Auto parts maker Linamar gets $100M gov’t funding
Auto parts maker Linamar Corp., plans to create 1,200 new jobs at its operations in Guelph, Ont., with a major investment supported by financial assistance from the federal government.
Transport Minister Lisa Raitt announced the investment of more than $500 million on January 12 to develop fuel-efficient transmissions.
The Canadian government will fund about 10 per cent of the project, as will the Ontario government. The funding will be complimented by an internal investment from Linamar of $400 million.
“Canada really is a great place to build cars and our government is serious about supporting this industry,” Raitt said during the announcement.
In addition to creating new jobs in Guelph, the investment is also expected to secure more than 1,500 existing jobs at Linamar, which was founded in Guelph in 1966.
In addition to its auto parts business, Linamar also has an industrial equipment division whose products include scissor lifts used in construction and warehousing.
Linamar has more than 18,000 employees, several thousand of whom work at a cluster of factories and the company’s head office operations in Guelph. The company also has plants in the U.S., Mexico, Europe and China.
Linamar has already drawn from Ottawa’s auto fund, which is designed to help companies innovate and develop new technologies. The company borrowed $55 million beginning in 2009.