CANADA'S LEADING INFORMATION SOURCE FOR THE METALWORKING INDUSTRY

LATEST MAGAZINE

CANADA'S LEADING INFORMATION SOURCE FOR THE METALWORKING INDUSTRY

CANADA'S LEADING INFORMATION SOURCE FOR THE METALWORKING INDUSTRY

Canada’s aerospace industry has bounced back, latest industry report indicates

Share This Post
In 2022, the Canadian aerospace industry contributed close to $27B to GDP. PHOTO courtesy Airbus.

By Greg Paliouras

Global civil aerospace revenues are forecast to return to pre-pandemic levels by 2024. How is Canada’s own aerospace industry faring?

The latest State of Canada’s Aerospace Industry Report, based on 2022 year-end data, confirms that Canada’s aerospace industry has officially started its pandemic recovery. Between 2021 and 2022, Canadian aerospace manufacturing revenues increased, marking the start of its pandemic recovery, according to the report, published by the Aerospace Industries Association of Canada (AIAC) in partnership with Innovation, Science and Economic Development Canada.

Canadian aerospace manufacturing includes production of aircraft (airplanes and spacecraft), helicopters, flight simulators, engines, avionics, landing gears, and other parts and components.

In 2022, the Canadian aerospace industry contributed close to $27B to GDP and over 212,000 jobs to the Canadian economy. Although still below pre-pandemic levels, this was an increased contribution to Canada’s economy of $1.8B to GDP and 14,400 jobs between 2021 and 2022.

SHARE OF AEROSPACE INDUSTRY EXPORTS BY PRODUCT in 2022

Source: State of Canada’s Aerospace Industry Report 2023

More than 80% of Canadian aerospace revenues were export oriented with the industry exporting close to $18.7 billion in 2022. Forty two percent of the export total was final products (aircraft, helicopters, and flight simulators) and the rest aerospace supply chain items.

Canada was also the only country to rank in the top five across the civil flight simulator, engine and aircraft subsegments. It ranked first in civil flight simulators, third for civil engines and fourth for civil aircraft. Rankings are based on the dollar value of final production.

Research and development are critical to maintain such global rankings and in 2022, the aerospace industry invested over $680M in R&D, resulting in a R&D intensity more than two times higher than the manufacturing average. However, total R&D expenditures from the aerospace manufacturing sector have been declining since 2018, when the sector spent $1.389 billion on R&D.

To view the AIAC’s full report click here.

Share This Post


Recent Articles



WordPress Ads
Wordpress Social Share Plugin powered by Ultimatelysocial
error

Enjoy this post? Share with your network