The Canadian federal government and provincial government of Ontario, where automaking is based, will provide an estimated C$3.4bn to the Canadian divisions of the Detroit-based Big Three.


Federal industry minister Tony Clement would not give a specific figure but said the amount of money in the Canadian bailout represents the country’s 20% share of the Detroit Three’s North American vehicle production and is contingent on Canada maintaining that percentage, the Toronto-based Globe and Mail newspaper said.


“Clearly, this amount of money is meant to be, as the US is finding out, a way to keep the doors open for the domestic auto sector while they continue their long-term planning,” he said.


The support package is conditional on the automakers working with their unions and parts suppliers on a long-term solution for the sector and also conditional on a US deal coming together.


The paper said around 110,000 Canadians, mainly in Ontario, work for the Canadian units of the Detroit Three and for parts companies.


A separate report said the Detroit Three employ over 30,000 at assembly plants in Ontario.


Honda and Toyota also operate plants in the province.