TORONTO, March 26, 2026 /CNW/ - The Ontario Government released its 2026 Budget today, outlining measures to address ongoing economic uncertainty and the challenges facing the province's manufacturing sector.

Canadian Manufacturers & Exporters (CME) welcomes the budget's commitments to support investment, strengthen local supply chains, and help manufacturers adjust to trade pressures, steps that can make a real difference for companies navigating persistent cost pressures and market uncertainty.

One of the most impactful measures is the introduction of full, immediate tax write‑offs for manufacturing and processing machinery and equipment. Under this policy, a business will be eligible to deduct 100 per cent of the purchase cost in the year of acquisition, rather than spreading deductions over several years.

"This change will make it easier and faster for manufacturers to invest in modern technologies, automation, and productivity improvements," said Dennis Darby, President & CEO, CME. "In an era of volatile trade conditions and rising input costs, immediate write‑offs can help small and mid‑sized firms remain competitive, expand operations, and create more jobs here in Ontario."

CME also welcomes the reduction in the small business corporate income tax rate, which will provide much-needed relief to smaller manufacturers, improving cash flow and helping them reinvest in growth and job creation.

"While these commitments are encouraging, the path ahead remains difficult, and the details of implementation will matter enormously," Darby added. "CME will work closely with the provincial government to ensure these measures translate into meaningful support for the small and mid-sized manufacturers who form the backbone of Ontario's industrial economy and the communities they employ."

ABOUT CANADIAN MANUFACTURERS & EXPORTERS (CME)

From the first industrial boom in Canada, CME has advocated for and represented member interests. 150 years strong, CME has earned an extensive and effective track record of working for and with leading companies nationwide. More than 85 per cent of CME's members are SMEs and collectively account for an estimated 82 per cent of total manufacturing production and 90 per cent of Canada's exports.

SOURCE Canadian Manufacturers & Exporters