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nomic sector, while GDP measures the value of goods and services   pact that the paint and coatings sectors have in Canada. The sur-
         produced.  The “output” of goods noted in this report is defined as   face finishing and paint and coatings segments are similar since
         goods produced or imported and sold in the Canadian market. It   they serve or share similar markets, and both involve coatings or
         also captures economic activity generated by exports, though ex-  surface finishing of a metal or plastic part. If we include the eco-
         ports represent less than 10 percent of the total volume.   nomic impact of all industrial applied coatings, (in other words, ex-
           A summary of the economic impact of the surface finishing in-  cluding site-applied coatings like architectural, auto refinish, pro-
         dustry in Canada shows:                             tective, and marine coatings), the economic impact is:
           • Annual Direct and Indirect Output of $3.5 billion.   • $3.03 billion of output
           • Surface Finishers Revenue of $2.5 billion.        • $702 million of wages and salaries
           • Total Direct and Indirect Estimated Employment of 17,198.   • 21,240 jobs created
           • Total Direct and Indirect Wages and Salaries of $705 million.   • $1.148 billion of GDP
           • Wages and Salaries that are 26 percent higher than the   • $428 million of tax revenues
             Canadian average.
           • Annual Induced Employment of 29,924.              It should be noted that the above values for industrial applied
           • Total Induced Wages and Salaries of $996 million.   paint and coatings include all industrially applied coatings includ-
           • Annual Federal and Provincial Tax Revenue of $447 million.   ing automotive OEM coatings, coil, general industrial, metal pack-
           • Annual GDP Impact of $1.31 billion.             aging, powder, and transportation coatings (rail, aerospace, and
                                                             others).
           Ontario, Alberta, and Quebec are the main beneficiaries of the
         economic activity generated by the industry, with nearly 90   Table 1.3: Economic Impact of Industrial
         percent of the economic activity in those three provinces.   Applied Paint & Coatings

         Table 1.1: Summary of Economic Impact of                                                                                                           Total
         Surface Finishing                                                                                       Direct         Indirect       Eco-
                                                              nomic
                                                                                                                                                            Impact
                                                                                                         Total
                                                              Direct         Indirect       Eco-  Output (millions $)                             $1,109         $ 1,921             $ 3,030
          nomic                                               Wages & Salaries (million $)            $ 222            $ 480                 $ 702
                                                                                                         Impact   Employment (Number of jobs)               5,276          15,965               21,240
          Output (millions $)                            $ 2,586            $ 930             $ 3,516
          Wages & Salaries (million $)            $ 636              $ 69                 $ 706
          Employment (Number of jobs)            15,121            2,077               17,198  Table 1.4: Summary of GDP and Taxes Paid by
                                                             Province (Millions of $) of Industrial Coatings

         Table 1.2 Summary of GDP and Taxes Paid
         by Province (Millions of $)                                                                                                                     Total
                                                              Taxes                                                                                 Total GDP
                                                              Collected
                                                                                                      Total   Ontario                                         $ 671                                      $ 251
          Taxes                                                                                 Total GDP  Alberta                                         $ 105                                      $ 39
          Collected                                           Quebec                                         $ 164                                      $ 61
          Ontario                                        $ 743                                      $ 241   British Columbia                       $ 110                                      $ 41
          Alberta                                        $ 248                                      $ 65   Manitoba                                      $ 35                                        $ 13
          Quebec                                        $ 165                                      $ 80   Saskatchewan                            $ 22                                        $ 8
          British Columbia                      $ 80                                        $ 30   Atlantic Canada                          $ 37                                        $ 14
          Manitoba                                     $ 21                                        $ 11   Total                                              $ 1,144                                  $ 428
          Saskatchewan                           $ 33                                        $ 11
          Atlantic Canada                         $ 25                                        $ 10
          Total                                             $ 1,314                                  $ 447  If we add in the contributions of the Surface Finishing and In-
                                                             dustrial Paint & Coatings Market, the total result is:
                                                               • Output of $6.5 billion
           In addition to the above economic activity, a related segment is   • Wages of $1.4 billion
         the paint and coatings industry where metal and plastic parts are   • Employment of 38,438
         coated. In 2017, the Canadian Paint & Coatings Association   • Total GDP Impact of $2.5 billion
         (CPCA) engaged with Orr & Boss on a study of the economic im-  • Total Taxes Collected of $876 million

                                                               These data are summarized in Tables 1.5 and 1.6.
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