Australia and Canada sign $2.5 billion radar export deal

Australia and Canada have signed an agreement for Australia to export its over-the-horizon radar technology to Canada in a deal reported at A$2.5 billion, or about US$1.75 billion.

The agreement was signed in Canberra and is being described in reporting as Australia’s largest-ever defence export. It will send a long-range surveillance system to Canada, where it is intended to support monitoring of the Arctic.

Australian Deputy Prime Minister and Defence Minister Richard Marles announced the deal at Parliament House. Canadian Secretary of State for Defence Procurement Stephen Fuhr attended the signing and described Australia as a strong partner.

Marles said the agreement adds a strategic dimension to the Australia-Canada relationship. Reporting around the announcement also tied the deal to growing attention on Arctic security and Russian activity in the region.

What the radar does

Over-the-horizon radar is designed to detect aircraft and ships at very long range. Reporting says the Australian system can track targets up to about 3,000 kilometres from Australia’s northern coast.

That reach is the key reason Canada wants the technology. Ottawa has been working to strengthen Arctic domain awareness and sovereignty as the strategic importance of the far north grows.

Why the deal matters

For Australia, the agreement is a milestone for a long-established defence capability that has been part of its northern surveillance network for decades. Turning that capability into a major export is a significant step for the country’s defence industry.

For Canada, the deal adds a new layer of surveillance coverage at a time when Arctic monitoring has become more important. It also deepens a bilateral defence relationship that both governments are presenting as strategically valuable.

What is still unclear

Reporting has not yet set out the delivery timetable, the specific industrial partners involved in Canada, or how build, integration and maintenance will be organized. It is also not clear whether Canada weighed other foreign suppliers before choosing the Australian system.

Those details are likely to emerge in later government releases or follow-up reporting. For now, the confirmed development is the signing itself, along with the strategic framing offered by both governments.