• Connect with us
    • Information
      • About Us
      • Contact Us
      • Careers
      • Partnerships
      • Advertise With Us
      • Authors
      • Browse Topics
      • Events
      • Disclaimer
      • Privacy Policy
    • Australia
      North America
      World
    Login
    Investing News NetworkYour trusted source for investing success
    • North America
      Australia
      World
    • My INN
    Videos
    Companies
    Press Releases
    Private Placements
    SUBSCRIBE
    • Reports & Guides
      • Market Outlook Reports
      • Investing Guides
    • Button
    Resource
    • Precious Metals
    • Battery Metals
    • Base Metals
    • Energy
    • Critical Metals
    Tech
    Life Science
    Resource Market
    Resource News
    Resource Stocks
    • Resource Market
    • Resource News
    • Resource Stocks
    1. Home>
    2. Resource>
    Loading...
    0

    MAC: Canada Must Accelerate Investment to Unlock Mining Sector Growth

    Dean Belder
    Jun. 16, 2025 02:00PM PST

    In its latest report, the Mining Association of Canada states that more can be done to spur investment in Canada's resource sector.

    Yellow mining truck on road during daytime.
    Dominik Vanyi / Unsplash

    Canada’s resource sector is an integral part of the national economy, contributing billions to the country’s GDP.

    The nation has also established a global reputation as one of the world's top mining jurisdictions. This classification is attributed to its abundant resources, well-trained and high-tech workforce and political stability.

    When it comes to mining in Canada, most people think of BC's gold and copper mines, Ontario’s nickel and zinc industry or QuΓ©bec’s world-class gold-producing region of Abitibi β€” but it goes far beyond that.


    Over 200 mines are in operation across Canada, producing more than 60 minerals and metals, including potash and uranium in Saskatchewan, diamonds in the Northwest Territories and cobalt, nickel and zinc in Manitoba.

    These resources are used in myriad applications, including construction, automotive and green technologies.

    In May, the Mining Association of Canada (MAC) released its Mining Story 2025 report, which outlines the current state of the mining industry in Canada, including its challenges and successes.

    Canadian mining by the numbers

    Nearly three-quarters of a million people are employed as a result of the Canadian mining sector, including 430,000 working directly with mining companies. According to the MAC, the mining sector contributed C$59.7 billion to the Canadian economy in 2023, representing a 36 percent increase over the preceding decade.

    While these contributions are important on a national scale, they become even more significant on a provincial level, where local and regional economies directly benefit as workers support businesses in their communities.

    Ontario led the way in 2023, producing C$15.7 billion worth of metals and minerals, followed by QuΓ©bec with C$11.3 billion and BC with C$5.1 billion. However, the MAC report also outlines how important the resource sector is to Canada’s smaller provinces and territories. In 2023, the mining industry was responsible for 13 percent of the Yukon’s GDP, 22 percent of the Northwest Territories’ GDP and an impressive 43 percent of Nunavut’s GDP.

    When it comes to the value added to Canada's GDP, extraction contributed C$54.8 billion in 2023, with the MAC noting it is a larger contributor than non-residential construction and chemical manufacturing.

    These figures are further bolstered by an additional C$21 billion from primary manufacturing, including smelting, refinement and the production of cement, concrete and glass.

    There's also C$32.4 billion from downstream manufacturing, which comprises secondary metal products like pipes, wire and foundry products, as well as tertiary products such as cutlery, tools and hardware.

    The MAC states that contributions from mining, quarrying and oil and gas extraction accounted for 5.1 percent of Canada’s GDP in 2023, which is within the 4.9 to 5.3 percent range seen since 2012.

    Challenges and opportunities for Canadian mining

    Looking ahead, the association sees both opportunities and challenges for Canada’s resource sector.

    From a broad perspective, economic growth is essential for Canada to continue improving its living standards.

    While the mining sector has been critical to driving Canada's GDP since the 1980s, investment in the industry stalled following the 2008 financial crisis. With a growing focus on the energy transition and the mass adoption of green technologies, even more pressure will be placed on the resource sector in the coming years.

    However, geopolitical turmoil and fragile supply chains underscore the need for domestic production, as well as increased investment in not only mining projects, but also the infrastructure to support them.

    Both industry and government seem to recognize the challenges, but what are the solutions?

    The Canadian government has already established several programs designed to spur investment in the resource sector, or at least drive infrastructure projects that benefit new projects.

    Among them is the Critical Minerals Infrastructure Fund. It will provide up to C$1.5 billion over seven years for clean energy and transportation infrastructure. Outlined in the report are three projects that will enable mining companies to access sites more efficiently and secure energy supplies for more remote locations.

    These include an access road to undeveloped copper, gold and silver deposits in Northwest BC, as well as road and electrical grid connections for lithium mines in Ontario.

    Another program touched on by the MAC is the Clean Technology Manufacturing Investment Tax Credit. It was established to stimulate investment and accelerate Canadian critical mineral production, processing and recycling.

    However, the program wasn’t without its flaws. Initially, the framework required that 90 percent of a project’s production come from one of six priority minerals, but as the MAC notes, copper is usually not found in those concentrations. In fact, only one advanced project or mining operation met this threshold.

    The government amended the threshold to 50 percent in its 2024 fall economic update, which the MAC says should ensure copper projects benefit from the program as intended.

    Canada's mining industry needs more support

    Although existing programs have been a good start, the MAC believes that more can be done to support Canada's mining industry at a critical time. When it comes to driving investment, the association suggests Canada look to Australia for ideas on how to create a more competitive income tax framework focused on research and development.

