This Week in Manufacturing — Ottawa (#32, 2026)
CBSA initiates trade probe on paperboard imports from China; Tariff response funding for manufacturing SMEs; July producer prices rise; Government launches Advanced Manufacturing Workforce Alliance; CITT opens injury inquiry for cup imports.
August 16, 2026 to August 22, 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
• 📚 What We're Reading This Week
Federal Government News
CBSA Investigates Dumping and Subsidizing of Paperboard Cups and Containers from China
On August 17, the Canada Border Services Agency launched investigations into alleged dumping and subsidization of paperboard cups and containers imported from China. The probe follows a complaint by Great Pacific Enterprises Limited Partnership, which claims that increased imports of these products at unfair prices have resulted in negative impacts such as price undercutting and reduced market share for Canadian producers. The Canadian International Trade Tribunal (CITT) will commence a preliminary injury inquiry with a decision expected by October 16, while CBSA will issue preliminary findings by November 16. These actions are taken under the Special Import Measures Act, which in 2025 applied duties to $3.3 billion in imports across Canadian industries employing over 43,000 people. The investigations could result in duties or other remedial action, affecting sourcing and procurement for businesses utilizing these materials.
Sources: www.canada.ca

Government of Canada Announces Tariff Response Funding for Gilbert Products
The Government of Canada has provided a $3 million repayable contribution to Gilbert Products, a Roberval-based manufacturer specializing in forestry, sawmill, and construction equipment. The funding, announced by Parliamentary Secretary Rachel Bendayan on August 21, aims to address competitiveness challenges resulting from recent tariffs and will allow Gilbert Products to purchase new state-of-the-art technology in its Industry 4.0-compliant plant. The assistance forms part of the Regional Tariff Response Initiative, a national measure that offers a budget of $1 billion over three years to support SMEs affected by tariffs. Other measures under the federal tariff response plan include expansions to the Strategic Innovation Fund and the Large Enterprise Tariff Loan facility.
Sources: www.canada.ca
CED Backs Productivity Upgrades at Aliar Fabrication & Structures
On August 21, Canada Economic Development for Quebec Regions committed a $600,000 repayable contribution to Saint-Ambroise-based Aliar Fabrication & Structures. The funding supports the acquisition and installation of digital production equipment to improve efficiency and advance the company's manufacturing capabilities in steel and aluminum products, including building structures and conveyors. The investment is provided under the Regional Economic Growth through Innovation program, designed to support SMEs in innovative and competitive sectors. Aliar serves multiple segments, from agriculture to industrial manufacturing, and the new technology is aimed at strengthening its regional and national competitiveness.
Sources: www.canada.ca
Advanced Manufacturing Workforce Alliance Officially Launched
Minister Patty Hajdu announced on August 17 the establishment of the Advanced Manufacturing Workforce Alliance in Guelph, Ontario, in partnership with Next Generation Manufacturing Canada, the Excellence in Manufacturing Consortium, and the Canadian Skills Training and Employment Coalition. The alliance seeks to address labor shortages and evolving skills requirements in the advanced manufacturing sector, relating to emerging challenges such as tariffs, automation, and global competition. Its structure connects manufacturers, unions, and training institutions and focuses on identifying workforce gaps and supporting upskilling initiatives. This alliance is the second in a series of sector-targeted partnerships, following the Mining and Minerals Workforce Alliance announced earlier this June.
Sources: www.canada.ca
Moteurs Électriques Laval Secures Federal Support for Equipment Expansion
On August 21, Canada Economic Development for Quebec Regions announced a $1,175,000 repayable contribution for Moteurs Électriques Laval (MEL). The funding targets the acquisition and installation of equipment for the local manufacture and repair of high-tension motor coils and generators. MEL, with multiple workshops across Quebec, currently sends specialized projects to the United States due to a lack of domestic capacity. The new infrastructure intends to enable local fulfillment of these contracts and contribute to Canada's electric supply chain for hydroelectric and industrial customers. The project is financed under the Regional Economic Growth through Innovation program.
Sources: www.canada.ca
Hydrep Receives CED Funding for Automation and Production Upgrades
Saguenay-based Hydrep has been awarded $800,750 in repayable federal funds to upgrade its production operations, including acquiring robotic and automated equipment along with new software for real-time monitoring. The announcement, made August 21 by Minister Mélanie Joly, supports Hydrep's goal to boost productivity and technological capability for its electro-hydraulic systems business, a key supplier for renewable energy equipment such as hydroelectric and wind power installations. The funding aligns with the federal government's focus on supporting regional SMEs that demonstrate innovation in strategic sectors.
Sources: www.canada.ca
Government Investments Spur Growth in Ontario’s Lindsay Manufacturing Hub
On August 17, Minister Evan Solomon announced more than $7 million in funding through the Regional Tariff Response Initiative to support two manufacturers in Lindsay, Ontario. Armada Toolworks Ltd. is receiving over $650,000 to modernize operations and diversify, while Mariposa Dairy Ltd. will utilize $6.5 million to expand automated processing and packaging capabilities. These investments target improved productivity, technological upgrades, and expansion into new markets for local manufacturers, reinforcing Ontario's food processing and advanced manufacturing base.
