Canada will join the European Union’s new defence plan that aims to rapidly increase military arms production in a bid to move away from U.S. reliance, Tuesday’s throne speech confirmed.
The move to join ReArm Europe was announced by King Charles III as he read the speech from the throne in Parliament, during a section on the government’s plans for national defence and security.
“The Government will protect Canada’s sovereignty by rebuilding, rearming, and reinvesting in the Canadian Armed Forces,” the King said.
“It will boost Canada’s defence industry by joining ReArm Europe, to invest in transatlantic security with Canada’s European partners. And it will invest to strengthen its presence in the North, which is an integral part of Canada, as this region faces new threats.”
The ReArm Europe plan, announced by the EU in March, would earmark up to the equivalent of C$1.25 trillion for defence over five years. It includes a loan program worth about $235 billion to be called Security Action For Europe (SAFE), which would allow countries to work with others outside the European Union to jointly buy or build arms.
EU members approved the loan program earlier Tuesday.
In a white paper released in March outlining the EU’s approach to defence industries, the European Union said that its “co-operation with Canada has intensified and should be further enhanced … including on respective initiatives to boost defence industry production.”
The federal government has been in talks with Europe about a deeper security partnership for over a year.
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Former foreign affairs minister Melanie Joly, now the industry minister, told The Canadian Press in March that U.S. President Donald Trump’s repeated talk of annexing Canada had spurred those talks along, with negotiations in “advanced” stages.
Prime Minister Mark Carney travelled to Europe before and after the election to meet with European leaders, with the defence partnership among the topics of discussion.
European Commission President Ursula von der Leyen told Carney during their meeting in Rome earlier this month that “we would love to work together with you on a security and defence partnership.”
“Let’s see how far we get to our summit” on June 23, she added, referring to the Brussels peace conference scheduled that day with European partners and allies.
The ReArm Europe plan was also inspired by Trump’s election and repeated threats to pull the U.S. out of NATO unless European partners pay more for defence.
“Europe must now assume a greater share of responsibility for its own security and defence,” von der Leyen said in a statement Tuesday after the SAFE loan program was approved.
The Liberal campaign platform included commitments to “advancing Canada’s involvement in the ReArm Europe Plan in support of transatlantic security, and prioritizing investment here in Canada – with every dollar spent wisely and effectively.”
At the same time, Carney said his government would focus on a “Made in Canada” defence procurement strategy that prioritizes domestic production alongside allied partnerships.
The platform promised nearly $40 billion in new military spending over the next four years and to reach NATO’s target of spending two per cent of GDP by 2030. Those spending commitments were not included in the throne speech.
Carney said last week that while Canada will look to partner with the U.S. on defence “where it can make sense” — including Trump’s “Golden Dome” concept for a space-based missile defence system — his government is also looking at “other options” among allies.
“You will see a very different set of partnerships, security and economic, going forward,” he said, and specifically mentioned the ReArm Europe negotiations.
Carney told his Liberal caucus on Sunday that the Liberal government “will fight to ensure that Canadians get the best relationship possible with the United States, and we will take the time to do so.”
“At the same time, we will strengthen our partnerships with reliable allies,” he said. “Canada has what the world needs, and we will defend the values that the world respects.”
— with files from The Canadian Press
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