July 26, 2026 to August 01, 2026

This is Queen Street Analytics' weekly digest of regulatory developments, legislative discussions and other government-related news concerning Canada's national defence, cybersecurity, weapons systems, military commitments, and Canadian Armed Forces (CAF), Royal Canadian Navy (RCN) and Royal Canadian Air Force (RCAF). Once a week, 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 and Foreign Affairs. Also consider subscribing to our Defense - Washington edition covering critical GR news south of the border.

📋 In This Week's Newsletter

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

Federal Government News

Minister McGuinty convenes defence industry and investment leaders in Toronto to accelerate Canada's Defence Industrial Strategy

On July 28, Minister David J. McGuinty gathered pension fund executives and defence sector representatives in Toronto to assess progress on Canada's Defence Industrial Strategy. The Business Development Bank of Canada, via its $6 billion Defence Platform, has doubled its loan book, now nearing $1 billion and supporting 130 SMEs six months post-launch. Export Development Canada reported $2 billion in support for defence and security firms since its sector expansion in 2025, with $1.1 billion directed to over 60 companies in 2026. Discussions covered opportunities to foster strategic projects, particularly infrastructure, and included senior leadership from BDC, EDC, and Canada's largest pension funds. Government is seeking to attract global investment in the sector ahead of the Canada Investment Summit for major defence and dual-use initiatives.

Sources: www.canada.ca

GIT Coatings receives federal funding to expand marine coating production in Dartmouth, Nova Scotia

GIT Coatings Inc. has been awarded a repayable federal contribution of $737,500, announced by MP Braedon Clark on July 29. The funds will finance a production mixer for the company’s new icebreaking hull coating, aimed at defence and security vessels. The project will also create access to specialized expertise for expanding into defence markets. The announcement, made on behalf of Minister Sean Fraser, is part of ongoing efforts to build resilient and sovereign supply chains in the marine and defence sectors across Canada.

Sources: www.canada.ca

Government announces $2.7 million investment to bolster Northeastern Ontario’s defence sector

Minister Patty Hajdu unveiled $2,700,909 through FedNor on July 31 for two key defence projects in North Bay. International Test Pilots School (ITPS) will relocate its International Tactical Training Centre to Jack Garland Airport, supported by $1.5 million for hangar renovation and equipment, establishing North Bay as an aerospace training hub and creating approximately 60 jobs. SKADI Cyber Defense Corporation will receive $1,200,909 to advance the Frostbow™ AI Cyber Defense system, targeting autonomous real-time network threat management. Both projects benefit from the Regional Defence Investment Initiative to boost manufacturing and cyber resilience within Canada’s defence supply chain.

Sources: www.canada.ca

Canadian Armed Forces conduct Arctic mobility and engineering support during Operation NANOOK-QIMAAVIVUT

Operation NANOOK-QIMAAVIVUT, launched July 30 and carried through September 2026, involves engineering reconnaissance and infrastructure assessments in the Arctic, including Resolute Bay, Nunavut and the Labrador coast. CAF personnel are surveying airfields and evaluating sustainment requirements for remote operations. These activities, integrated with NATO’s ARCTIC SENTRY initiative, contribute to Canada’s Arctic defence readiness and inform operational planning for year-round military engagement in northern environments.

Sources: www.canada.ca

Minister Hajdu schedules FedNor funding announcement targeting defence sector expansion in Northern Ontario

On July 31, Minister Patty Hajdu, alongside Parliamentary Secretary Pauline Rochefort and MP for Nipissing-Timiskaming, will deliver a FedNor funding announcement at ITPS Canada, North Bay, supporting business participation in the defence sector and permitting media Q&A on site.

Sources: www.canada.ca

Velocity Machining & Welding secures federal investment to accelerate component production for aerospace and marine supply chains

Braedon Clark, MP for Sackville—Bedford—Preston, announced on July 28 a $875,500 repayable federal investment in Velocity Machining & Welding Inc., Dartmouth. The funds will be used to install advanced machining equipment, enhancing production speed and capacity for aerospace, marine, and transportation sectors. The automated technology is also positioned to address skilled labour shortages by increasing facility output without expanding workforce size. Minister Sean Fraser was cited as the announcement’s sponsor.

Sources: www.canada.ca

Ocean Steel & Construction receives federal support for modernization amid international tariff challenges

On July 29, the Honourable Wayne Long, Secretary of State (Canada Revenue Agency and Financial Institutions), announced $750,000 in federal investment at Ocean Steel & Construction Ltd., Saint John, NB. Funds will enable modernization with CNC cutting equipment, automated plate handling, and robotic welding, improving digitalization, efficiency, and safety while aiding tariff compliance and adaptation to global market shifts. The initiative is part of the Regional Tariff Response Initiative, under Minister Sean Fraser’s portfolio.

Sources: www.canada.ca

Minister Sidhu launches Canada’s Strategic Exports Office and Advisory Council to coordinate high-impact defence and aerospace exports

On July 30, Minister Maninder Sidhu announced the establishment of the Strategic Exports Office (SEO) within Global Affairs Canada, working closely with Export Development Canada. The new office is tasked with identifying and advancing large-scale export opportunities in strategic sectors such as aerospace and defence. The Strategic Exports Advisory Council was launched with 14 senior industry figures representing influential companies including CAE, De Havilland, Bombardier, MDA Space, Telesat, and OpenText. The Council will provide direct feedback and strategic guidance related to export opportunities and trade diversification, with a stated goal of doubling Canadian exports outside the US by 2035.

Sources: www.canada.ca

Provincial Government News

Premier David Eby issues statement marking Korean War Veterans Day in British Columbia

Premier Eby commemorated the 73rd anniversary of the Korean Armistice, naming those who served and lost their lives in support of South Korea, and referenced ongoing ties between the province and the Republic of Korea.

Sources: news.gov.bc.ca

Government Consultations

Public consultation launches on due diligence and civil liability measures for labour exploitation in supply chains

Employment and Social Development Canada opened consultations on July 27 regarding potential due diligence and liability obligations for businesses to address forced labour risks. Input is being gathered until August 21 via roundtables and written submissions.

Sources: Share your views: Measures to address forced labour and labour exploitation in global supply chains

Transport Canada seeks feedback on amendments to Aircraft Marking and Registration Standard

Transport Canada is soliciting public comments until August 7 to align Standard 222 with regulatory changes published in Canada Gazette, Part I.

Sources: wwwapps.tc.gc.ca

What We're Reading This Week

• Titan Secures Strategic Supply Agreement with U.S. Aerospace and Defense Manufacturer: Canadian firm Titan gains access to U.S. defence supply chains through a new partnership.
• Ukraine's Former Defense Minister Links His Dismissal to Defense Procurement Reforms: Ukraine’s ex-defense minister attributes his exit to changes in procurement processes.
• Defence must be the military’s top priority, not economic development: Editorial discusses strategic focus in military spending.

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