Canada, Ukraine to expand drone production in new long-term defence partnership

Canadian Prime Minister Mark Carney and Ukrainian President Volodymyr Zelenskyy announced the initiatives during Zelenskyy’s visit to Canada, including plans for joint production of uncrewed systems, counter-drone technologies and priority munitions.

Canada will establish a national Defence Drone Initiative Marketplace, designed to connect military and other government users with Canadian suppliers of uncrewed and counter-uncrewed systems.

The government said it has awarded initial contracts worth up to C$50 million ($37 million) to increase the number of drones currently deployed by the Canadian Armed Forces tenfold.

Ottawa said it aims to build the industrial capacity to produce millions of drones over the next two years.

The initial contracts cover intelligence, surveillance and reconnaissance drones and uncrewed ground vehicles and involve six suppliers, including Beonyx, AVSS, Volatus Aerospace, Twenty20 Insight, Draganfly and Objexis AI.

The initiative is modelled on Ukraine’s Brave1 defence innovation platform and is intended to draw on Kyiv’s battlefield experience with drones while expanding Canadian manufacturing, engineering and supply-chain capabilities.

Canada and Ukraine are also developing a government-to-government partnership to jointly produce uncrewed systems, counter-drone technologies and priority munitions.

General Dynamics Mission Systems-Canada and Ukrainian company Green Tech Harvest will separately work on the development and production of drones and related technologies.

The announcement comes as drones have become an increasingly important element of the war in Ukraine, where both sides have used uncrewed systems for reconnaissance, strikes, logistics, electronic warfare and counter-drone operations.

Canada will provide an additional C$350 million for Ukrainian air-defence interceptors through the United States-led JUMPSTART mechanism.

Ottawa is also providing nearly C$23 million to strengthen Ukraine’s security architecture and counter hybrid threats and disinformation.

The government announced nearly C$435 million in new loan guarantees through the European Bank for Reconstruction and Development for Ukraine’s energy security, including winter gas purchases and backup electricity generation.

A further C$200 million in concessional loans through Export Development Canada will support reconstruction projects involving Canadian companies, while C$10 million will be added to the Ukraine Energy Support Fund.

Canada will also provide up to C$40.1 million to support Ukrainian veterans and up to C$6 million for efforts to return and reintegrate Ukrainian children who were unlawfully deported or forcibly transferred to Russia, according to the government.

Ottawa also announced sanctions on eight individuals over alleged violations of Ukrainian children’s rights.

The two leaders signed a declaration establishing a Canada-Ukraine "100-Year Partnership" and a separate declaration on enhanced defence and security cooperation.

The agreements set out longer-term cooperation in defence technology, co-production, information sharing, trade, reconstruction and critical minerals.

Carney said "Ukraine’s fight is our fight, their struggle is our cause,” adding that the new partnership would strengthen Canadian drone capabilities while supporting jobs and defence production in Canada.
 

Canada said its total commitments to Ukraine since Russia launched its full-scale invasion in 2022 have now exceeded C$26 billion.