NAICS Canada - North American Industrial Classification System (Canada Version)

The North American Industry Classification System (NAICS) Canada is a standardized classification system used by government agencies and businesses to categorize and analyze economic activity in Canada. NAICS Canada is the Canadian implementation of NAICS which was jointly developed by the statistical authorities of Canada, United States, and Mexico in order to facilitate comparability across the three countries under the North Atlantic Free Trade Association (NAFTA). NAICS Canada is hierarchically structured, with six levels ranging from broad Sectors to finer Canadian Industries.

Metadata

Publisher type National
Publisher(s)
Jurisdictions Canada

Current Version: NAICS Canada 2022

NAICS Canada 2022 took official effect in Canada in 2023. Its current iteration is NAICS Canada 2022 Version 1.0.

Changes between NAICS Canada 2017 and NAICS Canada 2022

The 2022 update of NAICS is reflected in the three national versions including NAICS Canada 2022. A notable conceptual change in NAICS Canada 2022 is that the mode of delivery (in-store vs online) is no longer a distinguishing factor for industrial classification which means, for example, that online and in-store bookshops have the same grouping. This change is particularly relevant for the retail, publishing, and broadcasting industries. Using terminology from the General Statistical Information Model (GSIM) to distinguish between different types of classification changes, Statistics Canada notes that around 275 new groupings were integrated into an emerging class (merger) or an existing class (take-over). Around 259 classes experienced decomposition changes in the form of either a "breakdown" or a "split-off" (meaning that an expired or existing classification item is moved to one or more other emerging items). Notable changes in this regard concern the NAICS Canada 2017 Canadian Industry "Internet broadcasting and web search portals" (519130) which was split-off into three new Canadian Industries in NAICS Canada 2022. Following a conventional shift in the naming of particular ethnic groups in Canada, the NAICS Canada 2017 class "Aboriginal public administration" (91411) has been renamed in NAICS Canada 2022 to "Indigenous public administration" and split-off into three new separate national industries for First Nations, Métis, and Inuit public administration. Other changes in NAICS Canada 2022 include 90 cases where part of a class was maintained while part of it was relocated to one or more existing classes as well as 220 instances of alterations to codes, titles and definitions.

Structure of NAICS Canada 2022

NAICS Canada 2022 has a six-digit hierarchical structure, with the degree of specificity increasing at each level. It is structured as follows:

  • Sectors: 20 sectors represented by two-digit codes. This is the broadest categorization in the NAICS Canada 2022. For example, code 71 represents "Arts, entertainment and recreation".

  • Subsectors: 99 subsectors represented by three-digit codes. E.g. code 711 represents "Performing arts, spectator sports and related industries".

  • Industry Groups: 323 Industry Groups represented by four-digit codes. E.g., code E.g. code 7111 "Performing arts companies".

  • Industries: 694 Industries represented by five-digit codes. E.g. 71111 represents "Theatre companies and dinner theatres".

  • Canadian Industries: 923 Canadian Industries represented by six-digit codes. This is the most detailed level in NAICS 2022 Canada. It indicates sub-industries that are particular to the country. E.g. code 711111 represents "Theatre (except musical) companies".

The table below shows the number of subcategories in each of the 20 sectors in NAICS Canada 2022. At the finest classification level (Canadian Industries), the manufacturing sector (31-33) is the largest of all 20 sectors in NAICS Canada 2022 with 248 Canadian Industries, followed by the "Wholesale trade" (41) and "Retail trade" (42) sectors, both with 73 Canadian Industries. At the other end of the spectrum, "Management of companies and enterprises" has only two Canadian Industries.

