Atom-Jet gets $1M from Ottawa for expansion

A Brandon manufacturer is set to expand its operations and bring more production in-house with the help of $1 million in federal funding.

Atom-Jet Industries received the funding through the Regional Tariff Response Initiative (RTRI) — a program that aims to provide relief to tariff-affected companies.

The business at 2110 Park Ave. is focused on using the funding for expansion, owner Barry LaRocque said Friday afternoon.

“The funding is towards equipment, advanced technology and expansion,” he told the Sun. “It is too early to say whether the expansion would result in further changes to the company’s physical infrastructure beyond the planned expansion.”

The funding was announced Friday by Ginette Lavack, parliamentary secretary to Indigenous Services Minister Eleanor Olszewski, on behalf of Prairies Economic Development Canada (PrairiesCan).

Atom-Jet — an international company providing products and services to the agricultural and industrial markets in Canada, the United States, Australia and Russia — is privileged to be part of the initiatives and funding PrairiesCan has put forward, LaRocque said.

“Atom-Jet’s goal is to grow nationally and globally … and it is great to have the support and same mindset from our federal government by way of PrairiesCan,” he said.

The changes are expected to reduce production costs and lead times while increasing the company’s production capacity, PrairiesCan said in a press release on Friday.

The release said the company also plans to expand direct-to-customer sales in Canada and Australia, helping diversify its customer base and reduce its reliance on original equipment manufacturer customers and the U.S. market.

“The investment will support a 4,000-square-foot expansion of Atom-Jet’s Brandon facility and allow the company to bring powder coating and sandblasting operations in-house,” Lavack told the Sun.

“The investment is expected to generate approximately $6 million in revenue growth by 2028, and potentially up to $2.5 million of those $6 million would be in new export sales.”

Lavack said the expansion is expected to create up to eight new positions at Atom-Jet.

Three positions would involve highly skilled workers who would allow the company to add painting of the components it fabricates, while five additional positions would support administrative, sales and marketing operations, she said in an interview.

The company already has a market in Australia and is looking to grow that business, she said.

Lavack said Atom-Jet has been affected by tariffs on agricultural products from China as well as U.S. tariffs on steel.

The federal government announced the Atom-Jet funding as part of efforts to help tariff-affected businesses strengthen domestic supply chains, diversify markets and improve competitiveness.

Lavack said Atom-Jet represents the resilience of Manitoba businesses facing challenging economic conditions.

“I think it’s just a really good example of how resilient our Manitoba entrepreneurs and companies are, because they’re always looking and trying to find solutions to challenges,” she said.

The Canada-U.S. trading relationship has changed dramatically, and Canadian businesses are responding by strengthening domestic supply chains, diversifying markets and investing in their long-term competitiveness, Olszewski said.

“Atom-Jet Industries is a strong example of that leadership, bringing more production in-house and expanding into new markets,” Olszewski said.

“Through the Regional Tariff Response Initiative, our government is helping businesses make the investments they need to adapt, create good jobs and build a stronger, more resilient Canadian economy.”

The federal government announced an additional $1.5 billion through the RTRI on Aug. 25 to help tariff-affected small- and medium-sized businesses address liquidity concerns, diversify markets, boost productivity, reduce costs and strengthen domestic supply chains.

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