The Ontario Automotive Modernization Program helps modernize Ontario’s automotive supply chain to make it more competitive and responsive to the changing needs of its customers.
Funding:
- Up to $150,000grant to offset up to 50% of eligible project costs. (aim for $300k+ budget to receive max grant return).
Eligible Applicants for Ontario Automotive Modernization Program:
- Ontario automotive parts manufacturers (at least 50% of total revenues must be generated from the automotive supply sector).
- The direct applicant must be a SME (<500 employees in Ontario and <$1B consolidated global revenues).
- The applicant must be in the automotive supply chain to original equipment manufacturers of passenger and commercial vehicles. Aftermarket parts industry is not eligible.
- Must have a minimum of two years of financial statements.
- At least 50% of the company’s total sales revenue comes from the auto supply sector
- Must have a manufacturing location in Ontario by the time your project starts
Eligible Projects for Ontario Automotive Modernization Program:
- Technology adoption– implementing advanced manufacturing hardware, software and/or training to improve processes and competitiveness, for example, Enterprise Resource Planning (ERP) systems, production tracking systems and advanced hardware implementation.
- Tools/technologies to support new product development– adoption of technologies to assist with the engineering and design of new products such as Computer-Aided Design & Computer-Aided Manufacturing (CAD/CAM) systems, Finite Element Analysis (FEA) software, Design for Manufacturing (DFM) tools, rapid-prototyping tools or other tools to support the New Product Introduction (NPI) process
- LEAN manufacturing– for example, improving operational efficiency and competitiveness by adopting lean manufacturing techniques and hiring the services of a mentor/consultant to help with lean implementation
- Align with O-AMP’s goals of economic gains, business improvements, and operational improvements.
- Be no more than two years in duration.
Eligible Expenses:
- No expenses can be incurred prior to approval
- Hardware/Software: ERP, CAD/CAM, DFM tools, etc. (Including software licencing costs for the duration of the project)
- Implementation costs
- Materials – May be eligible if it directly relates to a software implementation and leverages benefits of that software
- Labour (e.g., Project Management) – Recommend to cap at 10% of the project budget
- LEAN Training and consulting
Ineligible Expenses:
- Infrastructure costs (e.g., building and facilities)
- Capital costs (e.g., vehicles and equipment)
- R&D
Timelines for Ontario Automotive Modernization Program:
- Next intake Opening Soon
- Intake Deadline: Anticipate intake to close by Aug/Sept 2025
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