In order for Canada to become internationally competitive in the automotive industry, our nation must become leaders in product and process improvements. Leveraging knowledge-based resources such as skilled labourers, researchers, and state-of-the art equipment will help Canadian firms to develop a sustainable competitive advantage.
Thankfully, the Government of Canada supports automotive industry competitiveness by offering grants and loans to growing, innovative suppliers. Companies focused on developing new products or processes that lead to increased revenues may be able to receive funding from a variety of automotive grants, including the Automotive Supplier Innovation Fund (ASIP) industry-specific grant.
ASIP grants for automotive suppliers will fund up to 50% of eligible project expenses to a maximum of $10 million. Companies may fund multiple projects through ASIP, so manufacturers committed to technology development projects should leverage ASIP on an ongoing basis to secure project funding.
Types of Projects Most Suitable for ASIP Automotive Grants
ASIP grants are specifically designed to enhance technology development projects. Technology research and development projects (including technology prototyping and demonstrations) receive top priority, however many projects may be accepted including:
- Innovative product or process development;
- Designing, engineering, or prototyping new technologies; and
- Testing and validation to become ready for commercialization.
Please Note: ASIP projects must have a technology readiness level (TRL) of 4-7.
Applicants Eligible for the Automotive Supplier Innovation Program
Automotive grants supported through the ASIP program are aimed towards small and medium-sized automotive suppliers. For this reason, businesses must meet the following eligibility criteria before applying:
- Automotive suppliers must be incorporated;
- Must have less than 500 full-time equivalent (FTE) employees; and
- Must earn less than $1 billion in annual revenues, including those earned outside of Canada (if applicable).
ASIP Automotive Funding Success Stories
Since ASIP was launched in 2015, many projects have successfully been awarded ASIP automotive grants. Here’s a collection of articles to assist automotive manufacturers:
- $25M+ in Automotive Supplier Innovation Program (ASIP) Research Grants Awarded: 6 manufacturers located across Canada will receive ASIP grants, ranging from $412k to $9.7 million. These innovative projects are types highly sought by the Government of Canada.
- Newmarket Auto Parts Firm Receives Funding Boost from Federal Government: Palcam Technologies will receive up to $1.8 million in grants from the Automotive Supplier Innovation Program to develop their aluminum 3D printing capabilities. This will assist multiple industries to create stronger lightweight parts.
How to Apply for the Automotive Supplier Innovation Fund
To apply for the Automotive Supplier Innovation Fund (ASIP), manufacturers must submit an application form outlining their project. This includes a full description of the innovation, how it will benefit the business, benefits to the industry or to science as a whole, and how government funding will enable the project’s success.
Applications typically take 6-8 weeks to review. Once the review is completed, manufacturers will be notified and may begin their project.
If you would like to discuss your project’s fit for the ASIP or would like to receive application support, please contact Mentor Works.
Learn More About Automotive Supplier Innovation Fund Grants
- Automotive Supplier Innovation Program Invests $11.5M in Manufacturing R&D
- How Electric Vehicles are Gaining Worldwide Popularity
- $3M in Automotive Technology Grants Support Vehicle Lightweighting
- $1.9M in Research Grants Awarded to Improve Automotive Technology
- Automotive Technology Encourages Alert Driving Through Smarter Seats