Government of Canada invests in growth of energy-efficient manufacturer

Government of Canada invests in growth of energy-efficient manufacturer. FedDev Ontario investment of nearly $4 million to enhance production of leading transformer manufacturing company and create 35 jobs September 15, 2023. Rex Power Magnetics will add a new transformer production cell at its current 145,000-square-foot facility in Concord, Ontario.

Key Highlights:

* The investment aims to enhance production and create 35 jobs.

* The companys expansion is expected to double sales and improve lead times.

* The investment will help address supply chain shortages in the North American energy industry.

Original Press Release:

Concord, Ontario, Sept. 15 -- Government of Canada issued the following news release:

- FedDev Ontario investment of nearly $4 million to enhance production of leading transformer manufacturing company and create 35 jobs



As a key part of Canada’s economic recovery, the Government of Canada is investing in local businesses and entrepreneurs to ensure they have the tools they need to succeed now and in the future. This includes supporting businesses that are greening and growing their operations to make a cleaner future for Canadians.



Today, Francesco Sorbara, Member of Parliament for Vaughan-Woodbridge, on behalf of the Honourable Filomena Tassi, Minister responsible for the Federal Economic Development Agency for Southern Ontario (FedDev Ontario), announced an investment of nearly $4 million for Rex Power Magnetics, a family-owned transformer design and manufacturing company used in the generation, storage, and transmission of electricity for schools, homes, hospitals, businesses, and more.



Through this investment, Rex Power will add a new transformer production cell at its current 145,000-square-foot facility in Concord, and create a new production line at its new facility in Etobicoke. As a result, the company will double sales, create 35 jobs, and improve lead times to provide high-quality, made-in-Canada transformers to local Ontario suppliers. This expansion is also expected to help address supply chain shortages experienced by North American energy companies as the demand for green solutions grow.



The company’s innovative production processes and energy-efficient transformers will continue to play a role in the reduction of greenhouse gas emissions as well as increase the supply of transformers for renewable energy infrastructure applications in wind, solar and battery. The Government of Canada is proud to support organizations that align with our commitment to transition to a green and resilient economy.



Today’s investment supports a stronger more resilient manufacturing sector that will help contribute to a greener future for Canadians.

Quotes

“Ontario’s manufacturing industry is the power that drives our national economy forward. Our government is investing in the people that make it run. By making smart investments, like the one today for Rex Power Magnetics, we are supporting manufacturers that are leading the way to support a cleaner environment for generations, and create good paying jobs for our communities.”

- The Honourable Filomena Tassi, Minister responsible for the Federal Economic Development Agency for Southern Ontario

“Today’s investment reassures our federal government's commitment to help grow and expand Canada’s thriving manufacturing sector. This nearly $4 million enables this Vaughan manufacturer to stay competitive, increase its production of green, energy-efficient products, and help create and maintain 320 good jobs across the region.”

- Francesco Sorbara, Member of Parliament for Vaughan–Woodbridge

“We are very pleased to embark on our expansion plan, with the help of FedDev Ontario, which includes new space, new equipment, facility improvements, and plenty of hiring. These updates will allow Rex to better support Canada’s transition to a renewable power infrastructure and greener future for everyone.”

- Simon Hasserjian, President, Rex Power Magnetics

“With this support from FedDev Ontario, we are excited about what we will bring to southern Ontario’s manufacturing ecosystem. With this investment and the resulting growth, we will be better positioned to support commercial and industrial growth throughout Canada, United States, and export markets.”

- Ara Hasserjian, General Manager, Rex Power Magnetics

Quick facts

* Located in Concord, Ontario and founded in 1972, Rex Power is a family owned and led company that serves residential and commercial clients in markets ranging from power generation to supplying power for data centres, hospitals, and schools. The company’s notable clients include Ontario Power Generation, Hydro One and Hydro Québec.

* In 2021 and 2022, Rex Power Magnetics was recognized as one of Canada’s 50 Best Managed Companies by the Financial Post and referred to as a Canadian leader in the manufacturing of speciality and custom transformers.

* Since 2015, the Government of Canada, through FedDev Ontario, has invested nearly $770 million in over 360 projects in manufacturing creating over 10,900 jobs and maintaining over 11,400 jobs.

[Category: Capital Goods, Electrical Components & Equipment, Funding Activities, Capital Investment, ESG]

Source: Government of Canada