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: 2025-12-07 to 2025-12-13

📋 In This Week's Newsletter

• 🇨🇦 Canadian Federal Government News
• 🗺️ Canadian Provincial Government News
• 📚 What We're Reading This Week

Canadian Federal Government News

Government of Canada announces $753 million contract for Bombardier Global 6500 aircraft for RCAF

On December 12, the Government of Canada awarded Bombardier a contract to supply six Canadian-built Global 6500 aircraft for the Royal Canadian Air Force under the Airlift Capability Project – Multi-role Flight Service. The contract, valued at approximately $753 million CAD, includes delivery of the aircraft starting summer 2027, with initial operational capability expected by year-end. The project will replace the existing CC-144 Challenger fleet and support utility flights, aeromedical evacuations, disaster relief, and security missions. The deal also encompasses training for aircrew and maintenance personnel, plus military modifications to meet operational requirements. More than 60 Canadian suppliers will contribute to production, with upwards of 900 direct and indirect jobs supported. The procurement is among the first to proceed via the new Defence Investment Agency, signaling a shift in federal defense acquisition processes.

Sources: www.canada.ca

CBSA year-end results highlight enforcement at air and ground borders nationwide

The Canada Border Services Agency released a national summary detailing activities from January through October 2025, with focus areas including organized crime interdiction, removal of inadmissible individuals, and protection of trade lanes. CBSA personnel intercepted 30,791 kg of illegal drugs, up from 25,600 kg the previous year. Seizures included over 13,500 dangerous weapons—of which more than 740 were firearms—and over 1,320 stolen vehicles. Officers processed nearly 4.3 million commercial trucks and collected $40.6 billion in duties and taxes, maintaining flows comparable to previous years. CBSA also processed over 70 million travelers, reflecting a 12% year-over-year decline in volumes. Notably, activities resulted in the removal of nearly 19,000 foreign nationals for Immigration and Refugee Protection Act violations, 841 of whom were classified as serious inadmissibility cases. The agency underscored the recruitment of 1,000 new officers pursuant to Budget 2025 and the Border Plan, boosting enforcement capacity at 1,200 ports of entry.

Sources: www.canada.ca

CBSA serves $36.9M penalty for undeclared vehicle exports

On December 8, CBSA announced a $36.9 million penalty against an Ontario business owner for failing to declare the export of over 2,300 used vehicles, following a multi-year investigation led by CBSA’s Criminal Investigations Section in Halifax. The probe, initiated in 2021, targeted the shipment of vehicles to West Africa without required export declarations under the Customs Act. Two search warrants in London produced extensive records and evidence, with the business owner facing penalty equivalent to the entire value of the undeclared vehicles. The investigation involved cooperation with FINTRAC, U.S. Customs and Border Protection, Homeland Security Investigations, Canadian and municipal law enforcement, and federal prosecution services.

Sources: www.canada.ca

CBSA Ontario and Nunavut: 2025 highlights span commercial, import/export, safety and security operations

CBSA reported operational data across Ontario and Nunavut for January to October 2025. Key figures included over 4,000 narcotic and tobacco seizures—amounting to more than 1,600 kg of cocaine and 350 kg of methamphetamines—352 firearms seized, 5,675 parts for firearms, and $1.6 million in undeclared currency. Detector dog teams led to 264 firearm/narcotics seizures, and 148 people were arrested for impaired driving-related offences. The Ontario Firearms Smuggling Enforcement Team executed 12 search warrants and laid 164 charges. At Toronto Pearson, CBSA staff coordinated multi-agency response for a Delta flight crash in February. Export container checks yielded 187 stolen vehicles, valued at $11.6 million, intercepted prior to leaving the country. CBSA teams in Nunavut expanded "Boarding at Sea" training for staff operating in Arctic conditions, with operations at Iqaluit International Airport cited.

Sources: www.canada.ca

CBSA British Columbia and Yukon: Seizure statistics and cross-border activity updates

Between January and October 2025, CBSA in British Columbia and Yukon reported 10,428 narcotic seizures (including over 1,000 kg of methamphetamine and 727 kg of cocaine) and 2,344 firearms/prohibited items confiscated. Officers intercepted 185 stolen vehicles valued at $13 million and removed 1,245 inadmissible individuals. In one notable case at Vancouver International Airport in September, officers seized 241 kg of meth and 319 kg of cocaine shipped as car parts to Australia. May saw the interception of 4,300 litres of precursor chemicals destined for fentanyl production. Investigations included trade violations, with a $52 million assessment issued for classification irregularities by a food merchant, and legal action following illegal firearm component seizures.

Sources: www.canada.ca

CBSA Quebec Highlights: Drug interdiction, firearms enforcement, and traveler volumes

In Quebec, from January to October, CBSA reported 3,590 narcotics seizures and confiscated 288 firearms and prohibited items—including 44 firearms and 2,327 firearm/magazine parts. Officers intercepted $17.5 million in undeclared currency and 818 stolen vehicles. Major incidents this year included the seizure of 142 kg of cocaine in a rail container from Mexico via the U.S., trafficking arrests tied to ketamine shipments, and cash/gold bars seized from departing travelers at Montréal-Trudeau Airport. Quebec CBSA officers handled over 10.8 million travelers and processed nearly 420,000 commercial trucks.

