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Will globalization kill Canada, that is the question. With today's economy relying heavily on global trade, Canada is known for many of things, but with countries like Mexico who can do similar work and a much lower cost, Canada takes a huge hit. With these powerhouse countries controlling the globalization of the world, companies are looking for cheaper alternatives to increase their profits. With manufacturing being much more expensive in places like Canada, coutries like China strive on this. Globalization has taken its toll on Canada already as the Canadian auto industry is at a very low point as componies are moving to Mexico to produce cheaper goods.

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Will Globalization Kill Canadian Manufacturing?

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Open Canada introduces its week-long series addressing the question, "Will Globalization Kill Canadian Manufacturing?" This short documentary presents the basic statistics: for instance, did you know that manufacturing accounts for 13% of Canadian GDP? What of the move from automobile manufacturing to the manufacturing in the energy sector?

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Trump talks about how globalization is real and how it is effecting everyday working class Americans. Globalization can help out a country's global influennce but it can also drain the resources from a certain area and takes a very hard toll on the workers. It is important to for the US and other nations to stay strong on the world stage but globalization really makes the upper class citizens very rich while the middle class and lower class grow closer together and the gap between them and the upper class grows farther apart creating problems within a nation.

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cnn news cnn tv cnn newsroom newsroom trump

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Trump: Globalization has wiped out middle class

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Presumptive GOP presidential nominee Donald Trump holds a speech on the U.S. economy saying it is time to declare "economic independence" once again.

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The Canadian auto industry is a huge part of Canada and greatly impacts the entire Canadian market. As manufactured cars are Canada's number one exported good, it is key that the auto industry remains strong in Canada as with exporting these goods, means a stronger global influence that Canada has. When the auto industry is strong it translates to GM’s Oshawa assembly plant spending $500 million to $600 million annually on locally produced parts. When Canada has a strong global impact and cars are being made to export, it creates lots of local jobs and money being spent in the local market.

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TORONTO - The Canadian auto sector is the healthiest it's been in years, yet its future has never been more uncertain.

It's the odd contradiction of an industry that has reclaimed its position as Canada's largest exporter while also facing the potential closure of some of its biggest assembly plants.

The industry, largely based in southern Ontario, is admittedly a shadow of its former self. In 2008, Mexico surpassed Canada to become the second-largest North American producer of light vehicles. Total industry employment has fallen by about one-third since 2001.

Today, several auto assembly plants face murky futures. The most immediate threat is at General Motors of Canada's operations in Oshawa, Ont., where one assembly line will be shut down in 2017 and the other has no products slated for it beyond 2019. Unifor, the union that represents hourly workers at the Canadian operations of GM, Ford and Fiat Chrysler, is also worried about the future of Ford's engine plant in Windsor, Ont., and Fiat Chrysler's assembly plant in Brampton, Ont.

The union is trying to secure the future of all three plants in ongoing labour negotiations.

It's a nerve-wracking time to be a Canadian autoworker. But, ironically, it's also a good time to be looking for work.

The Canadian auto sector has rebounded strongly since the 2008-09 recession as a result of record North American sales and production.

Employment in the industry as a whole grew in excess of 3.5 per cent through June of this year versus 2015, and the sector's share of overall manufacturing activity is at its highest level since 2003, according to Carlos Gomes, senior economist and auto industry specialist at Scotiabank.

"The key point here is that we're continuing to see relatively strong demand, not only in North America but on a global basis, with volumes continuing to move to record highs," Gomes said in an interview, adding that the lower loonie has also helped make the industry more competitive.

The key point here is that we're continuing to see relatively strong demand...

Nearly 2,000 new workers have been hired at Canadian assembly plants in recent months, due to the launch of the new Chrysler Pacifica minivan in Windsor, Ont., as well as strong demand for crossover vehicles like the Ford Edge, built in Oakville, Ont. In total, 1.38 million motor vehicles were produced in Canada in the first half of the year, up from 1.25 million in the same period of 2015, according to Ward's Automotive Reports.

The auto parts sector has been performing even better, with employment growing five per cent between early 2015 and early 2016. Auto parts shipments posted double-digit gains in the past two years and the average North America-built vehicle now contains nearly US$1,600 worth of Canadian-made parts, up from US$1,437 in 2013, according to Scotiabank.

But parts suppliers - particularly small ones that are dependent on one or two plants - are also most at risk if there's a strike or if a plant closes for good, said Flavio Volpe, president of the Automotive Parts Manufacturers' Association.

For example, Volpe estimates that GM's Oshawa assembly plant spends $500 million to $600 million annually on locally produced parts.

Canadian parts suppliers are more diversified than they used to be, but a shutdown, whether it's temporary or permanent, still won't be easy for the sector to weather, Volpe said.

"I think everybody learned lessons in 2008-09 to make sure your customer support is diversified to the extent that you don't get felled by one plant, but that doesn't mean it doesn't hurt," Volpe said in an interview. "It's unfortunate we're coming to such a high-stress crossroads."
Financial Post

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The Canadian auto sector is in great shape, except for that looming existential crisis

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TORONTO - The Canadian auto sector is the healthiest it's been in years, yet its future has never been more uncertain. It's the odd contradiction of an industry that has reclaimed its position as Canada's largest exporter while also facing the potential closure of some of its biggest assembly plants.