Sources: www.canada.ca
Parry Sound–Muskoka Manufacturers Awarded Federal Funds for Equipment Modernization
The Federal Economic Development Agency for Northern Ontario announced investments exceeding $1.7 million in several manufacturing and infrastructure projects in the Parry Sound–Muskoka area. Connor Industries receives $461,952 to purchase watercraft production equipment, Lofthouse Manufacturing is allocated $400,000 for a hydraulic forging press, Muskoka Brewery secures $367,500 for new beverage processing lines, and Keystone Granite Management is granted $130,000 for value-added granite production tools. These funds are intended for production capacity expansion, cost reduction, and market access improvements.
Sources: www.canada.ca
Industrial Product Prices Show Year-Over-Year Growth in July
Statistics Canada reported that the Industrial Product Price Index rose by 0.6% in July on a month-over-month basis, translating to a 12.4% increase compared to July 2025. In contrast, the Raw Materials Price Index recorded a 2.2% month-over-month decline but remains up 18.1% year over year. Shifts in these indexes can impact costs for manufacturers sourcing industrial inputs.
Sources: www.statcan.gc.ca
Canadian International Trade Tribunal Opens Injury Inquiry on Paperboard Container Imports
On August 18, the Canadian International Trade Tribunal initiated a preliminary injury inquiry following a complaint by Genpak regarding dumped and subsidized paperboard cups and containers from China. The inquiry, in conjunction with a CBSA investigation, will determine by October 16 whether there is sufficient indication of injury to Canadian industry. Interested parties are able to participate in the proceeding by filing a notice of participation with the Tribunal.
Sources: www.canada.ca
New Data Sets Released for Building Construction, Mineral Production, and Petroleum Products
Recent Statistics Canada releases include June investment in building construction (declined $109.7 million to $23.2 billion), updated figures for mineral production and refined petroleum products for July, and June data on the transportation and storage of crude oil and petroleum liquids. These data sets are now available for industry use and benchmarking.
Sources: www.statcan.gc.ca, www.statcan.gc.ca, www.statcan.gc.ca
Provincial Government News
Ontario Invests in Industrial Training and Advanced Forest Biomass Projects
The Ontario government announced more than $9.8 million in funding for six new workforce training projects, focusing on skills development in manufacturing, construction, automotive, and other sectors, with support for 1,150 participants.
Sources: news.ontario.ca
Ontario’s $2.1 Million Commitment to Forest Products and Biomass Innovation
Ontario is investing over $2.1 million in four projects to expand the competitiveness of its forest sector, including equipment upgrades and new biomass-to-energy initiatives at Ben Hokum and Son, Carboform, and TorchLight Bioresources.
Sources: news.ontario.ca
Port Hope Millwright Training Centre Receives $9.8 Million
Through the Skills Development Fund Capital Stream, Ontario is investing $9.8 million to construct a new training facility for millwrights in Port Hope, aiming to train 2,550 apprentices and skilled tradespeople over five years.
Sources: news.ontario.ca
Ontario Funds New Markets for Forest Biomass Utilization
Ontario announced $865,000 in funding for the Ontario Woodlot Association to develop new supply chains and markets for forest biomass, supporting private forest management and new bioproduct manufacturing.
Sources: news.ontario.ca
British Columbia Responds to Howe Sound Pulp Mill Curtailment
BC Minister of Forests Ravi Parmar issued a statement following Domtar’s decision to indefinitely curtail operations at the Howe Sound pulp mill, citing low global pulp prices and ongoing competitive challenges.
Sources: news.gov.bc.ca

What We're Reading This Week
- Toronto Star: Ontario’s New Industrial Training Centres a Boon for Local Manufacturers: A look at how new training facilities are reshaping Ontario’s advanced manufacturing landscape.
- Globe and Mail: Global Pulp Prices Hit Lowest Level in a Century: Review of global market dynamics pushing B.C. pulp and paper operations to the brink.
- Financial Post: Canadian Manufacturers Brace for Rising Input Costs: Analysis of StatsCan’s July price indexes and implications for procurement strategies.
- CBC News: Tariff Measures Challenge SMEs Across Canada: Report on how regional manufacturers utilize new federal tariff response programs.
- Reuters: Canada Initiates Dumping Probe into Chinese Packaging: Details on Canadian trade enforcement actions targeting imported packaging materials.
- The Logic: Ontario’s Data Centre Playbook and Industrial Energy Costs: Examination of Ontario’s new policy for data centre development and its industrial implications.
- La Presse: PME manufacturières québécoises modernisent leur parc d’équipements: Article on Quebec SMEs upgrading manufacturing capacity with federal funding.
- Les Affaires: Québec: Nouvelles chaînes de valeur électriques en émergence: On regional developments in Quebec’s advanced electrical equipment manufacturing.
- BNN Bloomberg: Labour Shortages Still Loom for Advanced Manufacturing: Update on Canada’s evolving skills gap despite latest government workforce initiatives.
- Canadian Manufacturing: Regional Tariff Response and SME Strategy: A breakdown of the Regional Tariff Response Initiative for Canadian manufacturers.