By Pam Wright
Local Journalism Initiative Reporter
An $8.5 million cash infusion to AarKel Tool & Die Inc. from the federal government is about to vault the Wallaceburg business onto the world stage.
The funding, part of Canada’s Regional Tariff Response Initiative (RTRI), will allow AarKel to begin manufacturing 100-ton giga casting molds, making it one of only a few global manufacturers capable of building the large tools that allow aluminum vehicle frames to be shaped in a single piece.
According to Stuart McFadden, Chatham-Kent’s director of Economic Development Services, the funding is “transformational.
“For the next number of years, AarKel will be able to handle any job that comes their way,” McFadden told The Voice following the announcement, adding the boost means AarKel will be one of only two companies in North America capable of building the large tools.
“They’ll be able to design and build plastic injection molds and die-cast tooling over 100 tons,” McFadden said. “This is a testament to AarKel and their vision.”
AarKel is one of four Wallaceburg businesses to receive more than $10 million in funding under the RTRI program – part of a $20-million investment by the federal government to assist companies impacted by U.S.-imposed tariffs. Announced by Evan Solomon, the minister responsible for Federal Economic Development Agency for Southern Ontario (FedDev Ontario), the money is to be used to help small-and-medium-sized enterprises hurt by tariffs.
Supporting new technologies, expanding growth opportunities, improving efficiencies and creating and stabilizing jobs are all part of the RTRI strategy.
McFadden, who met with Solomon as part of a round-table discussion following the announcement, said the money is part of the federal government’s “Team Canada” approach.
“It’s great to see these dollars being spent in our community,” he added. “It’s inspiring to me. This is the right thing to do in these times of the tariffs, supporting people and employing people.
“We have to be our own best customers,” McFadden added. “After this (the tariffs), the economy will be stronger than it was before.”
Along with the Wallaceburg companies, four London-area businesses also received RTRI funds, including an $8-million boost for the Western Fair Association to modernize the Grove Innovation Hub.
Solomon also serves in cabinet as the Minister of Artificial Intelligence and Digital Innovation.
