The Ontario government is investing $10 million in auto parts companies through the Ontario Automotive Modernization Program (O-AMP) to boost competitiveness and position Ontario as a North American hub for building the car of the future. Funding awarded so far will leverage $25.8 million in industry investments.
“The strength, innovation and quality of our automotive supply chain has been essential in attracting almost $6 billion in new vehicle assembly investments to Ontario,” said Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “O-AMP provides targeted support to help auto parts manufacturers make critical investments in technology and training to enable them to keep ahead in a globally competitive industry.”
O-AMP was launched in September 2019 as a centrepiece of Driving Prosperity: The Future of Ontario’s Automotive Sector, the government’s plan for a strong and sustainable auto industry. The program is helping small- and medium-sized automotive parts suppliers get better, stronger and faster by investing in technology adoption and/or training in lean manufacturing. More than 100 projects are either underway or in the pipeline and will create about 570 jobs.
“The Canadian and Ontario auto industries have a generation-defining opportunity to lead in the design, engineering and manufacture of modern vehicle technologies — zero emissions, light-weight, connected and autonomous,” said Flavio Volpe, President of the Automotive Parts Manufacturers Association. “The targeted investments of the Ontario Automotive Modernization Program will assist our ambitious and innovative auto parts companies stay at the leading-edge of technology and innovation.”
“By partnering with Ontario’s innovative and ambitious auto parts companies, 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 Fedeli. “As our government works to lay the foundation 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.”
Ontario’s 2021 Budget announced further support for the auto sector by investing $56.4 million over the next four years to create the Ontario Vehicle Innovation Network (OVIN). OVIN will build on successful elements of the Autonomous Vehicle Innovation Network (AVIN), accelerating the development of next generation electric, connected and autonomous vehicle and mobility technologies, as well as supporting Ontario’s role as the manufacturing hub of Canada.
OVIN will also encourage collaboration between small- and medium-sized enterprises, academia, the auto industry and the battery sector, including critical minerals development in Ontario’s North. This will ensure MEDJCT stakeholders in the automotive and associated sectors across the province have access to the support they need to prepare for and build the next generation of vehicles.