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May 19, 2016

Kongsberg Automotive to invest $4.5 million in Québec

Recognized as a world leader in the field of high-tech applications for the automobile industry and land transport, Kongsberg will be developing next-generation electronic power steering at its Shawinigan facilities.

 

Photo of an employee working in a factory

 

“We have been producing power-assisted steering units since 2006, but it is important to update our product, adapt it to the needs of our clients and seek new markets,” explains Martial Bilodeau, Director of the Kongsberg research centre in Shawinigan. The $4.5-million project will allow the company to acquire new laboratory equipment and set up a new production line.

 

This year, Kongsberg will produce 15,000 units of the new power steering model for all-terrain vehicles—the lightest model on the market with the best power-to-fuel consumption ratio. The company will produce 100,000 units next year and 200,000 units annually within three to five years. To meet this target, Kongsberg is looking to expand its business in certain markets, including agriculture, for which the company already manufactures other parts.

 

This project, which will consolidate the company’s production and sustain about a hundred jobs, is supported by a $750,000 repayable financial contribution from the Québec government.

 

Kongsberg is the Québec subsidiary of the Norwegian company Kongsberg Automotive. It has been operating for thirty years in Shawinigan, where its facilities are specialized in the design and manufacture of a diverse range of high-end products for commercial, on-road and off-road vehicles. The facilities also house an electronic centre of excellence.

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