Australia and Canada have entered into a landmark $1.75 billion defense agreement to deploy an Australian-developed long-range radar system across Canada, strengthening military cooperation between the two nations.
The agreement’s first phase was signed in Canberra by Australian Defense Minister Richard Marles and Canadian Secretary of State for Defense Procurement Stephen Fuhr. The project will establish an early-warning radar network extending from the Canada–U.S. border into the Arctic region.
Marles described the deal as a significant step in the strategic partnership between the two countries, emphasizing that Australia and Canada would now collaborate closely on the future development of Over-the-Horizon Radar technology.
Fuhr highlighted the longstanding relationship between the two Commonwealth nations, noting their history of cooperation and shared membership in the Five Eyes intelligence alliance alongside the United States, the United Kingdom, and New Zealand. He said Australia is a trusted partner as Canada adapts to evolving global security and economic challenges.
Canadian Prime Minister Mark Carney selected the Australian radar system over competing U.S. alternatives shortly after taking office last year. In March, he became the first Canadian prime minister in more than a decade to visit Australia, where he and Prime Minister Anthony Albanese agreed to deepen cooperation in areas including defense technology, artificial intelligence, and critical minerals.
Defense contractor BAE Systems Australia will assist both governments in developing the Arctic Over-the-Horizon Radar project. The technology, refined over four decades, uses high-frequency radio waves reflected off the ionosphere to detect aircraft, ships, and other objects at vast distances beyond the reach of conventional radar systems.
The contract represents the largest defense export in Australia's history. It surpasses the country's previous record, a $700 million agreement signed in 2024 to supply Germany with 100 Australian-manufactured Boxer armored vehicles.