Ontario preferred choice
for Global Business

Today large or small companies locate their manufacturing, product assembly, R&D and contact centres wherever they find the best combination of talent, cost-efficiencies and market access. It’s all here in Ontario.
Ontario has fast emerged as an efficient North American hub for international business. What has contributed to its development, is its growing economy, its strong trade partnerships with North America, Europe and Asia, its competitive yet cost-effective business costs, a highly skilled and diverse workforce and an innovative environment. During the past ten years, foreign direct investment in key sectors such as automobile, ICT, chemicals has soared and exports have grown by more than 50% as multinationals recognized the tremendous advantages of doing business in Ontario.

Why should one do business with Ontario?
Connections with major markets
It gives direct access to the Cdn$13.8 + trillion North American market (NAFTA) allowing Ontario’s products to enter the U.S. and Mexico duty-free when 62.5% of their content is manufacture in Ontario. Ontario-based companies can bid on the procurement contracts of the U.S. and Mexican governments and state-owned corporations. In addition, Ontario had forged strong trade partnerships with Europe and Asia. Total trade has grown to almost Cdn$ 11 billion annually with leading European countries and more than Cdn$16 billion with Asian leaders. What one observes is a highly educated multicultural workforce with advanced manufacturing skills and international business experience. An innovative environment, streamlined regulations and low-risk investment climate have contributed to Ontario’s burgeoning business volumes.
The auto industry, the biggest in Ontario, produces one-sixth of all vehicles built in North America. The advanced manufacturing sector has helped to shape the future with its innovative processes and products. The IT and telecommunications companies too are world leaders. Our life science sector comprising of pharmaceuticals, medical devices and biotech is a North American hotspot.

Fast flexible distribution networks
Products, people and ideas flow smoothly in and out of Ontario. The transportation and telecom infrastructures are extensive, sophisticated and integrated with U.S. systems. Business centres such as Toronto, Ottawa, Thunder Bay and London are easily accessible by flight.

A Center of International Business Expertise
Ontario has the expertise which attracts business from around the world. Many companies build their international operations in Ontario. Six of the world’s largest automotive companies and eight of the world’s 10 largest chemical companies are located in Ontario. So is the case with global biotech giants and international leaders in ICT and aerospace. Many Ontario operations have global mandates for key products, including ATI Technologies, DaimlerChrysler, DuPont Canada, GM, Husky Injection molding Systems, IBM, Magna International, Nortel Networks, Research in Motion (RIM) and Toyota.

Connected to a global business systems
Ontario observes best-in-class intellectual property and privacy regulations. The legal, accounting and marketing firms understand the needs of international business.

Business – in any language – spoken here
As one of the multicultural societies in the world, Ontarians are fluent in more than 100 languages including French, Spanish, German, Japanese, Mandarin, Cantonese, Korean and Punjabi. It is easy to bring together worldwide research or production teams. Work visas for key employees and their families can usually be obtained within days.

Where High Quality Skills and Competitive Costs Converge
A higher percentage of the work force have post-secondary education than in any G7 country. A network of 20 universities and 24 colleges train students in every field from the skilled trades to the most advanced areas of science, engineering and business. Ontario is ethnically diverse.

Ontario’s Innovation Corridor
From Windsor to Ottawa and into Northern Ontario, throughout Ontario’s innovation corridor, world-leading companies collaborate with more than 150 university, college and public research centres to speed new discoveries and processes from the lab to the marketplace.

Ontario’s Cost Advantage
Ontario’s businesses have a distinct advantage in its core operating costs which are more competitive of the G7 countries. In its city-by-city comparison, the same study showed that Toronto, Ottawa, Sudbury, Sault Ste. Marie and Waterloo offer cost advantages to over several cities over North America, Europe and Japan. Ontario’s combined (provincial and federal) general corporate income tax rate is almost 4 percentage points below the U.S. average and payroll taxes are the lowest of the G7 nations. In Ontario, most services such as doctor’s fees, tests and hospital stays are paid through the public health system.

Innovation incentives
Innovation costs are low and R&D talent is plentiful in Ontario. More industrial and university-based R&D is performed in Ontario than anywhere else in Canada. Leading-edge research is conducted virtually in every area of ICT, advanced manufacturing and life sciences. There are incubators, research parks and technology transfer offices throughout the province. The Ontario government has committed close to Cdn$1.4 billion over four years to support research and commercialization at the universities, colleges, hospitals and research institutes. The R&D tax incentive program is one of the most generous in the world. When tax credits are factored in, the after-tax cost of Cdn$100 in R&D spending can be reduced to less than Cdn$41.

Business Expansion can have a big impact
Ontario is a microcosm of bigger markets. The GDP is forecasted to grow at 3.2% annually through 2006-2008 while inflation is expected to remain below 2% per year.

Streamlined regulations
Regulatory systems have been streamlined. Business start-ups require only two simple steps in Ontario compared to as many as 20 needed in other industrialized countries with the necessary infrastructure in place. The environment is designed for global success and the high quality of life that goes with it. A combination of business advantages coupled with a quality of life that is leading more commercial investors to choose Ontario for their business expansion.

Ontario: a successful two-way street with India
In February 2006, Ontario opened a new international marketing centre in New Delhi to pursue economic and trade opportunities with India. A number of large Indian companies currently conduct business in Ontario. Among them are Tata Conglomerate, Satyam Computer Services Ltd., Infosys Technologies Ltd., Cognizant Technology Solutions Corporation, Wipro and ICICI bank.