Carney announces $8 billion Quebec shipbuilding deal for six Coast Guard icebreakers

The investment aims to strengthen Canada’s domestic shipbuilding industry, secure critical trade routes, and expand the country’s capacity to operate in the Arctic, the government said.

All six icebreakers will be built at Davie’s shipyard in Levis, creating nearly 5,000 jobs during construction and contributing nearly $650 million annually to Canada’s gross domestic product.

Under the government’s Buy Canadian Policy, the vessels will use Canadian steel and other domestic materials, while the project will create opportunities for Canadian manufacturers, suppliers and small and medium-sized businesses.

The new icebreakers will replace the Coast Guard’s ageing heavy and medium icebreakers, which operate in Atlantic Canada and the St. Lawrence during winter and in the Arctic during the summer.The vessels keep shipping lanes open, assist ships in distress, and support vessels trapped in ice.

Construction is scheduled to begin in 2027, with the first vessel expected to be ready in 2032. The full fleet is expected to enter service by 2038.

The government said the investment will also strengthen Canada’s Arctic presence and national security while supporting search-and-rescue and environmental response operations.

“This is a lasting investment in a stronger, more self-reliant Canada,” Carney said in a statement adding that the new icebreakers would help keep trade routes carrying Canadian goods to global markets accessible and secure.

The announcement is part of the government’s broader strategy to expand domestic industrial capacity and reduce Canada’s dependence on any single trading partner. 

The government is also investing in port infrastructure and other major federal procurement projects to strengthen Canadian supply chains and create skilled jobs domestically.