QSA's Week in Defence (#48, 2025)

Canada launches $357.7M Regional Defence Investment Initiative; new Joint Forces Command established; major defence sector investments in Atlantic, Prairies, BC, Ontario, and North; $200M Canadian funding for Ukraine; US FCC proposes sweeping space licensing overhaul; US-India anti-submarine warf...

QSA's Week in Defence (#48, 2025)

Good morning! This is Queen Street Analytics' weekly roundup of regulatory developments, legislative discussions, political announcements and other government-related news concerning Canada's national defence, cybersecurity, border security, weapons systems, military commitments, and the Canadian Armed Forces (CAF), Royal Canadian Navy (RCN) and Royal Canadian Air Force (RCAF). Every Monday, we break down the most important updates in this space in under five minutes.

Want to track GR news in industries related to Defence? Don’t miss this week’s updates in ICT & Cybersecurity.

Dates: 2025-11-30 to 2025-12-06

📋 In This Week's Newsletter

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


This Week's Parliamentary Calendar

Canadian Federal Government News

Canada Launches $357.7M Regional Defence Investment Initiative (RDII)

The Government of Canada has announced the launch of the Regional Defence Investment Initiative (RDII), committing $357.7 million over three years to expand domestic defence industrial capacity. The program, led by Innovation, Science and Economic Development Canada and National Defence, targets research, supply chain growth, and critical resource stockpiles, with particular emphasis on supporting small- and medium-sized defence businesses. Regional Development Agencies will administer the initiative, aiming to help firms scale, innovate, and access both domestic and international defence supply chains. The RDII is positioned as an early component of Canada’s forthcoming Defence Industrial Strategy, with the objective of reinforcing the Canadian Armed Forces’ equipment readiness and industrial resilience nationwide.

Sources: www.canada.ca
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Defence Sector Funding Opens Across Multiple Regions

Federal ministers have made coordinated announcements opening RDII funding for defence firms in Atlantic Canada ($38.2M), Southern Ontario ($94.7M plus $106M reallocated), the Prairies ($48.2M), Northern territories ($40.5M), and British Columbia ($63.1M). These regional allocations are structured to help businesses invest in advanced technologies, pursue certifications, and compete for contracts with major defence and security partners. Applicants can seek support for projects in marine, aerospace, shipbuilding, cyber resilience, simulation, and sensor technologies. Not-for-profits working with defence businesses are also eligible in some regions. Information sessions are being organized via Regional Development Agencies to assist prospective applicants.

Sources: www.canada.ca, www.canada.ca, www.canada.ca, www.canada.ca, www.canada.ca

Canadian Joint Forces Command Officially Established

On November 25, 2025, the Canadian Armed Forces established the Canadian Joint Forces Command (CJFC), with Lieutenant-General Darcy Molstad and Chief Warrant Officer Donovan Crawford leading as the inaugural command team. The CJFC centralizes leadership, development, and management of joint capabilities spanning land, sea, air, cyber, and space domains. The new structure integrates logistics, health services, operational sustainment, doctrine, and force development under a unified command, aiming to address previously identified gaps in joint capability generation. Bill C-11, currently before Parliament, could further alter the reporting structure for the Canadian Forces Provost Marshal, should it receive Royal Assent. The CJFC is expected to enhance interoperability and operational flexibility both domestically and with allied partners.

Sources: www.canada.ca, www.canada.ca

Canada Announces $200M in Critical Military Equipment for Ukraine

The Honourable David J. McGuinty, Minister of National Defence, has announced a $200 million Canadian contribution to NATO’s Prioritised Ukraine Requirements List (PURL), sourcing a package of military capabilities from the United States. The package, valued at approximately USD $500 million, includes air defence, ammunition, and other urgently requested equipment. This move builds on Canada’s previous PURL support and brings the country's total PURL contributions to roughly CAD $892 million since August 2025. Canada’s cumulative military assistance to Ukraine now exceeds $6.5 billion since February 2022.

