General Motors Corporation has been having a hard time lately. So much so that its biggest rival, Toyota Motor Corporation, is fast gaining on the US automaker, with many industry observers predicting that soon, the Japanese automaker will be the top automaker ? effectively edging out what was once known as the world?s Big Three.

As part of its move to ease their current financial troubles, General Motors has decided to cut the operation on its Canadian plant in Oshawa. This means the car company is laying off 1,200 workers and cutting the three shifts on making both Chevrolet Silverado and GMC Sierra pickup trucks. The facility plant also makes car parts like GMC catalytic converter.

The change will not affect the GM’s Tonawanda plant, according to GM spokeswoman Mary Ann Brown. She also said that the plant will not be affected because it is the only plant that produces engine supplies for the Chevrolet Impala. The line was not included on the cutbacks.

Although the Tonawanda facility does not currently produce the engines for the two pick up brands, the 4.5 liter diesel engine plant will be producing the new car part in 2009 for the Silverados and Sierras going out on the market this coming 2010.

According to the General Motor?s spokesman Stew Low of Oshawa, GM is trying to do all the efforts to improve its production of more pickups in the North America. The news signifies the slump on the US car market and even on automotive sectors in Canada.

Brown also said that in Tonawanda, the general economic conditions has a great impact on the production requirements but not on the workforce levels beyond anything with connection with what the plant has already announced.

She also added on a statement, “We had expected the economic downturn that has been talked about to impact us more than it has. We thought we were going to a one-shift operation from two shifts at our 2.2 liter and 3.5 liter engine lines, but production schedules are such that we will not have to do that now.”

She also said the engine production will be down slightly.

The announcement made by the GM about its plant may lay off 145 working employees on the said plant for up to two years. The plant starts its changes on September 24 and will only lower the production requirements to cope up with the budget loss.

In the United States, the call for more eco-friendly vehicles is being led by the state of California. Under the administration of Governor Arnold Schwarzenegger, the state has become the toughest when it comes to emission standards. Although always in conflict with Detroit?s automakers, the Governor has proven that tougher emission standards is the way to go to cut the increasing threat of global warming.

In Canada, more specifically in Ontario, Premier Dalton McGuinty has taken a different approach. Last month, the Premier announced that the auto sector will be given a subsidy by the government. This announcement though was faced with criticism.

The Toronto Star reported that McGuinty?s action is not the right thing to do in the face of the current environmental challenges. The reason for this is that although the subsidy would help keep assembly facilities open, it will not do much in reducing emission from cars assembled by automakers.

Last month, McGuinty announced that $650 million will be given to automakers as subsidy. This allotment is aimed to help automakers develop green cars like hybrid vehicles for the Canadian auto market.

Aside from California, Quebec and the British Columbia has taken the route of passing tougher emission standards as well as 13 other states in the United States. According to experts, having tougher emission standards would mean that automakers will be forced to come up with eco-friendly vehicles.

It has been pointed out that only the Big Three are complaining of the emission standards. Asian automakers like Toyota, Nissan and Honda are coming out with vehicles with exemplary fuel efficiency. The Big Three claims though that by developing greener cars, they would also be forced to close down plants across North America.

This apparent whining though from General Motors, Ford and Chrysler is frowned at by many. The Star reported that this ploy was also used by these automakers in the past. When catalytic converters are made mandatory for automakers in the 1970s, General Motors? vice president Earnest Starkman said that it could lead to ?complete stoppage of the entire production could occur, with the obvious tremendous loss to the company, shareholders, employees, suppliers, and communities,? reported The Star.

But today, when catalytic converters are mandatory for vehicles, the assumption by General Motors was proven to be untrue. In fact, catalytic converters like those at Catalytic Converter Canada have made automobiles more eco-friendly than they are in the past. If the United States government gave in to the whining of the automakers in the past, the threat of global warming will have been more serious today.

Aside from cutting down emission from vehicles in North America considerably, passing harsher emission standard can also lead to advancement of vehicle technology for American automakers. With the Japanese automakers having the upper hand in the manufacturing of fuel-efficient vehicles, the Big Three are in danger of falling more behind.

Instead of whining that harsher emission standards will hurt their business, they should look at its positive impact. With the demand for fuel efficient vehicles continually on the rise, they are better off developing vehicles that can meet the stricter emission standards instead of coming up with excuses.

In the United States, aside from California, other states may be considering passing tougher emission standards. In Europe, the EU already passed stricter emission standards. Obviously, this is something that McGuinty failed to consider when he came up with a plan to give subsidy to automakers.