Wednesday, 23 May 2012
Construction sector in Canada
The construction industry was the second fastest growing industry over the last decade. Construction and repair account for about 17% of Canadian GDP, directly boosting economic growth by .5 percentage points per year on average, more than doubling its prior 20-year average.
Nearly one million direct and indirect jobs have been created due the building boom (both non-residential and housing) over the past decade. Construction employment is at an all time high, at more than 1.6 million.
In 2011, the overall increase in construction was a modest 3.8%, totalling £241 billion. This year - 2012 - it is expected to be 4.5%. The figures in 2013 (3.0%), 2014 (3.8%) and 2015 (4.1%) will increase steadily but will be held back by a residential component that is set for a pause. Value of new construction in Canada in 2013 is expected to be slightly over $300 billion. New housing starts are expected to remain steady in 2012 and 2013, with mortgage rates remaining low.
Toronto-York Region Spadina subway extension ($1B)
Eglinton Scarborough Crosstown Light Rail Transit ($8.2B)
Pan American Games, Toronto, 2015 ($1B in projects)
Large engineering projects
Energy: $6B Lower Churchill Development (NF) and Site C Clean $7.9B Energy Project (BC)
Mining: $3.5B Kemag Mining Project (QC) and $2.9B Schaft Creek deposit project (BC)
Oilpatch: Suncor’s $10B heavy oil processing plant (AB), $3.6B Firebag 4 oil sands project (AB) and Chevron’s $10B Hebron oil refinery (NF)
$33B program to build 116 small naval vessels. Two major contractors are: Seaspan Marine (Vancouver, BC) and Irving Shipbuilding (Halifax, NS)
Getting into the market
Various routes are available to the British company looking to gain access to the Canadian construction sector:
Establishing a local presence
In-market representation through intermediaries like distributors and manufacturers’ agents/representatives
Supplying directly to customers/end-users
Leveraging existing UK relationships with links into the Canadian market. Many major UK construction companies now have operations in Canada - Carillion, Laing O’Rourke, Balfour Beatty
Market intelligence is critical when doing business overseas, and UKTI can provide bespoke market research and support during overseas visits though our chargeable Overseas Market Introduction Service (OMIS).
To commission research or for general advice about the market, get in touch with our specialists in country - or contact your local international trade team.
Helen Hemmingsen, Trade Officer, British Consulate General (Toronto): Tel : 416 593 1290 (x2242) or email: firstname.lastname@example.org
28-30 November 2012
National Greenbuilding Conference
28-30 November 2012
UKTI runs a range of events for exporters, including seminars in the UK, trade missions to overseas markets and support for attendance at overseas trade shows.