Prime Minister Mark Carney announced that Canada will meet NATO's military spending guideline by early next year. This move will also see a shift in defence spending away from the United States. Carney stated that Canada will reach NATO's target of 2% of GDP five years earlier than initially planned.

Canada's military infrastructure and equipment are outdated, affecting readiness, according to Carney. "Our military infrastructure and equipment have aged, hindering our military preparedness," he said. Currently, only one of Canada's four submarines is operational, and less than half of its maritime fleet and land vehicles are functional.
NATO Spending Target
In 2023, Canada was estimated to spend 1.33% of its GDP on the military, below NATO's 2% target. Previously, Canada aimed to meet this target by the decade's end. "Our goal is to protect Canadians, not to satisfy NATO accountants," Carney remarked.
The announcement comes ahead of a Group of Seven summit in Alberta from June 15-17 and a NATO summit in Europe. NATO allies are expected to increase their commitment beyond the 2% target. Secretary-General Mark Rutte mentioned that most US allies support President Trump's call for 5% GDP spending on defence.
Diversifying Defence Spending
Carney plans to diversify Canada's procurement and strengthen ties with the EU. "We should no longer send three quarters of our defence capital spending to America," he stated at the University of Toronto. Investments will include new submarines, aircraft, ships, armed vehicles, artillery, radar, drones, and sensors for monitoring the seafloor and Arctic.
Canada is in talks with the EU to reduce its security reliance on the US by purchasing more European defence equipment, including fighter jets. The government is reviewing the purchase of US F-35 fighter jets for alternatives.
US Relations and Global Security
Carney noted that the US is "beginning to monetize its hegemony: charging for access to its markets and reducing its relative contributions to our collective security." He emphasised that middle powers must compete for interests or risk being sidelined.
President Trump's suggestion to make Canada the 51st US state has angered Canadians. Carney became prime minister by pledging to confront Trump's increasing aggression. He also highlighted that relying on Canada's geographic location for protection is outdated.
Since Russia's invasion of Ukraine on February 24, 2022, European allies and Canada have been investing significantly in their armed forces and weaponry.
With inputs from PTI
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