Canada to Reduce Reliance on US Defence Suppliers – Mark Carney

Canadian Prime Minister Mark Carney has announced plans to scale back the country’s heavy dependence on the United States for defence procurement, calling the current model “no longer sustainable.”

Speaking at a Liberal Party convention in April 2026, Carney said Canada would move away from a system in which a significant portion of military spending flows to US firms. “The days of Canada’s military sending 70 cents of every dollar to the United States are over,” he said, signalling a shift toward greater strategic autonomy.

Currently, about 70 per cent of Canada’s military capital expenditure is directed to American suppliers. Carney described this as a structural imbalance and stressed the need to diversify defence partnerships while strengthening domestic manufacturing capabilities.

The policy shift comes amid rising geopolitical tensions and broader global uncertainty, including ongoing conflicts involving the United States and its allies, as well as rapid technological changes such as advances in artificial intelligence.

Carney framed the move as part of a wider effort to bolster Canada’s economic resilience and national security. Addressing party members, he called the moment “transformational” and urged unity as the country adapts to an evolving global landscape.