QSA's Week in Aviation (#45, 2025)
Buy Canadian Policy launched; Budget 2025 airport upgrades; FAA restricts US flights, pauses space launches; Boeing MD-11s grounded after incident; EPA proposes refrigerant rule updates
Good morning! This is Queen Street Analytics' weekly roundup of regulatory developments, legislative discussions, political announcements and other government-related news for the airline and airports industry, as well as pilots and other aviation-professionals. Every Monday, we break down the most important updates in this space in under five minutes.
Want to track the upstream and downstream forces affecting Aviation? Don’t miss this week’s updates in Oil & Gas, Freight & Ports and Defence.
Dates: 2025-11-09 to 2025-11-15
📋 In This Week's Newsletter
• 🇨🇦 Canadian Federal Government News
• 🇺🇸 US Federal Government News
• 📚 What We're Reading This Week
Canadian Federal Government News
Government launches Buy Canadian Policy with targeted funding for industrial capacity
On November 10, 2025, Minister Mélanie Joly outlined nearly $186 million in new federal funding to roll out the Buy Canadian Policy, following its September launch. This funding is aimed at making government procurement a tool for domestic economic growth, initially targeting sectors such as defence, construction, and aerospace. The policy obliges federal departments, agencies, and Crown corporations to source locally, allocating $98.2 million over five years to Public Services and Procurement Canada and $7.7 million over three years to the Treasury Board Secretariat for implementation. An additional $79.9 million over five years will support the Small and Medium Business Procurement Program. Full policy application is expected by Spring 2026 and could affect as much as $70 billion of new public investment spanning infrastructure and strategic project streams, including VIA Rail and emerging high-speed rail. The phased approach prioritizes domestic supply chains and market competition.
Sources: www.canada.ca

Budget 2025 invests in regional airport infrastructure and infrastructure programs
On November 12, 2025, federal Transport Minister Steven MacKinnon announced plans under Budget 2025 to invest in key projects such as the extension of Îles-de-la-Madeleine Airport's runway. The facility, owned by Transport Canada, is considered critical for both passenger movement and supply logistics in the Magdalen Islands. The Build Communities Strong Fund under this budget allocates $51 billion over ten years—$17.2 billion for provincial and territorial infrastructure projects plus $6 billion for regionally significant projects. The government also pegged $27.8 billion toward local road, bridge, and water infrastructure. These investments are part of a broader strategy to boost Canadian economic independence and support community-scale infrastructure, including health care, education, and transit.
Sources: www.canada.ca
Weekly aircraft movement data and declining international arrivals reported
Statistics Canada released two new datasets for the aviation sector in the reporting period. Weekly aircraft movements for October 25–31, 2025, are now available, providing operators, airports, and service providers with up-to-date activity levels across the country. Separately, preliminary figures for October 2025 show that international arrivals to Canada (by air and automobile) stood at 4.6 million—representing a 12.6% decline from October 2024, and marking the ninth straight month of year-over-year decreases. This trend may affect passenger demand, airport operations, ground handling, and related service sectors.
Sources: www.statcan.gc.ca, www.statcan.gc.ca
CSIS Director reviews threats to national security with reference to aviation sector risks
In the annual speech on November 13, 2025, Dan Rogers, Director of CSIS, cited an increasingly complex and contested security environment. Rogers specifically mentioned that hostile actors have sought to exploit commercial transport channels, including aviation and courier networks, for espionage and procurement of controlled goods. CSIS has intervened in cases involving attempts to divert Canadian technologies, including those with defence and aerospace applications, to sanctioned states. The director also detailed coordination with federal agencies such as Global Affairs Canada and domestic industry groups on countering foreign interference and transnational repression, including in procurement channels and Arctic economic activities. Changes in technology and supply chain data flows—including in the aviation supply chain—have prompted CSIS to develop closer partnerships with private sector and industry groups.
Sources: www.canada.ca
Annual international trade in services up in 2024, driven by air travel
Statistics Canada reported on November 13, 2025, that Canada’s international exports of services reached $231.7 billion in 2024, up 5.9% from the previous year. Imports likewise increased by 7.2% to $230.2 billion. Strongest growth was attributed to international travel, a segment that includes commercial passenger air services and related sectors, indicating persistent demand in outbound service markets.
Sources: www.statcan.gc.ca
Remembrance Day marked with national RCAF flypasts
On November 11, 2025, the Royal Canadian Air Force conducted coordinated flypasts across Canada for Remembrance Day, with CF-18 Hornets designated for National Capital Region ceremonies. Aircraft from RCAF wings participated in events in urban and regional centres from Vancouver to Halifax. The flypasts required controlled airspace and precise scheduling, involving multiple aircraft types (e.g., CC-177 Globemaster, CC-130J Hercules, CH-146 Griffon) to ensure public safety at planned minimum altitudes.