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This article is written for the official website for relations between the US and Canada. Canada buys more things from USA than any other nation in the world, and this is because of the free trade agreement between the two nations set in 1989. It really is insane to think about how Canada purchased about $433.2 billion in goods and services in 2016. This trade agreement is very benificial to the states as nearly 9 million American jobs depend on trade and investment with Canada.

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History has shown that trade is the best way to create jobs, growth and long-term prosperity.

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The following is a Forbes article on the pros and cons of globalization in todays world. The big pros of globaliztion is that it is meant to make the global market better and create jobs all around the world, while the main con of it is that in reality it becomes the rich get richer and the poor stay poor. This article really brings out the good vs the bad of globalization and while it has many benifits to these countries with lots of money, it is not the most benefitial to those who are slacking behind in the global market.

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A story in the Washington Post said "20 years ago globalization was pitched as a strategy that would raise all boats in poor and rich countries alike. In the U.S. and Europe consumers would have their pick of inexpensive items made by people thousands of miles away whose pay was much lower than theirs. And in time trade barriers would drop to support even more multinationals expansion and economic gains while geo political cooperation would flourish."

There is no question that globalization has been a good thing for many developing countries who now have access to our markets and can export cheap goods. Globalization has also been good for Multi-national corporations and Wall Street. But globalization has not been good for working people (blue or white collar) and has led to the continuing deindustrialization of America.

Globalization is a complicated issue. It is necessary to evaluate the pros and cons before drawing any conclusions.

Pros

Supporters of globalization argue that it has the potential to make this world a better place to live in and solve some of the deep-seated problems like unemployment and poverty.

1. Free trade is supposed to reduce barriers such as tariffs, value added taxes, subsidies, and other barriers between nations. This is not true. There are still many barriers to free trade. The Washington Post story says "the problem is that the big G20 countries added more than 1,200 restrictive export and import measures since 2008

2. The proponents say globalization represents free trade which promotes global economic growth; creates jobs, makes companies more competitive, and lowers prices for consumers.

3. Competition between countries is supposed to drive prices down. In many cases this is not working because countries manipulate their currency to get a price advantage.

4. It also provides poor countries, through infusions of foreign capital and technology, with the chance to develop economically and by spreading prosperity, creates the conditions in which democracy and respect for human rights may flourish. This is an ethereal goal which hasn't been achieved in most countries

5. According to supporters globalization and democracy should go hand in hand. It should be pure business with no colonialist designs.

6. There is now a worldwide market for companies and consumers who have access to products of different countries. True

7. Gradually there is a world power that is being created instead of compartmentalized power sectors. Politics is merging and decisions that are being taken are actually beneficial for people all over the world. This is simply a romanticized view of what is actually happening. True

8. There is more influx of information between two countries, which do not have anything in common between them. True

9. There is cultural intermingling and each country is learning more about other cultures. True

10. Since we share financial interests, corporations and governments are trying to sort out ecological problems for each other. - True, they are talking more than trying.

11. Socially we have become more open and tolerant towards each other and people who live in the other part of the world are not considered aliens. True in many cases.

12. Most people see speedy travel, mass communications and quick dissemination of information through the Internet as benefits of globalization. True

13. Labor can move from country to country to market their skills. True, but this can cause problems with the existing labor and downward pressure on wages.

14. Sharing technology with developing nations will help them progress. True for small countries but stealing our technologies and IP have become a big problem with our larger competitors like China.

15. Transnational companies investing in installing plants in other countries provide employment for the people in those countries often getting them out of poverty. True

16. Globalization has given countries the ability to agree to free trade agreements like NAFTA, South Korea Korus, and The TPP. True but these agreements have cost the U.S. many jobs and always increase our trade deficit

Cons

* The general complaint about globalization is that it has made the rich richer while making the non-rich poorer. "It is wonderful for managers, owners and investors, but hell on workers and nature."

* Globalization is supposed to be about free trade where all barriers are eliminated but there are still many barriers. For instance161 countries have value added taxes (VATs) on imports which are as high as 21.6% in Europe. The U.S. does not have VAT.

* The biggest problem for developed countries is that jobs are lost and transferred to lower cost countries." According to conservative estimates by Robert Scott of the Economic Policy Institute, granting China most favored nation status drained away 3.2 million jobs, including 2.4 million manufacturing jobs. He pegs the net losses due to our trade deficit with Japan ($78.3 billion in 2013) at 896,000 jobs, as well as an additional 682,900 jobs from the Mexico -U.S. trade-deficit run-up from 1994 through 2010."

* Workers in developed countries like the US face pay-cut demands from employers who threaten to export jobs. This has created a culture of fear for many middle class workers who have little leverage in this global game

* Large multi-national corporations have the ability to exploit tax havens in other countries to avoid paying taxes.