Code

Sectors

Sub-sectors

Industry groups

Industries

Canadian industries

Total

11

Agriculture, forestry, fishing and hunting

5

19

41

52

117

21

Mining, quarrying, and oil and gas extraction

3

5

11

30

49

22

Utilities

1

3

6

10

20

23

Construction

3

10

28

29

70

31-33

Manufacturing

21

87

178

248

534

41

Wholesale trade

9

29

73

73

184

44-45

Retail trade

9

24

48

73

154

48-49

Transportation and warehousing

11

29

42

58

140

51

Information and cultural industries

6

11

23

28

68

52

Finance and insurance

5

11

28

52

96

53

Real estate and rental and leasing

3

8

17

20

48

54

Professional, scientific and technical services

1

9

35

41

86

55

Management of companies and enterprises

1

1

1

2

5

56

Administrative and support, waste management and remediation services

2

11

29

34

76

61

Educational services

1

7

12

12

32

62

Health care and social assistance

4

18

30

37

89

71

Arts, entertainment and recreation

3

9

23

38

73

72

Accommodation and food services

2

6

10

18

36

81

Other services (except public administration)

4

14

30

37

85

91

Public administration

5

12

29

31

77

Total

99

323

694

923

2039

Previous versions

NAICS Canada 2017

NAICS Canada 2017 first came into effect in Canada in January 2017. It had three versions: NAICS Canada 2017 Version 3.0 (released in September 2018); NAICS Canada 2017 Version 2.0: (released in March 2017) both of which were minor updates to NAICS Canada 2017 Version 1.0 (Released in January 2017).

Changes between NAICS Canada 2012 and NAICS Canada 2017

Different types of changes were introduced in NAICS Canada 2017 (Version 1.0). Many of these revisions involved clarifying class definitions and boundaries by updating the descriptive text, illustrative examples, exclusions, and industry titles. Some changes resulted in reduced industry detail in some cases and extended detail in others. In the telecommunications subsector, three industries from NAICS Canada 2012 were merged to form the NAICS Canada 2017 industry 517310 (Wired and wireless telecommunications carriers). To reflect the structure of the Canadian oil and gas subsector, two new industries were added in NAICS Canada 2017 which are 211141 (In-situ oil sand extraction) and 211142 (Mined oil sands extraction). The arts, recreation, and entertainment sector was expanded in NAICS Canada 2017 with seven new industries. Due to their loss of economic importance, activities in NAICS Canada 2012 related to renting and record production were merged into new industries in NAICS Canada 2017.

Structure of NAICS Canada 2017

NAICS Canada 2017 was hierarchically structured into six classification levels, with the degree of specificity increasing at each level, as follows:

  • Sectors: 20 sectors represented by two-digit codes. This is the broadest categorization in the NAICS system.

  • Subsectors: 102 subsectors represented by three-digit codes.

  • Industry Groups: 322 Industry Groups represented by four-digit codes.

  • Industries: 708 Industries represented by five-digit codes.

  • Canadian Industries: 923 Canadian industries represented by six-digit codes.

NAICS Canada 2012

NAICS Canada 2012 took official effect in Canada in January 2013.

Changes between NAICS Canada 2007 and NAICS Canada 2012

The notable changes in NAICS Canada 2012 concerned the outsourcing of manufacturing production, the creation industries for video game publishers and developers and the reclassification of book publishing exclusive agents and crafts.

Structure of NAICS Canada 2012

NAICS Canada 2012 was hierarchically structured into six classification levels, with the degree of specificity increasing at each level, as follows:

  • Sectors: 20 sectors represented by two-digit codes.

  • Subsectors: 102 subsectors represented by three-digit codes.

  • Industry Groups: 323 Industry Groups represented by four-digit codes.

  • Industries: 711 NAICS Industries represented by five-digit codes.

  • Canadian Industries: 922 national industries represented by six-digit codes.

NAICS Canada 2007

NAICS Canada 2007 took official effect in Canada in 2007.

Changes between NAICS Canada 2002 and NAICS Canada 2007

Overall, 18 Canadian Industries (six-digit) were added to NAICS Canada 2007 including one for Internet Shopping (454111). 18 six-digit industries form NAICS Canada 2002, mostly in the Wholesale Trade sector, were also removed from NAICS Canada 2007. Except in two cases, all NAICS Canada 2007 revisions occurred within sector boundaries.

Structure of NAICS Canada 2007

NAICS 2007 was hierarchically structured into six classification levels, as follows:

  • Sectors: 20 sectors represented by two-digit codes.

