A THRIVING SECTOR THE ECONOMIC IMPACT OF ’S AIRPORTS

A SUBSTANTIVE IMPACT THE IMPACT OF CANADA’S AIRPORTS 00 D D ,0 ire 13B ire 94 c $ c 1 t t Canada’s airports are collaborative world leaders in safe, high-quality, economically prosperous air transport.

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2 $ , Total Employment 3 Total Wages Working together in positive ways with industry partners 0 t B 0 c 355,000 Jobs 0 e I $22B r n I i t and government, Canada’s airports promote better n d d c d n u e u I c i r c e 0 e d n d knowledge about the industry and their contribution to d 9 9 , 0 0 $ 6 B I the economy. Dire D 9B ct 8B irec $1 $4 t The numbers are impressive: in 2016, Canada’s airports directly contributed $48 billion in economic output, $19

$ $

6 Total GDP 1 Total Output billion in GDP, 194,000 jobs and $13 billion in wages. B 1

I $35B B $79B n t c I d e n t Airports’ economic contributions are impressive, but even u r d c c i u e e d n d c i r B I e d n d more impressive is their importance in supporting and $ 1 0 $ 2 0 B I enhancing opportunities for all Canadians – and Canadian businesses.

The connectivity provided by Canada’s airports creates jobs and improves the competitiveness and productivity of businesses in other economic sectors by attracting tourists, and facilitating trade and investment. When 140 MILLION 2.2 MILLION 6.2 MILLION indirect and induced data are included, the total impacts PASSENGERS FLIGHT AIRCRAFT jump to $79 billion in economic output, $35 billion in FREQUENCIES MOVEMENTS GDP, 355,000 jobs, and $22 billion in wages.

Facilitating Cargo Freight to Remote Northern Communities

With First Air’s home base located in , the Ottawa Macdonald-Cartier International Airport facilitates the movement of more than 19.4 million kilos of cargo freight to Canada’s Arctic communities, including food, mail, medical supplies and other critical goods. First Air provides the largest fleet servicing Canada’s eastern Arctic region. 1988 - 2016

Partnering with Businesses AIR PASSENGER TRAFFIC CLIMBS AT CANADA’S AIRPORTS

Sometimes it is cold in Winnipeg, really cold. The Winnipeg Airports Authority has used this to its Air passenger traffic in Canada has increased from66 advantage by working with its partners in the aerospace million passengers in 1988 to more than 140 million industry to attract General Electric (GE) to the airport passengers in 2016. That’s an increase of 112 percent, or campus. In 2012, GE opened its engine testing facility, a compound annual growth rate of 3 percent in 28 years. focused mainly on cold weather conditions. The success of this partnership has led GE to upgrade the facility Averaged out, a million passengers move through to allow for year-round work. The $26 million upgrade Canada’s airports roughly every two and a half days. That to the 122,000 square foot facility brings the total means that for every 63 hours, airports directly create investment to $75 million. Partnerships like this is why 1,400 full time jobs, and generate $137 million in GDP the Winnipeg James Armstrong Richardson International andAir $50 Passenger million in taxes .Traffic (1988-2016) at Canada’s Airports Airport generates $3.4 billion in economic output and supports 17,000 jobs. 160

140 • Air passenger traffic in 120 Canada has increased from (Millions) 66 million 100 enplaned/deplaned passengers in 1988 to over 80 140 million enplaned/deplaned 60 passengers in 2016. 40 • Up 112% in 28 years, or a

Enplaned/Deplaned Passengers Passengers Enplaned/Deplaned 20 2016: compound annual growth 140 Million Enplaned/Deplaned Passengers Handled rate of 3%. - 1988 1993 1999 2004 2009 2014 Domestic Transborder International Source: Air Carrier Traffic at Canadian Airports. Statistics Canada

11 DIRECT IMPACT FOR EVERY ONE MILLION PASSENGERS

1,400 $93M $137M $342M $50M jobs wages GDP economic taxes output DIRECT IMPACT FOR EVERY 1,000 AIRCRAFT MOVEMENTS

30 $2M $3M $8M $1M jobs wages GDP economic taxes output

Providing Education, Jobs and Revenue Sharing for Indigenous Groups

The Vancouver International Airport and the Musqueam Indian Band are located in the same community on land that is Musqueam traditional territory. In June 2017, the Musqueam Indian Band and the Vancouver International Airport signed a 30-year Sustainability and Friendship Agreement to ensure a mutually beneficial future for both. The agreement provides Musqueam with education and employment opportunities at the airport, a voice Helping Life Science Clusters Grow and Thrive in future development, environmental enhancements and restoration, and revenue-sharing that will allow the

In Canada, nearly one in three inventors on medical Musqueam to continue to reinvest in the community. The science patent applications are from abroad. The agreement also includes identification and protection connectivity provided by the Toronto Pearson of archeological resources and support for ongoing International Airport is therefore important to help operations and long-term development at the airport. life science clusters grow and thrive, such as in London, The Musqueam have historically played an integral role in , where the sector has driven economic many areas of YVR’s business and operations. revitalization, employs more than 2,000 researchers, and houses internationally significant companies and research facilities. For example, the University of Western Ontario, with support from Sumagen (a South Korean-based global company), are involved in the development of the first and only preventative HIV vaccine. Patents related to the vaccine are registered in more than 70 countries. In another example, the Canadian Surgical Technologies and Advanced Robotics Centre is one of only eight training centres in the world for da Vinci Surgical Systems, which trains and certifies surgeons to perform minimally invasive procedures. TAXATION IMPACT OF CANADA’S AIRPORTS

Canada’s airports are important generators of taxation revenues to all levels of government. Total taxes paid on an annual basis, by airport employers and employees, are estimated at $6.9 billion in 2016.

Municipal $0.4B 6%

Federal Provincial/ Territorial $4.8B $1.7B 70% Taxes are 54% of 24% $6.9B direct wages paid Total Taxes Connecting Canadians Goods with the World

The total impact from air cargo exports on the economy is approaching $490 million. Half of that value of cargo exports is driven by high demand, high-value seafood, including Nova Scotia’s world- famous lobster. China is the airport’s top market for live Nova Scotia lobster. The volume of exports to Canada increased by 63 per cent in 2017 compared to 2016, double the average growth of all export destination countries. The Halifax Stanfield International Airport enables local fishers to get time sensitive and high value product into the Asian market within 14 to 16 hours of departing Nova Scotia.

ABOUT THE CANADIAN AIRPORTS COUNCIL

The Canadian Airports Council (CAC), a division of Airports Council International-North America (ACI-NA), is the voice for Canada’s airports community. The CAC has 53 members operating more than 100 airports across Canada, including all of the non-governmentally operated National Airports System (NAS) airports. CAC member airports handle more than 90 per cent of the commercial air traffic in Canada, and an even greater share of international traffic.

Canadian Airports Council 600-116 Lisgar Street Ottawa, Ontario K2P 0C2 General Line: (613) 560 9302 Fax: (613) 560-6599 www.cacairports.ca