Canada Testing, Inspection, and Certification (TIC) Market

Market Overview

The Canada testing, inspection, and certification (TIC) market size was valued at USD 13 billion in 2021 and is projected to reach USD 18 billion by 2030, registering a CAGR of 3.6% during the forecast period (2022-2030).

Highlights

• Testing dominates the market by service sourcing type.
•  Infrastructure dominates the market by application.
• The in-house segment dominates by sourcing type.

Various testing, inspection, and certification services are offered across multiple sectors by the Canadian testing, inspection, and certification (TIC) market, which is an expanding market. The market is influenced by strict regulations, rising customer awareness of safety and quality, and the requirement to adhere to industry standards. The existence of numerous sectors, such as healthcare, automotive, Construction, and energy, has an impact on the market as well. Adopting cutting-edge technologies like IoT and AI is anticipated to increase, which will help the Canadian TIC market grow. Furthermore, the increasing emphasis on ecology and environmental protection drives the demand for TIC services that offer certifications like LEED and ISO 14001.

Market Dynamics

Canada Testing, Inspection, and Certification (TIC) Market Drivers

Increasing Consumer Awareness

Consumers in Canada are asking for more information about the safety and quality of the goods they purchase and are becoming more informed about the goods and services they buy. Due to this, businesses now need to offer TIC services that serve as impartial verification of quality and safety standards. A sizable market for TIC services has been established due to consumers' growing desire for goods that have undergone testing and certification by reputable third-party organizations.

Sustainability and Environmental Protection

Canada is dedicated to minimizing its adverse effects on the environment and encouraging sustainability. Businesses across various sectors are being pushed to show their dedication to environmental responsibility, and accreditations like LEED and ISO 14001 are becoming more significant. The demand for TIC services that offer these credentials is high as businesses look to enhance their environmental performance and show their dedication to sustainability. The need for TIC services related to environmental protection has also increased due to Canadian government laws requiring businesses to adhere to environmental standards. 

Canada Testing, Inspection, and Certification (TIC) Market Restraints

Competition from In-house Testing

Competition from in-house testing is a significant restraint on the Canadian TIC market for bigger businesses that can afford to invest in their own testing and inspection facilities. These businesses might conduct internal testing to control costs and keep process control. Additionally, they might have particular needs that need to be satisfied by outside TIC service suppliers. In-house testing also gives businesses greater control over the testing process's timing and quality, which can be crucial for some sectors.

Canada Testing, Inspection, and Certification (TIC) Market Opportunities

The Growing Importance of Digitalization

Opportunities for TIC service providers are being created in Canada due to the increasing significance of digitalization. As businesses depend increasingly on digital technologies, TIC services are required to guarantee the security and stability of these technologies. This covers software testing, data protection compliance, cybersecurity testing, and certification.

Regional Analysis

Canada's testing, inspection, and certification (TIC) market is segmented into several geographic areas, each with distinct possibilities and needs for TIC services. Western Canada's diverse economy and industries—including oil and gas, mining, and forestry—need TIC services to guarantee compliance with rules and standards. The most populous state in Canada, Ontario, has a diverse economy that includes technology, financial services, and manufacturing sectors. These sectors all need TIC services for compliance testing and certification. Atlantic Canada has a mixed economy with industries like fisheries, agriculture, and energy, all requiring TIC services for compliance testing and certification. Quebec has a strong manufacturing sector, especially in the aerospace and automotive sectors. Finally, despite a small population, Northern Canada has a sizable mining sector, and TIC services are necessary to ensure environmental standards and laws are followed.

Segmental Analysis

The Canada testing, inspection, and certification (TIC) market is segmented based on service sourcing type and application.

The service sourcing type is further segmented into Testing, Inspection, and Certification for a better understanding.

The testing segment dominated the Canadian market and is expected to register a CAGR of 3.4% over the forecast period.

The segment can be bifurcated by application into Consumer Goods and Retail Agriculture and Food Chemicals, Infrastructure Energy and Power Education, Government Manufacturing, Healthcare, Mining Oil and Gas, and Petroleum Public Sector Automotive Aerospace and Defense Supply Chain and Logistics.

The infrastructure segment dominated the market and is expected to grow at a CAGR of 4.0% during the forecast period.

Based on sourcing type, the market is sub-segmented into In-house, Outsourced.

The in-house segment is expected to dominate the market, registering the highest CAGR of 2.9% over the forecast period.

Recent Developments

• April 2023- DEKRA audits and verifies sustainable biomass based on the SURE system. Therefore, economic actors can offer unbiased proof that they comply with the regulatory requirements for sustainable energy generation or heating and cooling generation.