Ontario Community Newspapers

Oshawa Times (1958-), 15 Mar 1967, p. 6

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6 THE OSHAWA TIMES, Wednesdey, Merch 1967 'AUTO PACT Continued From Page 1 And he represents nearly »half the Canadian auto indus- try -- GM holds 46 per cent share of the market producing 355,631 of the 896,119 vehicles several. They would come off the line just like soldiers. 1 could knock 30 per cent off the cost. |CAN'T DO IT | "But I can't do that. Instead. j\I have to make up a stock list for every series and model I make." He listed them on paper. tain in-vehicle content on that." "But how could you ever lock yourself into such a posi- tion?"' I asked. "We thought we were deal- ing with a flexible plan," he answered. "We were explor- ing a whole new concept. And when you're plowing new ground you always hit stones. And we showed good faith." He pulled back a curtain. "'we pete from that old building so we built a new trim plant in Windsor. If we'd had to limit the plant to what we could sell in Canada we would never have built it." ALTERNATIVE "If you took the ratio and the in-vehicle clauses out of the auto pact, what would you offer in its place to protect the auto industry in Canada?" I asked. "But what about all those millions of dollars in tarriff reductions which you save on imports?" I asked. We gave our share back in the form of price reductions," replied Walker, pouncing across his desk. "You want me to look you in the eye? We've reduced our prices more than $75 since the trade agreement." He went on: "If you were built the factories and hired the people. Why don't you call the dogs off for two-three years and not crucify us at the end of the year with those import duties?" "Ts that a threat?" I asked. "Yes, man," said Walker. (Second of a Series) DUTCH LIVE LONG [eat in. papers filed In the New| port of a motion to eons GM Charges York State Supreme Court/all suits pending before |Monday that Nader's latest suit|court in the case. Nader sued GM for §$26,000,- law-| 900. He alleged invasion of pri- suits 'in the well understood|yacy, mental distress and eco- from. alleged contended|harassment by detectives hired lagainst Gillen and_ Gillen's| counter-claim were not Foul Play sense of that word." NEW YORK (AP)--Counsel| Rifkind's papers for General Motors Corp. says\there was "an arrangement be-j|by GM. auto safety critic Ralph Nader|tween Nader and Gillen to pro-| tat ene pepsin cng CTT them with a vehicle for| nomic injury into auto Nader's suit, an aftermath of U.S. Senate subcommittee hear- safety, < Re WASHINC growers of received r year, shows made in Canada last year -- S0/«Qne hood, one set of bumpers,|were making our trim in that] |, ae ' |(Industry Minister) Drury be- Lene pera age of people|i. eal fishing expedition by fil-\obtaining pre - trial discovery|inaS Inte when the U.S. car market drop-|one steering wheel, one trans-|very old building out there. We Our $260 million expansion|hind that desk I would be say-|!'Ving in The Netherlands isling jawsuits against each other./against defendant GM for use|famed Gillen, head of the New ped, it hurt GM -- than) mission, 15,000 parts, down to/had an opportunity to sell trimjand the grow - with - growthling to you give us more el-jhigher than that of any other] simon Rifkind, a lawyer for|in the Nader-GM lawsuit." lyork detective agency that al- a ar a eon wa every nut and bolt. I must main-|to the U.S. We couldn't com-|clause," Walker answered. bow room to work in, We'vejcountry. GM and a former federal sage)! 'The papers were filed in sup-llegedly trailed 'Nader. running about 25 per cent below year ago levels. *" Walker briefly events leading to the auto "pact: the huge automotive trade imbalance with the U.S., biggest item in our balance of payments deficit, the Drury plan and other export-oriented measures to correct it, culmin- ating in the agreement to per- mit duty-free shipments of autos and original parts be- tween the two countries. 'NO PROBLEM' "That's when the fun starts," grimaced Walker, outlining the controversial commitments. "The first is the bogey, the Canadian value added clause. They took $260 million and allo- cated it among the automak- ers, roughly according to share of the market, and told us to increase Canadian production by that amount by the end of the 1968 mode! year." He shrugged his shoulders. 