McGuinty Government Invests In Manufacturing Excellence At DENSO Manufacturing Canada Inc.

Archived Release

McGuinty Government Invests In Manufacturing Excellence At DENSO Manufacturing Canada Inc.

$4.5 Million Investment Spurs Innovation, Helps Create 322 Jobs At Guelph Plant GUELPH, ON, Sept. 6 - The McGuinty government is investing $4.5 million in the expansion of DENSO Manufacturing Canada Inc.'s Guelph facility to help the company increase production and create high-value jobs in Ontario, announced Liz Sandals, MPP Guelph-Wellington on behalf of Sandra Pupatello, Minister Economic Development and Trade. "Once again the highly skilled workforce of Guelph-Wellington has leveraged great opportunities for Ontario's manufacturing sector and our region," said Sandals. "The Ontario government's investment will help DENSO create 322 jobs, introduce advanced technologies and provide top-notch training. This is something to celebrate, and the McGuinty government is replicating this success across the province." The three-year project, supported under the Ontario Automotive Investment Strategy (OAIS), carries a combined provincial and company investment of $78.2 million. Features of the project include: - Expansion of DENSO's current facility from 10,000 square metres to 30,000 square metres - A new production line of Engine Cooling Modules - Introduction of innovative processes, including advanced metal brazing technologies - Employee skills training and developmental opportunities. Contact Info "Our Guelph location provided us with the best advantages for expansion based on our production needs," said DENSO Manufacturing Canada President Joe Stich. "The strategic location, total cost of manufacturing and competitive workforce will help DENSO Manufacturing Canada reach the next level of success. DENSO is pleased with the support and the collaboration that the Ontario government has provided our organization." The McGuinty government's $500-million OAIS strategy was introduced in 2004 to support the auto industry's key areas of competitiveness. "Our investment strategies are leveraging invaluable opportunities and creating an innovative and competitive climate in Ontario's auto sector that's recognized throughout the world," said Pupatello. "DENSO's decision to expand its Guelph facility proves yet again that Ontario is the best place for auto manufacturing in North America." Today's announcement is just one more example of how, working together, Ontarians are achieving results for Ontario's manufacturing industry. Other initiatives include: - A new $650-million Next Generation Jobs Fund that will leverage investments in green technologies that help to reduce greenhouse gas emissions and improve environmental sustainability - Ontario's strategic auto investments that have leveraged more than $7 billion in new investments and anchored thousands of high-value jobs - The Advanced Manufacturing Investment Strategy that promotes the use of leading edge technologies and processes and has supported a range of innovative projects that will generate about $670 million in new investment and support the creation or retention of about 4,000 jobs over a five-year period. Disponible en français www.ontariocanada.com Backgrounder ------------------------------------------------------------------------- DRIVING ONTARIO AUTO INDUSTRY INNOVATION Ontario's auto industry Ontario's auto industry produces cars, light trucks and parts. About 85 per cent of finished vehicles are exported to the United States. Over 90 per cent of Canada's auto industry is located in Ontario, and all Canadian-built cars and light trucks are manufactured in the province. Six major vehicle manufacturers operate a total of 12 Ontario assembly plants. Ontario is also home to two heavy truck manufacturers. These plants are supplied by more than 400 major automotive parts manufacturers, which collectively have more than 500 plants in Ontario. Ontario's auto parts and assembly industry employs over 130,000 people and represents about 20 per cent of the province's total manufacturing output. Global industry restructuring, combined with increasing competition for new investment and product mandates, requires ongoing investments in research and innovation, skills training and leading edge technologies to keep Ontario's auto sector prosperous. Ontario's auto investment strategy The McGuinty government's $500-million Ontario Automotive Investment Strategy was launched in April 2004 to leverage private sector investment in key areas supporting the industry's competitiveness: - Skills training to keep pace with new technologies and processes - Innovation and research - Improved infrastructure to support new manufacturing techniques - Energy efficiencies and environmental technologies. The strategy supports leading-edge auto manufacturing projects that are worth more than $300 million in investment or that create or retain more than 300 jobs. Ontario's strategic auto investments have leveraged more than $7 billion in new investments and anchored thousands of high-value jobs. Large-scale auto projects also offer considerable spin off benefits for suppliers, the construction industry, and local economic development. Many of the projects also include linkages with universities and research institutions to help position Ontario as a centre for the research and innovation required for the next generation of vehicles. Next Generation Jobs Fund Building on the success of the Ontario Automotive Investment Strategy, in June 2007 the Premier announced a new $650-million Next Generation Jobs Fund that will leverage investments in green technologies that help to reduce greenhouse gas emissions and improve environmental sustainability. The fund will support green technology investments across a range of sectors including auto, advanced manufacturing, energy production, forestry and agriculture. Projects supported by Ontario's auto strategy - General Motors, Beacon Project - a multi-faceted investment that supports the company's vehicle design and manufacturing capabilities at plants in Oshawa, St. Catharines and at CAMI in Ingersoll. Provincial support of $235 million for a total investment of $2.5 billion. - Ford, Oakville - investments to make Oakville the company's first flexible manufacturing facility in Canada, plus a new research and development centre focusing on fuel cell technology. Provincial support of $100 million for a total investment of $1 billion. - Chrysler, Windsor and Brampton - investments in increased manufacturing flexibility and an environmentally advanced paint shop at the company's Windsor facility and skills training at the Brampton plant. Provincial support of $76.8 million for a total investment of $768 million. - Toyota, Woodstock - first greenfield vehicle assembly plant to be built in Ontario for almost 20 years. Provincial support of $70 million for a total investment of $1.1 billion. - Linamar, Guelph - creation of a Technology Centre, plus investments in research and development and skills training. Provincial support of $44.5 million for a total investment of $1.1 billion. - International Truck and Engine Corporation, Chatham and Windsor - skills training for workers at the Chatham truck assembly plant plus a new research and development centre in cooperation with the University of Windsor. Provincial support of $32 million for a total investment of $270 million. - Honda, Alliston - new engine facility plus investments to upgrade supporting public infrastructure. Provincial support of $15 million for a total investment of $154 million. - Valiant Corporation, Windsor - next generation of robotic vehicle assembly systems. Provincial support of $7.1 million for a total investment of $93 million. - Nemak, Windsor - investment in an innovative engine block manufacturing process. Provincial support of $6 million for a total investment of $100 million. - AGS Automotive and Tiercon, Stoney Creek, Oshawa, Toronto, Cambridge and Windsor - development of advanced and fully integrated bumper systems and expansion of product portfolio. Provincial support of $6 million for a total investment of $62 million. - Denso Manufacturing Canada, Guelph - expansion of its current facility from 10,000 square metres to 30,000 square metres and increase in workforce to accommodate the introduction of a new production line of Engine Cooling Modules. Provincial support of $4.5 million for a total investment of $78.2 million. Disponible en français www.ontariocanada.com For further information: Valérie Poulin, Minister Pupatello's Office, (416) 325-6907; Dave Bauer, Communications Branch, (416) 325-8773 HELP | CONTACT US | PRIVACY | IMPORTANT NOTICES © Queen's Printer for Ontario, 2008-2009 — Last Modified: February 15, 2009 For further information: Valérie Poulin, Minister Pupatello's Office, (416) 325-6907; Dave Bauer, Communications Branch, (416) 325-8773