“Buy Canadian” Policy

The Government of Canada’s Buy Canadian Policy applies to procurement contracts of federal departments and to their grants and contributions programs.

Key Definitions

Are you submitting a funding application to CED? These definitions will help provide a clearer understanding, for informational purposes, of what “Canadian materials” and “Canadian content” mean in the context of the Policy.

Canadian Materials

Canadian materials are materials that are produced and manufactured in Canada (with production and manufacturing carried out in Canada), including steel, wood, and aluminum.

Examples:

• Canadian-produced engineered wood products (e.g., cross-laminated timber, glue-laminated timber).
• Canadian-produced aluminum structural components (e.g., extrusions, aluminum used in buildings).
• Canadian-produced steel, wood, or aluminum materials used in construction, retrofit, modernization, or expansion projects.

Note:

• Equipment, machinery, and components are not considered Canadian materials.
• However, they may be counted as Canadian content if they generate Canadian value-added.

Canadian Content

Canadian content refers to Canadian value-added in goods, services, or labour, namely:

• For services: work performed by people based in Canada.
• For goods: value added in Canada (such as assembly, installation, integration, customization, training, commissioning, or support).

Examples:

• Salaries and fees paid in Canada.
• Professional, technical, or advisory services delivered from Canada.
• Research, design, development, and testing activities carried out in Canada.
• Project management and coordination provided by Canadian teams.
• Software development or system integration performed in Canada.
• Installation, maintenance, training, or commissioning conducted in Canada.
• Imported goods that have been transformed or enhanced in Canada.