Perth-Wellington MPP Matthew Rae visited Palmerston last Friday to announce $3.9 million in provincial funding aimed at assisting a local manufacturer with their expansion.
The announcement took place at Hammond Manufacturing, which is investing over $26 million to grow its facility from 97,000 square feet to 182,000. Rae, who is also the Associate Minister of Energy-Intensive Industries, mentioned that this funding is part of the government’s plan to support Canadian industries during challenging economic times with the United States.
“We’re not going to be pushed around, we’re going to stand up. We obviously want to work with our American friends and allies and we want to fortress North America. But we’re continuing to look for other partners in the world, whether it be European or Asian partners, and meeting the demands that they may have,” Rae stated.
Rae pointed out that U. S. President Donald Trump’s trade war is creating a lot of uncertainty and said the provincial government is dedicated to strengthening Canadian jobs. He noted that many businesses across different sectors are facing serious challenges due to Trump’s tariffs.
“They don’t know if the tariffs are going to be 50 per cent, 15 per cent, 20 per cent. So they can’t plan as businesses, whether it’s ag-food processing or agriculture in general, or manufacturing like where we are here, they’re not able to plan accordingly and do a business plan because the President is so unpredictable,” Rae said matter-of-factly.
The expansion at Hammond Manufacturing in Palmerston will help protect and maintain 128 jobs according to a joint press release from Rae’s office and Hammond Manufacturing.
“The support provided by the Government of Ontario has allowed Hammond Manufacturing to accelerate investments that strengthen our manufacturing capabilities and enhance our ability to serve customers across North America. These investments are helping us expand our capacity, improve productivity, remain competitive within our industry, and position the company for sustainable long-term growth,” shared Rob Hammond, CEO of Hammond Manufacturing Company Limited.
With so much economic uncertainty right now, Rae emphasized that it’s clear from the Premier that Ontario needs to assist businesses throughout various sectors in standing up for themselves.
“Ensuring that we’re really focusing on-shoring some of that production, investing as we are today in local manufacturing because we know there is a market for Canadian goods in the world. We’re going to continue advocating for Ontario and Canada globally,” Rae concluded.
Hammond Manufacturing specializes in designing and producing electrical and electronic enclosures, server racks and cabinets, outlet strips, small enclosures, and low-voltage electronic transformers.
According to Rae, Ontario is putting more than $250 million into its Regional Development Program aimed at helping manufacturers throughout the province grow while addressing specific regional priorities. To date, Ontario has supported over 215 projects through this program which has leveraged more than $2.8 billion in new investments and created over 5,900 jobs according to Rae’s press release.
Hammond Manufacturing in Palmerston. October 2, 2026 (Photo by Ryan Drury)
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