Â鶹´«Ã½

Skip to main content

Defence industry, allies call for Canada to increase military investments

Share

Canada's announcement of an $11.2-billion contract to improve training platforms for the military is getting a lukewarm reception at the country's largest defence trade show, as allies and military industry companies want to see more investment from the federal government.

Bill Blair detailed the contract, which includes the purchase of 70 training aircraft, in a keynote speech at the Canadian Association of Defence and Security Industries' annual defence industry tradeshow (CANSEC) in Ottawa.

The announcement is part of money already allocated from the government, meaning Canada is still committed to spending 1.76 per cent of its gross domestic product (GDP) on national defence by 2029-30.

"You have some disappointment in how much Canada has done," Charles Davis, chief of the Office of Defence Cooperation from the U.S. Embassy in Canada, told Â鶹´«Ã½.

The former U.S. army colonel says it's important for all NATO allies to meet the commitment of investing two per cent of total GDP on national defence.

Last week, a letter written by a bipartisan group of 23 U.S. senators to Prime Minister Justin Trudeau urged Canada to live up to the NATO commitment. "In 2029, Canada's defence spending is estimated to rise to just 1.7 percent, five years after the agreed upon deadline of 2024 and still below the spending baseline," the letter said.

Davis says that letter is proof of the disappointment on the American side.

However, he points out the U.S. wants to work with Canada to achieve the goal, "To make sure your (Canada's) investments are effective and get the capabilities that Canada needs, that we the United States needs Canada to have."

Those capabilities include the modernization of the North American Aerospace Defense Command (Norad). Canada committed $38.6 billion over the next two decades to improve surveillance systems, modernize Canadian air weapons systems and ensure a strong military presence in Canada's North among other things.

In response to reporters' questions about NATO spending targets, Defence Minister Bill Blair pointed out military spending is increasing by 27 per cent year-over-year. While Blair admitted Canada needs to do more, he doesn't want to rush money out the door.

"We're going to do our homework, we'll do the research, we're going to make sure the government, on behalf of Canadians, makes a well-informed decision about how to invest their hard-earned tax dollars," Blair told reporters.

While the money spent on defence often gets a lot of the attention, Canada's commitment to build up industrial capacity in the defence sector is often overlooked. "Compared to other nations we're a bit slower in our ability to produce and respond as Europe right now," says Christyn Cianfarani, president and CEO of the Canadian Association of Defence and Security Industries (CADSI).

Following Russia's invasion of Ukraine in 2022, European nations ramped up production in their own defence sectors. Cianfarani also says the Canadian procurement process leaves a lot of uncertainty compared to how things are done in the U.S.

"You will never see America not buy an American fighter plane, and very fast they (the U.S. government) invest in it. They expect to buy it and that is just something we all understand," Cianfarani said.

"We don't do that in Canada, which means that the industry doesn't get the signals to do early investment to prepare itself for an eventual purchase, because it never knows whether the government is going to invest in Canada or not."

The announcement and renewed pressure to meet the NATO target come weeks before the prime minister is set to meet allies at the Summit on Peace in Ukraine, which is being held Lucerne, Switzerland, from June 15 to 16.

IN DEPTH

Opinion

opinion

opinion Don Martin: Gusher of Liberal spending won't put out the fire in this dumpster

A Hail Mary rehash of the greatest hits from the Trudeau government’s three-week travelling pony-show, the 2024 federal budget takes aim at reversing the party’s popularity plunge in the under-40 set, writes political columnist Don Martin. But will it work before the next election?

opinion

opinion Don Martin: How a beer break may have doomed the carbon tax hike

When the Liberal government chopped a planned beer excise tax hike to two per cent from 4.5 per cent and froze future increases until after the next election, says political columnist Don Martin, it almost guaranteed a similar carbon tax move in the offing.

CTVNews.ca Top Stories

The calls are growing louder for city council to tighten the rules governing short-term accommodations, including those advertised on websites like Airbnb and Vrbo, after students arrived by the busload at a rented house in the Masonville neighbourhood.

Miley Cyrus and Dolly Parton are apparently distant relatives

Genealogy and family tree tracking site Ancestry announced on Monday that by using “billions of historical records and public family trees,†they’ve discovered that the two music powerhouses are actually seventh cousins, once removed.

B.C.’s Civil Resolution Tribunal has ordered WestJet to refund a family in full for their diverted flight and compensate them for associated costs.

A man accused of driving his truck into a march for B.C. residential school survivors two years ago has been found guilty of dangerous driving.

Local Spotlight

Giant gourds took over a Manitoba community this weekend.

Fire has destroyed a barn and 17,000 plants at a family-owned business in Lower Coverdale, N.B.

Before influencers on social media, Canada’s Jeanne Beker was bringing the world of high fashion down to earth and as Calgary’s Glenbow Museum gets a major make-over, it will include a new exhibition showcasing the pop culture icon.

A sea lion swam free after a rescue team disentangled it near Vancouver Island earlier this week.

A Nova Scotian YouTuber has launched a mini-truck bookmobile.

Cole Haas is more than just an avid fan of the F.W. Johnson Wildcats football team. He's a fixture on the sidelines, a source of encouragement, and a beloved member of the team.

Getting a photograph of a rainbow? Common. Getting a photo of a lightning strike? Rare. Getting a photo of both at the same time? Extremely rare, but it happened to a Manitoba photographer this week.

An anonymous business owner paid off the mortgage for a New Brunswick not-for-profit.

They say a dog is a man’s best friend. In the case of Darren Cropper, from Bonfield, Ont., his three-year-old Siberian husky and golden retriever mix named Bear literally saved his life.

Stay Connected