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Auto parts manufacturers build miscellaneous parts and equipment, including exhaust systems, airbags, heating, ventilation, air conditioning systems (HVAC) and filtration devices. Manufacturers have faced notable volatility throughout the current period, with the pandemic, climbing interest rates and supply chain disruptions creating uncertainty among buyers and suppliers. Specifically, pent-up demand for driving has driven robust car sales and improved production volumes, signaling greater health for the Canadian automotive sector. Tariff policies may also introduce volatility, potentially slamming export volumes to the US. Tariffs have similar introduced new supply chain concerns, particularly as Canada institutes retaliatory measures on US metal products. Overall, growth will continue, with revenue climbing at an expected CAGR of 6.2% to $8.7 billion through the current period, where profit will reach 6.3%. Revenue will climb 0.4% in 2025, slowing significantly from the previous years as tariffs muddy forecasts.
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IBISWorld's research coverage on the Auto Parts Manufacturing industry in Canada includes market sizing, forecasting, data and analysis from 2015-2030. The most recent publication was released August 2025.
The Auto Parts Manufacturing industry in Canada operates under the NAICS industry code 33639CA. Canadian auto parts manufacturers produce and rebuild a wide variety of motor vehicle parts and accessories. These parts include air bags, air conditioners, catalytic converters, engine exhaust systems, mufflers and resonators, radiators, radiator cores and wheels. Related terms covered in the Auto Parts Manufacturing industry in Canada include scrappage rates, original equipment manufacturer (oem), big three and tier 1 manufacturer.
Products and services covered in Auto Parts Manufacturing industry in Canada include Air-conditioning systems, Fuel tanks and filters and Exhaust systems and radiators.
Companies covered in the Auto Parts Manufacturing industry in Canada include Magna and Denso Corporation.
The Performance chapter covers detailed analysis, datasets, detailed current performance, sources of volatility and an outlook with forecasts for the Auto Parts Manufacturing industry in Canada.
Questions answered in this chapter include what's driving current industry performance, what influences industry volatility, how do successful businesses overcome volatility, what's driving the industry outlook. This analysis is supported with data and statistics on industry revenues, costs, profits, businesses and employees.
The Products and Markets chapter covers detailed product and service segmentation, analysis of major markets and international trade data for the for the Auto Parts Manufacturing industry in Canada.
Questions answered in this chapter include how are the industry's products and services performing, what are innovations in industry products and services, what products or services do successful businesses offer and what's influencing demand from the industry's markets. This includes data and statistics on industry revenues by product and service segmentation and major markets.
The Geographic Breakdown chapter covers detailed analysis and datasets on regional performance of the Auto Parts Manufacturing industry in Canada.
Questions answered in this chapter include where are industry businesses located and how do businesses use location to their advantage. This includes data and statistics on industry revenues by location.
The Competitive Forces chapter covers the concentration, barriers to entry and supplier and buyer profiles in the Auto Parts Manufacturing industry in Canada. This includes data and statistics on industry market share concentration, barriers to entry, substitute products and buyer & supplier power.
Questions answered in this chapter include what impacts the industry's market share concentration, how do successful businesses handle concentration, what challenges do potential industry entrants face, how can potential entrants overcome barriers to entry, what are substitutes for industry services, how do successful businesses compete with substitutes and what power do buyers and suppliers have over the industry and how do successful businesses manage buyer & supplier power.
The Companies chapter covers Key Takeaways, Market Share and Companies in the Auto Parts Manufacturing industry in Canada. This includes data and analysis on companies operating in the industry that hold a market share greater than 5%.
Questions answered in this chapter include what companies have a meaningful market share and how each company is performing.
The External Environment chapter covers Key Takeaways, External Drivers, Regulation & Policy and Assistance in the Auto Parts Manufacturing industry in Canada. This includes data and statistics on factors impacting industry revenue such as economic indicators, regulation, policy and assistance programs.
Questions answered in this chapter include what demographic and macroeconomic factors impact the industry, what regulations impact the industry, what assistance is available to this industry.
The Financial Benchmarks chapter covers Key Takeaways, Cost Structure, Financial Ratios, Valuation Multiples and Key Ratios in the Auto Parts Manufacturing industry in Canada. This includes financial data and statistics on industry performance including key cost inputs, profitability, key financial ratios and enterprise value multiples.
Questions answered in this chapter include what trends impact industry costs and how financial ratios have changed overtime.
The Industry Data chapter includes 10 years of historical data with 5 years of forecast data covering statistics like revenue, industry value add, establishments, enterprises, employment and wages in the Auto Parts Manufacturing industry in Canada.
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The market size of the Auto Parts Manufacturing industry in Canada is $8.9bn in 2026.
There are 353 businesses in the Auto Parts Manufacturing industry in Canada, which has grown at a CAGR of 0.9 % between 2020 and 2025.
The Auto Parts Manufacturing industry in Canada is likely to be significantly impacted by import tariffs with imports accounting for a high share of industry revenue.
The Auto Parts Manufacturing industry in Canada is likely to be significantly impacted by export tariffs with exports accounting for a high share of industry revenue.
The market size of the Auto Parts Manufacturing industry in Canada has been growing at a CAGR of 6.2 % between 2020 and 2025.
Over the next five years, the Auto Parts Manufacturing industry in Canada is expected to grow.
The biggest companies operating in the Auto Parts Manufacturing industry in Canada are Magna and Denso Corporation
Manufacturing motor vehicle air conditioners and Manufacturing motor vehicle air bag assemblies are part of the Auto Parts Manufacturing industry in Canada.
The company holding the most market share in the Auto Parts Manufacturing industry in Canada is Magna.
The level of competition is high and steady in the Auto Parts Manufacturing industry in Canada.