CADA Urges Government to Stay the Course on Business Tax Reductions
OTTAWA, Feb. 8 /CNW/ - The Canadian Automobile Dealers Association
(CADA) is applauding the federal government for its handling of the
recession and implementation of the Economic Action Plan, credited with
helping steer Canada through one of the worst economic downturns in
"Canada withstood the impact of the recession better than almost any
other country," observed CADA President and CEO Richard Gauthier. "For
this we can thank the resourcefulness of the Canadian people and the
thousands of businesses across the country, but also a sound regulatory
environment and a federal government that was prepared to act when the
going got tough in 2008 and 2009."
"Thanks to federal programs like the Canadian Secured Credit Facility,
the emergency automotive assistance package, and other targeted
economic measures undertaken by the federal government, Canada is now
better placed than all of its G7 counterparts to resume economic growth
in 2011," continued Gauthier. "Further, it is absolutely essential to
the continued vigor of the recovery that previously-announced business
tax reductions be fully implemented in the years to come."
Fully implementing the business tax reductions passed in the 2007
federal budget, as presented in CADA's White Paper on Tax Reform, 2006, will be essential to laying the foundation for self-sustaining growth,
and to providing businesses across Canada with the certainty they need
to make long term plans and investments in the Canadian economy.
Retail automotive sales bounced back in a very positive fashion in
Canada in 2010, with the overall market up almost seven per cent over
2009. To kick off 2011, there is a sense of renewed optimism for an
industry and an economy that only a year and a half ago was in a very
different position. Dealers are selling more vehicles and manufacturers
have moved to solid profitability and are paying back government loans
years ahead of schedule.
Canada has now recovered the vast majority of the jobs lost during the
recession, and our unemployment rate stands at several percentage
points lower than in the United States. This fact alone means that
consumers will be in a better position to support growth in 2011
through renewed consumer spending, much of which was put on hold during
the worst of the downturn.
"Much has been made about the soundness of Canada's banking system
throughout the past two years, as other countries' banks have wobbled
under toxic loans and regulatory upheaval," said Gauthier. "We fully
support this view. Prudent federal regulation has indeed created in
Canada a very stable banking system. As such, we support the
government's approach of the upcoming Federal Bank Act review as a
technical exercise, not one that will lead to wholesale changes in the
way in which we regulate banks in this country," Gauthier concluded.
The Canadian Automobile Dealers Association (CADA) is the national
association for franchised automobile dealerships that sell new cars
and trucks. Our more than 3,000 dealers represent a key sector of
Canada's economy. Through our dealers, we are represented in nearly
every community and those dealers collectively employ over 130,000
people across the country.
SOURCE CANADIAN AUTOMOBILE DEALERS ASSOCIATION (CADA)
For further information:
Emily Reid, CADA Public Affairs
Toll free: 1-800-465-3054 Tel: 613-230-2079 Email: firstname.lastname@example.org