samsonyuen
June 30th, 2005, 11:53 AM
If my memory serves me well, there was a Hyundai plant in Québec that closed a decade ago?
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Ontario eyeing Hyundai, Kia for auto investments following new Toyota factory
STEVE ERWINTue Jun 28, 6:19 PM ET
TORONTO (CP) - A new Toyota plant might jump-start even more investment in Ontario's auto sector from Hyundai and others, the province's economic development minister said Tuesday.a
Joe Cordiano said a new Toyota plant in Woodstock, Ont., would strengthen the supply base feeding that plant and also increase the province's profile among global automakers.
Cordiano has spent more than a year lobbying Toyota for the factory, including two trips to Tokyo. He maintains the Toyota investment - which would create the automaker's second manufacturing site in Ontario - hasn't yet been formally approved by the company's board, although an announcement is widely expected Thursday.
In addition to the talks with Toyota, Cordiano said he's already held talks with Hyundai and the South Korean automaker's Kia subsidiary, which are said to be eyeing sites in North America for new factories over the next decade.
"In my opinion, this is just the beginning," Cordiano said. "There are many more opportunities for us not just to attract auto companies, but in life sciences and other key sectors."
"Ontario is a very interesting place to invest now."
Hyundai opened a plant last month in Alabama - its first North American factory since its ill-fated effort in Bromont, Que., which it built in 1989 and closed in 1993.
Observers say the Korean company may need to expand the Alabama site or build a new plant if its sales on the continent continue to climb. Kia, taken over by Hyundai in 1998, has said it wants its own North American site, likely for pickup truck production.
Also, Nissan has said it would consider building a Canadian location over the next few years depending on its sales performance.
Asian manufacturers have posted increased sales in recent years at the expense of the traditional Big Three automakers and are looking to produce more vehicles where they sell them.
Ontario was regularly losing auto investments to southern U.S. states offering hundreds of millions of dollars in subsidies to lure assembly work.
Such factories employ several thousand workers and boost tax revenues.
An Ontario investment fund offered $500 million in research and training funds to automakers who promised investments that provided at least 300 jobs. General Motors, Ford and DaimlerChrysler are all drawing from the fund, and sources say $70 million has been committed to Toyota for the new factory.
After the Toyota package, there would be roughly $95 million remaining in the fund for another investment. Cordiano wouldn't say whether any of the remaining funds have been earmarked for another assembly plant down the road.
But with Ontario making headlines in business pages around the world in recent weeks due to the Toyota story and increased research and auto parts manufacturing expected, the province can now compete for more investment without offering nearly the kind of cash proposed by American jurisdictions.
"We're speaking to as many auto manufacturers as we can, and I'm looking forward to meetings with even more companies in the near future," Cordiano said.
Observers say Canada's taxpayer-funded health care and skilled workforce are also significant factors attracting Toyota to Woodstock.
Cordiano hopes to improve Ontario's profile through new global marketing offices. On Tuesday, the minister announced new offices will be established in Tokyo, London, Los Angeles and New Delhi. Ontario already has offices in Shanghai, Munich and New York.
Ontario closed all of its 17 international offices in 1993.
The Woodstock plant will employ between 1,000 and 1,500 workers when it's completed in 2007. Several thousand more jobs could be created at parts companies and service firms feeding the plant.
__________________
Ontario eyeing Hyundai, Kia for auto investments following new Toyota factory
STEVE ERWINTue Jun 28, 6:19 PM ET
TORONTO (CP) - A new Toyota plant might jump-start even more investment in Ontario's auto sector from Hyundai and others, the province's economic development minister said Tuesday.a
Joe Cordiano said a new Toyota plant in Woodstock, Ont., would strengthen the supply base feeding that plant and also increase the province's profile among global automakers.
Cordiano has spent more than a year lobbying Toyota for the factory, including two trips to Tokyo. He maintains the Toyota investment - which would create the automaker's second manufacturing site in Ontario - hasn't yet been formally approved by the company's board, although an announcement is widely expected Thursday.
In addition to the talks with Toyota, Cordiano said he's already held talks with Hyundai and the South Korean automaker's Kia subsidiary, which are said to be eyeing sites in North America for new factories over the next decade.
"In my opinion, this is just the beginning," Cordiano said. "There are many more opportunities for us not just to attract auto companies, but in life sciences and other key sectors."
"Ontario is a very interesting place to invest now."
Hyundai opened a plant last month in Alabama - its first North American factory since its ill-fated effort in Bromont, Que., which it built in 1989 and closed in 1993.
Observers say the Korean company may need to expand the Alabama site or build a new plant if its sales on the continent continue to climb. Kia, taken over by Hyundai in 1998, has said it wants its own North American site, likely for pickup truck production.
Also, Nissan has said it would consider building a Canadian location over the next few years depending on its sales performance.
Asian manufacturers have posted increased sales in recent years at the expense of the traditional Big Three automakers and are looking to produce more vehicles where they sell them.
Ontario was regularly losing auto investments to southern U.S. states offering hundreds of millions of dollars in subsidies to lure assembly work.
Such factories employ several thousand workers and boost tax revenues.
An Ontario investment fund offered $500 million in research and training funds to automakers who promised investments that provided at least 300 jobs. General Motors, Ford and DaimlerChrysler are all drawing from the fund, and sources say $70 million has been committed to Toyota for the new factory.
After the Toyota package, there would be roughly $95 million remaining in the fund for another investment. Cordiano wouldn't say whether any of the remaining funds have been earmarked for another assembly plant down the road.
But with Ontario making headlines in business pages around the world in recent weeks due to the Toyota story and increased research and auto parts manufacturing expected, the province can now compete for more investment without offering nearly the kind of cash proposed by American jurisdictions.
"We're speaking to as many auto manufacturers as we can, and I'm looking forward to meetings with even more companies in the near future," Cordiano said.
Observers say Canada's taxpayer-funded health care and skilled workforce are also significant factors attracting Toyota to Woodstock.
Cordiano hopes to improve Ontario's profile through new global marketing offices. On Tuesday, the minister announced new offices will be established in Tokyo, London, Los Angeles and New Delhi. Ontario already has offices in Shanghai, Munich and New York.
Ontario closed all of its 17 international offices in 1993.
The Woodstock plant will employ between 1,000 and 1,500 workers when it's completed in 2007. Several thousand more jobs could be created at parts companies and service firms feeding the plant.