June 23, 2021—The Canadian Tooling & Machining Association (CTMA), in partnership with the Canadian Association of Moldmakers, (CAMM), Automate Canada and the Niagara Industrial Association (NIA), recently conducted a second survey to measure the effects of border closures due to the COVID-19 pandemic within the manufacturing industry.
This updated study was to compare the results to the previous survey about common border crossing issues that have been experienced by those in the industry, who have identified that many of their businesses rely on travel between the U.S. and Canada. There were 91 responses to this follow up survey, which is a substantial increase over the 39 responses in the December 2020 survey.
The severity of the issue continues. In December 2020, an average of 70 per cent of employers reported quarantine orders for employees and visitors and denial of entry by visitors into Canada. In May 2021, this increased dramatically to 87%. An overwhelming 69% have experienced loss of contracts due to border issues.
“It’s clear from the increased participation in the survey that the issues at the border have left manufacturers with high risk for current contracts and potentially irreversible damage to customer relationships,” said Jeanine Lassaline-Berglund, president, CAMM.
The financial impact varies among respondents. Although some participants were reluctant to share financial information due to issues with confidentiality, the majority noted there were undeniable losses from 2021 because of the interruption of COVID-19-related protocols. Of those who commented, 64.9% stated a combined actual financial impact of $100,000 to $10,000,000 for 2020; and 65.4% revealed an estimated financial impact of $100,000 to more than $5,000,000 for 2021.
The detailed report and Media Release can be found below
