Motor Vehicle, Body, Trailer and Parts Manufacturing (NAICS 3361-3363): Ontario, 2025
Highlights
- There were 148,300 people employed in the Ontario motor vehicle, body, trailer and parts (MVBTP) manufacturing industry, comprising 1.8% of the province’s total workforce in 2024.
- Employment in the MVBTP manufacturing industry decreased slightly by 0.3% in 2024, and is expected to weaken over the 2025-2027 forecast period.
- The increasing shift to electric or hybrid vehicle production is generating economic uncertainty, with both investments and layoffs in some motor vehicle and parts facilities as automakers retool their plants.
About the Sector
The motor vehicle, body, trailer and parts (MVBTP) manufacturing sector is made up of the following industry groups:
- 3361 - Motor vehicle manufacturing
- 3362 - Motor vehicle body and trailer manufacturing
- 3363 - Motor vehicle parts manufacturing
Composition and importance of the sector
Ontario is the centre of MVBTP manufacturing in Canada. In 2024, it accounted for 84.6% of national employment in the sector and contributed 84.7% to the national MVBTP real gross domestic product (GDP).
The MVBTP manufacturing industry is crucial to Ontario’s economy, accounting for 16.5% of total manufacturing GDP and 1.7% of total provincial GDP. Annual GDP in this sector has been volatile, decreasing by 12.4% in 2024, following an increase of 17.4% in 2023.
Motor vehicle manufacturing production is the largest exporter in the MVBTP sector, accounting for the leading share (18.0%) of the province’s 2024 domestic export earnings. This industry group is comprised of 33611 - Automobile and light-duty motor vehicle manufacturing and 33612 - Heavy-duty truck manufacturing.
| Motor vehicle parts manufacturing | Motor vehicle manufacturing | Motor vehicle body and trailer manufacturing | |
|---|---|---|---|
| 66% | 29% | 5% |
Description of graphic in accessible text
A pie graph that shows the employment breakdown of motor vehicle manufacturing by industry groups. Parts manufacturing accounts for the largest share of employment (66%), followed by motor vehicle manufacturing (29%), and body and trailer manufacturing (5%).
Source: Statistics Canada, Survey of Employment, Payrolls and Hours
Geographical distribution of employment
The MVBTP sector is dominated by five Original Equipment Manufacturers (OEMs), operate eleven plants, mainly in southwestern Ontario. Below is a list of the OEMs and their plant locations in economic regions (ERs):
- Ford Motor Company
- Oakville Assembly (Toronto ER) (currently retooling)
- General Motors Company
- Oshawa Assembly (Toronto ER)
- CAMI Automotive-Ingersoll (London ER) (currently idled)
- Honda Motor Company
- Plant 1-Alliston (Kitchener-Waterloo-Barrie ER)
- Plant 2-Alliston (Kitchener-Waterloo-Barrie ER)
- Stellantis
- Windsor Assembly (Windsor-Sarnia ER)
- Brampton Assembly (Toronto ER) (currently idled)
- Toyota Motor Corporation
- Cambridge North Plant (Kitchener-Waterloo-Barrie ER)
- Cambridge South Plant (Kitchener-Waterloo-Barrie ER)
- West Plant Woodstock (London ER)
- Hino Motors Canada Woodstock (London ER)
| Ottawa | 665 | 0.7% |
| Kingston-Pembroke | 1,480 | 1.5% |
| Muskoka-Kawarthas | 1,210 | 1.2% |
| Toronto | 29,565 | 29.4% |
| Kitchener-Waterloo-Barrie | 29,015 | 28.9% |
| Hamilton-Niagara Peninsula | 10,470 | 10.4% |
| London | 12,215 | 12.2% |
| Windsor-Sarnia | 12,090 | 12.0% |
| Stratford–Bruce Peninsula | 3,500 | 3.5% |
| Northeast | 255 | 0.3% |
| Northwest | 35 | 0.0% |
Source: Statistics Canada, Census 2021, Custom Table
*Note: Total does not add to 148,300 due to Census 2021 being the only available employment source by economic region.
Workforce
Workforce characteristics
- Males accounted for approximately 73.4% of Ontario’s MVBTP manufacturing workforce in 2024, compared to around 52.8% in all industries provincially.
- Older workers (aged 55 years and over) represented a quarter (25.4%) of Ontario’s MVBTP workforce in 2024, compared to 21.2% of workers across all industries in Ontario.
- Almost all workers in Ontario’s MVBTP sector are employed full-time. In 2024, full-time employment accounted for 97.4% of total sector employment, compared to 82.4% of total provincial employment.
