Ontario Partners with Scarborough-Based Auto Parts Manufacturers

Published on September 25, 2020

Investments in Technology Adoption to Help Strengthen World-Class Auto Industry and Protect Jobs

September 23, 2020

Economic Development, Job Creation and Trade

Toronto — The Ontario government is investing in new technology adoption with two local auto parts manufacturers in Scarborough to help improve efficiency, productivity and build capacity in the province's world-class automotive supply chain while creating and protecting jobs.

Today, Vic Fedeli, Minister of Economic Development, Job Creation and Trade, announced that an investment of more than $175,000 from the Ontario Automotive Modernization Program (O-AMP) will be matched 1:1 by the recipient companies for these projects:

  • Innotech Precision Inc. — provides tooling, engineering and injection-molded components for the auto industry. The company is receiving $98,582 towards real-time automated monitoring systems, which includes vision and production data analytics technology. The investment will improve manufacturing efficiency and support sales growth. The project is expected to lead to the creation of six new jobs while helping to retain 53 jobs at the company.
  • Kobay Enstel Ltd. — specializes in complex stampings, welded seating assemblies and tube fabrication. The company is receiving $78,410 towards custom computer software and hardware that will support real-time data gathering and analysis of the stamping press. The investment will improve productivity and enhance competitiveness, leading to additional jobs at the company.

"These investments will help these Ontario-based companies grow their market share in the globally competitive auto parts industry," said Minister Fedeli. "The auto and manufacturing sectors are cornerstones of Ontario's economy, providing good jobs for local families and workers. Our government is creating the right economic climate to encourage investment, innovation and growth."

O-AMP is a key commitment of the government's Driving Prosperity auto plan. The program partners with small and medium-sized automotive parts suppliers to invest in projects that support technology adoption. These projects improve processes and/or support training in lean manufacturing, which improves efficiency.

"Our high-quality and innovative supply chain is an essential part of why Ontario is a great place to build vehicles," said Minister Fedeli. "Ontario's world-class auto industry has shown tremendous leadership in the fight against COVID-19, with many companies retooling their operations to make emergency supplies. By making targeted investments like these, and working closely with the sector, we will help start Ontario down the road to economic recovery."


Quick Facts

  • O-AMP supports manufacturing technology adoption and/or adoption of lean manufacturing processes. Funding covers up to 50 per cent of eligible project costs up to $100,000, with recipient companies contributing the remainder through their own resources.
  • The current intake for O-AMP applications is open until October 7th, 2020.
  • Ontario is the only place in North America where five major automakers build vehicles — Fiat Chrysler, Ford, General Motors, Honda, Toyota — as well as truck manufacturer Hino.
  • Ontario is creating a new investment attraction agency, Invest Ontario, to support strategic domestic firms and attract business from around the world to create good jobs.

Quotes

"For over 25 years, Innotech has delivered product innovation through optimal engineering, tooling, and production systems focused on injection-molded applications. With a customer base including some of the world's leading companies, these latest technology investments advance our mission to set industry benchmarks for customer focus and top-grade complex components."

- Rudy Koehler
President, Innotech Precision Inc.

"The foundation of our business, for more than two decades now, is an unwavering focus on quality, cost and delivery as we partner with leading auto manufacturers to bring their projects from concept to mass production. These new technology systems further enhance the efficiency and quality control our team delivers for our valued customers."

- Gavin Galansky
President, Kobay Enstel Limited


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