Prime Minister Stephen Harper London has landed a new, Norwegian defence industry.
Prime Minister Stephen Harper will be in London Thursday to announce Kongsberg Defence Systems will open a research and development business here, with some manufacturing, that may employ up to 100 people, said sources close to the news.
"All I can say is this is very positive news for London, it is an exciting announcement," Mayor Ann Marie DeCicco-Best said Wednesday.
It is not known if the industry will build a plant here or lease an existing space, or where it will locate.
"This supports one of the strengths of London, it builds on clusters we have that are important to the future and where the jobs will be," said the mayor.
Kongsberg will supply General Dynamics Land Systems-Canada on Oxford street with weaponry for its armoured vehicle platforms, and contacted the city to locate here as they wanted to to be close to GDLS, said the source.
"Any time we have the Prime Minister involved in participating with us, it is a great opportunity. It provides visibility for the city," said Peter White, chief executive of the London Economic Development Corp.
"It is going to be great news for London, a big win for London."
Kongsberg has been in talks to locate a new business here for several months, but needed to finalize details on a contract with the Department of National Defence in Ottawa, and that is why Harper is making the announcement.
"We do not know the magnitude of this yet but the fact the Prime Minister is here signals it is a significant investment," said Gerry Macartney, chief executive of the London Chamber of Commerce.
"It is a terrific sign."
Harper will be at the Delta Armouries Hotel in the morning, along with Industry Minister Tony Clement, DeCicco-Best and London MP Ed Holder.
The Free Press first reported last month a new defence contractor was considering opening here, but was awaiting word on a new deal with DND before the announcement would be made formal.
Holder was part of two meetings with the business and said last month it is "very good news" for London.
"We have gone through some challenging economic times but there is great emphasis now on advanced manufacturing and we have to make sure London is at the forefront of that," he said at that time.
"What is important is the extent to which Canada as a free trade partner expands its opportunities around the world."
Holder said the new business is the result of an easing of restrictions in the Buy America program that gives products and services made in the United States preferred status when purchased by the U.S. government.
Harper will also attend a business roundtable at the Spencer Leadership Centre Thursday afternoon where the focus will be on business development in the region, said White.
"There will not be a specific focus on London. We are really talking about ideas for the region," he said.
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The company: Kongsberg Defence Systems is Norway's premier supplier of defence and aerospace-related systems. The portfolio comprises products and systems for command and control, weapons guidance and surveillance, communications solutions and missiles. Kongsberg Defence Systems also makes advanced composites and engineering products for the aircraft and helicopter market.
Web:
http://www.kongsberg.com/
Will supply: General Dynamics Land Systems Canada, the world's largest maker of wheeled military vehicles, including the U.S. Army Stryker, in use in Iraq and Afghanistan. In 30 years it has shipped more than 8,600 vehicles around the globe.