“Our government is making historic investments in Ontario’s shipbuilding industry to ensure the sector’s long-term prosperity and generate good-paying jobs that drive economic growth for years to come.” – Prabmeet Sarkaria, Ontario Minister of Transportation
News from the Government of Ontario
Posted July 10th, 2026 on Niagara At Large
Port Weller Dry Docks of Ontario Shipyards in St. Catharines
ST. CATHARINES, Ontario – Earlier this week, Hon. Doug Ford, Premier of Ontario, was in St. Catharines to announce that the Ontario government is investing over $90 million through the Ontario Shipbuilding Grant Program to increase capacity in the province’s shipbuilding industry as part of its plan to protect Ontario.
The investment will help meet the growing demand for Ontario-made vessels, help Ontario shipbuilders support Canada’s National Shipbuilding Strategy and boost the economic competitiveness of Ontario’s shipbuilding and its supply chain while creating thousands of good-paying jobs across the marine sector.
The investment is part of Ontario’s ongoing work to support national security and defence, as outlined in the framework for the Ontario Defence Industrial Strategy.
“This is great news for Niagara’s Welland Canal Corridor and our critical marine sector across the region,” said Sam Oosterhoff, Ontario Conservative Government MPP for Niagara West.
Allied Marine and Industrial in Port Colborne.
“This investment will directly support workers and good-paying jobs at both the Port Weller Dry Docks of Ontario Shipyards in St. Catharines and Allied Marine and Industrial in Port Colborne.”
“As Canada and our allies work together, making record investments in defence and global security, Ontario is ready to build the ships that will protect our country and keep our economy moving,” said Premier Ford.
“Today’s investment will increase the resilience of Ontario’s marine industry, support thousands of good-paying jobs across Ontario and give businesses more ways to get their products to market.”
Through the Ontario Shipbuilding Grant Program, the province is investing $11 million into Ontario Shipyards, with operations across the Great Lakes; over $8 million into Allied Marine and Industrial in Port Colborne; more than $6 million into MetalCraft Marine in Kingston and $1.1 million into Connor Industries in Parry Sound.
The funding will be used for skills training, infrastructure improvements and new machinery and equipment, helping to position Ontario as a global leader in the ‘blue economy’ and marine trade. The province will also expand the Ontario Shipbuilding Grant Program to provide up to $64 million in future funding.
“The marine sector is a vital driver of Ontario’s economy, contributing hundreds of millions of dollars to the province’s Gross Domestic Product each year,” said Hon. Prabmeet Sarkaria, Minister of Transportation.
“Our government is making historic investments in Ontario’s shipbuilding industry to ensure the sector’s long-term prosperity and generate good-paying jobs that drive economic growth for years to come.”
The Ontario Shipbuilding Grant Program will help Ontario-based shipbuilders increase Canada’s capacity under the National Shipbuilding Strategy, a long-term project to renew the country’s fleet of combat and non-combat vessels for the Royal Canadian Navy, Canadian Coast Guard and Transport Canada.
As part of the broader federal Defence Industrial Strategy, Canada’s National Shipbuilding Strategy focuses on three pillars: construction of large vessels, construction of small vessels, and vessel repair, refit and maintenance.
Supporting this work will complement Ontario’s Defence Industrial Strategy by ensuring the province’s shipbuilders capitalize on increased federal defence spending, which could reach $150 billion annually by 2035 and generate lasting economic benefits for Ontario workers.
“As Canada and our allies make record investments in defence and security, Ontario stands ready to seize this generational opportunity for workers and businesses,” said Hon. Vic Fedeli, Minister of Economic Development, Job Creation and Trade.
“Through continued investment in the Ontario Shipbuilding Grant Program, we are delivering on the mandate set forth in the Ontario Defence Industrial Strategy framework, while equipping shipbuilders across the province to design, develop and deploy the marine technologies our supply chains need.”
“The Ontario Shipbuilding Grant Program is a transformational investment,” said Shaun Padulo, President and Chief Executive Officer of Ontario Shipyards.
“It will level the playing field so Ontario can compete for major opportunities under Canada’s National Shipbuilding Strategy.”
“This investment will allow us to expand our commercial ship repair capabilities, modernize our operations and invest in the skilled workforce needed to support Ontario’s marine sector,” said Bob Mitchell, Founder and Chief Executive Officer of Allied Marine and Industrial.
Sam Oosterhoff, MPP for Niagara West, joins Hon. Doug Ford, Premier of Ontario; Hon. Prabmeet Sarkaria, Minister of Transportation, and Hardeep Grewal, Parliamentary Assistant to the Minister of Transportation, along with Bill Steele, Mayor of the City of Port Colborne, and local shipbuilders and marine sector workers at the Port Weller Dry Docks of Ontario Shipyards in St. Catharines.
“This investment will help unlock new opportunities for innovative growth, strengthening marine and industrial excellence in Ontario.”
Ontario launched the Ontario Shipbuilding Grant Program in 2025 to ensure the province’s shipbuilding sector has the skills, resources, infrastructure and workers to contribute to Canada’s maritime security and shipbuilding future. The expanded Ontario Shipbuilding Grant Program supports Ontario’s participation in Canada’s National Shipbuilding Strategy by leveraging Ontario’s shipbuilding capacity to meet future demand.
Quick Facts:
- Last year, Ontario announced $215 million in funding to support the province’s shipbuilding industry and broader marine sector.
- The second application intake for the Ontario Shipbuilding Grant Program is expected to launch in late summer 2026.
- The Gross Domestic Product of the Great Lakes region is approximately $7.5 trillion. If it were a country, this would make it the third-largest economy in the world.
- Ontario is home to four of five Great Lakes and the St. Lawrence River, which includes 10,500 kilometres of shoreline. We share these waterways with our most important trading partner, the United States.
Caption: Sam Oosterhoff, MPP for Niagara West, joins Hon. Doug Ford, Premier of Ontario; Hon. Prabmeet Sarkaria, Minister of Transportation, and Hardeep Grewal, Parliamentary Assistant to the Minister of Transportation, along with Bill Steele, Mayor of the City of Port Colborne, and local shipbuilders and marine sector workers at the Port Weller Dry Docks of Ontario Shipyards in St. Catharines.
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