Ontario+Economics


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Ontario Economics

Overview

Ontario's economy had its beginnings in the pursuit of natural resources: fur, timber and minerals. The province's many rivers and lakes, particularly the Great Lakes, made for natural transportation routes. As the population of Ontario increased, people started new industries and surveyed, cleared and farmed the rich agricultural land. 

Today, northern Ontario's economy is still highly dependent on natural resources while southern Ontario, with its proximity to the enormous U.S. market, is heavily industrialized. Ontario is part of the North American manufacturing heartland and is favourably located to serve major Canadian and U.S. markets. 106 million people live within a day's trucking distance of Toronto with a personal income totaling US $2.7 trillion. However, in the 21st century, more Ontarians are employed in service industries than on assembly lines. Ontario's highly diversified economy offers excellent opportunities in all sectors ranging from automotive, plastics, aerospace to information and telecommunications technology and the life sciences. The North American Market

National free trade agreements between Canada, the United States and Mexico have had a profound influence on Ontario's economy. In 1989, a bilateral trade agreement between the U.S. and Canada came into effect, and was superseded in 1994 by the North American Free Trade Agreement. 

For Canada, the agreement means more secure, stable access to U.S. and Mexican markets. The end result has been increased exports and imports among the three trading partners. Ontario lies in the heart of the North American Free Trade area, which has more than 400 million people and generates a GDP of $13.8+ trillion. More than $1.3 billion crosses the Canada-U.S. border each day and Ontario-U.S. two-way trade accounts for more than $750 million of it. ===**Ontario's Place in the Canadian Economy** === Ontario thrives through our unique combination of resources, manufacturing expertise, exports and a drive for innovation. Ontario generates 39% of the national GDP, produces 43% of total merchandise exports and is the home for almost 50% of all employees in high tech, financial services and other knowledge-intensive industries. Manufacturing

Ontario is part of the North American manufacturing heartland and is well situated to serve major Canadian and U.S. markets. Examples of Ontario's key manufacturing industries include autos, information and communications technologies, biotech, pharmaceuticals and medical devices. 

Ontario companies have been building components, assemblies and systems for customers around the world for more than 150 years and today manufacturing is big business in the province, with shipments worth more than $254 billion US annually. <span style="border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Ontario has the second highest number of manufacturing employees of any jurisdiction in North America, after California. <span style="color: #a300ff; font-family: 'Trebuchet MS',Helvetica,sans-serif; font-size: 21px; font-style: inherit; font-weight: inherit; line-height: 31px; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Agriculture
 * <span style="background-attachment: initial; background-clip: initial; background-color: initial; background-origin: initial; background-position: 0% 0%; background-repeat: no-repeat no-repeat; border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; list-style-image: initial; list-style-position: initial; list-style-type: none; margin-bottom: 5px; margin-left: 31px; margin-right: 0px; margin-top: 5px; outline-color: initial; outline-style: initial; outline-width: 0px; padding-bottom: 10px; padding-left: 15px; padding-right: 0px; padding-top: 0px; vertical-align: baseline;">Ontario is North America's largest motor vehicle assembler, ahead of Michigan and all of Mexico.
 * <span style="background-attachment: initial; background-clip: initial; background-color: initial; background-origin: initial; background-position: 0% 0%; background-repeat: no-repeat no-repeat; border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; list-style-image: initial; list-style-position: initial; list-style-type: none; margin-bottom: 5px; margin-left: 31px; margin-right: 0px; margin-top: 5px; outline-color: initial; outline-style: initial; outline-width: 0px; padding-bottom: 10px; padding-left: 15px; padding-right: 0px; padding-top: 0px; vertical-align: baseline;">Ontario exports 85 per cent of all vehicles to the U.S. and countries around the world.
 * <span style="background-attachment: initial; background-clip: initial; background-color: initial; background-origin: initial; background-position: 0% 0%; background-repeat: no-repeat no-repeat; border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; list-style-image: initial; list-style-position: initial; list-style-type: none; margin-bottom: 5px; margin-left: 31px; margin-right: 0px; margin-top: 5px; outline-color: initial; outline-style: initial; outline-width: 0px; padding-bottom: 10px; padding-left: 15px; padding-right: 0px; padding-top: 0px; vertical-align: baseline;">The U.S. is Ontario's biggest trading partner: more than 80 per cent of exports are sent there.

