Ontario Investing Nearly $2.6 Million to Protect Aerospace Workers and Enhance Defence Readiness
Press Release
LONDON, ENGLAND — Today at the Farnborough International Airshow, the Ontario government announced an investment of nearly $2.6 million through the Trade-Impacted Communities Program (TICP) that will protect workers and industries across the aerospace and defence sectors. Awarded to Downsview Aerospace Innovation & Research (DAIR), one of the delegates representing Ontario’s aerospace ecosystem at this year’s airshow, the investment will support a broader $3.2 million initiative dedicated to protecting Ontario workers in the face of a shifting global trade landscape, advancing supply chain resilience and positioning Ontario’s small and medium-sized businesses to capitalize on rising defence spending.
“As Canada and its allies make generational investments in the aerospace and defence sectors, Ontario stands ready to seize this once-in-a-lifetime opportunity and unlock new partnerships for our highly-skilled workforce,” said Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “Through the Trade-Impacted Communities Program, our government is proud to support Downsview Aerospace Innovation & Research’s initiatives, which will further position Ontario companies at the forefront of global security projects while safeguarding our economic competitiveness.”
Incorporated in 2020, DAIR is a not-for-profit collaborative research and innovation consortium dedicated to bringing together companies, academic institutions and research organizations from across Ontario to strengthen Canada’s global aerospace leadership. In addition to mentorship and partnership-building activities, the funding will support key programs including:
The DAIR Green Fund, which advances innovation through collaborative research and development projects focused on new aerospace technologies and capabilities.
The Supplier Development Initiative, which supports small and medium-sized businesses in identifying and implementing improvements in technology, operations, workforce skills and business strategy.
The Defence Readiness Program, which helps businesses meet the requirements needed to access defence contracts and participate in secure global supply chains.
DAIR’s TICP project also supports Ontario’s Defence Industrial Strategy framework, ensuring more domestic companies are prepared to compete for new Canadian and allied defence opportunities.
"The Government of Ontario has, and continues to be, a valued partner to DAIR as we work to strengthen the province's aerospace and defence sector,” said Phil Arthurs, Executive Director of Downsview Aerospace Innovation & Research. “This investment through the Trade-Impacted Communities Program will help DAIR support Ontario SMEs in becoming more innovative, competitive, and resilient by advancing collaborative R&D, strengthening manufacturing capabilities, enhancing defence readiness, and helping to mitigate the impacts of an increasingly uncertain global environment. We appreciate Ontario's confidence in DAIR and look forward to delivering programs that support the organizations and partnerships that are advancing and growing our sector."
First announced as part of Ontario's nearly $30-billion tariff relief and support plan, the TICP is dedicated to supporting projects aimed at strengthening the economic resilience of industries and communities disproportionately impacted by global trade disruptions. The program supports the diversification of supply chains across the province’s priority sectors, while increasing export and investment opportunities to reduce reliance on U.S. markets.
As Ontario continues to navigate the impacts of U.S. tariffs and global economic uncertainty, the government remains focused on delivering critical funding, cutting red tape and positioning the economy to be more competitive, resilient and investment-ready across priority sectors.
Quick Facts
The aerospace industry is a key component of Ontario’s advanced manufacturing sector, employing more than 25,000 people across over 200 companies and supporting nearly 24,000 indirect jobs.
Ontario’s defence sector is diverse and ready to support Canada’s national security commitments, with strengths across key areas, including armoured vehicles, aerospace, shipbuilding, advanced manufacturing and multi-use technologies.
The $40 million Trade-Impacted Communities Program is part of Ontario’s broader strategy to support tariff-impacted communities, which focuses on ensuring long-term economic stability and growth while reshoring and strengthening supply chains.
Open to municipal governments, economic development organizations, sector and industry associations, business accelerators and incubators, TICP funds community-level projects that build economic resilience, diversify supply chains and foster new trade partnerships in response to U.S. trade disruptions.
The program works in tandem with the Ontario Together Trade Fund, the Protect Ontario Financing Program and the Ontario Made Manufacturing Investment Tax Credit.
Since its launch, the government has received over 80 applications from communities across Ontario and is actively assessing projects for consideration. Applications for Stream 1 will be accepted on a continuous basis as long as funding is available. The application window for Stream 2 closed as of September 11, 2025.
Quotes
"As the local MPP for York Centre, I am so proud that our government led by Premier Ford has reimaged the future of our aerospace and defense sector here in Ontario, by supporting the DAIR initiative. The Downsview Aerospace Innovation and Research (DAIR) consortium is located in a historic location the site where Canadian aviation was born. The site where the De Havilland Tiger Moth and Mosquito was built. The site where Bombardier built the global express and Q-400. It is a location rich in history and rich in future possibilities."
Michael Kerzner
MPP for York Centre
"Today, we are building on Ontario’s decades of leadership in our world-class defence and aerospace ecosystem. By supporting DAIR, we are reinforcing the success of Ontario companies by enabling new partnerships that bolster supply chains, enhance readiness, and accelerate next-generation technologies."
Bernard Derible
Ontario Military Defence Representative