While U.S. exporters will find opportunities across best prospect sectors outlined in this guide, U.S. businesses are finding new business opportunities in several of Canada’s key industrial, government, and consumer sectors.
Canada is one of the world’s largest aerospace markets with US$27.76 billion in revenues in 2023 supporting 218,000 jobs. Canada ranks first worldwide for civil flight simulator production, fourth in civil aircraft production, and third in civil engine production. Montreal, Quebec, is the world’s third largest aerospace hub after Seattle, Washington, and Toulouse, France.
In 2024, U.S. agricultural exports to Canada were valued at US$29.5 billion, representing the second largest market globally behind Mexico. The share of U.S. agricultural exports to Canada and Mexico has been growing to account for 30% of world exports in 2020–24. Top agricultural export categories in 2024 were baked goods; fresh vegetables; fresh fruit; food preparations; non-alcoholic beverages (excluding juices); ethanol (non-beverage); dog & cat food; chocolate & cocoa products; dairy products; and beef & beef products. Similarly, Canada ranks as the second largest source of agricultural imports to the U.S., averaging US$35 billion annually in 2020–24. Consumer-oriented agricultural products are foods typically sold directly in supermarkets and used in restaurants. These high-value exports support over 130,000 jobs in the United States, and many of the suppliers are small and medium-sized businesses.
Canada is the second-largest automotive market in North America, highly integrated with the United States and Mexico through the United States-Mexico-Canada Agreement (USMCA). Canada has represented the United States’ largest export market for new passenger vehicles and light trucks for over a decade and its second largest export market for automotive parts since 2018. Imports represent approximately three quarters of the new vehicles market. Most global vehicle manufacturers are present in Canada including five of them with local assembly lines: Ford, General Motors, Stellantis, Toyota, and Honda. In addition to auto sales, the automotive aftermarket annual retail value was relatively stable in 2024 and is estimated by the industry at over US$22 billion.
The Canadian defense industry generated over US$10.4 billion of economic activity annually and supported over 80,000 jobs across Canada’s economy in 2024. Of the economic contribution reported, US$5.42 billion is directly attributed to the defense industry and value chain. U.S. companies in this sector are responsible for approximately 20,000 direct jobs across Canada.
Canada is a global leader in energy production from oil to nuclear to renewables (e.g., hydro, wind, solar, and biomass, along with significant developments in geothermal and marine energy). Over the past several decades, Canadian crude oil production grew considerably, from 1.7 million barrels per day (b/d) in 1990 to 5.1 million b/d in 2024. In 2023, Canadian crude oil exports reached 4 million b/d and comprised approximately 80% of the country’s total crude oil production. The United States is the primary destination for Canadian crude oil, receiving approximately 97% of Canada’s crude oil exports in 2023. In 2024, Canada’s natural gas production reached more than 220 billion cubic feet per day and Canada is rapidly developing liquefied natural gas (LNG) export terminals. Nuclear power plants generate about 13% of Canada’s electricity. Renewable energy represented approximately 70% of total electricity generation in 2022, with 62% coming from hydropower.
Canada ranks as the United States’ leading renewable energy market. Learn more about opportunities exporting Environmental Technologies to Canada in the International Trade Administration’s (ITA) Environmental
Technologies Top Export Market Ranking.
Canada has a very strong homegrown technology sector that is expected to grow through 2025. The Canadian Information and Communications Technology (ICT) sector is highly trade dependent, importing US$37.5 billion in goods and exporting US$8.28 billion around the world in 2022. The United States is the second-largest supplier of ICT goods to Canada.
Canada is also a top export market for U.S. consulting services as well as for travel and tourism, according to ITA’s Top Exporting Market Rankings – Consulting Services and Top Export Market Rankings – Travel and
Tourism
Public-Private Partnership opportunities exist within Canada’s public infrastructure and government projects. In 2016, the Government of Canada unveiled the Investing in Canada Plan to invest over US$139 billion in key infrastructure sectors through 2028. This plan is underway and investments in infrastructure projects are expected to support the growth of Canada’s construction industry. As of mid-2025, over 100,000 projects, with combined investments of over US$115 billion, have been approved for communities across the country.
In consumer product sectors, Canada’s wide ethnic diversity and high level of consumer disposable income provide broad food and consumer goods selling opportunities. eCommerce represents a large opportunity for U.S. exporters seeking access to the Canadian market across all the country’s industrial, government, and consumer buying channels. As of early 2025, Canada has over 27 million e-commerce users, which accounts for approximately 72.5% of the population. This number is expected to rise to around 77.6% by the end of 2025. It is also estimated that retail eCommerce sales will total US$40.3 billion in 2025.
Mechanisms for facilitating trade at the U.S.–Canada border include pre-inspections and associated technological advances that streamline regulatory processing, making “just-in-time” delivery of goods and services more efficient and strengthening cross-border supply chains. This provides enhanced opportunities for U.S. firms seeking to enter the Canadian aerospace and automotive sector supply chains.