Feds name Hamilton, Ont. as new trade hub, invest $3.9M in area manufacturer
November 11, 2020 by Manufacturing AUTOMATION
The federal government is making a $3.9 million investment in a Hamilton, Ont. manufacturing company to expand its operations and acquire new equipment – and is also designating the region itself as a trade hub.
On Nov. 10, government representatives announced both the funding and the creation of Hamilton as a Foreign Trade Zone (FTZ) point.
HT Productions Inc. (Whitebird), a packaging manufacturer and supplier, will use the funding from FedDev Ontario to add on to its facility and purchase new advanced manufacturing equipment. The company will also implement a customer-centric online system for customer orders.
The investment is expected to create 45 jobs and maintain another 105 in Hamilton.
Hamilton becomes trade hub
As the third FTZ point announced in Ontario and one of 14 in Canada, the new designation will help position the Hamilton area as a hub for international trade.
FTZ refers to a specific location within a country that is officially designated for eligibility for tariff and tax exemptions with respect to the purchase or importation of raw materials, components or finished goods.
As a result, the area will become more attractive to businesses and foreign direct investment by offering a single point of access to resources and information relating to programs that relieve duties, tariffs and taxes for business.
The FTZ designation allows the region to coordinate to provide programs that benefit businesses, such as the Duty Deferral Program, the Duties Relief Program, the Drawback Program, the Customs Bonded Warehouse Program and the Export Distribution Centre Program.
“Hamilton is an ideal spot for Ontario’s newest FTZ point,” says Filomena Tassi, minister of labour and member of parliament for Hamilton West—Ancaster—Dundas, in a statement.
“The city is a gateway for goods, and offers many advantages from its strong manufacturing sector to its leading-edge post-secondary institutions. This designation will build on the area’s strengths and bring new opportunities for trade. This support, along with investments in local businesses like HT Productions Inc. will put Hamilton on the path to a strong recovery for years to come.”