July 05, 2026 to July 11, 2026

This is Queen Street Analytics' weekly digest of regulatory developments, legislative discussions and other government-related news concerning most types of manufacturing activities (except agricultural, automotive, aerospace, food, and pharmaceutical), e.g. textile and apparel, chemical, electronics, wood and paper, metals, plastics and rubber, packaging, and machining. Once a week, 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. Also consider subscribing to our Manufacturing - Washington edition covering critical GR news south of the border.

📋 In This Week's Newsletter

• 🇨🇦 Federal Government News
• 🗺️ Provincial Government News
• 💬 Government Consultations
• 📚 What We're Reading This Week

Federal Government News

Federal Government Launches Small Business Procurement Program to Simplify Contracting

Public Services and Procurement Canada, led by Minister Joël Lightbound and Minister Mélanie Joly, has introduced new simplification measures under the Small Business Procurement Program (SBPP). These changes are intended to reduce complexity, modernize procurement, and enable Canadian small businesses to more easily participate in federal contracting. The SBPP is paired with an expansion of the Innovative Solutions Canada (ISC) program, which will receive $79.9 million over five years to support technology development, testing, and commercialization. Small businesses will benefit from shortened bid preparation times and improved access to federal contracts, helping build more resilient domestic supply chains. The ISC offers Canadian innovators a pathway to work directly with the federal government, supporting commercial scale and facilitating access to foreign markets. The changes follow extensive small business feedback and build on previous procurement modernization efforts launched in 2017.

Sources: www.canada.ca, www.canada.ca

Federal Funding Powers Manitoba Manufacturing Companies' AI Integration

Prairies Economic Development Canada has provided over $10.2 million to six Manitoba businesses to expand adoption of artificial intelligence and digital technology. The investment, announced by Minister Evan Solomon and Minister Eleanor Olszewski, will create more than 170 jobs and support 35 SMEs in sectors including manufacturing, agriculture, and construction. Funded projects include mode40 ltd.'s deployment of AI-powered factory control systems and Construction Clock's enhancements to its AutoClock platform with AI technology. Manitoba Construction Sector Council will establish a drone and sensor library to benefit small and medium-sized construction firms. The funding aims to increase productivity and competitiveness while facilitating new market growth and job creation across the province.

Sources: www.canada.ca, www.canada.ca, www.canada.ca

Government of Canada Supports AI Manufacturing Technology Development in Ontario

Huys Industries Ltd. in Etobicoke is receiving a federal investment of roughly $660,000, as part of a $1.3-million project, to develop and commercialize an AI-driven electric spark deposition welding system. This technology is intended to decrease manufacturing costs, enhance efficiency, and broaden market opportunities for the company. The support comes through the Regional Artificial Intelligence Initiative, aligning with Canada's Artificial Intelligence Strategy. The project encompasses AI integration, system validation, and marketing to facilitate commercialization, and is expected to boost adoption of advanced manufacturing technologies within small and medium-sized enterprises.

Sources: www.canada.ca

Federal Investments Enhance Canada’s Critical Minerals Supply Chains and Mining Technology

The Government of Canada, represented by Minister Mélanie Joly and DIGITAL's CEO Rhonda Barnet, has committed $6.7 million for two Canadian-led projects aimed at advancing precision mining and ecological restoration technologies. Novamera Inc. of Oakville will receive $3.8 million for its Surgical Mining technology, integrating subsurface imaging, AI, robotics, and conventional drilling to improve mineral extraction precision. Koonkie Canada Inc. of Vancouver will receive $2.9 million to develop an AI-powered platform for environmental DNA analysis and soil health monitoring at mine sites. These investments are part of broader efforts to strengthen Canada's critical minerals supply chains and support development of clean technology solutions in the mining sector.

Sources: www.canada.ca, www.canada.ca

Canada Announces Strategic Investment Agreement for Critical Minerals Processing Expansion

Minister Tim Hodgson of Natural Resources Canada has launched the Canada Critical Minerals Accelerator (CCMA), marking its first Strategic Investment Agreement with Teck Resources Limited and the Canada Growth Fund. The agreement will facilitate expansion of Teck’s Trail Operations in British Columbia through a commercial framework for up to $400 million in equity-like investment, contributing to an overall $850-million potential investment. This expansion could double production capacity for germanium and antimony and introduce gallium processing. The agreement sets terms for federal rights to a portion of future critical minerals output and positions Canada as a reliable global supplier. Regulatory processes will be expedited, coordinating federal and provincial supports.