* Multinational corporations are accused of social injustice, unfair working conditions (including slave labor wages, living and working conditions), as well as lack of concern for environment, mismanagement of natural resources, and ecological damage.

* Multinational corporations, which were previously restricted to commercial activities, are increasingly influencing political decisions. Many think there is a threat of corporations ruling the world because they are gaining power, due to globalization.

* Building products overseas in countries like China puts our technologies at risk of being copied or stolen, which is in fact happening rapidly

* The anti-globalists also claim that globalization is not working for the majority of the world. "During the most recent period of rapid growth in global trade and investment, 1960 to 1998, inequality worsened both internationally and within countries. The UN Development Program reports that the richest 20 percent of the world's population consume 86 percent of the world's resources while the poorest 80 percent consume just 14 percent. "

* Some experts think that globalization is also leading to the incursion of communicable diseases. Deadly diseases like HIV/AIDS are being spread by travelers to the remotest corners of the globe.

* Globalization has led to exploitation of labor. Prisoners and child workers are used to work in inhumane conditions. Safety standards are ignored to produce cheap goods. There is also an increase in human trafficking.

* Social welfare schemes or "safety nets" are under great pressure in developed countries because of deficits, job losses, and other economic ramifications of globalization.

Globalization is an economic tsunami that is sweeping the planet. We can't stop it but there are many things we can do to slow it down and make it more equitable.

What is missing?

Leadership - We need politicians who are willing to confront the cheaters. One of our biggest problems is that 7 of our trading partners manipulate their currencies to gain unfair price advantage which increases their exports and decreases their imports. This is illegal under WTO rules so there is a sound legal basis to put some kind of tax on their exports until they quit cheating.

Balanced Trade - Most of our trading partners can balance their trade budgets and even run a surplus. We have not made any effort to balance our trade budget and have run a deficit for more than 30 years resulting in an $11 trillion deficit. The trade deficit is the single biggest job killer in our economy, particularly manufacturing jobs. We need the government to develop a plan to begin to balance our trade deficit even though this is not a political priority in either party.

Trade Agreements - Both the NAFTA and the South Korean Korus trade agreements might have been good for Wall Street and the multi-national corporations but they eliminated jobs in America and expanded our trade deficit. The upcoming Trans Pacific Trade Agreement will do the same thing and Congress should not fast track this bad agreement for a dozen reasons.

Enforcing the rules - China ignores trade rules and WTO laws with reckless abandon. Besides currency manipulation they subsidize their state owned companies to target our markets, and provide funding to their state owned companies that dump their products in America. They also steal our technologies, sell counterfeit versions of our products, and impose tariffs and other barriers anytime they want - as we do nothing to stop them. China does not deserve to be on our most favored nation list and we need to tax their exports to us until they stop these illegal activities.

What is good for third world countries, like Kenya, or countries with tremendous growth, like China, has not been good for American workers. Globalization is deindustrializing America as we continue to outsource both manufacturing blue collar and white collar jobs. Supporters of globalization have made the case that it is good because it has brought low priced imported goods, but they have not matched the decline of wages in the middle class and will not offset the loss of many family wage jobs

Globalization is like being overwhelmed by a snow avalanche. You can't stop it - you can only swim in the snow and hope to stay on top. I would like to make the argument that the US should try a lot harder to swim in the snow and stay on top. We can't stop globalization but there are many policies and strategies we can use to make it more equitable. We can enforce the trade laws, force the competition to play by the same rules, and stop giving our competitors the tools (technology and R& D) to ultimately win the global war.

Mike Collins is the author of Saving American Manufacturing. His website is www.mpcmgt.com.

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A story in the Washington Post said "20 years ago globalization was pitched as a strategy that would raise all boats in poor and rich countries alike. In the U.S. and Europe consumers would have their pick of inexpensive items made by people thousands of miles away whose pay was [...]

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Donald Trump has been working hard to make America great again by giving the US manufacturing jobs so they can export those goods to become a strong influence in the global market.

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China is globalization powerhouse of the world due to their strong trading bonds with the USA. The businesses and manfucaturing in China gives them a strong global influence.

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The following video is Justin Trudeau talking about manufacturing in Canada and the effects globalization has on it. With the auto industry in Canada going down hill due to the effects of globalization as these companies are looking to make a bigger international influence by having cheaper cars, and more cars being produced in a shorter amount of time. I chose this video because it really shows that globalization effects us everyday in Canada and is something that the Canadian government takes very seriously as more global influence creates a higher demand which means more jobs.

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canadian broadcasting corportation (tv network)

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Face to Face with the Prime Minister - The interview: Manufacturing jobs in Canada

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Neil Piercey, 58, formerly worked in manufacturing but now delivers fruit in London, Ont. He asks Justin Trudeau how he plans to help people who have lost their jobs in manufacturing and are struggling to survive.

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This picture shows the effects of how a business in one country can trade around the world and have an impact on many different countries.

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Globalization is the process by which businesses or other organizations develop international influence or start operating on an international scale and trade policies are the policies that country's have on trading goods. From reading this you can expect to learn a bit about North America and its effect on globalization and the trade policies within North America.