Province, Ottawa tab $6.6M for RRC Polytech-based HEV research

Ottawa and Manitoba are jointly funnelling cash into research for the province’s tariff-hit heavy equipment and vehicle sector.

The two governments will equally split a $6.6 million investment. The money will be spent on upgrading facilities and research capacity at Red River College Polytechnic in Winnipeg.

“Being ahead of the market (makes it) far easier to weather storms like tariffs than if you’re falling behind,” said Ron Vanderwees, president of industry association Vehicle Technology Centre Inc.

Manitoba counts roughly two dozen heavy equipment and vehicle companies. NFI Group — a bus and motorcoach manufacturer with a $13 billion backlog in orders — and Fort Garry Fire Trucks, which does $45 million in annual sales, are among the businesses.

The industry exports $2.45 billion worth of goods annually and accounts for at least 9,000 jobs.

Vehicle Technology Centre is working to create an economic cluster with sector businesses, following a European model: companies collaborate on research to accelerate their technology.

“It’s an area where we don’t compete,” Vanderwees said. “You’ve got a bus manufacturer and a tractor manufacturer, but we all manufacture stuff the same way.”

Vehicle Technology Centre and companies within the industry will collaborate with RRC Polytech on research such as autonomous vehicle and vehicle-to-grid technology.

The funding will cover a new microgrid lab for energy and electric vehicle infrastructure, and a hydrogen and fuel cell lab to research clean propulsion systems, among other things.

Businesses have been hit by tariffs to varying capacities. Some are shielded by the Canada-United States-Mexico Agreement, but everybody is impacted to some degree, Vanderwees said.

The U.S. placed 25 per cent tariffs on foreign medium- and heavy-duty trucks and truck part imports in November. Buses not falling under CUSMA face a 10 per cent fee.

Manitoba HEV manufacturers export to more than 80 countries, politicians said Tuesday.

“If we can help our companies here locally maintain their leadership in their respective markets, it just makes it a little bit easier,” Vanderwees said.

Students in RRC Polytech’s heavy vehicle, manufacturing and digital programming courses will be involved in the new research. Dozens of instructors will likely contribute, said Fred Meier, the post-secondary’s president.

RRC Polytech is “prepared” for research with new companies, he added, noting projects may be covered under government funding or may require payment.

The money announced Tuesday aligns with Manitoba’s goal of boosting productivity, said Business Minister Jamie Moses. The province released an economic development strategy underscoring lagging productivity in September.

“(This) has an eye to long-term, sustainable economic growth that we want to see here in Manitoba,” Moses said.

gabrielle.piche@winnipegfreepress.com