    The MAC does note that while there has been reluctance by the government to favor a particular industry in the past, it has come to recognize how critical minerals touch nearly every aspect of the Canadian economy.

    The association also highlights the need for a greater government contributions, rather than relying solely on private sector investment. It points south of the border, where the US has made significant strategic commitments to improve critical mineral value chains. The report's other suggestions include the introduction of venture capital and tailored financial instruments designed to focus on access to financing for mine production and smaller companies.

    These could be targeted at critical stages of development, like feasibility studies.

    Perhaps most importantly, the MAC addresses the need to reduce project friction, noting that long project timelines can impact investment and lead to the suspension or closure of projects and operations.

    While the MAC states that there has been some movement in reducing red tape, there is still a greater need to accelerate project permitting, reduce duplicate studies and improve intergovernmental coordination.

    Canada must boost mining self-reliance

    What's ahead for Canada's mining sector? Its path remains uncertain.

    Adjusting legal frameworks requires time, and although there has been a solid start through tax incentives, the MAC largely regards these as a foundation to build upon. It also acknowledges that the government has been receptive to dialogue with the industry as securing critical minerals emerges as an issue of national security.

    The association’s report envisions a future where greater reliance is placed on domestic production and the establishment of internal frameworks to enhance the self-reliance of the Canadian mining industry.

    This outcome could also indicate increased opportunities for investors.

    Don't forget to follow us @INN_Resource for real-time updates!

    Securities Disclosure: I, Dean Belder, hold no direct investment interest in any company mentioned in this article.

    From Your Site Articles
    • 5 Canadian Mining Grants Open for Applications in 2025 β€Ί
    • What Does a Liberal Win Mean for Canada's Mining Sector? β€Ί
    • MAC President Calls for Renewed Investment, Streamlined Approvals to Move Mining Sector Forward β€Ί
    Related Articles Around the Web
    • Minerals and mining - Natural Resources Canada β€Ί
    • The Mining Association of Canada: Home β€Ί
    https://twitter.com/INN_Resource
    https://www.linkedin.com/in/deanbelder
    dbelder@investingnews.com
    The Conversation (0)

    Go Deeper

    AI Powered
    two people shaking hands in an agreement

    US, Canada and Other Countries Join Forces to Secure Critical Minerals

    Silhouetted miners work in a dimly lit tunnel; "Weekly Editor's Picks" text overlay.

    Editor's Picks: Miners Rescued, US Mine Waste Strategy, Ontario Expands CIMF

    Dean Belder

    Dean Belder

    Investment Market Content Specialist

    Dean has been writing in one form or another since penning stage plays in his youth. He is a graduate of both Emily Carr University and Simon Fraser University, with a BFA in photography and a BA in communications.

    As a writer, Dean has traveled throughout BC and the Pacific Northwest covering cultural events, interviewing small business owners and working alongside fellow writers and photographers from publications like Rolling Stone Magazine, Spin and the Georgia Straight.

    Dean has a keen interest in investing, and enjoys learning about the mining industry and better understanding the technical aspects of trading. In his spare time, Dean is an avid home chef, ponders the space-time continuum and makes his own cider. On weekends he can be found cycling the Seawall, exploring farmers markets or sampling the city’s local craft breweries.

    Latest News

    Skyharbour Expands Uranium Exploration Portfolio to Over 616,000 Hectares Across Thirty-Seven Projects in the Athabasca Basin, Northern Saskatchewan

    SAGA Metals Completes Strategic Infrastructure Upgrades in Preparation for Major Drill Program at the 100% Owned Radar Titanium Property in Labrador, Canada

    LaFleur Minerals Engages Advisors for Strategic Beacon Gold Mill Restart Debt Financing and Announces LIFE and Charity Flow-Through Unit Offerings

    Fortune Minerals Announces New Convertible Security Agreement With the Lind Partners

    June 2025 Quarterly Activities and Cash Flow Report

    More News

    Outlook Reports

    Resource
    • Precious Metals
      • Gold
      • Silver
    • Battery Metals
      • Lithium
      • Cobalt
      • Graphite
    • Energy
      • Uranium
      • Oil and Gas
    • Base Metals
      • Copper
      • Nickel
      • Zinc
    • Critical Metals
      • Rare Earths
    • Industrial Metals
    • Agriculture
    Tech
      • Artificial Intelligence
      • Cybersecurity
      • Gaming
      • Cleantech
      • Emerging Tech
    Life Science
      • Biotech
      • Cannabis
      • Psychedelics
      • Pharmaceuticals

    Featured Resource Investing News Stocks

    Electrum Discovery

    Β 
    ELY:CC
    More featured stocks

    Browse Companies

    Resource
    • Precious Metals
    • Battery Metals
    • Energy
    • Base Metals
    • Critical Metals
    Tech
    Life Science
    MARKETS
    COMMODITIES
    CURRENCIES
    Γ—
    Dean Belder
    Dean Belder

    Investment Market Content Specialist

    Dean has been writing in one form or another since penning stage plays in his youth. He is a graduate of both Emily Carr University and Simon Fraser University, with a BFA in photography and a BA in communications.

    As a writer, Dean has traveled throughout BC and the Pacific Northwest covering cultural events, interviewing small business owners and working alongside fellow writers and photographers from publications like Rolling Stone Magazine, Spin and the Georgia Straight.

    Dean has a keen interest in investing, and enjoys learning about the mining industry and better understanding the technical aspects of trading. In his spare time, Dean is an avid home chef, ponders the space-time continuum and makes his own cider. On weekends he can be found cycling the Seawall, exploring farmers markets or sampling the city’s local craft breweries.

    Full Bio

    Follow

    Learn about our editorial policies.