  • Subsectors: 102 subsectors represented by three-digit codes.

  • Industry Groups: 324 Industry Groups represented by four-digit codes.

  • Industries: 718 NAICS Industries represented by five-digit codes.

  • Canadian Industries: 928 national industries represented by six-digit codes.

NAICS Canada 2002

NAICS Canada 2002 came into official effect in Canada in 2002.

Changes between NAICS Canada 1997 and NAICS Canada 2002

In NAICS Canada 2002, the Information and Cultural Industries sector was revised to account for new industries brought about by the rise of the Internet. A new subsector was created for Internet Publishing and Broadcasting, and new industries for Internet service providers and web search portals.

Structure of NAICS Canada 2002

NAICS 2002 is hierarchically structured into six classification levels, with the degree of specificity increasing at each level, as follows:

  • Sectors: 20 sectors represented by two-digit codes.

  • Subsectors: 103 subsectors represented by three-digit codes.

  • Industry Groups: 328 Industry Groups represented by four-digit codes.

  • Industries: 728 Industries represented by five-digit codes.

  • Canadian Industries: 928 national industries represented by six-digit codes.

NAICS Canada 1997

This first edition of NAICS Canada took official effect in Canada on 1 January 1997 replacing the 1980 Standard Industrial Classification and the 1980 Classification of Companies and Enterprises. NAICS was introduced in response to a rapidly changing economic climate and to facilitate a more accurate and modern classification of industries across North America, specifically the United States, Canada, and Mexico. Its predecessor, the Standard Industrial Classification (SIC), was developed in the 1930s and struggled to reflect the contemporary economic landscape with all its technological advancements. Moreover, with the activation of the North American Free Trade Agreement (NAFTA) in 1994, there was a clear need for a unified system for classifying industrial activity among member countries. NAICS was therefore jointly devised by the national statistical agencies of the United States (Office of Management and Budget - OMB), Canada (Statistics Canada), and Mexico (Instituto Nacional de Estadística y Geografía - INEGI) to facilitate the comparison of economic data across borders. The three national versions of NAICS are therefore known as NAICS Canada, NAICS Mexico (SCIAN Mexico, in the Spanish expression), and NAICS United States.

Structure of NAICS Canada 1997

NAICS Canada introduced the six-digit hierarchical structure that has remained in place in the updates described above. NAICS Canada 1997 was structured as follows:

  • Sectors: 20 sectors represented by two-digit codes.

  • Subsectors: 99 subsectors represented by three-digit codes.

  • Industry Groups: 321 Industry Groups represented by four-digit codes.

  • Industries: 734 Industries represented by five-digit codes.

  • National Industries: 921 national industries represented by six-digit codes.

Where is it used?

NAICS Canada codes are used across the public and private sectors. Statistics Canada publishes a wide range of statistics and indices according to NAICS Canada Industries. Specific areas of use include:

  • Mandatory Disclosures: While individual businesses in Canada are not directly obliged to register a NAICS Canada code, mandatory disclosures like Statistics Canada's Business Register (BR) survey and corporate tax returns require the identification of a NAICS Canada code.

  • Government Contracting: The process for securing a government contract in Canada requires businesses to provide their NAICS Canada code.

  • Public Support Programs: Tax waivers and other business support schemes might be targeted towards specific NAICS industries in Canada.

Upcoming versions

To maintain the relevance, accuracy, and timeliness of the classification system, NAICS undergoes a central review every five years. However, as was the case with NAICS Canada 2017 which had two updates, revisions can be conducted in national versions before the regular five-year cycle, for the classification to keep up with changes in the local industrial context. Statistics Canada has begun a public consultation process for the new NAICS Canada with a request for proposals from the interested public which will remain open until June 2025. There are no restrictions on what type of changes could be requested. However, Statistics Canada has provided guidelines for the development of proposals as well as criteria based on which submitted proposals will be reviewed. According to the timeline for the review process, the new NAICS Canada will be released in January 2027 and will be called NAICS Canada 2027 Version 1.0.

Further resources

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