Source: Reuters
Canada, aiming to reduce its dependence on the U.S. arms industry, has unveiled plans to significantly increase the amount of weapons it purchases from domestic firms, according to a defense strategy document released on Tuesday.
Currently, Canada spends approximately 70% of its weapons budget on U.S. products, a figure that Prime Minister Mark Carney deems too high. The new defense strategy outlines a goal for Canadian firms to eventually capture that 70% share of the market.
“In this uncertain world, it is more important than ever that Canada possess the capacity to sustain its own defense and safeguard its own sovereignty,” the document states.
The United States and other allies have long criticized Canada for what they perceive as insufficient defense spending. In June of the previous year, Ottawa pledged to boost funding for the armed forces and meet NATO’s 2% military spending target in the 2025/26 fiscal year, five years ahead of the initial commitment.
Over the next decade, Canada plans to:
- Increase government investment in defense-related research and development by 85%
- Boost defense industry revenues by more than 240%
- Increase defense exports by 50%
- Create up to 125,000 new, high-quality jobs
In response to U.S. President Donald Trump’s imposition of tariffs on key imports from Canada, Carney indicated that Ottawa is considering whether to proceed with the planned purchase of Lockheed Martin F-35 fighters and may opt for other jets instead. A review of the F-35 deal, which was due to conclude several months ago, has been delayed.
Last December, Canada agreed to join the European Union’s Security Action for Europe initiative, which will provide Canadian defense companies with expanded access to the European market.
This strategic shift reflects Canada’s broader efforts to diversify its economic and security relationships, reducing its heavy reliance on the United States and enhancing its own sovereignty and defense capabilities.