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MI and Ontario to promote region’s auto industry

Rick Snyder today signed a memorandum of understanding with the Canadian province of Ontario to increase the region’s competitiveness in the automotive industry.

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“It’s just an agreement to say how can we collaborate more on innovation”, Snyder said Wednesday morning after he spoke at the Management Briefing Seminars in Traverse City, an automotive conference.

Snyder said his state and Ontario already work closely on environmental and other issues, so it only makes sense to pool resources – particularly with the planned Gordie Howe International Bridge improving the flow of shipments across the Detroit River.

“This is an opportunity to strengthen the bonds (between the state and province) in all capacities, in addition to automotive”.

Ontario and MI account for 26 per cent of vehicle production in North America.

North America’s auto industry is comprised of regional clusters in the Great Lakes, southeastern USA and Mexico. We need to find our niche. “What are the factors at play in our region that give us an advantage?”

“It’s that supply chain of people that really draws them to us”, she said.

They will concentrate on new technologies such as self-driving cars, connected vehicles, lightweight materials and alternative fuels along with workforce skills development.

The working group will also look at increasing supply chain integration and technology transfer between Ontario and Michigan’s auto sectors through business-to-business partnerships.

With about a dozen new auto or parts plants open or being built in Mexico, Wynne said Ontario and MI need to “find a niche” in terms of factors that will entice auto industry operations. But we can’t take our success for granted.

“This is not, from either of our perspectives, about a hollow, academic process”, she said. “It’s about being good neighbors and good partners to do things together”.

She pushed back on the notion that Ontario and MI are competitors in auto manufacturing.

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The Detroit Free Press reports Snyder says it’s designed in part to help MI and Ontario attract research and development of self-driving cars.

Workers assemble a Lexus SUV at the Cambridge Ont. Toyota plant. Ontario and Michigan are planning to join efforts in making their auto industries more competitive as more production has shifted to the southern U.S. and Mexico