Steady GDP Growth Attracts Global Companies

While most Western economies have been fighting economic headwinds for the past few years, Ontario’s GDP keeps rolling steadily ahead.

Ontario’s steady economic growth is part of the reason why an increasing number of global companies have chosen Ontario for new investments, a key business trend that has been noted by leading publications including Forbes.com and Site Selection magazine.

Canada's economy rode out the global recession better than most Western nations. Recent GDP growth in Ontario has been driven by increases in exports and manufacturing output.

In addition, as a result of recent tax changes, Ontario's combined general federal-provincial corporate income tax (CIT) rate is lower than the average of G8 and G20 countries and lower than the average federal-state CIT rate in the United States.

Global leaders as diverse as Cisco, Roche and Toyota have recently announced investments totalling hundreds of millions dollars to expand their R&D and manufacturing operations in Ontario.

Forbes.com recently named Ontario a top destination for foreign direct investment in North America and gave the province top rankings in various areas including job creation, tax reform and health care.

PriceWaterhouseCoopers' 2011 "Cities of Opportunity" survey of 26 global cities ranked Toronto among the Top Five in key categories including:

• intellectual capital and innovation (2nd)
• health, safety & security (2nd)
• demographics and liveability (3rd)
• lifestyle assets (4th)
• ease of doing business (5th)
• sustainability (5th)
• cost (5th)

And Site Selection magazine ranked Ontario as Canada's most competitive province in an annual review of best places for investment and business development. Four Ontario municipalities: Toronto, Hamilton, Windsor and London, are ranked among the leading Canadian metro areas in corporate facility development.

"What continues to distinguish Canada as a whole and successful Canadian communities in particular are openness to global firms and global talent, and an increasingly friendly operating environment for industry," says Adam Bruns, managing editor of Site Selection.

According to The Economist Intelligence Unit, Canada will be the best place in the G7 to do business from 2010 to 2014.

Ontario – Canada's economic powerhouse – has emerged as a North American hub for international business. Savvy multinationals are taking advantage of Ontario's strengths:

• Messier-Bugatti-Dowty manufactures landing gear systems in Ontario for some of the biggest names in aerospace including Boeing, Bombardier, Dassault and Raytheon.
• GlaxoSmithKline produces medications worth billions each year in Ontario, 80 per cent of those are exported to more than 70 countries.
• Ontario's Green Energy Act (GEA) firmly establishes the province as the North American leader in producing and using renewable energy.

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Find out more about Ontario data and statistics.

Stable and Growing Economy
Ontario's GDP and is larger than that of Belgium, Sweden, Switzerland, Ireland and is one of the ten largest in North America. We're Canada's economic powerhouse.

Skilled Workforce
Ontario has talent. Knowledge-based industries – advanced manufacturing, IT development, biotech or contact centre services – need access to a large pool of educated, skilled and reliable workers. They find them in Ontario.

Environment of Innovation
Companies in every sector are leveraging Ontario's R&D advantage to develop breakthrough technologies, products and services.

Proximity to Market
People and goods move quickly and seamlessly in and out of Ontario.

Companies who do business here have access to:

• 158 million consumers within a day's drive of southern Ontario.
• a $17 trillion marketplace under the North American Free Trade Agreement.
• the Ontario market: more than 13 million people and Canada's highest personal incomes.

Competitive Business Costs
KPMG's 2010 Competitive Alternatives study of international business costs has confirmed it: Canadian business costs are once again the lowest in the G7.

Business costs were five percent lower in Canada than the United States.

Quality of Life
Ontario makes it easy to balance business with pleasure. Enjoy safe communi¬ties and an endless choice of after-hours pursuits. Take advantage of strong universal health care and high-quality public education.