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Automotive Parts & Supply Chain Trust

Protecting Canada's $171 billion automotive sector from counterfeit parts and supply chain disruption

The Hidden Crisis in Auto Manufacturing

Counterfeit parts threaten safety, profits, and Canada's automotive reputation

$75 billion

Annual global losses from counterfeit auto parts

12%

Of replacement parts are counterfeit or substandard

450,000+

Accidents annually linked to fake parts

60 days

Average time to trace defective part origins

Real Impact: The Takata Airbag Crisis

100 million vehicles recalled globally, 27 deaths, $25 billion in costs - all from one supplier's defective parts. With digital trust infrastructure, contaminated propellant would have been detected at the source, preventing parts from ever reaching assembly lines.

Canadian impact: 10 million vehicles recalled, thousands at risk from counterfeit replacement airbags flooding the market

Securing Every Part, Every Supply Chain

From raw materials to recycling, ensuring authenticity at every step

Use Case
Critical Parts Authentication
Instantly verify authenticity of safety-critical components from brake pads to airbags

Current Challenges:

  • Fake airbags causing fatalities
  • Counterfeit brake components failing
  • Substandard electrical parts causing fires
  • No way to verify part origins

Digital Trust Benefits:

  • Real-time part authenticity verification
  • Digital twin tracking from factory to vehicle
  • Instant recall identification
  • Counterfeit detection at borders
Use Case
Supply Chain Transparency
Track every component from raw materials through multiple tiers of suppliers to final assembly

Current Challenges:

  • Ontario plant shutdowns from chip shortages
  • Unknown supplier vulnerabilities
  • Manual tracking across 30,000+ parts
  • Cross-border compliance complexity

Digital Trust Benefits:

  • End-to-end supply chain visibility
  • Tier 2/3 supplier verification
  • Conflict mineral compliance
  • Just-in-time inventory optimization
Use Case
EV Battery Lifecycle
Track battery health, ownership, and recycling from Quebec lithium mines to end-of-life

Current Challenges:

  • Unknown battery degradation history
  • No standardized health metrics
  • Unclear ownership chains
  • Recycling fraud risks

Digital Trust Benefits:

  • Battery passport with full history
  • Residual value certification
  • Second-life application tracking
  • Recycling chain verification
Use Case
Warranty & Service Records
Immutable service history across dealerships, independent shops, and DIY repairs

Current Challenges:

  • Fragmented service records
  • Warranty fraud costing millions
  • Lost maintenance history
  • Odometer tampering

Digital Trust Benefits:

  • Portable service records
  • Automated warranty validation
  • Predictive maintenance alerts
  • Cross-dealer service continuity

Automotive Collaborative Spaces & Clearing House

Digital infrastructure enabling secure collaboration across Canada's automotive ecosystem, from manufacturers to dealers, ensuring parts authenticity and vehicle data integrity.

Automotive Collaborative Space
Digital Ecosystem

A federated environment where OEMs, suppliers, dealers, service centers, and regulators collaborate to ensure supply chain transparency and vehicle lifecycle management.

Purpose & Functions:

Windsor-Detroit Parts Corridor:Track automotive parts crossing Ambassador Bridge daily between Ontario assembly plants and Michigan suppliers
Takata Airbag Tracker:Identify and track 1.5 million Canadian vehicles still containing recalled Takata airbags
Winter Tire Compliance:Verify winter tire installation for Quebec's mandatory law and BC mountain pass requirements
Stolen Catalytic Converter Network:Track and prevent theft of catalytic converters targeting Prius and F-150 vehicles nationwide
Automotive Data Clearing House
Trust Infrastructure

A neutral intermediary that validates vehicle histories, parts authenticity, and ensures compliance with safety and environmental regulations.

Purpose & Functions:

CARFAX Canada Integration:Aggregate vehicle histories from insurance claims, provincial registrations, and service records
Write-Off Vehicle Registry:Prevent rebuilt write-offs from Alberta floods and hail damage entering other provincial markets
Drive Clean Successor:Track emissions testing for heavy-duty diesel vehicles in Ontario's cancelled Drive Clean program
EV Battery Health Certificate:Validate battery degradation and remaining capacity for used Tesla and Nissan Leaf sales

How They Work Together

1

Manufacture

Parts and vehicles are registered with digital identities and provenance records

2

Authenticate

The clearing house validates authenticity and tracks through the supply chain

3

Operate

Vehicles operate with verified parts and transparent service histories

Why This Matters for Canadian Manufacturing

Digital trust infrastructure is critical for Canada's automotive future

Protect 125,000 Auto Jobs

Secure Ontario's auto corridor from Windsor to Oshawa against counterfeit disruption

CUSMA Compliance

Meet 75% North American content requirements with verified supply chains

EV Leadership

Position Canada as trusted supplier for $15B EV battery investments

Export Integrity

$61B in annual auto exports protected by authenticity verification

Parts Authentication Infrastructure

Purpose-built technology for automotive supply chain integrity

Parts Authentication Ledger
Immutable registry of every automotive part from OEM to aftermarket
  • Unique digital identity per part
  • Manufacturer cryptographic signatures
  • Supply chain provenance tracking
  • Instant counterfeit detection
Supplier Trust Network
Verified network of Tier 1/2/3 suppliers with compliance tracking
  • Supplier credential verification
  • Quality certification management
  • Real-time compliance monitoring
  • Risk scoring and alerts
Manufacturing Data Exchange
Secure data sharing between OEMs, suppliers, and regulators
  • Production data synchronization
  • Quality control integration
  • Recall management system
  • Regulatory reporting automation
Vehicle Digital Twin
Complete digital representation of every vehicle and its components
  • Build configuration tracking
  • Component replacement history
  • Ownership chain verification
  • End-of-life recycling data

Implementation Roadmap

Phased rollout across Canada's automotive ecosystem

Phase 1
OEM Integration (Months 1-6)
  • Partner with GM Oshawa, Ford Oakville, Stellantis Windsor
  • Integrate top 50 Tier 1 suppliers (Magna, Linamar, Martinrea)
  • Track 100 critical safety components
  • Establish Transport Canada compliance framework
Phase 2
Supply Chain Expansion (Months 7-12)
  • Onboard 500+ Tier 2/3 suppliers
  • Cross-border integration with Michigan suppliers
  • Launch aftermarket parts verification
  • Implement CBSA counterfeit detection system
Phase 3
Full Ecosystem (Year 2+)
  • Complete vehicle lifecycle tracking
  • 10,000+ suppliers verified
  • Consumer mobile app for part verification
  • Integration with insurance and resale markets

Return on Investment

Measurable impact on Canada's automotive sector

$5.2 billion
Annual counterfeit prevention savings

Protecting Canadian consumers and manufacturers

95%
Reduction in recall response time

From 60 days to 3 days for part identification

40%
Supply chain efficiency gains

Through real-time visibility and optimization

80%
Reduction in warranty fraud

Saving manufacturers $500M annually

Build the Future of Canadian Automotive Industry

Partner with us to eliminate counterfeit parts and secure automotive supply chains