$15.9M for 15 projects from 11 manufacturers
Feds direct funds from Regional Tariff Response Initiative to Manitoba companies grappling with shifting supply chains
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Grant Cockshott is looking to China, India and his own backyard. Anywhere but the United States.
“We are most definitely at an inflection point for Manitoba-based manufacturers,” said Cockshott, the president of Innovair Group.
His company sells a range of products — industrial gases, robotic welding and material handling systems. It’s taking on new projects and changing operations as a Canada-United States trade dispute continues.
Ruth Bonneville / Free Press
‘We are most definitely at an inflection point for Manitoba-based manufacturers,’ says Grant Cockshott, president and CEO of Innovair Group in Winnipeg.
So are Manitoba firetruck, sheet metal, aerospace and truck outfitting manufacturers. Company representatives gathered at Fort Garry Fire Trucks’ facility on Bergen Cutoff Road on Thursday as the federal government announced $15.9 million for 15 local projects.
Eleven companies received funding.
Money came through Ottawa’s Regional Tariff Response Initiative, which launched in March 2025. Companies attending Thursday had applied for funding before the end of 2025 (and the latest threat of 50 per cent tariffs).
The government’s stated funding goal is to bolster productivity, domestic supply chains and diversified exporting.
Innovair Group saw a drop in its robot sales last year, Cockshott said, blaming economic uncertainty. The dip qualified Innovair Group for funding.
Business has since picked up, Cockshott added — and he’s hoping to keep the momentum with new prefabricated robotic welding cells the company is creating.
The feds tabbed $1 million for Innovair Group’s production development, and another $2.5 million — which must be repaid — for Innovair to obtain gas storage and cryogenic gas transport trailers. Innovair Group is contributing its own $3.5 million, for a total $7 million.
“We’re going through a growth spurt,” Cockshott said.
The cryogenic bulk trailers will come from Alberta. Innovair Group’s high-pressure cylinders — which Cockshott says can’t be sourced in Canada — usually come from the United States. The 25 per cent Canadian counter-tariff the cylinders face will jump to 50 per cent on Tuesday, Cockshott said.
He’s opting for similar items in China and India, which are 20 to 30 per cent cheaper. Freight is “much less of an issue,” given the company buys some cylinders from Austria, Cockshott said.
“It’s been a lot of work, frankly, but I think in the long term, this is probably the best thing for us as a company,” he said of shifting supply chains. “As a business … the uncertainty is just a killer. We need to build certainty.”
Some of the company’s inputs come from Canada, he noted. Innovair Group sells within Canada.
Fort Garry Fire Trucks plans to produce more of its firetruck components in-house. Ottawa highlighted roughly $2 million it was spending — about half repayable — to supplement the manufacturing increase.
“That’ll take the cost out of our supply chain,” Jim Peters, president of Fort Garry Fire Trucks, said of the manufacturing change.
Some inbound parts, such as valves, were incorrectly tariffed entering Canada last year, Peters said.
The company ate the costs; it cements final prices with customers two years before they get their order.
Peters declined to say which parts Fort Garry Fire Trucks will start creating. He cited competition.
Other companies received funding for manufacturing equipment, production spaces and staff training, among other things.
“When you de-risk things like this, you’re going to see immediate growth and impact,” said Bram Strain, president of the Business Council of Manitoba.
“You’re going to see those things grow even bigger and expand.”
Manufacturing has accounted for 10 per cent of the province’s GDP. The sector employed 67,700 workers, according to a December 2025 labour force survey.
It’s among the industries hardest hit by U.S. tariffs and Canadian counter-tariffs.
Canada’s counter-tariffs of 15 per cent to 50 per cent on select sectors are set to take effect Sept. 8.
gabrielle.piche@winnipegfreepress.com
Gabby is a big fan of people, writing and learning. She graduated from Red River College’s Creative Communications program in the spring of 2020.
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