Ontario Shortline Tax Credit a Win for Regional Economies and Supply Chains
The Railway Association of Canada (RAC) applauds the Government of Ontario and Minister of Finance Peter Bethlenfalvy for introducing a tax credit to support Ontario’s shortline railways. This is a meaningful step forward for regional supply chains, economic development, and long-term infrastructure investment.
Shortline railways are often the first link in Canada’s essential supply chains. In Ontario, these railways move $7 billion worth of goods every year. They connect local producers and manufacturers to national and global markets through critical first mile and last mile connections.
We are grateful that the Ontario government has recognized the importance of shortline rail and responded with a practical, high-impact solution. “A tax credit will help enable infrastructure upgrades, unlock new business opportunities, and support communities,” said Eric Harvey, President and CEO of RAC. “This is especially important in regions where industry is growing and increasingly looking to rail.”
The economic case is clear. In Ontario, every dollar invested through the tax credit is projected to generate $10.58 in economic output. It is a smart, strategic policy that will deliver lasting returns for Ontario’s economy, environment, and competitiveness.
This investment helps move Canada’s economies forward and signals Ontario’s leadership in modern, competitive supply chain infrastructure.
RAC thanks the Government of Ontario for its leadership and looks forward to working together to build a more connected, resilient transportation future.
- Eric Harvey – President and CEO, Railway Association of Canada
About the Railway Association of Canada
RAC represents close to 60 railway companies and more than 60 associate members who support the industry. Our railways move millions of people and $380 billion worth of goods across Canada and to global markets each year. RAC advocates on behalf of its members to ensure that the rail sector remains globally competitive, sustainable, and most importantly, safe. Learn more at www.railcan.ca.
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Media Contact: Morgan Swan – mswan@railcan.ca