Automotive manufacturers in Ontario, Canada can now receive funding support when they introduce new lean manufacturing or technology to their businesses through the recently opened Ontario Automotive Modernization Program (O-AMP). Funding via the program is to help modernize Ontario’s automotive supply chain and make it more competitive against national and international markets.

Applicants who are approved for funding through the Ontario Automotive Modernization Program could receive up to 50% of eligible costs up to $100,000 in funding.

The program provides automotive funding for technology adoption and lean manufacturing processes. It is important to note that the O-AMP has a short intake intake period, with an upcoming deadline of October 7, 2020.

About the Ontario Automotive Modernization Program

The Ontario Automotive Modernization Program supports automotive manufacturers to improve their operational efficiency and competitiveness through the adoption of lean manufacturing processes and Industry 4.0-related technologies, including hardware/software implementation and training. The adoption of new technology and lean manufacturing training can eliminate production bottlenecks and inefficiencies and decrease overall costs.

Who is Eligible for the Ontario Automotive Modernization Program?

Applicants interested in applying for the Ontario Automotive Modernization Program should fit into the following criteria:

• SME (<500 employees OR <$1B annual revenue);
• Financially positive;
• Only one application per company;
• Minimum of two years of financial statements; and
• Ontario automotive parts manufacturers (at least 50% of total revenues must be generated from the automotive supply sector).

Learn more about O-AMP eligibility criteria.

What Projects are Eligible for Funding?

Business projects that receive automotive funding through the Ontario Automotive Modernization Program must advance production cycle management and improve competitiveness through advanced IT adoption and/or improve operational efficiency and competitiveness through lean manufacturing practices. Projects cannot start before being approved for funding. The two eligible project categories include:

• Technology Adoption
• Lean Manufacturing Practices

Eligible Expenses: O-AMP Automotive Funding

Expenses eligible for Ontario manufacturing grants include:

• LEAN Training;
• Hardware/software;
• Implementation costs;
• Labour (e.g., project management); and
• Materials – May be eligible if it directly relates to a software implementation and leverages benefits of that software.

Learn more about eligible projects O-AMP.

Ineligible Expenses: O-AMP Ontario Automotive Grants

Expenses ineligible to receive funding support include:

• Research & development;
• Infrastructure costs (e.g., building and facilities); and
• Capital costs (e.g., vehicles and equipment).

Apply for the Ontario Automotive Modernization Program

The Ontario Automotive Modernization Program is currently open, but has a short intake period, with a quickly approaching deadline of Wednesday October 7, 2020.

If you believe your business is eligible for funding through the Ontario Automotive Modernization Program, consider speaking to a member of Mentor Works to get the ball rolling on your O-AMP application.

Wondering which digital transformation projects to consider for this grant? Learn how to apply smart manufacturing technology to your most pressing business issues by downloading The Definitive Guide to Connected Manufacturing.

Mentor Works is a business support organization specializing in Canadian government funding. The Ontario-based business has helped hundreds of businesses build and execute their funding strategy through a mix of federal and provincial government grants, loans, and tax credits. Mentor Works offers free online resources, funding webinars, and news via their website at mentorworks.ca. Contact them at 888-599-3111 or contact@mentorworks.ca.