The Canadian Economy By Sector

Canada has always had a rich and healthy economy. The country is especially impressive because even though it only has about 38.5 million people, it has the tenth-largest economy in the world. It also has the fourth-highest estimated value of natural resources, including petroleum and natural gas.^1,2

Let's dive deeper into Canada's economy by sector. These are the pieces that make the country one of the world's most prosperous places to live.

Real Estate

Interestingly, even though most people think of natural resources when they first think of Canada's economy, real estate was the country's top gross domestic product (GDP) in July 2022. Real estate, rentals, and leasing properties amounted to 13.01% of the country's GDP.³

Natural Resource

We already mentioned that Canada is a world leader in natural resources; this is important because the country has a wide variety of natural resources.

Oil

In 2022, oil and gas extraction totaled 8.21% of the country's GDP, trailing real estate and manufacturing. Canada has the world's third-largest proven oil reserves and is the fourth-largest exporter of crude oil.^4,5

Wood

One of Canada's main export goods is wood, timber, and wood pulp. Currently, Canada exports $7.69B of wood.⁶

Other Manufacturing Materials

In addition to wood, Canada exports several other manufacturing materials, including:

Raw aluminum
Industrial machinery
Motor vehicle parts
Plastics

Agriculture

Agriculture remains one of Canada's top sectors. This sector, which includes agriculture, forestry, fishing, and hunting, rose by 3.2% in July 2022 compared to earlier in the year. This growth was driven by an increase in crop production. Wheat and other grains are some of Canada's biggest exports.⁷

In 2021, Canada's agriculture sector:

Employed 2.1 million people
Provided 1 in 9 jobs in Canada
Generated $134.9B of Canada's GDP⁸

More About Canada's Economy

These are just a few of the many sectors that make up Canada's rich economy. Want to learn more about the country's GDP and economy? Here are a few fast facts:

In March 2022, Canadian exports were valued at $63.63B.⁹
In 2022, overall imports were $61.14B. Energy products and consumer goods lead the surge.¹⁰
Canada's GDP grew 0.8% in the first quarter of 2022, which is the country's third consecutive quarterly increase.¹¹
In 2020, Canada was the world's biggest exporter of wood, aluminum, fertilizer, rape or colza seeds, and legumes.¹²
In 2020, Canada was the world's biggest importer of armored fighting vehicles/tanks, paints, iron or steel, tunes and pipes, cabbage and other similar veggies, and railway cross-ties of wood.¹³

Canada continues to be a driving economic force. As it diversifies its sectors, its economy only grows stronger and more globalized. This globalized economy is one reason why Canada continues to be a leader in economic freedom according to The Heritage Foundation. It is also ranked first among the thirty-two countries in the Americas region.¹⁴

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