Ontario Manufacturing Grants 2026 — 19 Programs for Factories, Plants & Producers
From CME SMART cost-shares to NGen Supercluster consortium funding, Ontario manufacturers can access 19 funding programs. We classify each one honestly — grants vs loans vs tax credits.
The Ontario Manufacturing Funding Stack
Ontario manufacturing grants are government cost-share, tax credit, and loan programs available to incorporated manufacturers operating production facilities in the province, administered through federal agencies (NRC-IRAP, FedDev Ontario, ISED) and provincial bodies (Ontario Creates, OVIN).
The 19 programs divide into three tiers. Non-repayable grants include CME SMART (up to $100K at 50% cost-share for lean manufacturing and automation), NRC IRAP (up to $1M for R&D with technological uncertainty), NGen Supercluster ($600K–$3.2M per participant for consortium projects), and CanExport ($50K for export development). Tax credits include SR&ED (35% ITC for CCPCs), OITC (8% refundable provincial credit), and Ontario Made Manufacturing ITC (15% on capital). Repayable loans include FedDev Ontario BSP ($125K–$10M) and CSBFP ($1.15M for equipment).
All 19 programs: CME SMART, NRC IRAP, NGen Supercluster, CanExport SMEs, OVIN R&D Partnership Fund, Strategic Innovation Fund (SIF), Steel & Aluminum Research Fund (SRF), RTRI (Tariff Response), NSERC Alliance, Digital Technology Adoption Pilot (DTAP), SR&ED Tax Credit, Ontario Innovation Tax Credit (OITC), Ontario Made Manufacturing ITC, FedDev Ontario BSP (repayable loan), CSBFP (government-backed loan), BDC Manufacturing Loans (commercial lending), FedDev Ontario RTRI, Mitacs Accelerate, and Ontario Together Fund. Not all are grants — honest classification is provided for each. GrantCompass tracks live intake status and deadlines for all 19 of these programs plus the regional and municipal funds layered in below — see today’s full list at grantcompass.ca/ontario-manufacturing-grants.html.
Key Facts: Ontario Manufacturing Funding
14 data points every Ontario manufacturer should know before applying.
All 19 Ontario Manufacturing Programs
Every program classified honestly. Green border = non-repayable grant. Amber border = repayable loan. Blue border = program/service. Purple border = tax credit.
Tier 1 — Non-Repayable Grants & Cost-Share Programs (10)
Funding you do not need to repay. These are true grants and cost-share programs.
1. CME SMART Program
Cost-Share GrantCME SMART (Smart, Manufacturing, Adapting, Readiness, and Transformation) is the fastest path to manufacturing funding in Ontario. It covers lean manufacturing assessments, automation and robotics planning, digital transformation roadmaps, workforce skills training, and Industry 4.0 adoption. The application is simpler than federal programs because CME is an industry association, not a government bureaucracy.
2. NRC Industrial Research Assistance Program (IRAP)
Non-Repayable GrantIRAP is the gold standard for manufacturing R&D funding in Canada. It funds projects with genuine technological uncertainty — developing new processes, adapting technology for novel applications, or solving engineering challenges with no known solution. IRAP covers labour costs, subcontractors, materials, and equipment for R&D activities. Each manufacturer is assigned an Industrial Technology Advisor (ITA) who provides ongoing mentorship.
Ontario’s 12,400+ manufacturers generate more IRAP applications than any other province. Your ITA can also connect you to NGen, SR&ED consultants, and export programs. The free eligibility assessment through your ITA is the single most valuable first step for any Ontario manufacturer exploring funding.
3. NGen — Next Generation Manufacturing Canada
Cost-Share GrantNGen is Canada’s advanced manufacturing supercluster, backed by $427 million in federal investment across 6–8 funding streams. Projects must advance manufacturing technology: AI-driven production, additive manufacturing, advanced robotics, digital twins, cybersecurity for OT environments, and advanced materials. Consortium assembly is the hardest part — NGen can connect you with partners.
4. CanExport SMEs
Cost-Share GrantCanExport funds market development activities for manufacturers looking to sell into new international markets. Eligible costs include trade show participation, market research, product certification for foreign markets, legal fees for market entry, and travel for buyer meetings. Ontario manufacturers exporting to the US may use CanExport to diversify into EU, Asia-Pacific, or Middle Eastern markets.