- Average weekly earnings for MVBTP in Canada was $1,468 in 2024, higher than overall manufacturing ($1,327).
| 94200 Motor vehicle assemblers, inspectors and testers | 29,400 | 19.8% |
|---|---|---|
| 94107 Machine operators of other metal products | 27,600 | 18.6% |
| 92020 Supervisors, motor vehicle assembling | 12,200 | 8.2% |
| 94105 Metalworking and forging machine operators | 7,700 | 5.2% |
| 90010 Manufacturing managers | 5,400 | 3.6% |
Source: Statistics Canada, Labour Force Survey, Custom Table
Note: The NOCs listed make up approximately half of those employed in the sector.
Recent History
The MVBTP manufacturing industry plays a significant role in Ontario’s economy. Between 2014 and 2024, one of six individuals who worked in manufacturing was employed in MVBTP manufacturing. In 2024, employment in the MVBTP manufacturing sector decreased by 0.3% (-400). In contrast, overall manufacturing employment in Ontario increased by 1.0% over the same period.
Total Canadian light vehicle sales (i.e., passenger cars, sport utility vehicles, vans and pickups) have been steady in 2025, owing to the strength of light trucks. Comparatively, sales of passenger cars remain muted as a softer labour market reacts to tariff impacts lowering consumer demand. In terms of production levels, Canada assembled fewer motor vehicles in 2024. This decrease comes as a result of the ongoing retooling of automotive plants in Ontario.
Overall, Ontario’s automotive sector is at a pivotal point as it focuses on meeting the national target for zero-emission vehicles (ZEVs) sales. ZEV sales in Canada reached a modest share of new vehicle registrations (9.2%) in the second quarter of 2025, while Ontario’s share was 5.8%, as more consumers purchased a hybrid powered vehicle. This shift from traditional gas vehicles to hybrid and electric models is significantly reshaping motor vehicle manufacturing, with ripple effects throughout the auto parts supply chain and broader economy. Automakers are ramping up their investments in the transition from internal combustion engine (ICE) vehicles to hybrid or ZEVs powertrains and are at various stages of retooling their plants to meet consumer demand. As of 2025, plant upgrades are resulting in layoffs at Ford, General Motors, and Stellantis, automotive production facilities and feeder plants.
| Year | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Sector Employment | 100.00 | 106.52 | 106.68 | 111.61 | 112.40 | 106.60 | 98.33 | 110.57 | 102.70 | 118.20 | 117.89 |
| New Motor Vehicle Sales | 100.00 | 106.28 | 112.15 | 116.98 | 118.31 | 115.83 | 89.10 | 91.08 | 87.60 | 97.99 | 104.32 |
| Sector Exports | 100.00 | 115.52 | 126.69 | 119.14 | 112.56 | 114.17 | 86.61 | 76.74 | 91.52 | 120.11 | 106.21 |
Description of graphic in accessible text
This line graph shows changes in three indicators related to Ontario’s motor vehicle manufacturing industry over a 10-year period. Employment grew between 2014 and 2019 before falling in 2020. Since then, employment has recovered, with notable gains in 2021 and 2023. New motor vehicle sales also grew until 2019 before declining sharply in 2020. The recovery in sales has been slow, with 2024 levels comparable to 2014. Sector exports peaked in 2016 and was on a steep downward trajectory until 2021. Exports rebounded between 2021 and 2023 before declining again in 2024.
Sources: Statistics Canada, Labour Force Survey, Custom Table; Statistics Canada, Gross Domestic Product by Industry - Provincial and Territorial (Annual), Table 36-10-0711-01; and Innovation, Science and Economic Development Canada. Trade Data Online.
*Data are expressed as index where year 2014 = 100%.
Employment Outlooks
The MVBTP manufacturing industry is expected to experience declining employment over the 2025-2027 forecast period.
The industry’s economic stability is highly dependent on tariff-free trade, as parts often cross the border multiple times before final assembly. Additional tariffs at any stage in this supply chain could increase production costs, weaken competitiveness, and possibly force some companies out of business. Many workers in motor vehicle parts manufacturing in Southern Ontario have already been laid off, due to current U.S. tariffs on exported motor vehicles.
As motor vehicle manufacturing in Ontario undergoes a transition to EV production, layoffs can be expected at some assembly plants and throughout the motor vehicle parts supply chain. Compared to traditional automotive manufacturing, EVs require far fewer parts than ICE vehicles; this could have impacts on employment demand. In addition, EV manufacturing requires higher skilled labour to meet the shift towards advanced manufacturing, such as knowledge of computer-controlled tools, robotics, and manufacturing software. Workers’ degree of exposure to layoffs and other changes will likely depend on whether they have union representation.
