Mining Association of Canada | 2023 Report

The Mining Association of Canada | The Canadian Mining Story: Economic Impacts and Drivers for the Global Energy Transition 2023 6 Excluding oil and gas, mining’s contribution to GDP can be separated into four components: extraction, services, primary manufacturing and downstream manufacturing. The gross value added for each category is shown in Figure 2. Extraction includes the mining of metals, non-metals and coal. Metals mining, including gold, iron ore, copper and zinc, contributed $26.6 billion to Canada’s GDP in 2021. Nonmetal mining includes diamonds, potash and sand and gravel. The gross value added of non-metallic mineral production was $9.5 billion in 2021. Canada produces both coal for generating heat and energy (thermal coal) and coal for industrial processes like making steel (metallurgical coal). In 2021, Canadian mines produced 42 million tonnes of coal, a slight increase from 2020. The value added was $6.9 billion in 2021. In the mining context, services means activities including exploration drilling on contract, and contracted services at mines such as water or overburden removal. The nominal gross value added for mining services in 2021 was $12 billion. Primarymanufacturing for metals includes smelting and refining. Primary manufacturing for non-metals includes manufacturing using lime, cement, concrete and glass. In 2021, the gross value added by primary manufacturing was $17.7 billion. Downstreammanufacturing uses primary manufacturing products as inputs. Secondary metal products use primary products to produce iron and steel pipes, rolled steel products like wire, and foundry products. Tertiary metals products include cutlery, tools and hardware that require further processing. Downstreammanufacturing also includes miscellaneous metals products such as communications cables and motor vehicle stamping. Finally, services and custom work mean specialized activities like heat treating, engraving and coating or other custom work. Canada saw increases in all of these areas between 2020 and 2021. Figure 2: Metals and Minerals Sector GDP, 20212 $0B $10B $20B $30B $40B $50B Extraction Services Primary Downstream Manufacturing Manufacturing Coal Metallic minerals Non-metallic minerals Primary non-metallic mineral products Primary metallic minerals products Services and custom work Secondary metal products Tertiary metal products Miscellaneous metal products 2 Data from Gross domestic product (GDP) at basic prices, by industry, monthly. Statistics Canada table 36-10-0434-01. Using 2012 constant prices.