Feds back Vancouver life science sector with CAD $127M

Canada will provide CAD $127 million through the Strategic Response Fund to support life sciences projects led by Vancouver-based Aspect Biosystems and Providence Health Care.

Aspect Biosystems, a Vancouver-based biotechnology company, will receive the larger share (CAD $79 million) while Providence Health Care, a non-profit health care network, will get CAD $48 million for an innovation hub in its new Clinical Support and Research Centre. The Province of British Columbia has also committed CAD $23.8 million to Aspect.

The federal funding for Aspect is part of a broader CAD $280 million project focused on regenerative medicine and biomanufacturing. The company is developing bioprinted tissue therapeutics for serious metabolic and endocrine diseases, including diabetes.

The project will expand clinical development and manufacturing in Canada and further build Aspect's technology platform, which combines bioprinting, stem cells, cell engineering and biomaterials. It is expected to maintain 117 jobs, create 283 new jobs and add 268 student co-op positions in the Vancouver region.

Aspect already has ties with Ottawa. In 2024, it received CAD $49 million from the Strategic Innovation Fund for Project Podium, which focuses on clinical-scale biomanufacturing for bioprinted tissue therapeutics.

The company has also drawn attention through its work with pharmaceutical manufacturer Novo Nordisk. In 2023, the two announced a collaboration, development and license agreement for diabetes and obesity treatments worth up to USD $2.6 billion. In early 2026, they expanded the partnership to include additional research, development and manufacturing activity.

Hospital Hub

Providence's funding will support an innovation hub inside the Clinical Support and Research Centre, which is being developed alongside the new St. Paul's Hospital on the Jim Pattison Medical Campus.

The hub will include data platforms and services, a clinical trials unit, a simulation centre, wet labs and an innovation centre. It is intended to provide a shared space for researchers, clinicians, companies, and public-sector partners to conduct development work and trials.

The site will also include incubator space for emerging technologies and smaller companies looking to scale. Providence expects the project to maintain 6,662 jobs, create 768 new full-time roles and add 597 student co-op positions in Vancouver.

The Strategic Response Fund is intended to support large projects that improve resilience, strengthen supply chains and protect jobs in sectors such as AI, advanced technologies and industrial production. 

"Canada's life sciences sector is entering a new era of momentum and possibility," said Minister of Industry Mélanie Joly.

Canada's Health Minister, Marjorie Michel, said the investments would help speed treatment development and improve access to medicines.

"Investing in these projects will accelerate the development of innovative treatments while helping improve access to the medicines Canadians need. By encouraging collaboration across the life sciences sector, we are building a more resilient, modern and sustainable health care system for Canada," said Michel.