Canada aerospace sector remains vibrant and strong, but it will need ongoing support to keep it that way.
Topic: Strategic Innovation Fund
The new Canada Innovation and Investment Agency faces daunting challenges and will need political autonomy, be free to take risks in picking companies and sectors for funding, and have strong private sector support to succeed in increasing business R&D investment and innovation, say innovation and policy experts.
The Liberals latest federal Budget takes aim at Canada’s perennial innovation problem with billions in new funding, including a new $15-billion Canada Growth Fund.
The federally funded Clean Resource Innovation Network has invested $10 million in a project using a technology called non-aqueous extraction that could eliminate the use of waste tailings ponds, proponents say.
Federal and provincial government investments totalling more than $1.3 billion to help steelmakers electrify their production facilities provide a major boost to the industry’s goal of net-zero carbon emissions by 2050, says the chief executive of the Canadian Steel Producers Association.
Canadian SMEs and universities are becoming more significant players in space at home and internationally, due to the “democratization” of space driven by lower launch costs and the miniaturization of science instruments and satellites, say space industry experts.
A Tax Court of Canada ruling that reduced a Montreal aerospace company’s federal Scientific Research and Experimental Development tax credits impacts the entire tech sector and further complicates a government incentive program already rife with problems and in need of reform, say innovation advocates.
Canada’s aerospace industry is calling for a national strategy for the sector and more government support for innovation. But critics argue that aerospace is already one of the most subsidized industrial sectors in Canada and, if can’t survive in the global marketplace without continuous public funding, should be allowed to die.
Canada must rationalize its innovation programs and provide its research, development and innovation ecosystem with coherent direction as part of a plan for long-term economic growth, Dr. Camille Boulet, PhD, and Ömer Kaya at Global Advantage Consulting Group, say in an op-ed piece.
China currently dominates the global market for rare earth materials. Establishing a domestic rare earths industry in Canada will take a focused industrial strategy, more government support and greater private investment, say industry executives and academic and government researchers.