Toyota will put $125 million toward the new assembly line to increase production of Lexus luxury cars, including the RX450h hybrid sport utility vehicle. In addition to the Cambridge operation, Toyota has a newer factory in Woodstock, Ont.
The fund, established in the 2008 federal budget, requires companies to invest their own money to access government cash, Nike Air Max 95 Ultra Essential Stealth which must be paid back in full. Only large scale research and development projects valued at more than $75 million are considered.
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"Besides being the first hybrid vehicle assembled in Canada the RX 450 hybrid has been, up until now, only, and I want to emphasize that only built in Japan," Harper said.
"But that's changing. In a short time, that fuel efficient vehicle will be assembled right here."
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million investment fund earlier this year as part of a five year plan to help the auto industry.
The expansion will increase Toyota's annual production capacity in Canada to 500,000 vehicles.
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Prime Minister Stephen Harper said the government is proud to partner with Toyota.
a government bailout of the auto industry including billions to help General Motors and Chrysler.
Ford, auto parts maker Magna International (TSX:MG) and Toyota have drawn money from the fund for projects in the past.
CAMBRIDGE, Ont. Toyota will receive nearly $34 million from the federal and Ontario governments as it retools an assembly line at its plant in Cambridge, Ont., for the first Lexus hybrid produced outside of Japan.
Toyota announced last year that it would hire about 400 employees as part of a plan to increase Lexus RX production by 30,000 vehicles to 104,000, including 15,000 RX450h sport utilities.
Cambridge plant gets
Ottawa will kick in $16.9 million from the Automotive Innovation Fund, while the province will match that with an investment from its Strategic Jobs and Investment Fund.
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