After the recession that hit the Canadian economy during the early 90s, the fabricated metal products industry took longer to recover than the entire manufacturing sector. But in the recent years, data on capital expenditures, shipments, and exports show that it is in good health once again. The industry consists of establishments engaging in manufacturing both ferrous and non-ferrous metal products and companies producing industrial and commercial machinery. Fabricated metal products include hand tools, boilers, tanks and shipping containers, architectural and structural products, bolts and screws, and many more. While machinery are those products used in various production processes of different manufacturing and services industries. Both metal fabrication and machinery segments face different level of exposure to domestic and foreign economic conditions. Custom metal fabrication in Toronto is not exempted to this conditions.
Metal fabrication is very dependent on the domestic economic performance, with about 80% of production is sold within US. Machinery, on the other hand, is more dependent to foreign economic situation with about 65% of production is accounted for exports. Overall, the industry employed more than 16% of the total manufacturing sector employment, with 47% in machinery and 53% in metal fabrication. The major occupations include machining, metalworking, metal forming, machinists and related machine operators. Employment is largely concentrated in Ontario, Quebec, and Alberta. Custom metal fabrication in Toronto also requires significant number of workers for manufacturing all sorts of metal products.
As projected, the industry will benefit from investment growth in equipment and machinery in North America. After holding their investments for long years, manufacturers will upgrade their current capital stock to increase production to meet the increasing demand of the rising economy. The foreign demand for fabricated metals and machinery is expected to boost because of the lower value of Canadian dollar. As capital spending in industrial machinery parts and metal products is projected to expand in emerging markets, the industry can compete with the low-cost countries. The renewed growth in custom metal fabrication in Toronto and the rest of Canada will result to a significant recovery of the lost market share and employment.
At Metal Tronics, we specialize in providing custom metal fabrication in Toronto and across the GTA. With our extensive experience in a wide variety of applications, we provide custom solutions that perfectly compliment your needs. With great knowledge and dedication, we always strive to offer our customers with quality workmanship and premium products every time.