CanExport SMEs →5. OVIN R&D Partnership Fund
Cost-Share GrantOVIN targets Ontario’s electric and autonomous vehicle supply chain. Stream 1 ($100K) covers feasibility studies and early-stage R&D. Stream 2 ($1M) funds full development projects. Critical for the Oshawa-Windsor automotive corridor where Tier 1 and Tier 2 suppliers must pivot to EV components. Requires at least one industry partner.
Ontario’s 5 major assembly plants are all transitioning to EV platforms by 2030. Tier 1 and Tier 2 suppliers who cannot demonstrate EV capability risk losing contracts. OVIN specifically bridges this gap by funding the R&D needed to develop EV-ready components, battery management systems, and lightweight materials.
6. Strategic Innovation Fund (SIF)
Grant / ContributionSIF is the federal government’s flagship large-project fund. It has deployed over $4 billion to date, with Ontario manufacturers receiving a disproportionate share. Projects must be transformative — new production lines, major facility expansions, or sector-defining R&D. SIF contributions can be non-repayable, conditionally repayable, or a mix depending on the project structure.
7. Steel & Aluminum Research Fund (SRF)
GrantThe SRF earmarks $1 billion specifically for steel and aluminum production transformation. Hamilton’s 2 integrated steel mills (ArcelorMittal Dofasco and Stelco) are the primary Ontario targets. Projects must advance decarbonization (electric arc furnace conversion, green hydrogen DRI) or modernization (advanced coatings, high-strength steel for EV platforms). Minimum project size is $10 million.
SIF/SRF details →8. Regional Tariff Response Initiative (RTRI)
GrantRTRI was created specifically in response to 2025 US tariffs affecting Ontario manufacturers. It funds market diversification, supply chain resilience, and trade adjustment activities. Ontario’s automotive, steel, and fabricated metal manufacturers — all heavily dependent on US cross-border supply chains — are primary targets. Eligible costs include new market research, product adaptation, trade missions, and supply chain reconfiguration.
FedDev Ontario programs →9. NSERC Alliance Grants
Cost-Share GrantNSERC Alliance connects manufacturers with university researchers for applied R&D projects. The manufacturer contributes cash and in-kind support; NSERC matches with grant funding. Projects span materials science, process engineering, quality control systems, and manufacturing automation. Ontario’s dense university network (U of T, Waterloo, McMaster, Western, Queen’s) makes finding research partners straightforward.
NSERC Alliance →10. Digital Technology Adoption Pilot (DTAP)
GrantDTAP provides micro-grants for small manufacturers to adopt digital technologies: ERP systems, cloud accounting, CRM platforms, e-commerce capabilities, and cybersecurity basics. While the amount was small, it was the most accessible digital funding for manufacturers with under 50 employees. For the digital plan grant open today, see software and cybersecurity.
DTAP (CDAP discontinued 2025) →Tier 2 — Tax Credits (3)
Credits applied to your tax return. These reduce your tax payable or generate refunds.
11. SR&ED Tax Credit
Tax CreditSR&ED (Scientific Research and Experimental Development) is Canada’s largest single source of R&D funding at $3+ billion annually. For manufacturers, eligible activities include developing new production processes, adapting equipment for novel applications, improving quality control methods through systematic investigation, and solving material science challenges. CCPCs receive a 35% refundable ITC on the first $6 million of qualified expenditures.
12. Ontario Innovation Tax Credit (OITC)
Tax CreditThe OITC provides an additional 8% refundable credit on the same R&D expenditures eligible for federal SR&ED. This means Ontario CCPCs doing manufacturing R&D can claim 35% federal + 8% provincial = 43% combined return on qualified expenditures. The credit is fully refundable, meaning even pre-revenue manufacturers receive cash back.
OITC details →13. Ontario Made Manufacturing Investment Tax Credit
Tax CreditThis provincial credit incentivizes capital investment in Ontario manufacturing. Eligible expenditures include production machinery, automation equipment, building improvements for manufacturing use, and quality testing equipment. The 15% rate applies to property available for use from May 15, 2025 until the credit ends on December 31, 2029, and it applies to net capital costs after other government contributions. It can be combined with accelerated Capital Cost Allowance (CCA) for additional tax benefits.
Ontario Made Mfg ITC →Tier 3 — Repayable Loans & Financing (6)
Funding you must repay. Better terms than bank loans, but not free money.
