Minister Vandal announces $2.9 million to the Vehicle Technology Centre supporting transition to zero-emission heavy vehicles

News release

 Investing in a Strong, Growing and Resilient Economy

New support announced for the Heavy Vehicle Manufacturing sector in Manitoba, creating new jobs

April 20, 2022 – Winnipeg, Manitoba – PrairiesCan

Canada is poised to be a world leader in the economy of tomorrow and benefit from renewed economic growth. The Government of Canada is making decisions today that will attract more investment in industries that are creating good middle-class jobs for Canadians.

Today, the Honourable Daniel Vandal, Minister for PrairiesCan, Minister of Northern Affairs, and Minister for CanNor, announced a $2.9 million investment in the Vehicle Technology Centre through PrairiesCan. This investment will have a direct impact on research and development in Manitoba’s heavy vehicle and equipment sector. It will assist manufacturers in the transition to zero emission propulsion and the advanced digital initiatives needed for low-volume high-value manufacturing.

Minister Vandal further highlighted significant and transformative steps in Budget 2022 to put Canada on the path to reach net-zero emissions by 2050, while making it easier for Canadian businesses to innovate and become global leaders in industries that grow our economy and generate new jobs.

Speaking at New Flyer Industries in Winnipeg, Minister Vandal focused on two Budget 2022 measures:

  • establishing the new Canada Growth Fund to attract private sector investments, help businesses reduce emissions, diversify our economy, and bolster exports by investing in the growth of low-carbon industries and new technologies across new and traditional sectors. Initially capitalized at $15 billion, the Canada Growth Fund will target three dollars of private capital for every dollar invested.
  • creating an operationally independent federal innovation and investment agency, with initial funding of $1 billion, to help new and established Canadian industries and businesses make the investments they need to innovate, grow, create jobs, and be competitive in the changing global economy.

Quotes

“Budget 2022 is about creating good-paying jobs for Canadians; cleaner air and water for our children; and a stronger and more resilient economy for years to come. Today’s investment from PrairiesCan is concrete action in achieving those goals. This funding from our government will support the Vehicle Technology Centre in developing world-leading technology to meet emission targets, and accelerate growth and jobs in Manitoba’s robust heavy vehicle and equipment manufacturing sector.”
– The Honourable Daniel Vandal, Minister for PrairiesCan

“Our government is working to ensure that future generations have cleaner air and water, creating good jobs for today and ensuring we build an affordable future where nobody is left behind. The work that the Vehicle Technology Centre is doing is a great step forward to making both Manitoba and Canada leaders in zero-emission heavy vehicle and equipment manufacturing.”
– Parliamentary Secretary to the Minister of Environment and Climate Change Terry Duguid

“Manitoba has a proud history of manufacturing large, on and off-road vehicles and equipment that are exported all over the world. These urban, highway and agricultural products are designed, developed and built right here in our province. The support announced today will be used to catalyze clean propulsion and advanced digital manufacturing initiatives, many done in collaboration with local academic institutions or other industry partners. The products and processes developed with this support will help Canada and other countries meet emission targets and maintain Manitoba’s leadership in heavy vehicle and equipment and low volume manufacturing process technology”.
– Ron Vanderwees, President and CEO, Vehicle Technology Centre

Quick facts

  • Budget 2022 also proposes:

    • extending Incentives for Zero-Emission Vehicles program until March 2025 with a $1.7 billion investment. This will give more Canadians the opportunity to get behind the wheel of an electric zero emission vehicle, and reduce greenhouse gas emissions from transportation, which accounts for 20 per cent of our overall total.
    • creating a new Zero-Emission Vehicles incentive program for small and medium-sized businesses, so they too can upgrade their fleet of medium-and heavy-duty vehicles to Zero-Emissions. This program will provide $547.5 million over four years to Canadian businesses.
    • funding to build a national network of electric vehicle charging stations.
    • $2.2 billion over seven years to expand and extend the Low Carbon Economy Fund.
    • a proposal to establish an investment tax credit of up to 30 per cent, focused on net-zero technologies, battery storage solutions, and clean hydrogen. The design details of the investment tax credit will be provided in the 2022 fall economic and fiscal update.

Associated links

Contacts

Kyle Allen
Press Secretary
Office of the Minister responsible for PrairiesCan
Kyle.Allen@rcaanc-cirnac.gc.ca

Tammy Abel
Director, Policy, Planning and External Relations
PrairiesCan
Tammy.Abel@prairiescan.gc.ca

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