'It's no particular problem." It's when we come to the ratio clause that Cana- dians are on very dangerous ground." He puffed on his cigarette like a man gasping for air. "The ratio clause says we've got to produce cars in the same ratio to sales as we did in the base year, 1964. The fear was that the big com- panies would integrate -- verti- cally, that Oshawa, for in- stance, would change from a car manufacturing entity into a big engine or frame plant exporting to the U.S. "By making everything our- selves we would wash all our suppliers out of our hair. Meanwhile, Canada would lose the skills of assembling cars. All we would have are grease monkeys "It was also a sop to the parts manufacturers knocking on the door." Walker assumed an appropriately pitiful pose. "I've been protected by a duty,"' he mimicked. ' 'My poor wife... my child. THE PROBLEM But it is one thing to make ports an higher qual Growers reviewed the AzP WHOLE BEAN COFFEE THIS WEEK BUY A&P BRAND COFFEES AND SAVE UP TO 20c PER POUND OVER OTHER BRANDS MILD & MELLOW VIGOROUS & WINEY 8 OCLOCK BOKAR 248 $9.19 as J Qs FRESHLY RORETEO BOKAR! | GRounD To ORDER COFFEE should we guarantee other people's products? [th EE EE a lUlrlC A&P BRAND PINEAPPLE- GRAPEFRUIT 48-FL-01 DRINK ~ FANCY QUALITY RED SOCKEYE AzP SALMON CHOICE QUALITY 7 the ratio clause work when the market is growing. It is another when it's shrinking, because obviously the Cana- dian plants could only meet their production targets if the American plants closed down. 'And that is not likely to be pop- ular in the U.S. "Then we come to. the in- vehicle clause." Walker care- fally wrote it down. 'Despite the fact that the public thinks we can swap parts back and forth, we still have to have in- SAVE UP TO 10c OVER OTHER BRANDS THO 8% F~ ° =D If we didn't, we couldn't honestly say vehicle content in every car we build -- and that frus- 8¢ trates the whole concept of 14-FL- the auto pact." f Under this clause, an auto- maker must maintain the 0 TINS same dollar volume of Cana- dian content in each car as A&P BRAND S he did in the 1964 base year. "Supposing I am making all WE CARE. Could we? 19-FL- the front or for Chev- rolet, front an rear, all bumpers for Pontiac, front 01 TINS and rear, and 50 per cent of the bumpers for the Olds and the Buick," said Walker, "Everyone of those is made in Canada. Supposing I ar- range to produce only Chev- rolet bumpers for both my own plant and a U.S. division. I would have extra volume and need only one die instead of You see, before any product SEEDLESS AcP RAISINS ~«-6 STOCK UP AT THESE LOW PRICES = F ozen Foods! en : at) G.E. LIGHT BULBS A&P Brand Reg. Price 530 -- SAVE 4e BEST BUY |SHADOW BAN VEGETABLES sxc 20x14. Qe 25, 40, 60 & 100 WATT 40, 60, 100 WATT A&P Fancy Quality, Sliced Reg. Price pkg. 490 -- SAVE 180 PKG OF 2 BULBS | PKG OF 2 BULBS CTPAWBERRIES 2.:-:20. 8 5 fl ing? 5 3 Chocolate, Cocoanut or Strawberry Cream SAVE 6e 1%-01 PKGS is allowed on our shelves, ¢ we've checked it out pretty carefully. We've checked the company that makes it. We've checked to be sure the product is all the package says it is. If you ever buy anything at A&P you're not happy with, CREAM PIES MORTON'S = 14-0z pkg 3 9: Rich's Rich Reg. Price 276 -- SAVE Se WHIPPED CREAM ts: 1 Qe you don't have to bother to write a letter > "= 35 |, 335 €¢ 3 WRF to the company that made it. SAVE 100 SAVE 106 a Just tell your A&P store manager. € qm OMAR SEB, 0546 ica Just Baked --Just For You! a for Resiant, Youve ge He'll give you your money back. . Reith and ot nash grade ine : : JANE PARKER Reg, Price each 49c -- SAVE 13e fier Kenan ba, SMe | We'll get in touch with that company for you...and for us. " sca fag edad any Tuesday or LL 8" {| The Ontario Regiment RCAC 24-01 That's A&P's guarantee. PIES f No matter who makes it, ae . i 7 if A&P sellsit, oe ails poe. Peake A&P guarantees it. CHIFFON CAKE REA ORANGE, LEMON or BANANA : = © 60% WHOLE WHEAT | I Not every store can offer you a guarantee like that. & "1 24-01 See Pesirent onthe A P _ ae and does. . CAKES 9 .° ¢ LOAVES 4 Bad Snstieeste aitig 3 Shouldn't A&P be your store? : If you are 16 years of age, are in Sescaton te Stet iat \ r 4 . '2 iets See the Regimental Recruiter any Tuesday or Thursday ofter 8 p.m THE ONTARIO REGIMENT. RCAC

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