Scales back original factory plans and will create fewer jobs in first phase that anticipated.
MISSISSAUGA, Ont. — GE Canada is scaling back its plans to build a new engine factory in Welland, Ont., because of slow demand from the oil and gas industry.
The company said due to industry economic conditions it will create 150 jobs in the first phase compared with its initial plan for 350 jobs.
However, GE Canada spokeswoman Kim Warburton says the company anticipates the numbers to grow over time at the flexible factory.
GE announced last September that it would move production from a factory in Wisconsin to the new Ontario operation due to a loss of US export financing.
The company said it would build the new factory in Canada to access support from Export Development Canada.
The Ontario factory is expected to begin production in early 2018.News from © Canadian Press Enterprises Inc. 2016