Canada’s $670 billion construction opportunity: Is your business ready?

Toronto, ON – October 10, 2026

New government investments | Tariffs and CUSMA | Funding opportunities

Canada’s construction industry is facing a major turning point — and businesses cannot afford to be left behind.

An estimated $670 billion in major projects could be invested across Canada by 2030. Governments are pursuing major investments in infrastructure, energy, transportation, defence and industrial development.

At the same time, U.S. tariffs, CUSMA uncertainty, rising material costs, and skilled labour shortages are pressuring Canadian businesses.

This goes well beyond Build Canada Homes. Contractors, manufacturers, engineering firms, building-material suppliers and specialized trades all have something at stake.

Where is the $670 billion going?

According to the Business Development Bank of Canada (BDC), projected investments between 2026 and 2030 include:

• $220.1 billion — Housing and infrastructure
• $159.8 billion — Energy
• $153.7 billion — Defence
• $125.8 billion — Mining and natural gas
• $11.2 billion — AI data centres

Approximately 280,000 Canadian businesses could participate. These are projected investments, not guaranteed contracts.

What’s new from Ottawa?

Recent federal announcements include:

• $2 billion for one million home energy retrofits, including heat pump rebates of up to $10,000 for eligible households.
• Financing initiatives supporting energy improvements in 280,000 rental units.
• $66.3 million for 162 community energy and affordable housing projects.
• $1.5 billion through the Canada Rental Protection Fund.
• Continued priorities in transportation, ports, energy, defence and industrial infrastructure.

These initiatives could generate additional opportunities for contractors, manufacturers, equipment suppliers and skilled trades.

What are provinces and territories doing?

Across Canada, governments are prioritizing different projects:

• Ontario: Highways, transit, hospitals, nuclear energy and housing infrastructure.
• Quebec: Transportation, hydroelectric projects and industrial development.
• British Columbia: Housing, transportation and climate-resilient infrastructure.
• Alberta: Energy, industrial construction and transportation.
• Saskatchewan and Manitoba: Mining, energy and municipal infrastructure.
• Atlantic Canada: Ports, energy, housing and health care facilities.
• The territories: Housing, transportation and essential community infrastructure.

Businesses should monitor provincial capital plans and procurement opportunities as projects advance.

How are tariffs and CUSMA affecting the industry?

U.S. trade restrictions involving steel, aluminum, lumber and other products are increasing uncertainty throughout the construction supply chain.

Businesses face higher material costs, pressure on profit margins, supply disruptions and uncertainty over future CUSMA arrangements.

Now is the time to review contracts, diversify suppliers and markets, and explore Canadian procurement opportunities.

What government assistance is available?

Depending on eligibility, construction-related businesses may benefit from:

• Regional Tariff Response Initiative — Assistance with tariff-related challenges and market diversification.
• BDC financing — Support for eligible businesses managing trade pressures or expansion.
• Strategic Response Fund — Assistance for qualifying industrial investments and modernization.
• Apprenticeship incentives — Potential support of up to $10,000 for eligible employers hiring first-year Red Seal apprentices.
• Productivity and manufacturing programs — Potential assistance for machinery, automation, technology and equipment upgrades.
• Energy-efficiency programs — Opportunities involving building retrofits and modernization.

Assistance may include grants, loans, rebates or financing. Program availability and eligibility vary.

What should your business watch next?

Canada may need approximately 580,000 additional workers by 2030 to deliver planned projects.

Meanwhile, CUSMA discussions, tariff changes, government procurement policies and new infrastructure tenders could significantly affect the industry.

The opportunities are substantial, but businesses need to prepare before contracts are awarded.

How GTA Strategies can assist

GTA Strategies helps businesses identify government funding and procurement opportunities, prepare grant applications and navigate government processes.

We invite you to a complimentary, no-obligation conference call to discuss your business needs.

Following our discussion, we can research relevant government programs and arrange a second complimentary meeting to review our findings.