CTV News | GM Canada to inject $90M in Ontario plant

GM Canada to inject $90M in Ontario plant

Viewer

CTV News Video

CTV National News: Scott Laurie on the investment
General Motors is pumping $90 million into expanding assembly lines in Ingersoll, Ont., and analysts say GM's rise from the ashes should be encouraging for the entire industry.
CTV News Channel: Joseph D'Cruz, analyst
An auto industry analyst and professor at the Rotman School of management says the $100 million dollar investment GM will make in its Ingersoll plant is a good move on GM's part.
CTV News Channel: BNN's Tanya Gallus reports
Strong demand for the 2010 Chevrolet Equinox and GMC Terrain promted GM Canada's investment into the CAMI plant in Ingersoll, Ont., which can be easily retooled to produce them.
CTV News Channel: Bernie Wolf on the auto boost
An auto industry expert from the Schulich School of Business discusses the $100 million dollar investment into the CAMI plant in Ingersoll, Ont.

Font-size:      Share  Print  Comments(15)

Photos

Slideshow image

View Larger Image

CTV.ca News Staff

Date: Mon. Nov. 9 2009 10:14 PM ET

In a rare bit of good news for the struggling Canadian auto sector, General Motors Canada announced Monday it is investing $90 million into its joint-venture facility in southwestern Ontario and recalling about 150 laid-off workers.

GM will run the plant at full capacity to meet strong demand for the 2010 Chevrolet Equinox and GMC Terrain, the company said.

"This investment is an excellent example of what happens when you get the product right. If the product is right, everything else follows -- increased production, increased employment and strong market demand," GM Canada president Arturo Elias said.

The CAMI facility in Ingersoll Ont., is expected to produce an additional 40,000 vehicles annually for the North American market.

GM agreed to keep 16 per cent of its North American manufacturing in Canada for bailout money from the federal and Ontario governments. Chrysler agreed to build 20 per cent of its fleet in Canada in exchange for a bailout.

The two governments invested about $10.5 billion in GM earlier this year, as the automaker grappled with a severe economic downtown.

"As a major partner in the restructuring of the automotive industry over the past year, I am very encouraged by this investment," federal Industry Minister Tony Clement stated. "This is great news for CAMI, great news for Ingersoll and for Canada."

Canadian Auto Workers president Ken Lewenza said with the bailout agreements he expects more good news announcements in the auto sector.

Almost 500 jobs have been recalled this month at the CAMI plant, including those on Monday, and workers are glad to be back at their jobs.

"It's so great to be back. You have no idea, I was so excited when I got the call," Ally Beer told CTV News.

Auto industry analyst Dennis DesRosiers says workers like Beer can expect similar announcements moving forward.

"It appears as if the worst is behind us and we're starting to move into more positive era in automotive," he told CTV News.

With a report from CTV News' Scott Laurie

Comments are now closed for this story

Jon in London ON
said
0 0

How ironic. GM declares bankruptcy, is bailed out by our tax dollars, and bought by UAW-CAW, but it is the FORD Talbotville workers who lose their jobs. Need any more reason to boycott the government - union owned GM/Chrysler and buy privately owned FORD? What a sad day.


Brian in Mississauga
said
0 0

And look at the two vehicles they are bringing out. There huge! I thought the idea was that they were going to use this money to design more fuel efficient, economical vehicles. This is BS!


mike campbell
said
0 0

Good for GM if they had gotten there heads out of there _____ then maybe my job would still be here, now they should write every dealer in canada say sorry and let all that want to stay open so many good folks stabbed in the back

Sue
said
0 0

Its unfortunate that this article states that GM will be spending $90 million. This is really Federal money from the Canadian taxpayers!!!!


Jon in London ON
said
0 0

@Brian in Miss.I agree......and the latest sham from GM?The 2010 Buick LaCrosse..........just a dressed up Malibu folks........fool me once.......


DKT
said
0 0

Please do your homework, Ford liqudated their employees pension funds, now asking Ford workers to make concessions. Do your research, Ford asked for gov't money (indirectly) according to articles last spring.


Equinoxc8
said
0 0

To Brian in Missisauga..the Equinox and the Terrain are NOT huge compared to the Traverse. Read up on the product before you comment. The Equinox and the Terrain get better mileage than Honda CRV or Toyota's RAV4 even Ford's Hybrid Escape!


