where they feel comfortable.... When they're told that the shop does not have the data to fix it or they don't have access to the technology in the vehicle, it puts the small business jobs at risk and makes their business model struggle.
This is a concern for the future. We know that this is happening, and it's only going to grow.
1 p.m.
Liberal
The Chair Liberal Joël Lightbound
Thank you, Mr. Gaheer and Madam Baker.
Mr. Lemire, I'll give you the floor briefly if you would like to ask a few questions.
1 p.m.
Bloc
Sébastien Lemire Bloc Abitibi—Témiscamingue, QC
I have only one, actually.
When there's an accident, firefighters and emergency services need to know how to disconnect batteries, among other things. The problem is that these mechanisms are now very different from one car to another. It's no longer like traditional mechanical construction.
Mr. Adams, what would you suggest to remedy this problem of addressing safety issues in emergencies?
1 p.m.
President and Chief Executive Officer, Global Automakers of Canada
I think you're absolutely right, especially with electrification. There's high voltage on the vehicle. The first responders need to be trained in how to deal with that technology on the vehicle when they arrive. There are protocols that have been put in place by a number of different agencies to ensure that those first responders are trained when they come to the vehicle and do know how to address high-voltage situations in electric vehicles.
1 p.m.
Liberal
1 p.m.
NDP
Brian Masse NDP Windsor West, ON
Thank you.
Mr. Adams, what improvements do you think could be made to CASIS? What's working good and what's not working so good?
1 p.m.
President and Chief Executive Officer, Global Automakers of Canada
What's working good is that we have a mechanism in place to ensure that the information is shared with the aftermarket. Each one of the CEOs from the member companies at the time signed off that they would provide that information and make that information available. I think the points that we've all made around the table are that vehicles have become more complex and will become more complex going forward.
I think the opportunity that CASIS affords is that it is a voluntary agreement, meaning that's it's evolutionary and can be changed, as opposed to having to change the legislation.
1 p.m.
NDP
Brian Masse NDP Windsor West, ON
What changes, though? We're getting lots of complaints, so I'm asking out of sincerity about changes.
If you think it's all working perfectly, then there's no reason that we'd even need to be here. We knew that electrification and the data management stuff would be an issue, but are you actually saying that CASIS, aside from that, is working perfectly, is working well enough for everybody, and is consistent enough to stay the same?
1 p.m.
President and Chief Executive Officer, Global Automakers of Canada
No, I don't think I said that. I think we can always make improvements. I think that's what we've been asking the aftermarket folks who are part of the task force with us for the last five or six meetings that we've had: Tell us specifically what is wrong, what challenges you're trying to find solutions to, and we'll gladly help work through those. Our door is open. We've maintained that we're prepared to work on the agreement.
1 p.m.
NDP
Brian Masse NDP Windsor West, ON
Okay. Maybe at some point we should bring CASIS to light, I think, and the agreement. It may be helpful for all of us at Parliament here to do that.
Thank you very much, everyone, for your testimony. It's appreciated.
1 p.m.
Liberal
The Chair Liberal Joël Lightbound
Thank you, Mr. Masse.
That concludes our second hour of questioning.
I want to thank all our witnesses for joining us today.
Thank you for having taken the time to talk to us about Bill C-244.
I would also very much like to thank the interpreters, the analysts, the clerk and all the support staff.
With that, the meeting is adjourned.