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Ontario Partners with Businesses to Boost Auto Parts Competitiveness

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Ontario Partners with Businesses to Boost Auto Parts Competitiveness

Province Strengthening Automotive Supply Chain

Ontario is helping more auto parts companies invest in technology and training to stay ahead in a fiercely competitive global economy.

Today, the province announced an additional $5 million investment to extend the successful Automotive Supplier Competitiveness Improvement Program (ASCIP) for another year, along with 15 new projects receiving support from the province, leveraging an additional $4.02 million in private sector investment.

The program assists small- and medium-sized auto parts companies adopt industry-leading software, hardware and/or provide training to improve processes and boost competitiveness. Examples of the types of technologies and training ASCIP supports include:

  • Computer Aided Design and 3D modelling software to enable companies to bid for more complex, higher-value production work
  • Special planning and management software that helps companies better manage workflow, inventory and tenders for projects
  • Adoption of lean manufacturing practices to minimize waste during the production process and optimize productivity.

A strong and technologically-advanced automotive supply chain is essential for the long-term viability of vehicle production in Ontario, particularly in the face of intense global competition and uncertainty within the North American sector.

Supporting good jobs and helping companies modernize is part of the government's plan to support care, create opportunity and make life more affordable during this period of rapid economic change. The plan includes free prescription drugs for everyone under 25, and 65 or over, through the biggest expansion of medicare in a generation, free tuition for hundreds of thousands of students, a higher minimum wage and better working conditions, and free preschool child care from 2 ½ to kindergarten.

Quick Facts

  • The Automotive Supplier Competitiveness Improvement Program (ASCIP) is administered by Ontario Centres of Excellence (OCE) in conjunction with the Automotive Parts Manufacturers' Association (APMA).
  • Vehicle assembly and auto parts production directly supports more than 100,000 jobs in Ontario, with hundreds of thousands more spin-off jobs across the province.
  • Ontario is the top vehicle-producing region in North America and unique in being home to five global automotive assemblers — Fiat-Chrysler, Ford, General Motors, Honda and Toyota — as well as truck manufacturer Hino.
  • The province’s auto assembly plants are supported by an advanced and integrated Ontario supply chain that comprises over 700 part suppliers and over 500 tool, die and mould makers.
  • Ontario assembly plants produced about 14 per cent of North American vehicle production over the last 5 years.

Background Information

Additional Resources

Quotes

“Small- and medium-sized auto parts companies across the province play an integral role in enabling Ontario’s assembly plants to win production mandates for the next generation of technology-intensive vehicles. The Automotive Supplier Competitiveness Improvement Program provides targeted and strategic support so our auto supply chain remains at the forefront of innovation and productivity.”

Steven Del Duca

Minister of Economic Development and Growth

“Vehicle production and parts manufacturing is an especially important sector in Ontario, both in terms of local jobs and global competition. Through the Automotive Supplier Competitiveness Improvement Program, we are supporting small- and medium-sized auto parts businesses to help them succeed in a dynamic industry, and maintain their position as globally leading companies.”

Dr. Tom Corr

President and CEO, Ontario Centres of Excellence

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