Ontario Promotes Auto Parts Competitiveness

Last week, at the Canadian International Auto Show, the Government of Ontario, Ontario Centres of Excellence (OCE) and the Automotive Parts Manufacturers’ Association (APMA) announced 20 new technology innovation projects that will advance Ontario’s global competitiveness in the automotive sector.

The projects are to be funded through Stream 1 of OCE’s Automotive Supplier Competitiveness Improvement Program (ASCIP).

ASCIP is a partnership between the APMA, OCE and the Province of Ontario’s Ministry of Economic Development and Growth (MEDG). The program seeks to increase the sourcing capabilities of Ontario-based small- and medium-sized automotive suppliers, while encouraging innovation and productivity initiatives that increase success in growing export markets.

Projects are eligible for up to $100,000 in project funding, which must be matched by the industry and contribute to the adoption of industry-leading IT. Projects can be up to two years in duration.

“The automotive industry is rapidly evolving and in Ontario that evolution includes adopting industry-leading technology to remain competitive globally,” said Dr. Tom Corr, OCE’s president and CEO. “ASCIP will increase sourcing capabilities and productivity and drive success for Ontario’s auto suppliers to ensure they are able to continue to meet and exceed the high level of innovation and competiveness their clients have come to expect.”

Stream 1 focuses on technology adoption and will provide grants to auto parts supplier firms that conduct projects to advance product life cycle management and improve competitiveness through adoption of advanced hardware, software and/or training. The 20 successful projects will receive more than $1.4 million in ASCIP funding to reimburse up to 50 percent of eligible program costs. This funding has been matched or exceeded by industry partners with cash and in-kind contributions to bring the total value of Stream 1 projects to more than $4 million.

“Ontario’s comprehensive and technology-intensive supply chain is a major asset as the province advocates for new automotive investment and vehicle production work,” said Brad Duguid, Ontario’s Minister of Economic Development and Growth. “Through this program, we are ensuring that more auto parts companies have access to leading-edge information technology that will boost innovation and increase productivity.”

“SMEs from across the province and throughout the supply chain spectrum have made improvement proposals in funding requests at a demand level that is far exceeding the expectations of this popular pilot program,” said Warren Ali, APMA’s director of emerging technologies. “ASCIP will assist dozens of firms in achieving immediate and long-term success in North America and other markets.”

ASCIP Stream 1 objectives seek to:

Increase suppliers’ capabilities to deliver shorter design cycle times, be more productive, more responsive to market changes and able to take advantage of new business opportunities with OEMs
Support the adoption of specific software and IT solutions that allow companies to manage the entire lifecycle of a product efficiently and cost-effectively
Target small and medium suppliers to increase their sourcing capabilities and take up innovation and productivity initiatives to expand success in growing export markets

Companies with projects in Stream 1 of ASCIP include: