Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector...

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Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Transcript of Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector...

Page 1: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Survive & Thrive in BC’s

Manufacturing Sector

Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Page 2: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Canadian Manufacturers &

Exporters Canada’s leading industry / trade association

#1 lobby organization in Canada

Founded 1871, represents 10,000 companies

Member driven, member funded

Drive business competitiveness through:

Policy change

Workforce skills development

Productivity improvement and innovation programs

Business to business opportunities

Capacity support for SMEs

Page 3: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Manufacturing Matters

BC Stats, 2015

Page 4: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Manufacturing Very Diverse

TOP SUBSECTORS SALES JOBS SIZE

Wood Manufacturing $ 8.4 billion 29,300 16%

Food Manufacturing $ 8.2 billion 28,000 15%

Paper Manufacturing $ 4.5 billion 12,200 7%

Garment Manufacturing $ 2.5 billion 6,800 4%

Machinery Manufacturing $ 2.5 billion 8,600 5%

Primary Metal Manufacturing $ 2.4 billion 2,300 1%

Fabricated Metal Manufacturing $ 2.3 billion 12,300 7%

Electronics Manufacturing $ 2.0 billion 11,800 6%

Chemical Manufacturing $ 1.9 billion 7,100 4%

Transportation Equipment Manufacturing $ 1.8 billion 9,600 5%

Non-metallic Product Manufacturing $ 1.3 billion 6,200 3%

Other Manufacturing

(Medical & Consumer)

$ 1.2 billion 10,000 6%

Plastic $ 1.1 billion 4,300 2%

Furniture Manufacturing $ 0.8 billion 7,600 4%

Printing $ 0.7 billion 5,500 3%

Page 5: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Major Economic Multiplier

Every $1.00 of Manufacturing output creates $3.50 of

economic spin-off activity in a community

=

Every 1.0 manufacturing jobs created results in 2.6 jobs

=

StatsCanada, 2015

=

Page 6: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Manufacturing Vital to BC

Economy

BC Stats, 2015

161,000

employees

Page 7: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

1/3rd of 2015 Job Growth

37,600

11,400

WorkBC, BC Employment Trends, Jan to Sep 2015

Page 8: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Opportunities for Manufacturing

Local Opportunities

Hydro - Site C

Seaspan - NSPS

Natural resource industry growth

Transportation infrastructure development

International Opportunities

Resurging US Economy

Lower dollar driving exports

Korea FTA

Upcoming European (CETA) and Asian (TPP) FTAs

Page 9: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Challenges for Manufacturing

Global competition

Skilled labour shortage - 88,000 vacancies

Low productivity - $50.5/hr vs. $54.4/hr

Capacity constraints - highest since 2007

Increasing taxes, fee and capital costs

Perceived limited support from governments

Fed Prov Muni

Page 10: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Renaissance or Revolution?

Niche players thriving

Customer orientation

innovate, product and service

Advanced technology key

Visualization and design

Data / Process monitoring

Additive Manufacturing / Reconfigurable /

Automation

Materials (bio, smart, nano, printed)

Micromachining

Page 11: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

The Way Forward

Carving out and fostering new niches critical

Moving up the value curve

Future industries developing in BC

Technical and Performance Apparel

Digital Optical and Sensor Systems

New Energy (generation, storage, propulsion)

Internet of Things – Internet of Value

Performance Software

Page 12: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

October is …

Oct 28, 2015 – Anvil Centre, New Westminster

Labour Market Roundtable

Procurement Workshop

Hall of Fame Gala

Page 13: Survive & Thrive in BC’s...Oct 28, 2015  · Survive & Thrive in BC’s Manufacturing Sector Marcus Ewert-Johns Vice President, British Columbia, Canadian Manufacturers & Exporters

Thank You!

#psforum15

Marcus Ewert-Johns +1 (604) 713-7800

[email protected]

http://bc.cme-mec.ca