Brendan Griffin (Kerry South, Fine Gael)
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249. To ask the Minister for Jobs, Enterprise and Innovation if his Department has explored ways that Ireland can benefit more from the automotive industry, if he sees further opportunity for us in this field due to our close proximity to Britain; and if he will make a statement on the matter. [18568/14]

Richard Bruton (Dublin North Central, Fine Gael)
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I am very conscious of the prospects for job creation and exports presented by the automotive sector and I agree with the Deputy that the UK automotive industry represents a considerable opportunity for companies based in Ireland, as it is the fourth largest vehicle manufacturer in the EU. Currently, more than 60% of the sub supply into that automotive industry is sourced from international suppliers, the majority of which are within the EU, so there are opportunities to be pursued.

Ireland has already secured a strong foothold in this sector, which we wish to expand, and through active engagement by both IDA Ireland and Enterprise Ireland we are seeking to maximise the economic benefits for companies located here. The sector is largely based in regional locations and has had a strong positive impact on local towns and surrounding areas. Many of the companies have close working relationships with the main automotive manufacturers and collaborate on the development of new features and models. Indeed some companies based in Ireland are currently working with the major European and US auto manufacturers on developing technologies for cars yet to be launched.

Existing multinational operations in this sector in Ireland employ over 3,000 people with companies such as Kostal, Autolaunch, Valeo, Lisk, Kirchoff and Bruss, all supplying the main European auto manufacturers. This relationship is encouraged and supported by IDA through the Research, Development & Innovation Programme which enables companies to become active in developing new products for the industry. IDA is actively engaged with these existing companies and is marketing Ireland as a location for new investment in this sector in Britain, Europe, US and the Far East. Success to date is supported by Ireland’s strong position in converging technologies such as software, electronics, sensors and communications, all of which have growing importance to the global car manufacturers who are developing the next generation of products.

We also have a thriving group of Irish-owned companies in this sector, currently employing over 1,400, and Enterprise Ireland provides support to these indigenous companies who supply both the automotive and aviation industries in respect of precision engineering, toolmaking, plastics and metal fabrication. Enterprise Ireland also holds specific events for this sector e.g. the Automotive Cluster Information Day held in January 2014 brought together a group of Irish companies with the capabilities to target growing opportunities in the UK automotive sector. Building on this, in June 2014, Enterprise Ireland will participate in a ‘Meet the Buyer’ event hosted by the UK Society of Motor Manufacturing and Traders. In addition, Enterprise Ireland has engaged with a cluster of Irish companies to take the lead in the development and deployment of electric car chargers and systems for ‘e-cars’. Also, applications were open this year to new start-ups in the automotive sector under Enterprise Ireland’s Competitive Start Fund. Successful applicants may be awarded €50k investment in their business plans.

In relation to the Manufacturing Sector in Ireland generally, I commissioned Forfás to produce a Strategy for the growth and development of this key economic sector. This Strategy, entitled ‘Making it in Ireland: Manufacturing 2020’ contains recommendations that address all key aspects of manufacturing capability in Ireland, and work is on-going on their implementation. The Strategy identifies that 20,000 additional jobs can be created in the Manufacturing Sector by 2016 and I support the work of the enterprise agencies and stakeholders in pursuing this objective.