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Ontario automotive manufacturers can receive government grants when they introduce new lean manufacturing technology to their businesses through the Ontario Automotive Modernization Program (O-AMP). Funding via this program is meant to help modernize Ontario’s automotive supply chain and make the sector more competitive on a global scale.

Successful applicants of the Ontario Automotive Modernization Program could receive grant funding for up to 50% of eligible costs to a maximum $100,000.

The program provides automotive funding for technology adoption and lean manufacturing processes. It’s 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 that improve operational efficiency and competitiveness through the adoption of lean manufacturing processes and Industry 4.0-related technologies, including hardware/software implementation and training.

The goal behind the adoption of new technology and lean manufacturing training is the elimination of production bottlenecks and inefficiencies to decrease overall costs.

Eligible Applicants: Ontario Automotive Modernization Program

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

  • SME (<500 employees AND <$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).

Aftermarket parts industry organizations are not eligible for O-AMP funding.

Eligible Projects: Ontario Automotive Modernization Program

Projects that receive automotive funding from 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 (Including software licencing costs for the duration of the project);
  • 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.

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 final deadline of Wednesday, October 7, 2020. Decisions will be announced by January 6, 2021. Automotive manufacturers producing electric vehicles may also be eligible for funding through the Zero-Emission Vehicle Infrastructure Program (ZEVI) or the Zero-Emission Vehicle Awareness Initiative (ZEVAI).

If you believe your company is eligible for funding through the O-AMP government grant program, please contact Mentor Works and we can discuss next steps in preparing your application.

Learn More About O-AMP

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Alena Barreca has worked in a variety of media communications roles in numerous industries. As a Marketing Coordinator at Mentor Works, Alena enjoys utilizing her creative and analytical mind to help strengthen ongoing marketing strategies.

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