QSA's Week in Manufacturing (#44, 2025)

Federal budget 2025 unveils Buy Canadian Policy, $51B infrastructure fund; Senate reviews CUSMA impacts; major StatsCan releases on GDP and petroleum; EPA chemical rules and US copper smelter relief in focus; Trump modifies China tariffs.

QSA's Week in Manufacturing (#44, 2025)

Good morning! This is Queen Street Analytics' weekly roundup of regulatory developments, legislative discussions, political announcements and other government-related news concerning manufacturing, e.g. textile and apparel, chemical, electronics, wood and paper, metals, plastics and rubber, packaging, and machining. Every Monday, we break down the most important updates in this space in under five minutes.

Want to track the upstream and downstream forces affecting Manufacturing? Don’t miss this week’s updates in Mining and Oil & Gas.

Dates: 2025-11-02 to 2025-11-08

📋 In This Week's Newsletter

• 🇨🇦 Canadian Federal Government News
• 🗺️ Canadian Provincial Government News
• 🇺🇸 US Federal Government News
• 📚 What We're Reading This Week


Canadian Federal Government News

Government of Canada Announces New Buy Canadian Policy and Infrastructure Funding in Budget 2025

The federal government introduced the Buy Canadian Policy as part of Budget 2025, positioning the federal government as a principal customer for Canadian-made goods and services. The policy was presented across multiple events in Ontario and Quebec, including announcements by Ministers Mélanie Joly, Joël Lightbound, Rechie Valdez, and John Zerucelli. Highlights include measures to reinforce resource supply chains, support steel and manufacturing industries, and bolster energy infrastructure. In parallel, the Build Communities Strong Fund was launched, allocating $51 billion over ten years—with three delivery streams focused on health, regional projects, and local infrastructure. The fund intends to direct investments to roads, bridges, water systems, and community facilities. Budget 2025 further signals plans to fast-track major projects in energy and trade, expand housing construction, and scale up Canada’s industrial base.

Sources: www.canada.ca, www.canada.ca, www.canada.ca, www.canada.ca, www.canada.ca
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Canada-Saudi Arabia Trade Discussions Move Forward

International Trade Minister Maninder Sidhu received Saudi Arabia’s Minister of Investment, Khalid Al-Falih, launching negotiations on a Foreign Investment and Protection Agreement and reinvigorating the Joint Economic Commission. Export Development Canada and the Saudi EXIM Bank formalized a memorandum of understanding in late October. The meetings covered commercial opportunities for Canadian firms in sectors including healthcare, AI, infrastructure, mining, and defense.

Sources: www.canada.ca

StatsCan Releases Data on GDP and Building Costs for Manufacturers

New Statistics Canada data indicates that national GDP climbed 2.0% in 2024, matching growth from the previous year and following strong performance in 2022. Separate building construction price indexes show a 0.6% increase in both residential and non-residential sectors for Q3 2025, with a moderation compared to previous quarters. These numbers provide manufacturers with insight into macroeconomic trends relevant for planning and capital expenditure.

Sources: www.statcan.gc.ca, www.statcan.gc.ca

National, Provincial, and Territorial Supply and Use Tables Updated

Statistics Canada updated the supply and use tables for 2022, enabling detailed analysis of inter-industry transactions and product flows across the country. These tables serve as a core input for economic modeling in manufacturing and related industries.

Sources: www.statcan.gc.ca

Refined Petroleum Product Volumes and End-Use Data Published

Sales of refined petroleum products by secondary distributors in 2024 totaled 23.4 billion litres—a 1.9% decline from 2023—while total end-user sales for the year rose by 0.7% to 89.6 million cubic metres. Disaggregation shows motor gasoline accounted for over half of sales; manufacturing stakeholders tracking energy feedstock and transport costs will note these changes.

Sources: www.statcan.gc.ca, www.statcan.gc.ca

Canadian Provincial Government News

Manitoba Proposes Immediate Tax Exemption for Manufacturing Investments

Manitoba tabled legislation to convert a portion of its Manufacturing Investment Tax Credit into a direct retail sales tax exemption on new machinery and equipment, aiming to relieve capital cost pressures for manufacturers.

Sources: news.gov.mb.ca

Ontario Expands Support for Manufacturers and Responds to U.S. Tariffs

Ontario’s Fall Economic Statement sets out an enhanced Ontario Made Manufacturing Investment Tax Credit, temporary tax credit rate increases, and the Protecting Ontario Account to support sectors impacted by U.S. tariffs.

Sources: news.ontario.ca

Alberta Opens Abu Dhabi International Office, Targets Middle East Trade

Alberta announced the opening of a new international office in Abu Dhabi, intended to augment trade, investment, and market access for Alberta-based manufacturers and technology exporters in the Middle East and North Africa.

Sources: www.alberta.ca

New Brunswick Moves to Modernize Internal Trade Regulations

The New Brunswick government introduced the Free Trade within Canada Act to align provincial recognition of goods and services with other Canadian jurisdictions, supporting local businesses seeking expanded market access.

Sources: www2.gnb.ca

New Brunswick Legislation Prepares for Major Power Infrastructure Project

Legislation was introduced to facilitate the potential refurbishment of the Mactaquac dam, focusing on labor stability, procurement exemptions, and collaboration with federal infrastructure partners.

Sources: www2.gnb.ca

US Federal Government News

EPA Issues Significant New Use Rules (SNURs) on Certain Chemical Substances

The Environmental Protection Agency has proposed and finalized significant new use rules under the Toxic Substances Control Act for a variety of chemical substances, including polymers, surfactants, monomers, esters, and industrial chemicals used across manufacturing. These SNURs mandate at least 90 days’ notification before manufacturing or processing for specified new uses, triggering EPA risk evaluations.

Sources: www.federalregister.gov, www.federalregister.gov, www.federalregister.gov, www.federalregister.gov

Regulatory Relief for Copper Smelters under Clean Air Act

A Presidential proclamation grants a two-year exemption from compliance with the EPA’s 2024 Copper Rule for certain primary copper smelters. The rule, originally intended to impose new emissions technology, was deemed commercially impractical for the U.S.’s last two operating smelters. This relief maintains United States smelting capacity, citing national security and industrial base concerns.

Sources: www.federalregister.gov

USMCA Labor Council Schedules Ottawa Sessions and Public Input on Labor Chapter

The U.S. Trade Representative announced the third USMCA Labor Council meeting for December 9–10, 2025, in Ottawa, with a closed government session and a virtual public session on Chapter 23 (Labor) implementation. Public comments and questions are invited in advance, with council reports to be published.

Sources: www.federalregister.gov

EPA Finalizes Tolerances for Cyclobutrifluram in Key Commodities

The EPA established new residue limits for the pesticide cyclobutrifluram on cotton, soybean, and lettuce. The rule outlines toxicological assessments, methods for testing, and harmonization issues with Codex standards. The action is effective as of November 5, 2025.

Sources: www.federalregister.gov

White House Adjusts U.S.-China Reciprocal Tariffs

An executive order modifies U.S. tariff rates on Chinese imports following the Kuala Lumpur Joint Arrangement, in return for Chinese commitments to end export controls on critical minerals and other trade measures. Heightened tariffs on Chinese goods are suspended until November 2026, subject to ongoing review and compliance.

Sources: www.whitehouse.gov

What We're Reading This Week

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