Sources: www.canada.ca
Tourism ministers discuss air access, rural connectivity, and major events
At the Canadian Council of Tourism Ministers meeting in Winnipeg on November 13, 2025, federal and provincial leaders met to discuss air competitiveness, rural connectivity, ferry services, and infrastructure priorities. Federal Deputy Minister of Transport joined ministers for policy discussions on air travel and regional access. The session addressed transportation’s role in sector resilience, particularly ahead of major events such as FIFA World Cup 26™, where air travel demand is expected to surge. The council renewed working group mandates for 2026 to maintain competitiveness and manage emergency risks to tourism, affecting flight operations and airport infrastructure.
Sources: www.canada.ca
Commemorative investment for Ukraine International Airlines Flight 752 victims
On November 9, 2025, Parliamentary Secretary Ali Ehsassi announced a federal contribution of up to $400,000 from Budget 2025 towards a memorial in Richmond Hill, Ontario, dedicated to the victims of Ukraine International Airlines Flight 752. The project is part of the Build Communities Strong Fund, which is distributing $51 billion over 10 years, including support for transit and infrastructure. The memorial will honour 85 Canadians and permanent residents killed in the 2020 incident, with broader infrastructure funding designed to reinforce national, local, and regional transport assets.
Sources: www.canada.ca
Manufacturing sales rise sharply with transportation equipment growth
Statistics Canada published its September 2025 Monthly Survey of Manufacturing on November 14, reporting a 3.3% increase in sales, with transportation equipment and petroleum/coal products sectors leading activity. Total manufacturing sales rose 2.8% for the quarter. The jump in transportation equipment manufacturing includes aerospace components and airframe suppliers, affecting procurement and production levels for the commercial and defence aviation segments.
Sources: www.statcan.gc.ca
US Federal Government News
FAA issues emergency order curtailing flight operations at 40 major US airports
Effective November 7, 2025, the FAA mandated a phased 10% reduction in scheduled domestic operations at 40 key US airports as a response to air traffic controller staffing shortages linked to the federal appropriations lapse. The order covers both Part 121 and scheduled 135 air carriers and requires reductions to reach the 10% level by November 14, 2025. Slot management, antitrust considerations, and even distribution of flight cuts are stipulated. General aviation at impacted airports may also see reductions. The order further suspends all commercial space launches and reentries during key daytime hours (10:00 p.m.–6:00 a.m. local only) and sets out provisions for potential termination of ATC services under critical staffing conditions. Civil penalties are specified for non-compliance.
Sources: www.federalregister.gov
Boeing MD-11 and MD-11F fleets grounded after engine-pylon separation incident
On November 14, 2025, the FAA adopted an emergency airworthiness directive prohibiting further flight of all Boeing MD-11 and MD-11F aircraft until inspections and corrective actions are completed per FAA-approved methods. This action follows a November 8 incident in which a left-hand engine and pylon separated from an aircraft during takeoff. The directive affects 109 US-registered aircraft, mandates immediate compliance, and restricts special flight permits. The root cause is under investigation.
Sources: www.federalregister.gov
EPA proposes rule updating refrigerant and fire suppressant listings in aviation and space
The US EPA published a proposed rule on November 10, 2025, updating the Significant New Alternatives Policy (SNAP) program for refrigeration, air conditioning, and fire suppression sectors. The proposal lists new refrigerant blends and fire suppressants—including for aircraft fire systems—alongside updated safety and labelling requirements. For aviation, the rule references uptake of new alternatives for both air and ground operations and includes changes to marking, testing standards, and sector-specific charge limits. Public comments are due December 26.
Sources: www.federalregister.gov
FAA updates instrument approach and departure procedures at multiple airports
On November 13, the FAA finalized amendments to standard instrument approach, takeoff, and obstacle departure procedures for numerous airports, including updates to navigation aids and minimums. The actions ensure ongoing operational safety and conformance with current airspace infrastructure.
Sources: www.federalregister.gov
US commerce renews denial order for Rossiya Airlines over export control violations
On November 13, 2025, the Department of Commerce continued its Temporary Denial Order against Rossiya Airlines for ongoing violations of US export controls. The order prohibits the carrier from participating in transactions involving items subject to the Export Administration Regulations, except for activities directly related to safety of flight, following evidence of unauthorized use of US-origin aircraft on international and domestic routes within Russia.
Sources: www.federalregister.gov
What We're Reading This Week
- Waiting in the Wings: N.S. company could benefit from potential jet deal: Nova Scotia-based aerospace suppliers track emerging opportunities tied to proposed jet procurement.
- U.S. flight cuts upset travel plans, supply chains: Airlines and shippers react to flight cancellations and delays as US flight operations trimmed.
- Made-in-Canada fighter jets could spark 10,000 jobs: Saab CEO: Saab's leadership describes the potential economic impact of local jet manufacturing negotiations.
- Air Canada passengers affected by strike cancellations this summer are still waiting, fighting for claims: Reports on ongoing claims and customer impacts following labour-related airline disruptions.
- FAA takes first steps to restore flights after shutdown strain, but some limits remain: FAA begins easing emergency airspace measures following staff shortages, with gradual resumption of services.