14. FedDev Ontario BSP (Business Scale-up & Productivity)
Repayable LoanTHIS IS A REPAYABLE LOAN, NOT A GRANT. FedDev Ontario BSP provides conditionally repayable contributions for business scale-up projects. Interest-free during the project period with repayment conditional on project success. Average contribution is $658K across 147 projects funded in 2024–25. Many websites incorrectly list BSP as a grant.
15. Canada Small Business Financing Program (CSBFP)
Gov-Backed LoanCSBFP provides government-backed loans through your existing bank. The government guarantee means banks can lend to manufacturers who might not qualify for conventional financing. Up to $1M in term loans, of which equipment and leasehold improvements share a $500K limit, plus a separate $150K line of credit for working capital. Interest rate is prime + 3% for equipment. For manufacturers buying CNC machines, welding equipment, or building out production space, CSBFP is the most accessible financing.
CSBFP details →16. BDC Manufacturing Loans
Commercial LoanBDC provides manufacturing-specific loans with terms designed for capital-intensive operations. They offer longer amortization periods, flexible repayment schedules tied to production cycles, and industry-specific advisory services. BDC is a complementary lender — they work alongside your primary bank. Not a grant and not government-subsidized, but more flexible than traditional bank financing for manufacturers.
BDC manufacturing →17. Mitacs Accelerate
Internship ProgramMitacs Accelerate places graduate students and postdocs in manufacturer facilities for applied research projects. The manufacturer pays $7,500 per 4-month unit; Mitacs covers the remaining $7,500. This is an affordable way to access research talent for process improvement, quality analysis, or technology adoption projects. Multiple units can be stacked for longer projects.
Mitacs Accelerate →18. Ontario Together Fund
Program (Periodic)The Ontario Together Fund supports manufacturers retooling for domestic production or building supply chain resilience. Originally launched during COVID-19 for PPE manufacturing, it has evolved to support reshoring and critical supply chain investments. Ontario’s page for this fund was gone when we checked on October 12, 2026. The program open today is the Ontario Together Trade Fund, with continuous intake since April 23, 2025.
Ontario Together Trade Fund →19. FedDev Ontario — Community Economic Development (CED)
GrantFedDev CED funds community-level organizations (CFDCs, economic development agencies, industry associations) that support local manufacturers. While individual companies cannot apply directly, the funded programs provide free advisory services, training programs, and mentorship to manufacturers. Check with your local CFDC or economic development office.
FedDev Ontario →Ontario manufacturing tax credit: what is the 15% credit worth on your purchase?
Cash for some, a tax cut for others. A Canadian-controlled private corporation gets a refundable credit: the part its Ontario tax does not use up is paid out in cash. Any other corporation gets the same 15% as a non-refundable credit, which lowers its Ontario tax and carries forward for up to 10 tax years. A sole proprietor or a partnership cannot claim it. The credit is written for corporations.
Put in your own purchase. Enter what the corporation will spend this tax year.
Three limits on that number. Associated corporations share one $20 million limit. A short tax year gets a smaller limit. And the 15% rate needs the property to be available for use on or after May 15, 2025: before that date the rate was 10%, to a maximum of $2 million.
| Property | Counts when |
|---|---|
| Class 1 buildings | Built, bought or renovated, and used for manufacturing or processing in Ontario |
| Class 53 machinery and equipment | Used to manufacture or process goods in Ontario, for property acquired before 2026 |
| Class 43(a) machinery and equipment | Acquired after 2025. The Canada Revenue Agency describes it as Class 43 without powered industrial lift trucks and portable tools bought to rent out |
| Property sold, moved out of Ontario or put to another use within five years | It stops counting: the corporation may have to repay the credit |
Buying a CNC machine? A machine tool that makes goods in your Ontario plant is the kind of equipment this credit covers; your accountant confirms the class. The credit comes after the corporation files its return, so the purchase has to be paid for or financed first. For a government-backed equipment loan, read our Canada Small Business Financing Program guide. For research costs, use the SR&ED calculator.
Verdict Statements: Which Programs Fit Your Operation?
Bold, specific recommendations based on manufacturer type. No hedging.
Small Job Shop (Under 50 Employees, Custom Metal Fabrication)
Start with CME SMART ($50K for lean assessment) and file SR&ED claims on any process R&D you have already done. IRAP is likely too large for your first application. CSBFP through your bank is the fastest path to equipment financing. Skip NGen and SIF entirely — the consortium and project-size requirements are designed for larger operations. Your realistic Year 1 funding stack is $80K–$150K: CME SMART ($50K) + SR&ED retroactive claim ($30K–$80K) + Ontario Made Mfg ITC on equipment ($10K–$20K).
Mid-Size OEM Manufacturer (50–250 Employees, $10M–$50M Revenue)
IRAP is your primary funding target — apply immediately for up to $1M non-repayable on R&D projects. Stack with SR&ED + OITC for 43% recovery on remaining R&D costs. Use CME SMART for operational improvements. Explore NGen if you can assemble a consortium with 2+ partners. FedDev BSP ($658K average) is available for scale-up, but it is repayable. Your realistic 2-year funding stack is $300K–$800K across grants, tax credits, and IRAP combined.
Food Processor (Guelph-KW Corridor, $5M+ Revenue)
Combine IRAP (for food science R&D) with CanExport (for new market entry) and SR&ED (for process development). Food processing is Ontario’s largest manufacturing sub-sector at $47B revenue — the funding programs know your industry. NGen has food manufacturing calls for proposals. CME SMART covers automation assessments. If you export to the US, apply to RTRI immediately for tariff diversification funding. Your combined stack: $200K–$600K over 2 years.
Automotive Tier 1/Tier 2 Supplier (Oshawa-Windsor Corridor)
OVIN is purpose-built for you — apply for Stream 2 ($1M) for EV component development. Stack with IRAP for R&D, NGen for consortium projects with other suppliers, and SR&ED on all qualifying development work. SIF/SRF is available for transformative projects over $10M. The Oshawa-Windsor corridor receives preferential consideration because of its strategic importance to Canada’s automotive sector. Your potential stack: $500K–$5M+ depending on project scale.
Cleantech / Advanced Materials Manufacturer
SIF is your highest-value target if your project exceeds $10M and addresses clean technology or critical minerals. For smaller projects, IRAP + SR&ED + OITC provides a combined 43%+ recovery on R&D. NGen has specific clean manufacturing calls for proposals. NSERC Alliance connects you with materials science researchers at Waterloo, McMaster, or U of T. Your realistic range: $200K (IRAP only) to $50M+ (SIF for transformative projects).
Large Manufacturer (250+ Employees, Hamilton Steel or Sarnia Petrochemical)
SIF/SRF is your primary vehicle — $1B is earmarked specifically for steel and aluminum transformation. ArcelorMittal Dofasco has already received SIF funding for electric arc furnace conversion. NOVA Chemicals and Imperial Oil in Sarnia have accessed SIF for emissions reduction. NGen consortium projects complement SIF. You are too large for IRAP (<500 employees) and CME SMART ($100K is immaterial). Your realistic range: $10M–$500M through SIF.
Which Ontario programs can a 5, 17 or 50-person plant enter?
- Ontario Made Manufacturing Investment Tax CreditTax credit · claimed on the tax returnNo size rule published. Any corporation with a permanent establishment in Ontario.
- Advanced Manufacturing and Innovation Competitiveness streamLoan or grant · open until November 5, 2026At least 10 employees, 3 years of operations and a project of $500,000 or more.
- Eastern Ontario Development FundLoan or grant · next window November 3, 2026 to January 21, 2027At least 10 employees and a $500,000 project. In rural Ontario: 5 employees and $200,000.
- Southwestern Ontario Development FundLoan or grant · next window November 3, 2026 to January 21, 2027The same rules as the eastern fund, for 18 southwestern areas.
- Ontario Together Trade FundGrant or loan · continuous intakeAt least 5 full-time employees, 3 years of operations, a $200,000 project and harm from U.S. tariffs.
- Protect Ontario Financing ProgramWorking capital loan · listed as ongoingAt least 10 full-time employees in Ontario and $2 million in annual revenue, in a sector hit by U.S. tariffs.
- FedDev Ontario Business Scale-up and ProductivityRepayable · accepting applications5 to 500 full-time employees, incorporated for 3 years, in southern Ontario.
- FedDev Ontario Regional Tariff Response InitiativeGrant · accepting applicationsNo employee rule published. At least $1 million in annual revenue and pressure from tariffs.
- Ontario Automotive Modernization ProgramGrant · between roundsFewer than 500 employees in Ontario and 30% of sales from the auto supply sector. Round 7 is closed and the next has no date.
- OVIN R&D Partnership FundCo-investment · expressions of interest until November 4, 2026Fewer than 500 full-time employees worldwide. Automotive and mobility technology only.
- Digital Modernization and Adoption PlanGrant · first come, first served1 to 499 employees. Pays toward a digital plan: see software and cybersecurity.
Where being small pays. In the stream and the two regional funds, the standard offer is a loan. A company with fewer than 100 employees in a rural community can get a grant of up to $500,000 in its place.
Manufacturing Funding by Ontario Region
Beyond the 19 core federal and provincial programs above, Ontario runs regional and municipal funds that stack cleanly on top of them. Where you manufacture changes which of these you can add — and if you want the region question answered for your specific business, you can see every program you qualify for on the interactive eligibility map.
If You’re an Automotive Supplier in Windsor
Windsor’s Economic Revitalization CIP runs two municipal programs specifically for manufacturers. If you’re a new business making a building or property investment, the Windsor Business Development Grant refunds up to 100% of your municipal tax increase for up to 10 years (a manufacturing project must create at least 50 new jobs). If you’re an existing Windsor manufacturer expanding, the companion Business Retention and Expansion Grant applies instead — it requires creating or retaining at least 50 manufacturing jobs. The two programs are not stackable with each other (new vs. existing is an either/or test), but both stack with federal capital programs.
- If your OEM supply relationship qualifies you for O-AMP (Ontario Automotive Modernization Program, up to $150K at 50% cost-share — between intakes as of this writing, Round 8 timing TBD), apply alongside your Windsor CIP grant
- Layer IRAP or SR&ED on top for the R&D or technology-assessment components of your project — O-AMP’s own stacking notes confirm both are compatible
- Confirm combined municipal + federal + provincial assistance stays under each program’s stated cap with Windsor Economic Development before finalizing your budget
If You’re a Manufacturer in Eastern or Southwestern Ontario
Ontario splits its flagship regional development fund geographically. Manufacturers east of Peterborough draw on the Eastern Ontario Development Fund (EODF); manufacturers in its 18 southwestern areas, from Niagara and Simcoe west to Essex, use the Southwestern Ontario Development Fund (SWODF); the GTA and Hamilton are not on its list. Both work the same way: up to $5M as a forgivable loan (up to $500K forgiven), or a straight grant up to $500K for rural companies with fewer than 100 employees. Both need 3 years of operations and at least 10 employees (5 in rural Ontario).
- EODF and SWODF stack with FedDev Ontario BSP, IRAP, and SR&ED — but the combined government funding cannot exceed 50% of your project when you layer a provincial regional fund on top
- Neither fund stacks with the other, with NOHFC, or with the Ontario Together Fund — Ontario limits businesses to one primary provincial regional-development grant per project
- Next intake window: November 3, 2026 – January 21, 2027 for both funds — pre-consultation with your regional office is recommended before the window opens
If You’re a Manufacturer in Northern Ontario
Northern Ontario manufacturers (Sudbury, Sault Ste. Marie, Thunder Bay, Timmins, North Bay) are outside the EODF/SWODF service areas and instead draw on the Northern Ontario Heritage Fund Corporation (NOHFC). The INVEST North Launch Stream (up to $200,000) targets businesses operating six months or less; the INVEST North Innovation Stream (up to $2,000,000) funds applied R&D and demonstration projects run with an academic or research partner.
- NOHFC Innovation Stream stacks with FedNor’s Northern Ontario Development Program, NRC IRAP, and SR&ED within a combined 75% government-funding cap — one of the more generous stacking ceilings in the province
- OITC (the 8% provincial R&D tax credit) is explicitly confirmed by NOHFC as stacking beyond the grant cap, since it is a tax credit rather than a direct contribution
- NOHFC does not stack with EODF or SWODF — Northern Ontario manufacturers use NOHFC as their regional-fund layer instead
If You’re a Rural or Small Advanced Manufacturer Anywhere in Ontario
The Advanced Manufacturing and Innovation Competitiveness (AMIC) stream provides grants up to $500K for rural SMEs (or $1.5M for strategic/FDI projects) plus interest-free loans up to $5M for manufacturers with at least 3 years of operation, 10+ FTE employees, and a project that improves competitiveness through advanced manufacturing technology. AMIC’s own stacking notes confirm compatibility with SR&ED, IRAP, FedDev Ontario’s Regional Innovation Ecosystem programs, and CME SMART — making it one of the most stack-friendly provincial programs on this page.
Ontario’s regional manufacturing fund map, region by region: the Oshawa-Windsor automotive corridor draws on O-AMP plus Windsor’s Business Development and Business Retention CIP grants; Brampton offers a development-charge exemption and 10-year tax-increment grant for industrial expansion through Invest Brampton; Toronto runs the Business Incubation and Commercialization Grant (up to $100K over 3 years, though currently between intakes) via Economic Development and Culture; the Niagara Peninsula falls under SWODF, and Hamilton is on neither regional list; Kingston, Ottawa, Cornwall, and the United Counties fall under EODF; Sudbury, Sault Ste. Marie, Thunder Bay, Timmins, and North Bay fall under NOHFC; and Kitchener-Waterloo and Guelph sit inside the SWODF catchment while also hosting OCI’s Critical Industrial Technologies Initiative for mining, agri-food, construction, and non-automotive advanced manufacturing SMEs (up to $1M at 33% cost-share for Sector Adoption; closed to new projects as of October 12, 2026).
Which regional fund stacks with what — the short version:
| Regional Fund | Coverage Area | Max Grant | Stacks With NOHFC/EODF/SWODF? |
|---|---|---|---|
| EODF | Eastern Ontario | $500K (small/rural) | No |
| SWODF | Southwestern Ontario | $1.5M (strategic FDI) | No |
| NOHFC INVEST North | Northern Ontario | $2M (Innovation) | No |
| AMIC | Province-wide (rural priority) | $1.5M (strategic/FDI) | Not confirmed — verify with MEDJCT |
O-AMP vs. AMIC for automotive-adjacent manufacturers:
| Program | Max Amount | Cost-Share | Who It’s For |
|---|---|---|---|
| O-AMP | $150,000 | 50% | OEM suppliers, ≥30% revenue from automotive |
| AMIC | $500K–$1.5M | Varies | Any manufacturer, rural/strategic priority |
The Zero-Application Tax-Credit-Only Stack
If you want funding recovery with no separate application, layer the Ontario Made Manufacturing ITC (15%, refundable for Canadian-controlled private corporations, on eligible capital, up to $3M/year, sunsets December 31, 2029) with SR&ED (35% CCPC ITC) and the Ontario Research and Development Tax Credit (ORDTC, an additional 3.5% non-refundable on the same eligible SR&ED spend) — all three are claimed on your annual T2 filing. OMMITC covers capital equipment and building improvements; SR&ED and ORDTC cover R&D labour and overhead. The catalog’s own stacking notes confirm all three are compatible on the same fiscal year, though SR&ED-eligible expenses reduce the OMMITC-eligible capital cost base where they overlap — segment your capital and R&D spending clearly before filing.
Source: Government of Ontario — Ontario Made Manufacturing Investment Tax Credit and Ontario Research and Development Tax Credit program pages, ontario.ca.Is there funding for cybersecurity and software in an Ontario plant?
If you needA plan for what to digitize, apply for the Digital Modernization and Adoption Plan
If you needSoftware such as ERP, production tracking or quality systems, the grant is closed, so plan first or borrow
If you needCybersecurity, no open grant names it, and one loan does
If you needAI or automation on the line, start with the Industrial AI Readiness Program
| Program | What it pays for |
|---|---|
| Digital Modernization and Adoption Plan | The plan, up to $15,000. Not the software or hardware the plan recommends |
| Industrial AI Readiness Program | An AI service provider’s fees for a readiness evaluation and an implementation plan, up to $15,000. Not the AI system |
| BDC LIFT (a loan) | Data infrastructure, ERP and CRM systems, AI technology and cybersecurity, bought from Canadian suppliers |
One correction to the list above. Entry 10, the federal $15,000 digital grant, stopped taking new applications on February 19, 2024. Every Ontario digital program, shops and offices included, is in Ontario digital grants.
