Queen’s Park and Ottawa are teaming up to hand over $100 million to a Guelph auto parts giant to create 1,200 jobs.
Premier Kathleen Wynne said the province would grant Linamar Corporation $50.25 million while the federal government was loaning the company an additional $50.7 million to develop the next generation of automotive transmissions.
“By partnering with companies like Linamar, we are positioning the province for growth now, and for years to come,” Wynne said Monday in Guelph.
Federal Transport Minister Lisa Raitt, whose Conservatives are headed to the polls later this year, said Ottawa was happy to lend Linamar a hand — and money.
“Canada has much to offer automakers and parts manufacturers: our automotive innovation fund, the new Windsor-Detroit bridge, support for automotive R&D, a stable economy, a low corporate income tax rate, a highly skilled and productive workforce, well-developed infrastructure and access to markets,” said Raitt.
Linda Hasenfratz, chief executive officer of Linamar, which employees 19,000 workers at 45 locations around the world, said the firm’s Ontario’s factories are its “most productive globally.” It has 6,870 workers in Ontario.
Hasenfratz said the grant and loan would ensure the company continues to innovate.
“It is critical for our governments to also create a competitive environment for companies to invest and they certainly have done so today with this funding in addition to a competitive tax rate and support for innovation and education unparalleled globally,” she said.