Fiat Chrysler's announcement a new minivan at its Windsor, Ontario, factory will mean twice as many jobs as first expected is a reflection of Canada's competiveness in the auto sector, the head of the Unifor union said.

Formed in 2013 when the Canadian Auto Workers and the Communications, Energy and Paperworkers unions merged, Unifor is the country's largest private sector union and its 310,000 represented workers include 40,000 in autos.

National president Jerry Dias said: "Canadian autoworkers can compete with any in the world. We've got highly skilled and productive workers – a fact that is regularly recognized with top industry awards."

Fiat Chrysler said production of the 2017 Chrysler Pacifica in Windsor would result in about 1,200 jobs – twice what was originally expected.

The announcement came after auto industry advisor Ray Tanguay said both federal and Ontario governments should do more to tell auto companies about the advantages of making cars in Canada – including an educated and skilled workforce, health care, corporate taxes, the low dollar and an established supply chain.

"There's a lot that goes into making an auto industry competitive, and Canada has much to offer auto manufacturers when they are looking for a place to build their cars," Dias said.

"We need to be more upfront in making sure our advantages are understood."

Dias said that, after 10 years of the Harper government doing little to support the industry, Canada's largest export, it was vital both Ontario and federal governments work to ensure the continued prosperity of the sector.

Every job in an auto assembly plant results in nine more jobs with suppliers and other spinoffs, he claimed.

"There are huge advantages to the entire economy when auto jobs are created in Canada," Dias said. "That's what makes the Chrysler announcement such good news for everyone."

With contract talks with the Detroit Three automakers set to begin later this year, Unifor has said that bringing new products to Canadian assembly plants will be a priority at the bargaining table.