<span style="border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Ontario has over half of the "Class 1" (highest quality) agricultural land in Canada and even more Class 2 and Class 3 land, both of which are considered very suitable for agriculture. Over 57,000 farms in Ontario, with cash receipts of more than $10.3 billion, account for almost one-quarter of all farm revenue in Canada. <span style="border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Ontario has many commercial poultry, hog, dairy and beef cattle farms. Cash crops including soybeans, corn, mixed grains, forage crops, and wheat and barley are significant agricultural commodities. Vegetables also account for a considerable share of Ontario's agricultural production. <span style="font-family: Verdana,Helvetica,Arial,sans-serif; line-height: 20px;">

<span style="border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">While the largest fruit crops are grapes and apples, the rich agricultural lands and mild climate of southern Ontario also allow for the cultivation of berries and tender fruits including peaches and plums, and specialty crops such as ginseng, dry beans, and mushrooms. Wineries thrive in the Niagara Peninsula, Pelee Island, and the Lake Erie north shore areas. <span style="color: #a300ff; font-family: 'Trebuchet MS',Helvetica,sans-serif; font-size: 21px; font-style: inherit; font-weight: inherit; line-height: 31px; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Forestry and Mining

<span style="border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Ontario is blessed with vast, sustainably managed forests - the foundation of this thriving forest products industry. By area, these forests represent about 17 per cent of Canada's forests and 2 per cent of the world's forests. Today, Ontario’s forests play a critical role in the province’s economy. They contribute to a good standard of living by supporting more than 81,000 direct jobs in the forest industry. Another 324,000 people in 260 communities throughout Ontario owe their livelihood to Ontario’s forests. These jo bs include employment in forest-based tourism businesses,fishing and hunting, equipment manufacturing, transportation, trapping and retail and service industries. <span style="font-family: Verdana,Helvetica,Arial,sans-serif; line-height: 20px;">

<span style="border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Mining is big business in Ontario, with mineral production more than $10 billion a year. The mining industry in Ontario is a global leader in productivity and has the toughest environmental standards in the world. With spending of over $360 million in 2008, gold continues to be the most sought-after commodity in Ontario as it is in Canada and globally. Exploration on platinum group metals continues across the province in areas such as Marathon and Sudbury and spending exceeded $30 million in 2008. Work on uranium projects across Ontario has led to a rise in exploration spending to $13 million in 2008. <span style="color: #a300ff; font-family: 'Trebuchet MS',Helvetica,sans-serif; font-size: 21px; font-style: inherit; font-weight: inherit; line-height: 31px; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Services

<span style="border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Although Ontario is a manufacturing powerhouse, the service sector is the largest component of Ontario's economy employs 79 per cent (or 5.1 million) of the province's employment. <span style="border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Ontario has a modern and diversified services sector, which includes a wide variety of industries serving businesses, individuals and governments. Services producing industries account for 70 per cent of the province's overall economy. Examples of Ontario's major services sector include business and financial services, professional and scientific technical services, arts and culture. <span style="border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">The US is Canada's biggest services trading partner, accounting for about 70 per cent of our exports and imports. <span style="border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Toronto's financial services sector is the 3rd largest among leading Canadian and US cities, based on employment. The TSX Group (the Toronto Stock Exchange and the TSX Venture Exchange) is th e world's leading financial market for mining, oil and gas, and a Top 3 player in technology and life sciences. <span style="border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; margin-bottom: 1.25em; margin-left: 0px; margin-right: 0px; margin-top: 0.5em; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; vertical-align: baseline;">Kitchener-Waterloo, Ottawa and the Greater Toronto Area (GTA) are home to Ontario's largest technology industries.

Canada's largest cluster of communications and culture media industries is located in Toronto. It includes TV and radio broadcasting, publishing, TV and film production, sound recording, performing and visual arts, design and advertising.

For more information, please visit these links:

