The Canadian aerospace industry is made up of over 700 companies and employs more than 170,000 Canadians according to the Aerospace Industries Association of Canada. In Canada, the aerospace industry generates over $42 billion in revenue and can be split into two major sectors which are manufacturing, and repair and maintenance. More than 20% of the industry’s activity is dedicated to R&D and over the last five years R&D investments by aerospace companies have increased over 41%.
A recent review completed by the Canadian government indicated that a lack of funding available to aerospace companies negatively affected the movement of new technologies from the laboratory to the market. As a response to the review, the Economic Action Plan 2013 proposed funding of over $110 million over 4 years and $55 million per year thereafter for the creation of the Aerospace Technology Demonstration Program (ATDP). The program is designed to support large scale technology projects that demonstrate market potential and promote cross-industry activities. ATDP will support simulation trials, systems integration testing, refinement activities and research costs at post secondary institutions. In conjunction with SR&ED, ATDP, set to begin in 2014-2015, will ensure that the Canadian aerospace industry is adequately funded to foster both growth and innovation.