The Ontario government plans to expand the Ontario Made Manufacturing Investment Tax Credit that was announced as part of the 2023 budget, providing an additional $1.3 billion over three years to further support Ontario manufacturers as they work to lower costs and become more competitive in a highly volatile market.
“Today’s announcement will provide important support to the more than 830,000 men and women who work in the manufacturing sector, and who are worried about the impact of tariffs on their jobs,” said Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “In the face of heightened global economic uncertainty, we are doubling down on our plan to protect Ontario by bringing in new investments and good-paying manufacturing jobs.”
The funding will support investments in buildings, machinery, and equipment used in the processing or manufacturing of goods in the province. Part of the changes include taking the Ontario Made Manufacturing Investment Tax Credit rate for Canadian-controlled private corporations from 10 percent to 15 percent as well as expanding eligibility to non-Canadian-controlled private corporations as a non-refundable tax credit, with qualifying corporations able to receive a tax credit of up to $3 million per year.
“Manufacturing workers here in Ontario are already feeling the impact of President Trump’s tariffs, including job losses that are the direct result of the economic uncertainty he has caused,” said Peter Bethlenfalvy, Minister of Finance. “In response, our plan to protect Ontario will bring in new investments to create new jobs and opportunities for our world-class manufacturing workers, so we can build a stronger economy capable of withstanding whatever comes our way.”