Al in Ottawa
said
0 0

wow, 2 of the 3 comments so far are negative. GM receives tax payers' money from the government and in return they provide more product to Canada and employ more people....and some peoples' comments are spinning this into a reason to not buy GM, I'm confused....you may want to give your head a shake next time and think before posting.And then we have people complaining because they are building cross-over vehicles rather than "fuel efficient" vehicles. Which part of the fact that they are increasing production of the Equinox to meet customer DEMAND did you miss? GM is building what people want, the Equinox and Camero and CTS are selling as fast as they can produce them...sorry to burst your bubble, but not everyone is as "green" as you are. Market demand is dictating which cars GM produces. Have you taken a look at Toyota and Honda's product line recently? They make big trucks now too, because a lot of people (millions) drive them.


Keith in Brampton
said
0 0

@Equinoxc8:Re the Escape Hybrid comment: the Equinox gets better HIGHWAY mileage. GM is very careful to refer only to highway mileage, as the Escape - like most hybrids - see the greatest mileage gains in the ciry cycle.Still, for its class, it's a pretty impressive number. If they have also improved the quality (according to a certain consumer magazine, the previous generation was below average reliability), it is certainly worth considering if one is buying a vehicle in this class.


Adam in Ottawa
said
0 0

I wouldn't care if it was supposed to get 100 mpg, it's still gonna be a poorly made piece of garbage that is likely to spend more time on the hoist than on the road! Sorry General but you burned me too many times! I can't do anything about the tax dollars you received but I can promise you that not one red cent will ever be signed over willingly from me to you. I'll buy a used Lada before I drive another one of your shoddy crudwagons!


Kris D.
said
0 0

I’m with Al. We helped out GM when they asked and it looks like we’re getting some return on our investment, which will spin off a lot of “feeder plants” in Ontario. Geesh, this is a good news economic story for the blue collar worker, you know, like the ones who built this province?


alan
said
0 0

Wow, there are a lot of unhappy people around. This is a good news story and great for GM and its workers yet so many people immediately jump in with bogus statements and tales of old experiences. Please read the stories and celebrate at least there is some good news.


PVT
said
0 0

How about using that $90 million to PAY BACK THE TAXPAYERS the $$$ you owe them!!! GM will NEVER see a dime of my money - they took enough of it already.


Open your mind
said
0 0

Every other bailout in history has had the money repaid so I don't get the comments about that. There will be a return on the government investment.Here is the thing, currently consumers like the product and are buying it...I personally don't want one because I am not looking for a vehicle right now but I would consider the Equinox or Traverse. There is $90 mil invested more spinoff money for at least a couple of years to come from this plant which is a good thing. It is invested in a current plant that is now running at full capacity again after Suzuki laid off their workers...which is a good thing. Give a real bad thing if you want to make a complaint...this is a 100% good news story for the people that work there and for GM sales and product portfolio


Happy to be back!
said
0 0

Don't worry about it guys. Some people are never happy. They'll always find something to complain about.Bottom line....Cami has increased production to MEET CONSUMER DEMAND. Hear that? Consumers are demanding these vehicles! This investment will allow Cami to retool the west side of the weld shop, and increase production further, to AGAIN meet increased consumer demand.This is GOOD NEWS folks! That's roughly 500 people back to work at Cami alone. Thankfully I'm one of the ones that have already been called back. (It was a long 16 months!) Then there's all the 'feeder' plants that are re-hiring or hiring new as a result. In addition to all that, there's all the local businesses that will benefit from this increase in employment. The spinoff effect is huge.The new Equinox & Terrain are really good, well made vehicles that are in demand. They're in demand because people want fuel economy. These vehicles provide that.Can you not be happy for those that are finally getting back to work? Or is that simply too much to ask??


Share with your social Network:

 

Advertisement

Contest

User Tools

About the tools

Need to get in touch with CTV? You can email the CTV web team using the 'Feedback' button.

Share it with your network of friends

Share this CTV article or feature with your friends. Click on the icon for your favourite social networking or messaging system, and follow the prompts.

Share this article with Facebook

Share this article with Digg

Share this article with Newsvine

Share this article with delicious

Share this article.
Send Email

Share this article with Twitter

Share this article with StumbleUpon

Share this article with Reddit

Share this article with Yahoo! Buzz