Madam Speaker, let me start by saying that we obviously recognize Canada's aerospace industry as an engine for innovation, economic activity and high-skilled employment. The aerospace industry contributes $25 billion to Canada's GDP and over 210,000 jobs to our economy. It is ranked number one in terms of research and development among Canadian manufacturing industries. Its footprint is national in scope, with important aerospace clusters in every region of the country.
The aerospace industry is export-driven, with approximately 70% of total production exported, and Canadian aerospace firms, including small and medium-sized enterprises, are well integrated into global supply chains.
I really appreciate the question posed and the comments made by the member for Renfrew—Nipissing—Pembroke, because the Canadian aerospace manufacturing sector, with businesses like Arnprior Aerospace, creates good jobs for Canadians in the Ottawa Valley, in my riding of Pontiac and beyond. I am a neighbour to the member's riding, so I understand quite well how important this is to her constituency.
Our government is engaged with industry and has been proactive in promoting Canada's aerospace sector. We have been successful in securing strategic investments in advanced technologies, driving innovation and maintaining highly skilled jobs in Canada.
We are going to continue to attract and support new, quality investments in the aerospace sector. For example, we announced nearly $885 million in funding to support the aerospace and space industries through innovation programs. With regard to procurement, we are continuing to engage with Canadian industry on upcoming defence procurement programs to help drive investments in Canada's key industrial capabilities through the industrial and technological benefits, or ITB, policy.
The ITB policy allows the federal government's significant purchasing power to support Canadian companies and their workers. Through this policy, our government leverages major defence and Coast Guard procurements to create jobs, drive innovation and foster economic growth all across Canada.
When a company wins a defence contract, for every dollar that it receives, it is required to reinvest a dollar back into Canada's economy. What does that look like? That reinvestment means that Canadian small and medium-sized businesses, which make up nearly 90% of the firms in Canada's defence industry, have opportunities to do business with prime contractors. These are business opportunities that can translate into long-term and sustainable work that is directly related to specific defence procurements. It is work that helps these businesses integrate into the global supply chains of aerospace and defence multinationals, and work that helps build and strengthen the strategic partnerships between Canadian business and Canada's research community to advance Canadian innovations.
One recent example of our government leveraging successful industrial outcomes through procurement was the arrival of the first aircraft of Canada's future fixed-wing search and rescue fleet. This project has created hundreds of new jobs for Canadians. The CC-295 contractor, Airbus Defence and Space, continues to make investments in the Canadian aerospace and defence industry through the ITB policy.
Strategic work packages directly related to the aircraft are providing Canadian companies the opportunity to participate in global supply chains and create high-value jobs in aerospace manufacturing, simulation and training, propulsion, and in-service support sectors.
The success of the ITB policy is concrete. It touches many small and medium-sized businesses from coast to coast to coast. The 2020 annual report on the impact of the ITB policy shows that, from 2014 to 2018, more than 400 small businesses leveraged over $3.4 billion of ITB commitments as a result of active contracts—