A Car Of Our Own!

Feb 4th, 2009 – 1 Comment

Lionel from Oshawa, Ontario writes about General Motors: Good morning Lou, As I listened to AM640 this morning with you talking about a GM pullout of Canada I thought that with all the various levels of governments previous incentives, could we not keep all the equipment and start our own car company? Canada Motor Company, C.M.C. […]


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Lionel from Oshawa, Ontario writes about General Motors:

Good morning Lou,

gm

As I listened to AM640 this morning with you talking about a GM pullout of Canada I thought that with all the various levels of governments previous incentives, could we not keep all the equipment and start our own car company? Canada Motor Company, C.M.C.

Thanks, Happy Capitalism.

Lionel

Hi Lionel,

There are a number of limitations in taking an existing plant and converting it to produce a new model. If I was thinking of doing that I would immediately call Magna International.

Building a Base

Building a Base

They not only build and supply parts to their clients but have assembled complete vehicles for BMW.  Don’t forget that MG.A was nosing around Chrysler when Daimler was looking to off load the boat anchor. They are probably glad they missed that ride!

So if GM were to pull out of Canada I would look to Frank Stronach and his crew to be part of a solution. But keep in mind that if the governments get involved all bets are off. Just think about the fiasco that was the gun registry.

One other thing to keep in mind is that there is a Canadian auto maker called Zenn Motor Company Inc. They produce electric vehicles and own a piece of an ultra capacitor company out of the United States.

Zenn has met lots of regulatory challenges that have kept their vehicles off the highways but the concept is interesting.

Early Stage Electric Vehicles

Early Stage Electric Vehicles

The problem with early stage developments is that they are at risk of running out of money before they gain market acceptance. But if you are going to shovel billions into the likes of GM and Chrysler why not look at an alternative.

Happy Capitalism!

Categories: Automotive
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