Canada’s Department of National Defence is seeking to procure $100 million in night-vision equipment for the Canadian Army and is favouring U.S. manufacturers over firms domestically or in Europe.
U.S. control of Canadian military equipment has become a growing concern amid the ongoing trade war and U.S. President Donald Trump’s renewed calls about Canada becoming the 51st state, which has further strained the relationship.
Meanwhile, Prime Minister Mark Carney has called for Canada to shift away from its economic reliance on the U.S. and to instead utilize this shift as a means to strengthen trade and defence with Europe.
French manufacturer Photonis develops high-tech electro-optical systems, including night-vision equipment which has been used by a number of NATO countries such as Germany, Belgium, the U.K., Spain, Sweden, Netherlands and Australia.
Photonis also offers zero export restrictions in contrast to equipment purchased from U.S. firms.
This has led some to question whether Carney is serious about reducing reliance on America and boosting defence alliances with European countries.
However, the DND told True North that because “Canada is purchasing a complete product, and all technical requirements are based on the performance of the complete product,” the department won’t “specify the origin of any internal components used in the design, nor is it imposing a supplier sourcing strategy.”
Bids for the $100 million contract must be submitted on May 2.
The technical requirements for the night-vision binoculars were also abruptly changed upon the release of the final request for quotes issued last month.
Manufacturers responded to the federal government’s changes with dismay, arguing that the alterations have resulted in the equipment to be solely sourced from the U.S.
“The internal component in question is ITAR-restricted materiel when it is purchased directly from American suppliers,” a DND spokesperson told True North.
“Recent updates to ITAR regulations in 2024 permit Canadian companies to buy the material with a higher performance than previous years. This in turn enables Canada to buy high-performing equipment for the CAF. If Canada did not adapt to the updated ITAR regulations, we risk buying equipment that underperforms relative to our allies and potentially our adversaries.”
According to government documents, several companies requested the equipment requirements be set back to what was originally outlined for the procurement, claiming that Trump posed a threat to Canada and that the military should be acquiring more equipment domestically.
However, their request was denied by the DND and Public Services and Procurement Canada. They were also informed that the level of Canadian content in equipment would not be considered during the evaluation of systems.
“While we understand the concern of potential bidders impacted by the updated ITAR regulations, it is not in Canada’s interest to compromise the safety of our CAF members,” said the spokesperson.
Former lieutenant-général Michel Maisonneuve agreed that it’s important for such purchases to remain “completely unbiased so that the best equipment can be sourced.”
“You need to also say that sometimes, there is only one piece of equipment that fits the requirement and you save a lot of money and time by going sole-source for it,” Maisonneuve told True North.
“For example, we fooled around with the F-35 for 15 years when we could have these planes flying now if our government had made the decision long ago.”
Still, Foreign Affairs Minister Mélanie Joly said that Canada must diversify its alliances during a press conference last month.
“We need new partnerships,” she said. “We have an over-reliance on American procurement, particularly in the defence sector.”
While Maisonneuve supports diversifying our sources of equipment, he said it’s important to remember that “we will still have a relationship with the U.S. after Trump leaves.”
“If we had been a strong, confident nation that is prepared to defend itself with strong CAF and energy self-sufficiency, he would not have treated us this way,” he said. “I do believe we can probably manufacture this stuff ourselves, and we should do so.”