Canada. Royal Commission on the Automotive Industry : The Royal Commission on the Automotive Industry was established under Order in Council P.C. 1047, 2 August 1960, under Part I of the Inquiries Act (R.S.C., 1952, c.154) and on the recommendation of the Prime Minister. The Commission was mandated to inquire into and report on the industries in Canada producing motor vehicles and parts, including: (a) the present and prospective competitive position of the Canadian automotive industry, in Canadian and export markets, as compared with automotive industries of other countries; (b) the relations between the companies producing motor vehicles and parts in Canada and parent, subsidiary or affiliated companies in other countries, and the effects of such relations upon production in Canada; (c) the special problems and competitive position of the industries in Canada producing parts for motor vehicles, and the effects upon the production of vehicles in Canada; (d) the ability of the Canadian industry to produce and distribute economically motor vehicles demanded or likely to be demanded by Canadian consumers; and (e) measures that could be taken by those in control of the industries producing motor vehicles and parts in Canada, by the labour unions concerned, and by Parliament and the government, to improve the ability of such industries to provide increased employment in the economic production of vehicles for the Canadian market and export markets. The commissioner was Vincent Wheeler Bladen and the secretary was J. Elizabeth Leith.
Immediately after World War II, there was a marked growth in the number of automobiles produced in Canada. Demand in the domestic market was so great that little notice was taken of the sharp decline in exports of motor vehicles. But international and domestic conditions after the war led directly to discrimination against North American-type vehicles produced in Canada. Quotas against imports, special surcharges, artificial values for duty, local or internal tax discrimination, and other non-tariff barriers were raised against Canadian motor vehicles. At the same time, many nations sought to develop their own automotive industry. In Canada, the automobile industry was becoming more dependent on a domestic market. Canada was no longer a world leader in motor vehicle production, and from 1955 until the introduction of the full range of compact cars in the 1960s, Canadian producers lost large areas of the domestic market to European manufacturers. Canada's tariff allowed duty-free entry of motor vehicles into this country from the United Kingdom, while the tariff on vehicles imported from non-British countries was only 17.5 per cent. The loss of growth in the Canadian market became a matter of concern in the late 1950s as a reduction in employment opportunities seriously effected the communities of Windsor, Oshawa, Oakville and St. Catharines. These cities appealed to the federal government for action. For example, in November 1959 the Windsor City Council expressed concern over the large number of automobiles and automobile parts imported into Canada and petitioned the federal government to appoint a royal commission to inquire into this subject. Several months later, about July 1960, the United Automobile Workers, the automobile parts manufacturers and the management of the various automobile plants in Canada made similar representations. They suggested to the government that the Tariff Board, or a royal commission, study the Canadian automobile industry. Subsequently several federal government departments made preliminary studies and determined that because the automotive industry was important to Canada, and because it was stagnating during a period of continuing growth of the domestic market, a royal commission was essential. (See House of Commons, Debates, 28 July 1960, p. 7108; 29 July 1960, pp. 7248-7249; and 2 August 1960, pp. 7385-7386; House of Commons, Sessional Paper No. 229, 1960; and James Dykes, Canada's Automotive Industry, Toronto, McGraw-Hill, 1970, pp. 59-65).
Hearings of the Commission were held in Ottawa from 24 October to 28 October 1960. The commissioner visited automobile factories in the United States, the United Kingdom, France, West Germany and Sweden. The commission received 105 submissions. RG33-45 General Inventory