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Manufacturing in 2016 : Alberta vs. Ontario

Comparing Alberta to Canada’s Manufacturing PowerhouseAlberta Oil and Gas

The oil and gas sector is one of Alberta’s largest industries, but there are some others – such as manufacturing – that call the western Canadian province home. As a matter of fact, this industry is a key part of Alberta’s economy.

In 2016 alone, manufacturers generated 5.7 percent of the provinces total GDP which amounted to $16.5 billion of economic output. Before the latest recession that figure was even higher. In 2014, the manufacturing industry was responsible for generating $19 billion of economic output, about 6.1 percent of Alberta’s total GDP that year.

Manufacturing in Ontario

So how does Alberta compare to Ontario, a province that is known as a hub of manufacturing in Canada? In 2016, the industry accounted for 12.7 percent of the eastern provinces total GDP, making it an important part of its economy – about double than Alberta in the same year.

However, it’s important to note that the amount of economic output created in Ontario in 2016 totalled $80.7 billion, about 5 times as much as that in Alberta despite having a population that is only 3 times the size.

Mining, Quarrying, Oil Extraction in Albertaalberta oil gas economy petroleum industry

What manufacturing is to Ontario is what the energy sector is to Alberta – but much more in the sense that these companies were accountable for 27.3 percent of the provinces total GDP in 2016 – or $78.7 billion of economic output.

This does not include manufacturing of petroleum and petrochemical products such as plastics and fuels. In Ontario, mining, quarrying and oil and gas accounted for just 1.2 percent of the province’s economy in 2016 – or $7.6 billion.

Over the years

How has the contribution of the mining, quarrying and oil extraction industry contributed to Alberta’s GDP over the past decade? See below:

  • 2015 – 27.7%
  • 2014 – 27.9%
  • 2013 – 26.9%
  • 2012 – 26.9%
  • 2011 – 27.7%
  • 2009 – 27.5%
  • 2007 – 28.2%
  • 2005 – 29.7%

Other IndustriesI love Canada

How much did other industries contribute to Alberta’s economy in 2016? See below:

  • Real estate, rental and leasing – 10.5%
  • Construction – 8.7%
  • Healthcare and social assistance – 5.2%
  • Professional, scientific and technical services – 4.9%
  • Wholesale trading – 4.5%
  • Finance and insurance – 4.4%
  • Transportation and warehousing – 4.3%
  • Retail trade – 4.2%
  • Public administration – 4.2%
  • Educational services – 3.5%
  • Information and cultural industries – 2.2%
  • Accommodation and food services – 1.9%
  • Agriculture, forestry, fishing and hunting – 1.5%

*Sourced from Statistics Canada

In 2016, Alberta’s total GDP was $288.1 billion. While manufacturing remains an important industry in Alberta, it isn’t going to replace the energy industry anytime soon.

I Love Alberta

For more economic articles concerning our province, see Calgary, Alberta and Western Canadian Economics today.

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