Above information from [|Canada Economy]
 * <span style="background-attachment: initial; background-clip: initial; background-color: initial; background-origin: initial; background-position: 0% 0%; background-repeat: no-repeat no-repeat; border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; list-style-image: initial; list-style-position: initial; list-style-type: none; margin-bottom: 5px; margin-left: 31px; margin-right: 0px; margin-top: 5px; outline-color: initial; outline-style: initial; outline-width: 0px; padding-bottom: 10px; padding-left: 15px; padding-right: 0px; padding-top: 0px; vertical-align: baseline;">**<span style="border-bottom-color: #639000; border-bottom-style: solid; border-bottom-width: 1px; border-color: initial; border-left-width: 0px; border-right-width: 0px; border-style: initial; border-top-width: 0px; color: #3b5600; font-family: inherit; font-size: 13px; font-style: inherit; margin: 0px; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; text-decoration: none; vertical-align: baseline;">[|Information about Ontario's economy] ** is available from the **<span style="border-bottom-color: #639000; border-bottom-style: solid; border-bottom-width: 1px; border-color: initial; border-left-width: 0px; border-right-width: 0px; border-style: initial; border-top-width: 0px; color: #3b5600; font-family: inherit; font-size: 13px; font-style: inherit; margin: 0px; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; text-decoration: none; vertical-align: baseline;">[|Ministry of Economic Development and Trade] **.
 * <span style="background-attachment: initial; background-clip: initial; background-color: initial; background-origin: initial; background-position: 0% 0%; background-repeat: no-repeat no-repeat; border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; list-style-image: initial; list-style-position: initial; list-style-type: none; margin-bottom: 5px; margin-left: 31px; margin-right: 0px; margin-top: 5px; outline-color: initial; outline-style: initial; outline-width: 0px; padding-bottom: 10px; padding-left: 15px; padding-right: 0px; padding-top: 0px; vertical-align: baseline;">**<span style="border-bottom-color: #639000; border-bottom-style: solid; border-bottom-width: 1px; border-color: initial; border-left-width: 0px; border-right-width: 0px; border-style: initial; border-top-width: 0px; color: #3b5600; font-family: inherit; font-size: 13px; font-style: inherit; margin: 0px; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; text-decoration: none; vertical-align: baseline;">[|Economic updates] ** are published by the Ontario Ministry of Finance.
 * <span style="background-attachment: initial; background-clip: initial; background-color: initial; background-origin: initial; background-position: 0% 0%; background-repeat: no-repeat no-repeat; border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; list-style-image: initial; list-style-position: initial; list-style-type: none; margin-bottom: 5px; margin-left: 31px; margin-right: 0px; margin-top: 5px; outline-color: initial; outline-style: initial; outline-width: 0px; padding-bottom: 10px; padding-left: 15px; padding-right: 0px; padding-top: 0px; vertical-align: baseline;">**<span style="border-bottom-color: #639000; border-bottom-style: solid; border-bottom-width: 1px; border-color: initial; border-left-width: 0px; border-right-width: 0px; border-style: initial; border-top-width: 0px; color: #3b5600; font-family: inherit; font-size: 13px; font-style: inherit; margin: 0px; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; text-decoration: none; vertical-align: baseline;">[|Statistics Canada] ** offers information on their site.
 * <span style="background-attachment: initial; background-clip: initial; background-color: initial; background-origin: initial; background-position: 0% 0%; background-repeat: no-repeat no-repeat; border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; list-style-image: initial; list-style-position: initial; list-style-type: none; margin-bottom: 5px; margin-left: 31px; margin-right: 0px; margin-top: 5px; outline-color: initial; outline-style: initial; outline-width: 0px; padding-bottom: 10px; padding-left: 15px; padding-right: 0px; padding-top: 0px; vertical-align: baseline;">You should also visit the **<span style="border-bottom-color: #639000; border-bottom-style: solid; border-bottom-width: 1px; border-color: initial; border-left-width: 0px; border-right-width: 0px; border-style: initial; border-top-width: 0px; color: #3b5600; font-family: inherit; font-size: 13px; font-style: inherit; margin: 0px; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; text-decoration: none; vertical-align: baseline;">[|Industry Canada] ** website.
 * <span style="background-attachment: initial; background-clip: initial; background-color: initial; background-origin: initial; background-position: 0% 0%; background-repeat: no-repeat no-repeat; border: 0px initial initial; font-family: inherit; font-size: 13px; font-style: inherit; font-weight: inherit; list-style-image: initial; list-style-position: initial; list-style-type: none; margin-bottom: 5px; margin-left: 31px; margin-right: 0px; margin-top: 5px; outline-color: initial; outline-style: initial; outline-width: 0px; padding-bottom: 10px; padding-left: 15px; padding-right: 0px; padding-top: 0px; vertical-align: baseline;">**<span style="border-bottom-color: #639000; border-bottom-style: solid; border-bottom-width: 1px; border-color: initial; border-left-width: 0px; border-right-width: 0px; border-style: initial; border-top-width: 0px; color: #3b5600; font-family: inherit; font-size: 13px; font-style: inherit; margin: 0px; outline-color: initial; outline-style: initial; outline-width: 0px; padding: 0px; text-decoration: none; vertical-align: baseline;">[|Learn more about Ontario's economy...] **