Canada's Defence Industrial Strategy Delayed Past Christmas Deadline
Defence Industrial Strategy Misses Release Deadline

The Liberal government has failed to meet its self-imposed deadline for publishing a new, critical defence industrial strategy, leaving key stakeholders without a roadmap for future military spending and domestic investment.

Missed Deadline and Ministerial Silence

Defence Minister David McGuinty stated in late October that the Defence Industrial Strategy (DIS) would be released no later than Christmas. He made the commitment at a forum in Toronto on October 24, specifying the plan was for release "after budget and before Christmas." However, the document was not published by the holiday season, and the minister's office is now silent on a new timeline.

As of Monday, Minister McGuinty declined to provide comment on a revised release date. His communications director, Alice Hansen, did not respond to a request for information. The Department of National Defence also offered no comment on the delay.

Industry Reaction and the Need for a Roadmap

The Ottawa-based Canadian Association of Defence and Security Industries (CADSI) confirmed it has not received any details about when the strategy will be made public. Christyn Cianfarani, the association's president, noted in a statement that "industry had been expecting the release of the DIS before Christmas."

Cianfarani emphasized the urgency, stating, "The sooner it arrives the better. Procurement and strategic partnership decisions are already being made by the Defence Investment Agency, which should be tightly connected to the DIS." The Defence Investment Agency is a new government body created to oversee large equipment procurement projects.

However, acknowledging that this is Canada's first such strategy, Cianfarani also encouraged the government to take the necessary time to get it right, adding, "If that means a few more weeks in January, so be it."

Strategy's Broad Scope and Purpose

Minister McGuinty has previously outlined the DIS as a vital roadmap "for harnessing innovation" that will identify defence needs in sectors where Canadian companies hold a competitive advantage. The strategy is intended to guide how Canada spends its defence funding within the domestic economy.

The consultation process for the DIS has been extensive, involving a number of allied countries, various companies, and financial institutions and investors. A key focus will be on promoting dual-use technologies that serve both military purposes and civilian applications.

The strategy's scope may extend beyond traditional defence. In an October 9 speech, Industry Minister Mélanie Joly suggested a broader interpretation of defence spending, encompassing not only land, sea, air, and cyber domains but also threats to public health like pandemics and climate change impacts such as wildfires.

The ongoing delay leaves a significant policy gap as the government's new Defence Investment Agency begins its work, operating without the formal strategic guidance the DIS is meant to provide.