Trade and Market Information
Following the 2008 crisis, Canada implemented economic recovery and foreign trade recovery plans. Thanks to consumers’ renewed confidence in the market, growth resumed in the country and was estimated at 3.3% in 2014. The Canadian Government wants to restructure its health and retirement systems.
The country has a primarily tertiary economy (more than 60%), benefiting from the dynamism of services, particularly in telecommunications, internet, tourism and aerospace. Industry is also strong in several sectors: renewable energy, forestry, hydrogen and fuel cells, metals and minerals (nickel, zinc, uranium), fishing and, finally, oil and gas.
The manufacturing sector accounts for one-third of the GDP. Canadian agriculture employs less than 2% of the active population but makes Canada one of the largest agricultural exporters in the world; it produces 10% of the world’s GMOs.
60% of Canada’s GDP depends on trade, making it a very outward-looking region. 80% of its exports are destined for the United States, its nearest neighbour, with which Canada mainly trades in energy (oil, gas, uranium and electricity). The European Union, China, and Mexico are its other main partners.
Canada’s Economic Strengths
- Canada has a qualified workforce.
- Ease of access to raw materials.
- The country has one of the world’s most dynamic economies.
- Very modern transport.
- Quality infrastructure.
Canada Economic Weaknesses
- The country is dependent on imports from the United States.
- The financial system is still shaky.
Canada has a low tax rate and social contributions are very low compared with those of other developed countries. Canadian companies enjoy greater tax incentives than in the United States.