All 19 Programs at a Glance
Scroll horizontally on mobile. Programs sorted by tier: non-repayable first, then tax credits, then loans.
| Program | Type | Max Amount | Cost-Share | Best For | Speed |
|---|---|---|---|---|---|
| CME SMART | Grant | $100K | 50% | Lean, automation, training | 4–8 weeks |
| NRC IRAP | Grant | $1M | 100% | R&D with tech uncertainty | 6–12 weeks |
| NGen Supercluster | Grant | $3.2M | 50% | Consortium adv. mfg | 3–6 months |
| CanExport SMEs | Grant | $50K | 50% | Export market development | 4–8 weeks |
| OVIN | Grant | $1M | Varies | EV/AV technology | 8–12 weeks |
| SIF | Grant | $10M+ | Varies | Transformative projects | 6–12 months |
| SRF | Grant | $1B pool | Varies | Steel/aluminum | 6+ months |
| RTRI | Grant | $3M | Varies | Tariff diversification | 6–10 weeks |
| NSERC Alliance | Grant | $1M+ | ~50% | Academic-industry R&D | 3–6 months |
| DTAP | Grant | $15K | N/A | Digital adoption | Closed Feb 2024 |
| SR&ED | Tax Credit | ~$2.1M | 35% ITC | All R&D spending | With tax filing |
| OITC | Tax Credit | $240K | 8% | Ontario R&D (stacks w/ SR&ED) | With tax filing |
| ON Made Mfg ITC | Tax Credit | $3M/yr | 15% | Capital equipment | With tax filing |
| FedDev BSP | Repayable | $10M | N/A | Scale-up projects | 3–6 months |
| CSBFP | Loan | $1.15M | N/A | Equipment, leaseholds | 2–4 weeks |
| BDC Mfg Loans | Loan | $100K+ | N/A | Complementary financing | 2–6 weeks |
| Mitacs Accelerate | Program | $15K/unit | 50% | Research internships | 4–8 weeks |
| ON Together Fund | Program | Varies | Varies | Reshoring, supply chain | Periodic |
| FedDev CED | Grant | $500K | N/A | Community mfg support | Periodic |
Ontario manufacturing funding by what you make
Food and beverage: ice cream, dairy, confectionery, drinks
- Supply Management Processing Investment Fund: open to licensed dairy processors buying automated equipment. An ice cream maker fits only if it is one.
- Strengthening the Canadian Supply Chain Program: for food processors reformulating with Canadian crops such as wheat, oats and peas. It reimburses 75% of project costs of $50,000 to $200,000. Proposals close November 10, 2026.
- Protect Ontario names alcoholic beverages and certain dairy and specialty cheese products.
We list no program reserved for confectionery.
Wood, furniture and pallets
- Forest Sector Investment and Innovation Program: for sawmills, pulp and paper mills and secondary wood manufacturers with a project of at least $3 million. A loan of up to 30% of eligible costs. Next first-stage deadline: December 18, 2026.
- BDC Forestry Support Program: loans for forestry manufacturers, finished wood product makers included, until December 31, 2026 or until the money is used.
- Protect Ontario names furniture.
A furniture or pallet shop with a smaller project has nothing reserved for it.
Metal, machining and fabricated products
- BDC Steel and Aluminium Industries Support Program: working capital loans for makers of steel, aluminium, copper and fabricated products that export to the United States, until December 31, 2026 at the latest.
- Protect Ontario names steel, aluminum, copper and “certain steel, aluminum and other metal products.”
- The Ontario Together Trade Fund names steel and aluminum among the sectors “extensively targeted by U.S. tariffs.”
For a machine shop buying equipment, the 15% tax credit comes first.
Auto parts
- Ontario Automotive Modernization Program: for suppliers to vehicle makers, not the aftermarket. Between rounds.
- OVIN R&D Partnership Fund: for automotive and mobility technology. Expressions of interest close November 4, 2026.
- Protect Ontario and the Ontario Together Trade Fund both name autos.
Plastics, packaging and bottles. One program we list names plastics and packaging: the Protect Ontario loan. Stone, granite and building products. We list no Ontario program reserved for them. The programs that take any manufacturer still apply: start with the list by company size, or answer a few questions to see your matches.
How a KW Manufacturer Built a $487K Funding Stack
Scenario: A 75-employee precision parts manufacturer in Kitchener-Waterloo investing $800,000 in a new CNC production cell with integrated quality inspection and export market development.
Note: SR&ED is claimed only on the R&D portion not funded by IRAP. Ontario Made Mfg ITC applies to net capital cost after other contributions. CanExport covers export-specific activities separate from production investment. Total government assistance stays well below the 75% cap because each program funds different cost categories.
