Advanced manufacturing technologies are being applied by most manufacturers, but tariff troubles and supply chain challenges are presenting unique challenges to growth.
Factory workers are using factory lathes to work in the factory.
As the Canadian economy continues to weather 2025, the manufacturing sector finds itself beset by new challenges and opportunities. The Trump administration’s trade war has brought heavy tariffs to the steel and aluminum industries, with other tariffs coming and going, bringing uncertainty to any potential Industry 4.0 investment decisions being considered by manufacturers across virtually every industry, from dairy to lumber and beyond.
At the same time, operational hurdles continue to persist through a labour shortage, making it difficult for manufacturers to fill skilled trades positions and straining their ability to meet production demands.
However, certain areas of investment continue to look promising. Plant and Canadian Manufacturing’s 2026 Advanced Manufacturing Outlook survey found that many manufacturers increased their investments across the board, and continue to see AI as an area that can help them with all areas of their business, including cybersecurity, operations, data utilization and improving upon efficiencies.
The 2026 Advanced Manufacturing Outlook report was also informed by an expert roundtable of industry leaders who provided insights into the survey results, and commentary around where the industry was headed moving into 2026 and beyond.
