stats
globeinteractive.com: Making the Business of Life Easier

   Finance globeinvestor   Careers globecareers.workopolis Subscribe to The Globe
The Globe and Mail /globeandmail.com
Home | Business | National | Int'l | Sports | Columnists | The Arts | Tech | Travel | TV | Wheels
space


Search

space
  This site         Tips

  
space
  The Web Google
space
   space



space

  Where to Find It


Breaking News
  Home Page

  Report on Business

  Sports

  Technology

space
Subscribe to The Globe

Shop at our Globe Store


Print Edition
  Front Page

  Report on Business

  National

  International

  Sports

  Arts & Entertainment

  Editorials

  Columnists

   Headline Index

 Other Sections
  Appointments

  Births & Deaths

  Books

  Classifieds

  Comment

  Education

  Environment

  Facts & Arguments

  Focus

  Health

  Obituaries

  Real Estate

  Review

  Science

  Style

  Technology

  Travel

  Wheels

 Leisure
  Cartoon

  Crosswords

  Food & Dining

  Golf

  Horoscopes

  Movies

  Online Personals

  TV Listings/News

 Specials & Series
  All Reports...

space

Services
   Where to Find It
 A quick guide to what's available on the site

 Newspaper
  Advertise

  Corrections

  Customer Service

  Help & Contact Us

  Reprints

  Subscriptions

 Web Site
  Advertise

  E-Mail Newsletters

  Free Headlines

  Globe Store New

  Help & Contact Us

  Make Us Home

  Mobile New

  Press Room

  Privacy Policy

  Terms & Conditions


GiveLife.ca

    

PRINT EDITION
Linamar to create 1,500 jobs, open innovation centre
space
Backed by $100-million from federal, Ontario governments, plan by auto parts maker helps dispel NAFTA concerns
space
By GREG KEENAN
  
  

Email this article Print this article
Monday, January 15, 2018 – Page B1

Linamar Corp., Canada's secondlargest auto-parts maker, will create 1,500 jobs and open a new innovation and research centre in an investment backed by about $100-million in funding from the federal and Ontario governments.

The creation by Linamar of 1,500 jobs over the next 10 years will be announced Monday in Guelph, Ont., where Linamar is based. The company already operates a research and development centre and factories throughout the city, which manufacture engine and transmission parts, as well as industrial equipment, and employ several thousand people.

The Linamar plans dispel some of the uncertainty about whether Canadian companies in the auto sector will continue to make investments in Canada amid doubts about the future of the North American free-trade agreement. U.S. President Donald Trump has threatened several times that the United States will pull out of NAFTA while U.S. negotiators have put automotive proposals on the table that Canada and Mexico have rejected outright.

In addition to its large manufacturing footprint in Canada, Linamar has operations in Kentucky, North Carolina and Mexico, so it could be affected by major changes to the automotive provisions of NAFTA.

The federal government will provide a $49-million grant from its Strategic Innovation Fund, while about $50-million will come from the Ontario government's Jobs and Prosperity Fund. Ottawa's Strategic Innovation Fund was created in the federal budget last year and takes the place of several funds, including the Automotive Innovation Fund.

In these kinds of projects, the two governments typically contribute a combined 20 per cent of what companies are putting up, so the Linamar investment in the project is expected to be about $500-million.

"Innovation is the single most important thing we can do in terms of product design, process design and material development to solve global problems," Linamar chief executive officer Linda Hasenfratz said in a statement. "To have our government support us in that endeavour is fantastic, further cementing the fact that Canada is a great place for advanced manufacturing to thrive."

The government financing will support such advanced manufacturing initiatives as 3-D printing and artificial intelligence as well as the development of cleaner auto technologies.

"This investment will create and maintain middle-class jobs in Southern Ontario and drive economic growth in the area," said Navdeep Bains, federal Minister of Innovation, Science and Economic Development. "Investing in these projects also means that Canadian manufacturers can remain globally competitive and leaders in technological advancements."

Ontario Minister of Economic Development and Growth Brad Duguid said: "This is a huge vote of confidence in Ontario and Canada's auto sector given the uncertainties of NAFTA."

The Linamar investment takes the total invested in the auto sector by car companies and major parts makers to more than $3-billion since the fall of 2016, Mr. Duguid said.

Ms. Hasenfratz is positioning Linamar to benefit from the growth of new engine technologies such as hybrids and batteryelectric vehicles.

"What excites me about this is that a lot of this is next-generation transmission, drive train and engine components and looking ahead to electric and connected vehicles," Mr. Duguid said.

Artificial intelligence, vehicle light-weighting and robotics are where Ontario's strengths need to be in the new economy, he said in an interview.

Linamar is targeting sales of $9.5-billion by 2021, compared with $6.0-billion in 2016. Financial results for 2017 have not been released. Ms. Hasenfratz is also diversifying the company founded by her father, Frank Hasenfratz, in Guelph in 1966.

Linamar announced in December that it will purchase the MacDon group of companies, a Winnipeg-based manufacturer of agricultural equipment. The company employs about 26,000 people and is the second-largest auto maker in Canada measured by revenue.


Huh? How did I get here?
Return to Main Brian_Milner Page
Subscribe to
The Globe and Mail
 

Email this article Print this article

space  Advertisement
space

Need CPR for your RSP? Check your portfolio’s pulse and lower yours by improving the overall health of your investments. Click here.

Advertisement

7-Day Site Search
    

Breaking News



Today's Weather


Inside

Rick Salutin
Merrily marching
off to war
Roy MacGregor
Duct tape might hold
when panic strikes


Editorial
Where Manley is going with his first budget




space

Columnists



For a columnist's most recent stories, click on their name below.

 National


Roy MacGregor arrow
This Country
space
Jeffrey Simpson arrow
The Nation
space
Margaret Wente arrow
Counterpoint
space
Hugh Winsor  arrow
The Power Game
space
 Business


Rob Carrick arrow
Personal Finance
space
Drew Fagan arrow
The Big Picture
space
Mathew Ingram arrow
space
Brent Jang arrow
Business West
space
Brian Milner arrow
Taking Stock
space
Eric Reguly arrow
To The Point
space
Andrew Willis arrow
Streetwise
space
 Sports


Stephen Brunt arrow
The Game
space
Eric Duhatschek arrow
space
Allan Maki arrow
space
William Houston arrow
Truth & Rumours
space
Lorne Rubenstein arrow
Golf
space
 The Arts


John Doyle arrow
Television
space
John MacLachlan Gray arrow
Gray's Anatomy
space
David Macfarlane arrow
Cheap Seats
space
Johanna Schneller arrow
Moviegoer
space
 Comment


Murray Campbell arrow
Ontario Politics
space
Lysiane Gagnon arrow
Inside Quebec
space
Marcus Gee arrow
The World
space
William Johnson arrow
Pit Bill
space
Paul Knox arrow
Worldbeat
space
Heather Mallick arrow
As If
space
Leah McLaren arrow
Generation Why
space
Rex Murphy arrow
Japes of Wrath
space
Rick Salutin arrow
On The Other Hand
space
Paul Sullivan arrow
The West
space
William Thorsell arrow
space





Home | Business | National | Int'l | Sports | Columnists | The Arts | Tech | Travel | TV | Wheels
space

© 2003 Bell Globemedia Interactive Inc. All Rights Reserved.
Help & Contact Us | Back to the top of this page