Two expansions in the works at Brantford company
A Brantford company is pursuing an aggressive growth plan designed to bring the electric vehicle market into the next phase.
Mitsui High-Tec (Canada) Inc. makes the motor cores that generate the power in electric engines. Those cores are used in both hybrid and fully-electric vehicles, with the company’s market share at almost 70 per cent. And momentum continues to build as governments and car makers look ahead.
“The electric vehicle (EV) market has hit a fast track,” says operations manager Kurt Palmer. “Companies like GM say they won’t build internal combustion engines after 2035, so things are ramping up a little faster.
“Some of the supply shortages we’re seeing in the automotive industry are also pushing people faster into the EV market, because many of the components used in EVs are completely different from those in standard vehicles.”
Palmer also points to American legislation offering rebates for EVs, but only those that are 75 per cent built in North America.
“That heavy push from the government is going to help, but the cleanliness of the vehicles is also key because everybody’s working toward that zero carbon footprint right now.”
Human resources manager Leanne Corbett credits the company’s success so far to two factors.
“Our motor cores for eco-friendly vehicles are the way of the future, and we’re always trying to improve as a company,” she says. “And because we’re new, we’re not one of those companies who’ve been here for 25 years and say, ‘This is how we do things.’ We’re always looking for ways to innovate.”
With momentum building in the EV sector, Mitsui is gearing up for growth with two expansions in the works. The first is worth $24 million and almost done. In mid-November, workers will move into a new facility housing stamping presses and a furnace.
Then in February, work will begin on a second expansion that will include another furnace and additional stamping capacity. That $29-million project will be done by spring 2024. The Brantford operation will be three times what it is now, boosting employment from the current 100 to 300.
Palmer says customers are already attracted to Mitsui because it produces high volumes quickly, and its motor cores are extremely stable. Brantford’s location also gives the company excellent proximity to its North American customers and suppliers.
But, like most local companies, Mitsui is dealing with twin challenges: supply chain interruptions, and keen competition for skilled labour.
“We use e-steel — electronic conductive steel — which is not common here,” Palmer explains. “It’s got special properties and a lot of it is made in Taiwan, China, and Japan. But between typhoons and hurricanes, the supply has been a little crippled because natural disasters have affected production.”
On the positive side a Burlington company is considering moving part of its production to e-steel, and Mitsui is also working with an Ohio company interested in making the material.
And Corbett says the company is offering lots of perks and “an awesome work environment” to attract workers.
“We’re humidity and temperature controlled, so we don’t have to worry about heat breaks and that sort of stuff,” says the manager. “We’re a Japanese company so our facility is clean, very organized, and extremely positive with straight shifts, 100 per cent paid benefits, a health care spending wellness account, and a group RSP.
“A social committee offers monthly incentives where people can win something or be recognized in some way, and all personal protection equipment is paid for, including a company uniform and laundry service.”
Corbett adds that, for the skilled trades, all tools are paid for by the company, there’s an apprenticeship program, and the company values employee input. Mitsui canvases workers regularly and has a task force to quickly implement innovative changes.
“I’ve been with Japanese facilities for over 20 years and the way they treat their people is amazing. If you came into a room with a group of us, you could never tell which position we hold because we all wear the same uniform,” Palmer says.
“Our office style is open, we all work together as a team, and the Japanese are huge on team building. My president wears the same uniform I do.”
And Corbett is confidant Mitsui will find enough talent. “The workers may not come in with the skills we need, but we’ll train them,” she says. “But they have to be able to be trained. We’re looking for team-oriented, physically fit workers who are flexible and looking to grow.
“We’re optimistic this company will be extremely successful and a huge asset to the Brantford area. But we realize we’ll face many challenges, especially when the unemployment rate here is one of the lowest in all of Ontario.
“But there’s nothing we can’t face together.”
Palmer agrees. “The automotive industry always has its ups and downs,” the manager says. “It’s the strength of your team that gets you through those, and you can see just how strong our people are. If we continue down the path we’re on, it puts us at the top of the echelon, compared to our competitors.”
Call it the drive for excellence.
Note: This article was published as part of the Focus on Brant special section in the Brantford Expositor