Oklahoma Lawmakers Respond After Volkswagen Chooses To Build New Factory In Canada

Volkswagen has decided to build their new manufacturing plant in Canada rather than Oklahoma despite a new tax incentive championed by Governor Stitt.

Oklahoma lawmakers recently passed Project Connect, a bill that would allow a large business to build a manufacturing plant in Oklahoma in exchange for tax incentives.

While there was no official language stating which company would come to Oklahoma, it was rumored that Volkswagen was under consideration.

However, on Monday, Volkswagen announced their new plant will be built in Ontario, Canada, despite the lawmaker’s best efforts.

Stitt sent a press release expressing his disappointment, “We would have rather seen those thousands of jobs come to the U.S., specifically Oklahoma, than go across the border to Canada. That said, Oklahoma has never been in a position to compete with an entire country for a major project, but that’s exactly what we did and it’s a testament to the hard work of state leaders in the Legislature and the Commerce Department who are making Oklahoma the most business-friendly state in the nation. Now we are right back to work pursuing additional opportunities in the pipeline and will continue our critical efforts to help companies who are already in Oklahoma expand and grow. I remain committed and optimistic that if we continue to work together, Oklahoma will land one of these historic opportunities.”

Although Volkswagen is not building in Oklahoma, the incentive is still available to other companies.

“Oklahoma has abundant resources, qualified employees and a legislature and executive branch that is friendly to the business community,” said Pro Tem Treat. “We have a history of going out of our way to offer advantages other states cannot. There is no reason for us to continuously lose out to another state in this country on major business developments. That is why I am determined find the common denominator as to why we aren’t being chosen and figure out how we can become more attractive to businesses looking to expand or relocate. We will hear from business experts, company executives, state officials and everyone else to make Oklahoma more attractive to major employers.”

Volkswagen released the following statement after the announcement:

“Canada and Ontario are perfect partners for scaling up our battery business and green economy jobs, as we share the same values of sustainability, responsibility and cooperation.”

“Canada offers ideal conditions, including the local supply of raw materials and wide access to clean electricity."