Funding includes $15 million grant program to help provincial shipbuilders meet Canada’s defence needs
The Ontario government is investing $215 million to support shipbuilding and the broader marine sector in the province, including through the establishment of a $15 million Ontario Shipbuilding Grant Program (OSGP) to expand the province’s shipbuilding sector. The support provided through the OSGP will ensure Ontario is positioned to support Canada’s National Shipbuilding Strategy and support Ontario manufacturing businesses and workers in the face of U.S. tariffs and economic uncertainty. The OSGP will fund projects that support skills training, infrastructure improvements and the purchase of machinery and equipment in the shipbuilding sector.
“With our NATO allies meeting this week, Ontario workers are ready to step up and build the ships that will protect Ontario and Canada,” said Prabmeet Sarkaria, Minister of Transportation. “As the federal government increases its defence commitment to meet our NATO spending targets, our government is ensuring Ontario workers and businesses have the skills and equipment they need to help. Now, it’s up to the federal government to ensure Ontario shipbuilders are included in its National Shipbuilding Strategy.”
The OSGP will help Ontario-based shipbuilding businesses support Canada’s shipbuilding capacity under the federal National Shipbuilding Strategy. The first-of-its-kind program in Ontario will provide shipbuilders access to non-repayable grants for up to 50 per cent of eligible costs for projects that support the shipbuilding industry’s competitiveness, business growth and long-term capacity. Applications will open in late July through Transfer Payment Ontario. More information on the program can be accessed through Ontario’s funding opportunities webpage.
Ontario’s crucial role as Canada’s economic and manufacturing engine and the proven capabilities of the province’s skilled workforce can help meet the federal government’s shipbuilding procurement needs. With support from the OSGP, Ontario’s shipbuilding sector will have the skills, knowledge, infrastructure and workers to contribute to Canada’s maritime security and help shape its shipbuilding future.
Today’s investment will strengthen the shipbuilding workforce by allowing workers to upskill and stay up to date with emerging technologies and industry standards. This will enhance Ontario’s economic competitiveness and development throughout the province, including in northern Ontario, which is key to unlocking potential in the shipbuilding industry.
Quick Facts
- In the 2025 Ontario Budget, the province announced it will invest over $200 million to support Ontario’s shipbuilding and broader marine sector. Further details about additional investments beyond the OSGP will be provided in the coming months.
- In 2024, marine transportation contributed over $280 million to Ontario’s GDP. Strengthening Ontario’s marine sector is critical to enhancing the province’s economic competitiveness and is one of the key actions outlined in The Future of the Great Lakes Economy: Ontario’s Marine Transportation Strategy.
- Ontario is home to four of five Great Lakes and the St. Lawrence River, which includes 10,500 kilometres of shoreline. We share these waterways with our most important trading partner, the United States.
- The GDP of the Great Lakes region is approximately $7.5 trillion. If it were a country, this would make it the third-largest economy in the world.
Author: Pete Fisher
Has been a photojournalist for over 30-years and have been honoured to win numerous awards for photography and writing over the years. Best selling author for the book Highway of Heroes - True Patriot Love
