At a glance
Discover how Canadian manufacturers can strategically use investment credits, including SR&ED, to modernize operations, reduce costs, and stay competitive.
Advanced manufacturing is no longer a future aspiration, it’s a present-day necessity. Automation, digital integration, clean processes, and advanced materials are rapidly redefining how goods are designed, produced, and delivered.
The question for Canadian manufacturers is not whether to invest, but how to do so in a way that strengthens long-term competitiveness. At Ayming, we help Canadian manufactures unlock government funding and tax incentives to finance innovation from start to finish.
Why advanced manufacturing requires bold investment
Advanced manufacturing requires significant upfront capital: robotics, AI-enabled production systems, additive manufacturing, smart sensors, and clean technologies all demand bold investment. Canada’s investment tax credits including Manufacturing & Processing (M&P), SR&ED, and Clean Technology can dramatically change the economics of these decisions.
When leveraged strategically, these programs allow manufacturers to:
- De-risk investments in automation and advanced equipment
- Shorten payback periods on productivity-enhancing technologies
- Free up capital to reinvest in workforce upskilling and process optimization
- Move faster than global competitors facing higher capital costs
In practice, this often means the difference between incremental improvement and transformational change.
Embedding incentives into capital planning
Historically, many manufacturers have approached credits reactively treating them as cost recovery after capital has already been deployed. The most resilient and forward-looking organizations take a different approach. They embed incentives directly into their capital planning and technology roadmaps.
By doing so, investment credits become a strategic lever, enabling manufacturers to:
- Justify earlier adoption of Industry 4.0 technologies
- Integrate R&D directly into production environments
- Scale pilot projects into full-line implementations
- Maintain production in Canada rather than offshoring innovation
This mindset shift is essential if Canada is to remain a serious player in advanced manufacturing globally.
The national importance of modern manufacturing
Advanced manufacturing is not just a business priority; it’s a national one. A strong manufacturing base supports resilient supply chains, higher-value jobs, and export competitiveness. Investment credits help ensure that Canada is not simply consuming advanced technologies, but developing, producing, and refining them domestically.
By investing in smarter, cleaner, and more efficient operations, these programs align private-sector growth with broader public goals: productivity, sustainability, and economic resilience.
Modernizing benefits more than individual companies, it they strengthens regional economies and reinforce Canada’s position in global value chains.
Using investment credits to make long-term decisions
One of the most important conversations I have with manufacturing leaders is about intentional reinvestment. Investment credits should not merely offset rising costs. They should enable better long-term decisions, such as:
- Investing in flexible, data-driven production lines
- Developing proprietary processes and IP within Canada
- Training a workforce capable of operating and improving advanced systems
- Transitioning to cleaner, more energy-efficient manufacturing models
These are not short-term wins; they are foundational investments in Canada’s industrial future.
SR&ED claims are not affected
Canada’s advanced manufacturing sector sits at a crossroads. Global competition is fierce, capital is mobile, and technology cycles are accelerating. Investment credits give Canadian manufacturers a powerful advantage, but importantly, they don’t impact your SR&ED tax credit claims at all.
Partnering with Ayming for strategic growth
The opportunity is clear: by fully leveraging Canada’s investment credit landscape, manufacturers can modernize with confidence, grow sustainably, and secure a stronger, more competitive future for Canada.
The real challenge is not access to incentives; it’s having the vision to use them as a blueprint for long-term growth, and working with ayming can help make that vision reality.
Ayming Expert,
Ryan Matwiy, Manager – Canadian Tax Credits
