AarKel Tool and Die’s $15 million project will protect and create 195 jobs
WALLACEBURG —The Ontario government is investing $3,105,000, through the Ontario Together Trade Fund (OTTF) to help AarKel Tool and Die increase resilience, build capacity and re-shore critical supply chains to Ontario.
Through this investment, AarKel Tool and Die is investing $15,525,000 for an over 13,000 sq. ft. expansion and improvements to support new technology and training in giga tool manufacturing. The investment will create 15 new, good-paying jobs and protect 180 existing positions across the Wallaceburg area.
“Through the Ontario Together Trade Fund, our government is stepping up for the businesses in our community who’ve been directly affected by U.S. tariffs,” said, Steve Pinsonneault, MPP for Lambton-Kent-Middlesex. “AarKel Tool and Die’s investment will help them adapt, stay competitive and continue creating good jobs in these uncertain times, all while helping make Ontario’s economy more competitive, resilient and self-reliant.”
First announced as part of the 2025 Ontario Budget, the OTTF is part of the province’s nearly $30 billion tariff relief and support plan, dedicated to protecting the province’s workers and businesses from economic uncertainty and building a more competitive, resilient and self-reliant economy. With a focus on small and medium-sized enterprises, the program will help businesses across a diverse range of sectors make the necessary investments to strengthen operations in Ontario, expand market reach and protect workers.
“The OTTF will support AarKel Tool & Die’s construction of a facility to manufacture giga tooling designed for projects exceeding 100 tons, which are currently produced outside North America. This investment will position AarKel with the capacity to engineer, manufacture, and validate tools of this magnitude,” said Larry Delaey, President and CEO of AarKel Tool & Die. “Additionally, it will equip us with the largest sampling machine in North America, further strengthening our operations. Our customers will benefit as we bring these tooling capabilities closer to home. AarKel Tool & Die will set new standards for giga tooling in North America, driving innovation and growth within the manufacturing sector. Most importantly, this project will assist in securing jobs for our associates for the long term!”
Since its launch, the OTTF has received overwhelming demand and in response to this, the government announced an additional $100 million investment into the program last year, bringing the total funding to $150 million over three years. The increased support will enable businesses affected by U.S. tariffs to return production to Ontario, identify new sales opportunities and expand interprovincial trade.
“As U.S. tariffs continue to threaten Ontario’s critical industries, our government remains focused on ensuring our businesses have the resources needed to adapt and expand,” said Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “By investing in AarKel Tool and Die through the Ontario Together Trade Fund, we are taking decisive action to enhance the competitiveness of our economy and increasing opportunities for Ontario businesses and workers, now and for generations to come.”
As Ontario continues to navigate the impact of U.S. tariffs and global economic uncertainty, the government remains focused on delivering critical funding, cutting red tape, unleashing the economy and supporting workers.
QUICK FACT
- The Ontario Together Trade Fund is a part of Ontario’s broader strategy to support advanced manufacturing and trade-impacted communities, launched or enhancedas part of the 2025 Ontario Budget, including the Ontario Made Manufacturing Investment Tax Credit, the Protect Ontario Financing Program and the Trade-Impacted Communities Program.
- Through the OTTF, the government is also providing complementary supports and services to help businesses navigate regulatory requirements, connect with skilled talent and access government programs that accelerate project success.
- Open to Ontario-based businesses investing a minimum of $200,000, eligible projects include modification of existing products to enter new sectors, procurement of advanced equipment and facility modification to enhance domestic manufacturing and sales expansion.
ADDITIONAL RESOURCES
MEDIA CONTACT
Kara Carther
Communications Coordinator
Office of MPP Steve Pinsonneault
Lambton-Kent-Middlesex