Transportation and Warehousing

The industry provides $11.2 billion annually to the Alberta economy. It ships about 90.0% of Alberta goods to the United States. The bulk of that is through oil pipelines. In 2015, Alberta was second only to Ontario in export values, shipping $93.8 billion in goods. This was a drop in value of 24.5% from the previous year, because of the drop in oil prices. During that same period, the number of exporting establishments dropped from 5.415 to 5,095.

Because Alberta heavy oil exporters don’t have enough pipeline capacity, they’re forced to take on the extra expense of shipping their goods by rail. The approval of more pipeline construction in 2016 and 2017 was seen as a way to reduce that bottleneck.

Exports are expected to increase by 4.6% in 2017. While some of this will come from rising oil prices, production is also expected to grow.

Alberta manufacturing exports are expected to climb between 3.6% and 4.0% annually until 2020. Some of this will be because of the growing U.S. demand for machinery and equipment manufacturing as their drilling activity increases. Agri-food shipments are also predicted to increase.

A weaker dollar continues to make Canada a cheaper tourist destination for both residents in other provinces and international travellers. The moratorium on national park pass admissions in 2017 should also provide an incentive for tourists to travel in Alberta.