Canada is an important trade and investment destination for international companies of all sizes and across a wide spectrum of sectors. Canada is a multicultural country with a population of 35.85 million and a GDP estimated at $1,986 billion dollars. Canada is one of the world’s richest and most developed countries, ranking among the top ten industrial powers and is recognized as having one of the highest standards of living in the world by ranking 15th in Quality of Life Index by Numbeo. In a press release by Mercer, “Quality of Living remains high in North America, where Canadian cities dominate the top of the list. Vancouver (5) is the highest ranking city, followed by Toronto (15) and Ottawa (17).” February 23, 2016
In 2016, experts predicted a 1.3-1.5% GDP growth in Canada with provincial GDP growth ranging from 1% to 2%. Finance Minister Philip Morneau predicted a 1.5% growth in Canada for 2016.
International companies can find stability and cost savings in establishing new manufacturing facilities in Canada. From overall business costs to corporate income tax rates, Canada is competitive with G7 and G20 countries. Canada facilitates corporate growth and development with research & development after-tax costs and reduced labour costs in provinces such as Ontario. Healthcare costs for employees are lower on average compared to the US. All these points make Canada a competitive option for international companies to grow, expand market share and establish manufacturing facilities.
A recent study by KPMG LLP comparing global business costs placed Canada 2nd ahead of other countries with 14.6% cost advantage over the US due to the soaring US dollar. Canada’s business landscape consists of an agreeable mix of small, medium, and multinational size companies with an increase in entrepreneurial self-employment.
Canada is ranked #2 as the Best Countries Overall by U.S. News. Canada is a safe and financially reliable environment as Canadian financial institutions are considered the soundest by the World Economic Forum for the eighth year in a row.
Canada is ideally situated geographically and economically with the proximity of the US market. Geographical and economic access to Canada’s industrial activity (based largely in Ontario and Quebec) is fundamentally important as 75% of Canadian exports going to the USA and the USA economy is strengthening. The automotive, healthcare and technology industries in Canada will continue to grow in the near future as both the US and Canada economies continue to strengthen.
Housing market in Ontario and British Columbia remain strong while the housing market in Alberta continues to slide. Canadian household spending will remain modest when compared to recent year. CMHC, Fourth Quarter Releases 2015
The demand trend for stone and related products has increased over the past twenty years in Canada. The consumption of stone is projected to grow with the increase in the amount of product used and integrated into projects despite the increase in raw materials costs. The stone market is poised for continual growth in commercial and residential projects.
Tile and Ceramic Products
The trend for ceramic tile consumption has risen in Canada. Ceramic tile is gaining popularity with the increase in radiant floor heating applications. In Canada, the tile and ceramic demands are not met by the North American suppliers therefore the shortfall will be supplied by manufacturers in Italy, China, Turkey, Spain and other markets.
Quick Market Facts
- From 2011 to 2015, stone imports increased by 38% to $2.10B and Canadian stone exports increased by 39% to $1.33B Canadian dollars
- In 2015, the top seven notable trading partners in Stone products were USA, China, Italy, Israel, Turkey, India, and Brazil
- From 2011 to 2015, tile and ceramic imports increased by 39% imports to $1.39B and Canadian tile and ceramic exports increased by 47% to $180M Canadian dollars
- In 2015, the top six notable trading partners in Ceramic and Tile products were China, USA, Italy, Mexico, Turkey and Germany