The Ontario investment advantage
2013
North America’s number one location
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Ontario is North America’s number one location for
producing vehicles and parts
Expansions to Lexus & Toyota assembly plants in 2013
New capital expenditure in Ontario’s auto industry
exceeded $2 billion in 2011
Ontario’s auto production continues to grow 2012
Manufacturing costs in Ontario are lower than in the U.S.,
UK, France, Italy, Germany, Netherlands and Japan
Fast and easy access to the United States auto market
through NAFTA
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www.ontarioautoalliance.com
Two hours flying time to major U.S. cities
The Ontario Automotive
Communities Alliance Cities
The Ontario Automotive
Communities Alliance cities
Our Alliance
includes some of
the largest
automotive
manufacturing
locations in North
America
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Welcome to the Ontario Automotive Communities Alliance
Ontario’s auto industry is on a roll
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The Conference Board of Canada says auto sector profits
in 2011 hit $1 billion – a 10-fold increase in one year
The Ontario auto parts industry posted an 80% increase in
profits in 2010
Ontario increased its share of the total North American
production to 17.3%, an all-time high
Ontario continues to benefit from the trade agreements
that allow 84% of all vehicles made in Canada to be
exported to the giant U.S. market
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Welcome to the Ontario Automotive Communities Alliance
Made in OACA
OEM assembly plants
Products manufactured in OACA region
General Motors
Chevrolet Camaro & Equinox, Buick Regal,
Cadillac XTS, GMC Terrain
Toyota
Corolla, Matrix, Rav4
(including some fully electric models)
Chrysler
Dodge Grand Caravan, Chrysler Town & Country,
Volkswagen Routan, Lancia Voyager
Lexus
RX 350
Ford
Engine assembly plants
General Dynamics Land Systems
Light armoured vehicles for military use
Oshkosh Trucks
Specialty construction
trucks
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Hino Trucks
Welcome to the Ontario Automotive Communities Alliance
Light commercial trucks
Solid Infrastructure for auto industry
OEMs and parts companies
Infrastructure support
for business
• Superior road, rail,
air services
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Top telecomm links
• Reliable hydro supply
Source: Statistics Canada
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Welcome to the Ontario Automotive Communities Alliance
Ontario is Canada’s largest
provincial economy
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Canada’s exports and imports
of merchandise total 58.9% of
GDP – making it one of the
world’s most open economies
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Canada has higher
accumulated Foreign Direct
Investment (FDI) than Brazil,
Mexico, and Russia
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Welcome to the Ontario Automotive Communities Alliance
Canada’s stellar economic
base makes it a G7 leader
Soundness of banks
world rank
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World’s soundest banking system
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Ranked best place in the world to
create a new business
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Lowest payroll taxes in G7
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Lowest taxes on new business
investment in G7
*Standing among 139 countries. Ranking based on the
degree of soundness of financial institutions.
Source: Global Competitiveness Report, 2010-11
** Standing among 500 world banks based on total assets
and long-term credit ratings.
Source: Global Finance Magazine , September 2010
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Welcome to the Ontario Automotive Communities Alliance
Green and intelligent auto research
for Ontario’s auto corridor
• R&D support for auto industry shift to “greener” cars
• New battery technologies
• Next generation of bio-fuels
• Renewable and recyclable plastic parts
• On-board computer systems
• Electrochemistry and nano-materials
• Voice recognition and location-based services
• Improved energy efficiencies with light-weight materials
Welcome to the Ontario Automotive Communities Alliance
Consider Ontario’s R&D advantages
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Lowest R&D costs in the G7, 12.9% lower than the U.S.
150 schools and labs working on auto research with 127,000
directly employed by the Ontario auto industry
Centre for Engineering Innovation – University of Windsor
Auto Centre of Excellence – Oshawa Institute of Technology
International Composites Research Center – Western
University in partnership with Fraunhofer Institute
McMaster University Automotive Research Center (MARC)
- new $26 million facility to develop hybrid technologies
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Welcome to the Ontario Automotive Communities Alliance
Education in OACA
Universities, Colleges and Research Institutes
University of Ontario Institute of Technology
Durham College
University of Waterloo (WatCAR)
Laurier University
Conestoga College
Western University (Fraunhofer Project Center for Composites Research)
Fanshawe College
McMaster University (McMaster Automotive Research Center)
University of Windsor (Auto21)
St. Clair College
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Welcome to the Ontario Automotive Communities Alliance
National Research Council of Canada
Measures to help manufacturers
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Canadian tariffs on all
manufacturing inputs and
machines will be zero by 2015
• Workforce training programs
• Competitive business costs
• Federal and Provincial incentive
programs for auto manufacturing
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R&D tax incentives
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Welcome to the Ontario Automotive Communities Alliance
Ontario is Canada’s “business province”
with a strong entrepreneurial culture
Number of entrepreneurs
as a percentage of the
working population
Source: Statistics Netherlands 2008
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It takes only one procedure
and five days to register
a company
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In 2012, the federal corporate
income tax was 15% – half
the U.S. tax rate.
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For a company earning $100
million in profit, total taxes in
Canada will be over 30% less
than the U.S.
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Welcome to the Ontario Automotive Communities Alliance
Ontario offers excellent location
and attitude for doing global business
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Ontario Automotive Communities Alliance members
are two hours or less by road from the U.S. border
Recent multi-billion dollar investments in port, rail,
road and air transportation
One in five Canadians has a mother tongue other
than English or French
Asian and European languages spoken extensively
Canadians have a global mind-set
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Welcome to the Ontario Automotive Communities Alliance
Ontario residents share in
Canada’s excellent quality of life
Quality of life index
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Highest quality of life
among G7 countries
• Clean air, water and land
• Cultural diversity within a
tolerant society
Source: IMD, * Rank among 58 economies considered in
the World Competitiveness Yearbook 2010.
• Many recreation options
• Publicly-funded healthcare
• Commitment to rule of law
and a strong justice system
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Welcome to the Ontario Automotive Communities Alliance
Ontario’s auto industry attracts
many of the world’s best companies
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Detroit 3 – GM, Ford, Chrysler assembly plants
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More than 400 parts companies
Honda, Toyota, Hino Truck Assembly operations
International suppliers from Germany, Japan, Korea etc.
Successful Canadian suppliers like Magna International,
Linamar, Woodbridge Group
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Welcome to the Ontario Automotive Communities Alliance
Recent Investments
• $100 million expansion of Lexus assembly plant – Cambridge
• Increased capacity to 104,000 units/year
• Production of hybrid version of RX 450h vehicle
• $68 million investment in GM assembly plant – Oshawa
• Production of next generation Impala vehicle
• 43.5% increase in output at Toyota plant – Woodstock
• Production increased to 178,000 units by adding 2nd shift
• OACA has largest producing Toyota plant in North America
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Welcome to the Ontario Automotive Communities Alliance
Ready to join Ontario’s auto industry?
• We’re North America’s largest automotive jurisdiction
for many good reasons
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Learn more at www.ontarioautoalliance.com
• Our job is to make your job easier!
– Site selection information and assistance
– Assistance with business start up in Ontario, Canada
– Applications for government incentive programs
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Welcome to the Ontario Automotive Communities Alliance
The Ontario investment advantage
2013
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