The Chemistry Industry Association of Canada (CIAC) welcomes the 2026 Fall Economic Statement 

October 30, 2026

For chemistry and plastics manufacturers impacted by U.S. trade policy and geopolitical uncertainty we believe Ontario is taking the right steps in creating the conditions for manufacturers to modernize, expand and compete.

Among the measures included in the Fall Economic Statement, CIAC welcomes:

  • The proposed Ontario Competitiveness Tax Cut, which would provide more than $8 billion in provincial tax relief over five years and, together with previously announced accelerated writeoffs, bring total relief to more than $12 billion. Subject to federal legislation, immediate deductions for eligible investments strengthens the case for modernizing and expanding Ontario facilities.
  • Joint federal–provincial support of $5.22 billion over five years for steel and $2.5 billion over two years for automotive capital investment. Sustaining these industries could support demand for the resins, coatings, lubricants, adhesives, industrial gases and other inputs supplied by chemistry and plastics manufacturers.
  • Federal matching of Ontario’s initial commitment of up to $1 billion over three years for Ring of Fire road infrastructure, alongside coordinated permitting. Chemicals are essential to mineral processing and refining, while battery materials and polymer components connect critical minerals development to advanced manufacturing.
  • Continued investment in reliable, low-carbon electricity, including the $1 billion Building Ontario Fund investment announced in the 2026 Budget for four planned small modular reactors at Darlington. Industrial competitiveness requires affordable rates, reliable supply and timely grid connections.
  • The renewed commitment to reduce regulatory burdens and permitting times. Timely, predictable and risk-based approvals, alongside the elimination of redundant and unnecessary reporting, can free resources for investment while maintaining strong health, safety and environmental protections.

Together, these measures can strengthen Ontario’s attractiveness as a destination for chemistry and plastics investment.

CIAC looks forward to working with the Ontario government to translate these commitments into increased investment, employment and a stronger manufacturing economy.