We have updated our Privacy Policy and Terms of Use for Eurasia Group and its affiliates, including GZERO Media, to clarify the types of data we collect, how we collect it, how we use data and with whom we share data. By using our website you consent to our Terms and Conditions and Privacy Policy, including the transfer of your personal data to the United States from your country of residence, and our use of cookies described in our Cookie Policy.
A Canadian flag is pictured on Frobisher Bay in Iqaluit, Nunavut February 23, 2012.
Amid criticism that it is not spending enough on defense, Canada has bought a hangar in the Arctic for CA$8.6 million – an installation that sits next to a NORAD air base.
Russia and China both reportedly expressed interest in the property, which the Canadian Armed Forces had previously leased. The United States pressed Canada to buy up the hangar for more than a year – and Ottawa finally decided they were on to something.
In 2023, Canada’s intelligence agency, CSIS, warned that China was looking to purchase properties near sensitive locations, spurring espionage concerns. In recent months, Canada has adopted a new defense policy that invests in northern security, as it looks to shore up its Arctic capacities in light of threats from China and Russia, something the US has been pushing for.
The Arctic security push will include attempts to boost armed forces personnel numbers, installing maritime sensors, building operational support hubs in the north, and purchasing new helicopters, airborne early warning aircraft, and, most notably, as many as 12 new under-ice submarines.
On Thursday, the US, Canada, and Finland announced an “Icebreaker Collaboration Effort,” to be known as the ICE Pact, which will focus on Arctic security and economic cooperation and include an emphasis on building icebreakers.
Alongside the ICE Pact and a brand new plan to reach NATO’s military spending target of 2% of GDP, Canada’s evolving – that is, growing – Arctic and general defense plan may begin to quell ally criticisms that the country doesn’t take defense seriously. The efforts may even help prepare it for a second Trump administration, as the former president takes aim at countries, including Canada, that he sees as military alliance freeloaders.