Bombardier Jet and Mirabel Drone Hub Part of $1B Defense Contracts
Bombardier Jet, Drone Hub in $1B Defense Deals

The National Research Council of Canada is making a substantial investment of nearly $1 billion in defense-related technologies, with key components including a Bombardier Global 6500 defense research jet and the establishment of a drone innovation hub in the Mirabel area and Ottawa. This initiative is part of Canada's broader defense industrial strategy, which aims to shift the majority of defense spending and production to domestic firms.

Major Aerospace and Defense Investments

The contracts, announced on Monday in Ottawa, represent a significant boost to Canada's defense capabilities. The NRC will allocate over $900 million to enhance aerospace defense, support small- and medium-sized businesses in the defense sector, and advance research in quantum technologies. These quantum advancements are expected to improve navigation, surveillance, and communication systems.

Bombardier Global 6500 Defense Jet

In December, the federal government signed a contract with Montreal-based Bombardier to purchase six Global 6500 jets, valued at $753 million. This contract covers production, crew training, maintenance, and necessary military modifications. The jets will be built and maintained in Canada, with delivery scheduled for summer 2027. They will be utilized for transporting government officials, disaster relief, and humanitarian missions.

Bombardier estimates the order is worth approximately $550 million to the company, based on the list price for the planes and the cost of military modifications. The NRC's specific jet will be used for defense-related technology development in collaboration with industries and academic institutions.

Drone Innovation Hub

The new drone innovation hub will focus on researching, developing, and commercializing drone technologies, as well as producing counter-drone capabilities for Canada's defense. This hub is set to be located in the Mirabel area and Ottawa, leveraging local expertise and infrastructure.

Broader Defense Strategy and Economic Impact

Prime Minister Mark Carney unveiled this defense industrial strategy in February at Montreal's CAE flight-simulator plant. The strategy is projected to generate half a trillion dollars in investments over the next decade, with the Montreal region poised to benefit significantly due to its robust aerospace industry.

Stephen McCullough, executive vice-president of Bombardier Defence, emphasized Canada's talent base, stating that the new aircraft will support the creation of next-generation sovereign defense and aerospace capabilities. The Bombardier Global 6500 jets are well-suited for defense missions, including airborne early warning systems, surveillance, and reconnaissance.

Additional Investments and Historical Context

Beyond aerospace, the NRC is investing $28 million in developing vaccines and medications to protect against biomedical threats. The National Research Council, established by the Canadian government during the First World War, continues to promote and coordinate scientific research, underscoring its longstanding role in national security and innovation.

The U.S. military has also contracted to purchase several of these business jets, which are designed for easy modification for research or defense purposes. The Bombardier jet for the NRC will be assembled at the Pearson facility in Mississauga, with interiors completed in Dorval, involving over 65 Canadian suppliers.