U.S. military dependence ought to be reduced, according to Carney's assertion.
Mark Carney, Canada's Prime Minister, is determined to lessen the country's military reliance on the United States, given the ongoing commercial and diplomatic squabbles with Washington. To achieve this, the government is planning to invest a massive $9 billion into beefing up national defense by the end of the 2025-2026 fiscal year.
In an address in Toronto, Carney acknowledged the aging state of Canada's military infrastructure and equipment, and the country's excessive dependence on the U.S. Only one of four submarines is operational, and less than half of land and maritime vehicles are functioning.
The new investments will aid Canada in reaching its target of 2% of GDP spent on defense by the year's end. This means NATO's target will be achieved five years before it was initially promised during the spring election campaign.
The $9 billion investment includes $2.6 billion for the recruitment and retention of military personnel, $844 million for fixing infrastructure and equipment, and $2 billion to develop partnerships outside the U.S.
"We should no longer be channeling three-quarters of our military investments towards the U.S.," Carney asserted during his speech.
The trade spat of recent months necessitates a change in Ottawa's strategy, notes Justin Massie, a full professor and Department of Political Science director at the University of Quebec in Montreal (UQAM). "It's evident that Canadians don't want billions flowing into the U.S. economy while it's locked in a tariff war," Massie stated in an interview.
The Defense Department will now integrate defense-related spending from other ministries and agencies, increasing the military budget from $38.3 billion in 2024 to $53.4 billion in 2025. With the new spending of $9.3 billion, defense investments will reach $62.7 billion - the amount required to reach the 2% GDP threshold based on NATO's calculation, a senior official explained.
Although Ottawa seeks to diversify its partnerships, increasing military spending may help appease President Trump since negotiations are underway on a new trade and security agreement. Last year, Canada spent $30.5 billion (1.4% of its GDP) on defense, compared to $967.7 billion (3.4% of GDP) by its southern neighbors.
Carney admitted that these new defense investments could reassure the American president, but asserted that the move is primarily for Canada and its NATO allies. This surge in military spending could signal a change in Canada's military culture, given its usual bureaucratic pace. For example, the Defense Ministry has struggled to spend its entire budget for several years. However, Carney assures that part of the new envelope will be spent rapidly, particularly that intended for Canadian Armed Forces personnel.
Overall, Carney's defense strategy is an attempt to strengthen Canada's sovereignty and military capabilities while lessening its dependence on the U.S. This move could lead to both increased autonomy and potential shifts in diplomatic dynamics with Washington.
The Canadian government's $9 billion military investment, as announced by Prime Minister Mark Carney, aims to boost national defense and reduce dependence on the U.S., given ongoing trade disputes. As resistance to billions flowing into the U.S. economy escalates during the tariff war, this investment could also serve as a diplomatic move to appease President Trump, while primarily intended for Canada and its NATO allies.
