CCI Response to Ontario’s 2025 Fall Economic Statement

Today, Ontario Finance Minister Peter Bethlenfalvy delivered the 2025 Fall Economic Statement (FES). The statement focused on maintaining fiscal stability and supporting Ontario companies through turmoil caused by the U.S. trade war.

In response to today’s FES, CCI Director of Ontario Affairs Skaidra Puodžiūnas issued the following statement:

"The Council of Canadian Innovators welcomes the Ontario government’s commitment to strengthening the provincial economy through its $30 billion “Buy Ontario” initiative. Strategic procurement can be a powerful tool for building economic resilience if implemented with precision.

"We were also pleased to see recent investments to the Critical Minerals Innovation Fund (CMIF). The government is demonstrating leadership in proceeding with a more value-added focus on the Critical Minerals file, and we hope to see similar approaches applied to other key sectors that fuel economic security in Ontario.

"However, we have concerns about the current definition of “Ontario Business” in the procurement framework. Under existing policy, any company with 250 employees in Ontario qualifies—including foreign-owned corporations with branch operations here. This means multinational companies that simply operate in Ontario receive the same procurement advantages as businesses genuinely headquartered here.

"There’s a critical economic distinction. Ontario-headquartered companies build intellectual property here, make strategic decisions here, anchor their supply chains here, and reinvest their growth in our communities. Foreign-owned branch plants are controlled from abroad and send their profits back home. Recent deterioration in U.S. relations has shown how quickly these companies can retreat from the Ontario market despite previous commitments, underscoring why economic sovereignty cannot be built on branch plant employment alone.

"In the 21st century digital economy, lasting prosperity is increasingly driven by IP ownership, research commercialization, and the intangible assets that companies develop and control. We want to ensure Ontario’s procurement policies are positioned to maximize long-term economic benefits for the province, not just immediate employment numbers.

"The good news is this is an eminently solvable challenge, and we’ve seen this government act in the best interest of Ontario’s long-term economic security before with the cancellation earlier this year of the Starlink contract. Ontario’s homegrown business community is eager to work collaboratively with the Ford government to refine these definitions and ensure procurement policy delivers maximum impact. CCI’s 2026 Pre-Budget Submission outlines specific, actionable recommendations that can strengthen Ontario’s economic foundation while supporting the government’s goals.

"We look forward to continued partnership on building a more resilient and prosperous Ontario economy."

–

According to the Building Ontario Businesses Initiative (BOBI), “Canadian Business” means a supplier, manufacturer or distributor of any business structure that conducts its activities on a permanent basis in Canada. The business either:

• has its headquarters or main office in any province or territory within Canada, or
• has at least 250 full-time employees in any one province or territory within Canada at the time of the applicable procurement process.

“Ontario Business” means a supplier, manufacturer or distributor of any business structure that conducts its activities on a permanent basis in Ontario. The business either,

• has its headquarters or main office in Ontario, or
• has at least 250 full-time employees in Ontario at the time of the applicable procurement process.

Link: https://www.supplyontario.ca/building-ontario-businesses-initiative/

‍

‍

Contact média‍

James McLeod
Director of Communications and Content
jmcleod@canadianinnovators.org