The continuing trucker protests, in particular those that have virtually shut down movement across the Ambassador Bridge linking Detroit and Windsor, Ontario, are now impacting on North American auto production. Several manufacturers announced reductions in production this week in direct response to the blockades.
Yesterday, Ford and Toyota both announced partial shutdowns of their operations. Trucker convoys have almost completely blocked movement across the heavily used bridge At mid-week, traffic was completely stopped in the direction of Canada, while U.S.-bound traffic was still partially moving.
The situation has prompted warnings from Washington and Ottawa. Governments at all levels are aware of the economic consequences of the blockade. The bridge is vital because 25 percent of all trade between the two countries passes across it.
That's why a number of automakers are affected by the disruption near Detroit, the heart of the U.S. auto industry. And the blockade comes on top of other problems that are impacting auto production, such as a shortage of microchips.
Ford said late Wednesday it is being forced to close its engine plant in Windsor and run an assembly plant in Oakville, Ontario, on a reduced schedule. This is components remain stuck on either side of the Canada-U.S. border.
“This interruption on the Detroit-Windsor bridge hurts customers, auto workers, suppliers, communities and companies on both sides of the border. We hope this situation is resolved quickly because it could have a widespread impact on all automakers in the U.S. and Canada.”
- Ford statement
Shortages due to the blockade are also forcing General Motors to cancel a second shift at its plant near Lansing, Michigan. Spokesperson Dan Flores said the plant is expected to restart soon and that no further impact is expected at this time.
As for Toyota, it will not be able to manufacture anything in three Canadian plants for the rest of the week due to a shortage of parts. The problem is officially attributed to supply chain, weather and pandemic-related difficulties, but the closures came just days after the blockade began on Monday.
“Our teams are working diligently to minimize the impact on production,” the automaker stated, adding that it does not anticipate any layoffs at this time.
Stellantis has reported no disruptions to its operations, other than shortening shifts at its Windsor minivan plant.
Of course, the consequences of the border blockades in Ontario and Alberta stretch beyond just the auto industry. Bank of Canada Governor Tiff Macklem has called for a quick resolution and stated that “If there were to be prolonged blockages at key entry points into Canada that could start to have a measurable impact on economic activity.”