Employment across the Canadian automotive industry, combined with closely associated sectors, reached 603,500 employees in December 2024 — a mere 0.9% behind the employment total in December 2019 prior to the start of the pandemic.
That is according to DesRosiers Automotive Consultants, which recently released an update amid ongoing tariff hostility from the Trump administration. At a more granular level, they said the recovery in employment since COVID has been mixed.
“The aftermarket has shown significant strength with automotive repair and maintenance employment reaching 124,000, (which is) 7.4% above December 2019,” said DAC in its update. “Similarly, automotive parts and accessories store employment reached 44,000 in December 2024, (which is) 4.2% above pre-pandemic results.”
Employment in motor vehicle manufacturing lags below pre-pandemic levels as re-tooling and structural shifts continue, along with employment in motor vehicle parts and accessories manufacturing. However, both industries combined provided 105,600 employees as of December 2024. The sectors together also generated thousands more jobs in direct and indirect spin-offs, according to DAC.
On the impact of tariffs the manufacturing side of automotive remains the most vulnerable in the U.S.-Canada trade war. However, DAC also noted that U.S. tariffs would have a “significant impact” across all of the industry’s sectors. This means higher vehicle prices and the possibility of a recession that would ripple out.
“While the pause in some auto tariffs may be a welcome reprieve, the broader pressure on this critical part of Canada’s economy remains,” said Andrew King, Managing Partner at DAC, in a statement. “Jobs on both sides of the border are at risk as long as this needless chaos continues.”
