(Kitco News) - Ontario’s resource sector is a significant engine of growth for the province and Canada, but it is now on the front lines of a trade war with America.
On Tuesday, the Ontario Mining Association, together with the Ontario Ministry of Mines, said that its provincial mining industry is an economic powerhouse, contributing $23.8 billion to GDP, supporting 150,000 jobs, and driving $64 billion in exports—over a quarter of the province’s total exports in 2023.
The latest Ontario Mining Sector report noted that the U.S. is Ontario’s biggest consumer of the province’s mineral resources, with provincial exports totaling $42 billion, including $5.7 billion from critical minerals such as platinum group metals, nickel, copper, uranium, and zinc.
The report pointed out that 57% of all Ontario’s critical mineral exports went to the United States.
At the same time, Ontario imported $77 billion in minerals and metals, including $41 billion from the U.S.
The report noted that with 18 gold mines, Ontario is Canada’s largest producer of gold, a key input in modern manufacturing and a vital hedge against inflation and economic uncertainty. The province also has nine active critical mineral mines and 10 processing facilities, supplying advanced materials for industries such as health diagnostics, aerospace, and defense.
“Ontario’s mining sector is a cornerstone of our technology-driven economy, delivering well-paying jobs, producing essential inputs for North America’s manufacturing supply chain, and playing a vital role in our continental security. Industry partnerships with Indigenous communities, advancing their economic development, and our safety and environmental practices can be a model for the world,” said Priya Tandon, President of the Ontario Mining Association, in a prepared statement.
However, while the mining sector is a powerful engine of growth, Tandon also noted that it needs to be supported. She said that to solidify the sector, mining needs to be declared a strategic priority.
“Our mining ecosystem is vulnerable to geopolitical and trade uncertainty. Generational change is happening, and much hard work lies ahead to ensure our sector remains vibrant and ready to capitalize on the immense opportunity in front of us,” she said. “A joint industry-government plan should be developed to unlock large areas of our province with high mineral potential through a robust mineral claim registration system, advance agreements with Indigenous communities to ensure benefits from government resource revenue sharing can be realized, streamline regulatory timelines to attract global investment and bring economically viable projects to market, and drive continuous improvement at our existing operations through innovation and the adoption of clean technologies.”
