Ontario Invests in New Electric and Hybrid Vehicle Parts Manufacturing
Mitsui High-tec’s First North American Plant Will Create Jobs, Increase Exports
Ontario is partnering with Mitsui High-tec to build the company's first manufacturing facility in North America, and the very first facility in Ontario producing motor cores for electric and hybrid vehicles.
Ontario will invest up to $2 million through the Jobs and Prosperity Fund to support Mitsu High-tec's new facility in Brantford, leveraging an overall project investment of about $38 million. The Japanese company chose Ontario because of the province's highly-skilled workforce and strong auto sector. The greenfield facility is expected to begin production in early 2017 and will feature Mitsui's advanced manufacturing techniques to produce high-efficiency motor cores. The partnership will secure 48 new highly skilled jobs and strengthen the province's auto supply chain.
Initially, the Ontario plant will export the motor cores for electric and hybrid vehicles to customers in the United States with longer term plans to grow the company's market share with Ontario-based vehicle assembly plants as well.
The province is making it easier for Ontarians to switch to an electric vehicle as part of its Climate Change Strategy, which in turn is helping to foster innovation and investment in Ontario's auto sector.
Partnering with business to promote green investment is part of the government's economic plan to build Ontario up and deliver on its number-one priority to grow the economy and create jobs. The four-part plan includes investing in talent and skills, including helping more people get and create the jobs of the future by expanding access to high-quality college and university education. The plan is making the largest investment in public infrastructure in Ontario's history and investing in a low-carbon economy driven by innovative, high-growth, export-oriented businesses. The plan is also helping working Ontarians achieve a more secure retirement.
QUICK FACTS Ontario is one of the top jurisdictions in North America for vehicle production and the only sub-national jurisdiction to have five major global automotive assemblers: Chrysler, Ford, General Motors, Honda and Toyota, as well as truck manufacturer Hino.
The auto industry contributes around $16 billion annually to Ontario’s GDP.
The Jobs and Prosperity Fund is providing $2.7 billion over 10 years to enhance productivity, bolster innovation and grow Ontario’s exports.
Ontario’s business support grants are contingent on the company meeting stringent investment and job targets. Projects are closely monitored over their lifespan to protect taxpayers’ investment and include provisions if targets are not met.
Ontario's five-year, $400-million Business Growth Initiative is helping to grow the economy and create jobs by promoting an innovation-based economy, helping small companies scale-up and modernizing regulations for businesses.
As part of the Business Growth Initiative, Ontario announced the Automotive Supplier Competitiveness Program to help smaller auto parts companies adopt the latest technologies, plus support for the Canadian Urban Transit Research and Innovation Consortium to support R&D and commercialization of technologies.
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