Tuesday, August 4, 2015

Auto sector fund renewed

TORONTO—Ottawa is extending an auto sector fund the provides a $250-million pool of investment cash for car companies and their suppliers to draw from.
Prime Minister Stephen Harper was at a Ford plant in Oakville, Ont. to make the announcement.

Harper said the Automotive Innovation Fund has helped the auto sector become more innovative, agile, and competitive.
The fund—established in 2008 federal budget—requires companies to invest their own money to access government cash.
The five-year renewal comes amid a controversy over government assistance to the auto industry after GM of Canada said in late December that it will shift production of the Chevrolet Camaro from Oshawa, Ont. to a plant in Michigan in 2015.
The federal and Ontario governments contributed $10.6 billion to the bailout of General Motors during the 2009 recession, when the company restructured under court protection.

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