INSIGHTS INTO CANADA

TORONTO-VANCOUVER | SEPTEMBER 2016

Adv. Manufacturing, Services and Technology Resources & Energy Infrastructure Education

MARKET SNAPSHOT
Like Australia, Canada has a low population density and a vast wealth of
natural resources. The Canadian economy was the 10th biggest economy Austrade has two
in the world by GDP in 2015* while Australia was ranked 13th. Canada is
offices in Canada –
highly integrated with the US economy, with each being the other's major
trading partner. Canada has improved its ranking to 13th (from 15th) most Toronto and
competitive nation economically among 144 countries ranked by the Vancouver – which
World Economic Forum in its 2015-2016 WEF Global Competitiveness work together to
Report.
provide cross-
Total Canada-Australia two-way trade in goods and services was A$6.2 Canada coverage.
billion in 2015. Of this, two-way trade in goods was $3.9 billion with
Australia exporting $1.6 billion in goods to Canada. Top exports included
alcoholic beverages (Canada is Australia’s fourth-largest overseas market
for wine by value), beef, and non–ferrous waste and scrap. The top three
merchandise imports from Canada were non-electric engines and motors
(e.g. turbo-jets, gas turbines, and turbo propellers), medicaments
(including veterinary) and sulphur and iron pyrites. Two-way services
trade was valued at $2.3 billion, with Australia exporting $903 million in
services to Canada.

At the end of 2015, Australian investment in Canada was valued at $42.7

billion, the 11th ranked investment destination at 2.1 per cent of
Australia’s total outwards investment. Over 80 Australian companies
operate in Canada, including in the mining and resources sector,
education, finance, travel services and retail. Canadian investment in
Australia was valued at $38.8 billion, an increase of 7.7 per cent over 2014,
making Canada Australia’s 13th largest source of investment at 1.3 per
cent of total inwards investment, mostly in resources and manufacturing.

*Source: International Monetary Fund's World Economic Outlook (April 2016)

 INNOVATION AT
CANADA–AUSTRALIA RELATIONSHIP A GLANCE
15 RESEARCH-INTENSIVE
Australian companies with investments in Canada include Airbiz, Ausenco, UNIVERSITIES
Bakers Delight, BHP Billiton, Computershare, Flight Centre, Gekko Systems,
Macquarie Capital, Michael Hill Jewellers, Navitas, Plenary Group, Swann Group, Fifteen Canadian universities
Rio Tinto, Treasury Estates and Worley Parsons. conduct 80 per cent of all
competitive university research in
the country, valued at C$8.5 billion
per year.
MAJOR OPPORTUNITIES
OVER 300 AGREEMENTS
Infrastructure Australian post-secondary
institutions have over 300
Canada is the 4th largest pension fund market in the world with approximately C$1.5 agreements with Canadian
trillion in assets under management (OECD, May 2015). Canada is also a global leader in universities and colleges for
the adoption of the PPP model with over 200 infrastructure projects delivered, research, joint/double degree
representing C$70 billion. Canada continues to see increasing demand for infrastructure programs and student and faculty
improvements and Canadian Governments at all levels remain committed to investing in exchange.
public infrastructure.
32 UNIVERSITY INCUBATORS
Major Australian infrastructure players such as Macquarie Bank, Plenary Group and Lend
Lease are all active in the Canadian market. Canadian asset managers and pension funds Thirty-two Canadian universities
which have invested in Australian infrastructure in recent years include Brookfield Asset have incubation and acceleration
Management, Caisse de depot et Placement du Quebec, Canadian Pension Plan facilities and programs including
Investment Board, Ontario Municipal Employees Retirement Scheme, Ontario Teachers three institutions ranked in the
Pension Plan, Fengate Capital and OPTrust.
world’s top twenty: Ryerson
University DMZ, University of
Resources and Energy Calgary Innovate Calgary and
The mining and oil & gas sectors are a major contributor to Canada’s economy. Even
University of Alberta TEC
with the current downturn, these sectors continue to offer opportunities as companies
Edmonton.
seek to adopt newer technologies to increase productivity and profits. Subsectors that
3 FEDERAL RESEARCH
are promising include exploration support, mine design, mine management, software and
mineral processing technology. Collaboration opportunities exist in areas such as tailings AGENCIES
and reclamation; water quality and usage; and climate change and energy efficiency.
Three federal agencies, known as
While BHP Billiton and Rio Tinto have long been active in Canada, Australian Mining the tri-agencies, promote and
Equipment Technology and Services firms such as AMC Consultants, FT Services support research, training and
(Broadspectrum), Gekko Systems, OSD Pipelines and Runge Mining continue to expand innovation in Canada. Canadian
their presence in Canada. In turn, Canadian companies such as ATCO, Black Diamond, Institutes of Health Research
Energy Navigator, Razor Engineering, Summit Liability and TransAlta have invested in (CIHR), the Natural Sciences and
Australia’s resources and energy sector. Engineering Research Council of
Canada (NSERC) and the Social
Advanced Manufacturing, Services and Technology Sciences and Humanities Research
Council of Canada (SSHRC) provide
Canada has a long tradition as a digital innovator. Canadian companies have funding support to the country’s
internationally recognised expertise in wireless & mobile, microelectronics, digital media, research and innovation sector.
fintech, e-health and IT security. With the low Canadian Dollar, a highly educated
workforce, favourable immigration policies, better access to venture capital and close AUSTRALIAN EDUCATION
proximity to the US market, prospects for Canada’s technology sector remains strong. PRESENCE IN CANADA
Major companies such as Amazon, Facebook, Google and Microsoft have all recently
expanded their presence in Canada. Navitas has two colleges in Canada,
FIC and ICM, which serve as
Some of the Canadian technology companies that have invested in Australia in recent pathways to Simon Fraser
years include CAE, CGI, D2L, Hootsuite, MDA and Open Text. Australia is generally University and University of
viewed as a logical expansion market after the US and UK. Manitoba respectively.
.For further Information (in Australia) please call 13 28 78 or email info@austrade.gov.au.
In Toronto contact: Portia.Maier@austrade.gov.au

Disclaimer: Whereas every effort has been made to ensure the information given in this document is accurate, the Australian Trade and
Investment Commission does not provide warranty or accept liability for any loss arising from reliance on such information.
©Commonwealth of Australia 2016