Federal business funding on record for Ontario companies
2,481 companies in 8 Ontario cities are named in federal business-funding records, fiscal 2005 to 2026; 773 of them were funded in fiscal 2025 or later. In Toronto the typical company on the record received $84K in total across those years. The record is federal: territorial and provincial programs are not in it.
| City | Companies on record | Typical total per company | Funded since fiscal 2025 |
|---|---|---|---|
| Toronto | 1,168 | $84K | 349 |
| Ottawa | 396 | $149K | 134 |
| Mississauga | 285 | $116K | 99 |
| London | 140 | $144K | 34 |
| Markham | 140 | $64K | 45 |
| North York | 121 | $120K | 39 |
| Kitchener | 117 | $188K | 37 |
| Waterloo | 114 | $216K | 36 |
Data as of July 2026. Covers published federal agreements over $25,000 for the programs we track, in cities with 20 or more named companies; loans and most tax credits are not in it. Each city links to its full list. Contains information licensed under the Open Government Licence – Canada.
Reading it as a manufacturer. In the table above, the typical company on the record received $188K in Kitchener and $216K in Waterloo, against $84K in Toronto and $64K in Markham. These are federal agreements over $25,000 only: Ontario’s own funds, loans and the tax credits on this page are not counted.
Ontario’s Manufacturing Landscape
The numbers behind Canada’s largest manufacturing province.
Grants fund the plant. Contracts fill it.
Federal departments buy parts, assemblies, machining and fabrication all year, in quantities a small shop can actually serve. The tender notices are public, and we make them searchable by industry, free.
Browse open manufacturing tenders“Ontario is home to the most diversified manufacturing base in North America. With $315 billion in annual shipments and nearly 800,000 workers, the sector is the backbone of our provincial economy. Federal and provincial investments in advanced manufacturing, clean technology, and workforce development are critical to maintaining competitiveness.”— Canadian Manufacturers & Exporters, Ontario Division, 2025 Annual Report
Sources and Official References
- Canadian Manufacturers & Exporters — SMART Program
- National Research Council — IRAP
- NGen — Next Generation Manufacturing Canada
- Federal Economic Development Agency for Southern Ontario (FedDev Ontario)
- Ontario Vehicle Innovation Network (OVIN)
- Strategic Innovation Fund — ISED
- CRA — SR&ED Tax Incentive Program
- Ontario Innovation Tax Credit (OITC)
- Ontario Made Manufacturing Investment Tax Credit
- Canada Small Business Financing Program (CSBFP)
- Statistics Canada — Manufacturing Data
- CanExport SMEs — Trade Commissioner Service
Program Comparisons: Honest Trade-offs
Two common decisions Ontario manufacturers face, with arguments for each side.
IRAP vs CME SMART: Where Should You Start?
Higher maximum ($1M vs $100K). Covers R&D salaries and subcontractors. Assigned ITA provides ongoing mentorship. Opens doors to NGen and other federal programs. The ITA eligibility assessment is free.
4–8 week processing vs 6–12 weeks for IRAP. Simpler application (industry-delivered). Covers operational improvements, not just R&D. The funded assessment often identifies additional programs. Good for manufacturers who are not doing R&D yet.
FedDev Ontario BSP vs CSBFP: Which Financing Is Better?
Higher maximum ($10M vs $1.15M). Interest-free during project period. Repayment conditional on success. Average $658K per project. Better terms than any bank loan.
Available immediately through your bank (no intake windows). Faster processing (2–4 weeks). No project proposal required. Government-guaranteed, reducing bank risk. Good for straightforward equipment purchases.
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Frequently Asked Questions
Honest answers about Ontario manufacturing funding — including the questions other guides avoid.
What manufacturing grants are available in Ontario in 2026?
Is FedDev Ontario BSP a grant or a loan?
How do I apply for the CME SMART program?
Can Ontario manufacturers stack SR&ED with IRAP?
What grants are available for automotive manufacturers in Ontario?
How much funding can an Ontario manufacturer realistically receive?
What is NGen Supercluster and how do manufacturers apply?
What are the deadlines for Ontario manufacturing grants?
How do US tariffs affect Ontario manufacturers’ funding options?
What is the Ontario Made Manufacturing Investment Tax Credit?
Funding Programs in This Category
Ontario manufacturing programs in our database, each with eligibility, funding amounts and how-to-apply detail.