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“It’s increasing capacity with existing lines,” Mr. Krinock said. “There are bottle-necks and constraints, and the majority of the investment is going towards equipment modification.”

He would not elaborate on other projects contained in Green Light but said the goal is to have them implemented over the next two years.

The increased production is also the result of Toyota’s increased confidence in the recovery in the auto sector, Mr. Krinock said.

“We are very optimistic about the recovery, and where we see the North American market going,” he said.

March auto sales figures are due out next week. Automakers witnessed a dramatic rise in auto sales in Canada for the first two months of the year, which were up more than 13% year-over-year.

In the U.S., auto sales were up 14% in the first two months of the year, according to Scotia Economics.

The demand for new vehicles saw Ford announce it would be adding a third shift at its Essex Engine plant in Windsor, Ont., where it builds engines for its F-Series pickup tricks and its Mustang. The third shift is expected to add 100 jobs at the plant in May, and increase the output of the plant by 40%, Lauren More, Ford Canada spokeswoman said.

She said U.S. sales for the F-Series are up 17% this year, and in Canada, they are up by about 25%.

The number of Canadians employed in the auto sector has been steadily climbing since its trough in 2010, but is nowhere near its previous peaks. At the end of 2011, nearly 55,000 people were employed in motor vehicle manufacturing in Canada, and while that was higher than the 51,000 in 2010, it is down dramatically from the nearly 73,000 who worked in the sector at the end of 2007 prior to the collapse of the industry, Statistics Canada figures show.