Sources: www.canada.ca

Canada Signs Joint Statement of Intent for Icebreaker Collaboration with US and Finland

Canada has signed a trilateral Joint Statement of Intent with Finland and the United States to advance the Icebreaker Collaboration Effort (ICE) Pact. The agreement, formalized in Washington, D.C., aims to increase industrial cooperation in icebreaker construction, support domestic shipbuilding industries, and facilitate workforce development and joint research. The ICE Pact will allow the three countries to expand their icebreaker fleets and address polar and Arctic operational requirements. Industry engagement is underway, with a recent Industry Day following the signing.

Sources: www.canada.ca

Senate Committee Reviews Bill C-15 and Aeronautics Act Amendments

The Standing Senate Committee on Transport and Communications met to discuss Bill C-15, focusing on amendments to the Aeronautics Act. Proposed changes include extending emergency order durations, introducing performance-based regulations, modernizing liability and document service frameworks, and establishing a new drone security regime. Increased penalties for violations and a voluntary safety information sharing model are also on the table. Witnesses from Transport Canada, NAV Canada, CATSA, and the Transportation Safety Board expressed support for modernization efforts, while raising questions about data access for investigations and the balance between voluntary and mandatory reporting. The committee requested additional written submissions by December 17, 2025.

Sources: senparlvu.parl.gc.ca

Minister Anandasangaree Announces Steps to Strengthen Firearms Regime

Public Safety Minister Gary Anandasangaree has announced three measures to strengthen Canada’s firearms classification and control regime. New regulations for Protection Orders, as called for under former Bill C-21, have been tabled in Parliament, aiming to support mandatory licence refusal and revocation requirements. Regulatory amendments would also require all manufacturers and importers to share technical data with the Registrar of Firearms before any firearms are manufactured or imported. The government will soon launch a comprehensive review of the firearms classification regime, incorporating consultation with industry, Indigenous communities, and firearms owners. A broad review of the legal framework for firearms, devices, magazines, and ammunition is planned, with new advisory group participation.

Sources: www.canada.ca

Canadian Armed Forces Search and Rescue Crew Honoured for Bravery

Members of 103 Search and Rescue Squadron received the International Maritime Organization’s Certificate of Commendation for Exceptional Bravery at Sea for their actions during the rescue of the MSC Baltic III crew in February 2025. The operation required hoisting 20 crew members from a rapidly deteriorating vessel in severe weather off Newfoundland, using a CH-149 Cormorant helicopter. The award recognizes the exemplary teamwork, communication, and adaptability of the Canadian Armed Forces SAR crews.

Sources: www.canada.ca

Government Schedules Strategic Arctic Partnership Announcement

Public Services and Procurement Canada will announce a strategic partnership to support Canadian Armed Forces operations in the Arctic. Ministers Joël Lightbound, David J. McGuinty, and Secretary of State Stephen Fuhr will hold a press conference on December 9, 2025, in Ottawa. The partnership is expected to support domestic and continental defence activities in the North.

Sources: www.canada.ca, www.canada.ca

Senate Committee Reviews Canadian Support to Ukraine

The Senate Committee on Foreign Affairs and International Trade heard testimony from Ukraine’s Ambassador Andrii Plakhotniuk and officials from Global Affairs Canada. Topics included ongoing peace negotiations, Ukraine’s need for air defence systems and repair equipment, and the broader international response to Russian aggression. Canadian officials presented updates on humanitarian and military support, private-sector engagement in reconstruction, and assistance with forced transfers of Ukrainian children. The hearing also addressed NATO membership, sanctions, and Ukraine’s election process.

Sources: senparlvu.parl.gc.ca

Canadian Provincial Government News

Alberta Introduces Motion Opposing Federal Gun Seizure Program

The Government of Alberta will introduce a motion instructing all provincial entities, including law enforcement, to decline participation in the federal gun seizure program. The motion asserts Alberta’s right to defend law-abiding firearms owners and clarifies that reasonable self-defence will not be criminalized.

Sources: www.alberta.ca

What We're Reading This Week

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