US-Canada to discuss auto sector crisis

Thursday, March 5, 2009 at 12:06 AM Posted by Beijing News


Canadian Industry Minister Tony Clement said he would travel to Washington on Thursday, where he is expected to discuss the crisis hitting auto makers with top US economic policy maker Larry Summers.

"The purpose of the meeting specifically is on the auto sector," he said previewing the trip on Wednesday.

Many North American auto plants are based near the Canadian-US border, employing large numbers of workers on either side.

Both governments have said their financial help for the sector will depend on restructuring.

In December the United States granted car giants General Motors and Chrysler 17.4 billion US dollars in loans to stave off collapse.

Both have presented detailed restructuring plans in the hope of not having those loans called in, and receiving an additional 21.6 billion US dollars.

In Canada General Motors has asked for up to 7.5 billion Canadian dollars 6.0 billion US in financial aid.

Chrysler has asked for one billion dollars 800 million US in aid according to Canadian officials.












March 4. REUTERS/Hannibal Hanschke

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