On the other hand, the province has attracted large-scale investments in battery plants, including NextStar Energy's battery manufacturing plant in Windsor and PowerCo's (subsidiary of Volkswagen) battery cell gigafactory in St. Thomas. These projects and additional capital investments that facilitate industry retooling, are expected to support some manufacturing jobs in Ontario’s EV supply chain. However, several EV projects have been cancelled or scaled back including Honda’s decision to delay plans for EV production in Alliston, which may temper job creation expectations in the near-term.
Despite pauses in EV manufacturing projects, new investments between automotive manufacturing and the metal ore mining sector are occurring, in light of the need for critical mineral inputs such as cobalt, lithium, and nickel for batteries in EVs. Among other spillover effects, collaboration between the province, post-secondary institutions, industry associations and businesses is ongoing, as new programs and courses are launched to meet the needs of Ontario’s EV value chain.
Key trends affecting the outlook of the MVBTP manufacturing sector
- Closures and consolidation at some automotive parts facilities and mass layoffs at several automotive assemblers extended due to U.S. tariffs
- Investments to retool plants in the transition to EV production are delayed in the near term
- Changing skills requirements for some roles in order to assemble ZEVs
For Further Information
Note: In preparing this document, the authors have taken care to provide clients with labour market information that is timely and accurate at the time of publication. Since labour market conditions are dynamic, some of the information presented here may have changed since this document was published. Users are encouraged to also refer to other sources for additional information on the local economy and labour market. Information contained in this document does not necessarily reflect official policies of Employment and Social Development Canada.
Portions of this sector profile were prepared with support from artificial intelligence (AI) tools, in accordance with Employment and Social Development Canada (ESDC) guidelines. All AI-assisted content has been reviewed for accuracy and compliance with ESDC standards.
Prepared by: Labour Market and Socio-economic Information Directorate, Service Canada, Ontario Region
For further information, please contact the Labour Market Information Directorate.
Appendix
| 2021 | 2021 | |
| Ontario | 100.0% | 1.5% |
| Ottawa | 0.7% | 0.1% |
| Kingston-Pembroke | 1.5% | 0.7% |
| Muskoka-Kawarthas | 1.2% | 0.7% |
| Toronto | 29.4% | 1.0% |
| Kitchener-Waterloo-Barrie | 28.9% | 4.3% |
| Hamilton-Niagara Peninsula | 10.4% | 1.6% |
| London | 12.2% | 3.8% |
| Windsor-Sarnia | 12.0% | 4.5% |
| Stratford-Bruce Peninsula | 3.5% | 2.4% |
| Northeast | 0.3% | 0.1% |
| Northwest | 0.0% | 0.0% |
Source: Statistics Canada, Census 2021, Custom Table
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|---|---|---|---|---|---|
| Employment, 2024 | Share of Total (%) | AAGR (%)* | Share of Total (%) | AAGR (%)* | |
| Employment | 148,300 | 100.0% | 1.9% | 100.0% | 1.8% |
| Male | 108,800 | 73.4% | 1.4% | 52.8% | 1.9% |
| Female | 39,500 | 26.6% | 4.2% | 47.2% | 1.7% |
| 15-24 years old | 13,400 | 9.0% | 7.4% | 12.6% | 1.0% |
| 25-54 years old | 97,300 | 65.6% | 0.4% | 66.2% | 1.8% |
| 55 years and older | 37,600 | 25.4% | 7.1% | 21.2% | 2.6% |
| Worked full-time | 144,500 | 97.4% | 1.9% | 82.4% | 2.1% |
| Worked part-time | 3,800 | 2.6% | 9.7% | 17.6% | 0.8% |
| Self-employed | n/a | n/a | n/a | 13.5% | 0.9% |
| Employees | 147,700 | 99.6% | 2.0% | 86.5% | 2.0% |
| Permanent job | n/a | n/a | n/a | 77.0% | 2.2% |
| Temporary job | n/a | n/a | n/a | 9.5% | 0.8% |
| Less than high school | 10,100 | 6.8% | -0.1% | 5.8% | -2.0% |
| High school graduate | 49,500 | 33.4% | -1.1% | 21.2% | -0.9% |
| Postsecondary cert. or diploma | 62,700 | 42.3% | 1.1% | 31.3% | 1.3% |
| University degree | 49,300 | 33.2% | 8.1% | 41.7% | 5.1% |
Sources: Statistics Canada, Labour Force Survey, Custom Tables
*Average annual growth rate for last ten years available data
** Note: totals may not sum due to rounding
*** Note: Education totals and percentages are for the broader subsector of Transportation Equipment Manufacturing (NAICS 336)