The Ontario government hopes investing another $10-million into its Ontario Automotive Modernization Program will help auto parts suppliers remain competitive under the new NAFTA and once the pandemic ends.
Launched in September 2019, $25.8-million has been awarded to small and medium-sized companies across the province so they can invest in new technology and create jobs.
More than 100 projects, expected to create 570 jobs, are already underway. Funding covers up to half of the cost of new investment up to $100,000.
In Windsor, Kinto Canada Ltd. has received $100,000 through the fund to automate and digitize some of its machining and grinding processes.
It makes connectors and fixtures for the auto industry, electric locomotives and renewable energy and power transmission.
The investment increased productivity, reduced waste, and wait times for customer orders. With a matching investment of $141,607, the company was able to save eight jobs.
"We can help prepare our supply chain to seize growth opportunities stemming from NAFTA 2.0 and its increased regional content requirements for vehicles," said Minister of Economic Development, Job Creation and Trade Vic Fedeli. "As our government works to lay the foundation for our economic recovery from COVID-19, we will continue our collaborative partnerships to keep the auto industry at the forefront of innovation, jobs, and exports for years to come."
The Ontario 2021 Budget also included $56.4-million over the next four years to create the Ontario Vehicle Innovation Network. It will speed up the development of the next generation of electric, connected, and autonomous vehicles.
A supply chain consisting of more than 700 parts firms and 500 tool, die and mold makers support the province's auto industry.
