Spending on industrial research and development

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2011 (intentions) (Previous release)

Businesses in Canada anticipated spending just over $15.6 billion on industrial research and development (R&D) in 2011, up 5.0% from 2010.

Almost half (49%) of this industrial R&D spending is anticipated to be spent in the manufacturing sector ($7.7 billion), an 8.0% increase from 2010. In 2011, about 43% of industrial R&D is anticipated to be spent in the services sector ($6.8 billion), up 3.1% from the previous year. The remaining 8% of R&D spending is anticipated to be spent in primary industries, utilities and construction.

The 2011 industrial R&D spending intentions suggest that recovery is underway after three consecutive years of declining R&D spending that occurred across almost all industrial sectors. However, total R&D spending intentions are still below the $16.8 billion spent in 2007.

In 2011, six industries will account for just over one-half (52%) of industrial R&D. The four industries found within the services sector are scientific research and development services ($1.7 billion); wholesale trade ($1.3 billion); information and cultural industries ($1.2 billion); and computer system design and related services ($1.1 billion). The remaining two are in the manufacturing sector, and are aerospace products and parts ($1.4 billion); and communications equipment ($1.4 billion).

In 2009, the most recent year for which provincial data are available, Quebec and Ontario accounted for just over three-quarters of Canadian industrial R&D spending.

R&D spending in Ontario amounted to $7.0 billion in 2009, falling 10.0% from the previous year. Over the same period, R&D spending in Quebec fell 4.5% to $4.6 billion.

Industrial R&D activities provided employment for just over 149,900 full-time equivalent positions in 2009, down 11.8% from 2008.

Note: Data for 2009 on employment in R&D activities, sources of funds for R&D, industrial R&D spending distributed by provinces, extramural R&D payments and technology payments and receipts are also available. Spending intentions for 2010 and 2011 are preliminary indications of the direction of R&D investments. Also available are data for 2009 from the Energy Research and Development Expenditures by Area of Technology survey.

Available on CANSIM: table 358-0024.

Definitions, data sources and methods: survey number 4201.

The article, "Industrial research and development, 2007 to 2011," is now available in the service bulletin Science Statistics, Vol. 35, no. 4 (88-001-X, free), from the Key resource module of our website under Publications.

For more information, or to enquire about the concepts, methods or data quality of this release, contact Charlene Lonmo (613-951-6617; charlene.lonmo@statcan.gc.ca) or Louise Earl (613-951-2880; louise.earl@statcan.gc.ca), Business Special Surveys and Technology Statistics Division.