Canadian direct investment in California was profiled in last week's publication of World Trade Center Los Angeles' annual FDI Report prepared with the LA Economic Development Corporation.
Canada currently ranks as the 6th largest investor in California and the 4th largest in Southern California. Over 1450 Canadian-owned companies employ over 51,000 Californians generating an annual wage impact of over $5.25 billion. And Southern California accounts for 71% of Canadian-owned enterprise jobs in the state with an annual wage impact of over $3.85 billion.
The top 6 leading investing nations are (in order), Japan, the UK, France, Germany, Switzerland and Canada.
Here are some top-line stats for Canadian investment in California from this year's report:
1462 Canadian-owned firms in state employ over 51,000 Californians
The estimated wage of these jobs is more than $5.25 billion
Canadian enterprises mainly employ Californians in (in descending order): manufacturing, professional/business services, financial activities, wholesale trade and information sectors.
Southern California accounts for 70.6% of all jobs at Canadian-owned enterprises in California followed by 22% in the Bay area and 8% in the rest of the state.
Los Angeles County alone accounts for 29% of all jobs at Canadian-owned enterprises in California.
Canada's state-wide ranking fell 2 places this year from 4th highest to 6th because of a decline in over 10k jobs. There were also 10k fewer jobs with UK enterprises in the past year and job declines were noted among all top 6 investing nations. There were 121 fewer Canadian companies as compared to last year's report.
Job declines at Canadian-owned firms were across sectors most notably manufacturing, retail and financial activities.
Despite the turbulence of the pandemic and its impact on so many sectors, Canada remains a leading source of foreign direct investment to Southern California and the state underlining how close our economies are tied.
More information on this year’s report and the webinar introducing the findings is available here.