Sources: www.canada.ca

CBSA Atlantic Canada: Air, marine enforcement activity and inspections

CBSA in Atlantic Canada documented 728 narcotics seizures, 135 firearms/prohibited items seized, and 14 impaired driver arrests between January and October. Officers made a shipment-level interception of 6,700 kg of cannabis bound for Scotland and 31.5 kg of opium from the UAE. Responding to 67 air diversions in Newfoundland and Labrador, CBSA processed emergency landings that required document and traveler clearance. Halifax operations also flagged counterfeiting cases and facilitated inland enforcement cases involving foreign labor documentation.

Sources: www.canada.ca

CBSA Manitoba and Northwest Territories: Inspection and enforcement outcomes

For Manitoba and the Northwest Territories, CBSA reported 341 narcotic seizures and 55 firearms/prohibited items confiscated in 2025. January’s enforcement saw a Forest, Manitoba resident sentenced for firearm suppressor import violations. June marked a five-year prison term following ghost gun component manufacturing and trafficking charges. CBSA undertook trade enforcement actions, including a $1.71 million GST/interest assessment for improper food item imports.

Sources: www.canada.ca

CBSA Alberta: Notable drug, firearms, and vehicle seizures

In Alberta, 1,118 narcotic seizures—including 293 kg of cocaine and 30 kg of methamphetamines—were executed during the reporting period, along with 159 seizures of firearms/prohibited items. Noteworthy incidents included multiple major drug seizures at the Coutts port of entry from U.S. commercial vehicles, an $8,000 fine related to firearm smuggling, and trade enforcement measures for $1.08 million in steel/aluminum surtax. Calgary Commercial Operations intercepted stolen vehicles destined for export.

Sources: www.canada.ca

CBSA Saskatchewan: Border enforcement and functional inspections

Saskatchewan CBSA officers executed 196 narcotic seizures, 25 firearms/prohibited items seizures, and conducted multiple interventions with U.S. travelers carrying undeclared weapons. Officers processed over 480,000 travelers and checked 110,000 commercial trucks. April and May saw penalties issued and entry denials linked to illegal weapon possession at North Portal port of entry.

Sources: www.canada.ca

Canada marks International Civil Aviation Day, affirms continued ICAO engagement

On December 7, Minister of Transport Steven MacKinnon issued a statement for International Civil Aviation Day, reiterating Canada’s historic participation as a founding member of the International Civil Aviation Organization (ICAO) and host city status for ICAO’s Montreal headquarters. The government previewed ongoing priorities such as supporting ICAO’s No Country Left Behind initiative, promoting advancements in accessibility, safety in conflict zones, and assistance for accident victims. MacKinnon highlighted September’s 42nd ICAO Assembly in Montreal, where a record number of member states attended.

Sources: www.canada.ca

Government announces Arctic military satellite communications partnership with Telesat and MDA Space

On December 9, the federal government revealed a strategic partnership with Telesat and MDA Space to bolster the Canadian Forces’ military satellite communications under the Enhanced Satellite Communications Project – Polar, led by the Defence Investment Agency. The initiative will deliver wideband and narrowband satellite connectivity for Arctic operations, leveraging domestic industry presence and aiming to support NATO and NORAD priorities alongside Canada’s domestic defense industrial base.

Sources: www.canada.ca

Canadian Provincial Government News

Alberta appoints and reappoints members to Strategic Aviation Advisory Council

Effective January 1, 2026, Alberta reappointed Denean M. Tomlin and appointed Andre Corbould to the Strategic Aviation Advisory Council, with terms expiring December 31, 2029.

Sources: www.alberta.ca

What We're Reading This Week

• Air Transat pilots notch big wage gains in deal where income was biggest hurdle: Air Transat pilots secured significant pay increases in a new agreement after income remained the main bargaining challenge.
• Air Transat pilots’ strike: Will my flight be cancelled? Here’s what you need to know: Coverage examines potential impacts for passengers amid strike activity by Air Transat pilots.
• Flight academy boosts Medicine Hat airport traffic: Growth at a local flight academy has driven a marked increase in air traffic at Medicine Hat airport.
• Smiths Detection's SDX 100100 DV HC Added to TSA Air Cargo Screening Technology List: The TSA now includes Smiths Detection’s SDX 100100 DV HC system on its air cargo screening technology list.
• North Bay considers $122M deal to expand chemical cleanup at the airport: North Bay officials weigh a substantial investment to continue chemical remediation at the city’s airport.
• Air Canada’s 2025 12 Days of Holiday Cheer: A Year of Expanding Global Connections and Elevating the Passenger Experience: Air Canada’s end-of-year messaging spotlights expanded routes and service initiatives throughout 2025.
• As Bombardier unveils ‘world’s fastest business jet,’ CEO says he’s unsure of Saab’s jobs claim: Bombardier’s CEO discusses product launches and industry employment claims surrounding new business jet releases.
• Travel experts share advice for passengers on vacation as Air Transat strike looms: Experts offer tips for passengers potentially affected by upcoming labor action at Air Transat.
• Filming disputes at airports and nicotine pouches illegally sold across Canada: CBC's Marketplace cheat sheet: Marketplace covers several aviation-adjacent issues, including airport filming disputes and nicotine sales.
• StatCan: Aircraft movements weekly update: New weekly aircraft itinerant movement data is now available for late November.

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