Sources: www.canada.ca

National Food Security Strategy Unveiled with $3 Billion Funding

Secretary of State John Zerucelli announced the launch of Canada's National Food Security Strategy in Etobicoke, Ontario. Backed by more than $3 billion over 10 years, the strategy includes $1 billion for food infrastructure supporting independent grocers, expanded Competitive Bureau resources, and a $1 billion Agri-food Project Finance Fund via Farm Credit Canada. An additional $750 million is allocated to increase year-round fruit and vegetable production, and $150 million will drive growth for Canadian businesses processing food domestically. The strategy commits to regulatory modernization for approvals and seeks to ease interprovincial trade barriers for food products.

Sources: www.canada.ca

Canada and Newfoundland and Labrador Launch Workforce Tariff Response Initiative

Minister Patty Hajdu and Minister Lin Paddock announced a $10.6 million partnership over three years to support workers and employers affected by global tariffs in Newfoundland and Labrador. The Canada–Newfoundland and Labrador Workforce Tariff Response will deliver retraining and upskilling through local Employment Centres, addressing the needs of unemployed workers, participants in work-sharing agreements, and those working in sectors directly impacted by tariffs. Programming will leverage Labour Market Development Agreements, engaging businesses, not-for-profits, and Indigenous organizations for coordinated support during workforce transitions.

Sources: www.canada.ca

Federal Support for SME Manufacturing Capacity in Quebec

Témisko, a semi-trailer manufacturer in Abitibi-Témiscamingue, Quebec, will benefit from combined federal and provincial funding to expand production. The federal government is providing a non-repayable contribution of $676,117, supplemented by $2.7 million from Quebec and Investissement Québec. The company will acquire laser cutting tables, CNC towers, and a machining centre, increasing production capacity and creating up to 15 jobs. Funding supports competitiveness, productivity, and market diversification, as part of CED’s Regional Economic Growth through Innovation program and Quebec’s ESSOR and grand V initiatives.

Sources: www.canada.ca

Provincial Government News

Ontario Fines Recycling and Employment Firms after Workplace Fatality

Nexcycle Industries Inc. and Connect Place Inc. were fined a combined $265,000 following a fatal incident at a Brampton recycling plant in August 2023. The court determined that proper safeguards were not in place during maintenance, and work area hazards were not addressed.

Sources: news.ontario.ca

Ontario Fines Manufacturer $50,000 after Machine Injury

Ridgewood Industries Ltd. faced a $50,000 fine in Cornwall after a worker suffered critical injuries due to unguarded machinery at its facility. The incident occurred in February 2025, and the lack of machine guarding was cited as a violation.

Sources: news.ontario.ca

Ontario Funds $425,000 to Accelerate Laminated Board Production in Huntsville

Daiken North America in Huntsville will receive $425,000, in addition to previous funding, to ramp up production of innovative wood panels. The investment supports market expansion and protects local jobs in the forest sector.

Sources: news.ontario.ca

Workplace Fatality Results in $195,000 Fine for Guelph Metal Products Firm and Worker

Ralston Metal Products Limited and a worker were fined a total of $195,000 following a fatal workplace incident involving improper use of mobile equipment for transporting personnel.

Sources: news.ontario.ca

Ontario Invests Over $3 Million to Expand Wood Manufacturing in Belleville

Ontario Truss & Wall is receiving more than $3.3 million through the Forest Sector Investment and Innovation Program to increase production capacity, add facility space, and modernize manufacturing technology, supporting wood building materials supply and local jobs.

Sources: news.ontario.ca

Government Consultations

CER Opens Public Consultation on Remediation Process Guide

The Canada Energy Regulator has initiated consultation on the Draft 2026 Remediation Process Guide, seeking industry feedback until October 5, 2026.

Sources: www.cerdialogue.ca

What We're Reading This Week

• Hyperion Materials & Technologies launches guide for aerospace manufacturing solutions: Overview of high-performance tooling and component strategies for the aerospace sector.

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