TORONTO, Ontario—The Canadian Vehicle Manufacturers’ Association (CVMA) welcomed the federal budget announcement of the Automotive Supplier Innovation Program.
In a statement the association says a program which addresses the critical gap in support for industry based product development that lies between the basic research conducted in universities and fully-commercialized products in the marketplace is a welcomed course of action.
In the context of the industry’s goal of doubling fuel economy in the light-duty automotive fleet by 2025 along with demand for new technologies, the CVMA says “virtually every vehicle component and the manufacturing processes used to make them will need to be re-engineered.”
“We welcome the opportunity to collaborate in the structuring of this program to ensure it succeeds in developing innovative solutions that will help attract product development activities and provide high technology jobs for Canadians here at home in all segments of the Canadian auto industry and its entire value chain”, said Mark Nantais, CVMA president.
According to the association, the 10-year longer term extension of the Accelerated Capital Cost Allowance (ACCA) is as an important measure that supports companies in making productivity improvements through investing in new machinery and equipment to enhance their ability to compete in today’s global markets.
“The ACCA will help Canadian auto manufacturing companies and auto parts suppliers continue to innovate. It is an important factor for success in today’s highly competitive global markets, where Canadian auto manufacturing companies and their suppliers must continue to invest in advanced manufacturing to improve productivity by utilizing leading edge technology in both products and processes”, Nantais said.