Ottawa eyeing Ukrainian partnership, EU loans for defence equipment, minister says

By Canadian Press on June 26, 2025.

OTTAWA — Defence Minister David McGuinty says the federal government is weighing whether to follow in the footsteps of several European nations by forging a new defence co-production deal with Ukraine for military equipment.

McGuinty says the idea is under “active consideration” by the Department of National Defence and the Canadian Armed Forces.

Ukraine has become a world leader in combat drone technology over the course of its war with Russia, and countries such as the U.K. and Denmark have announced plans for co-operative equipment production projects with Kyiv.

McGuinty made the comments while speaking to Canadian reporters on a call from the embassy in Riga, Latvia, capping off his trip to Europe this week.

Prime Minister Mark Carney announced a massive new defence spending commitment at the NATO summit in The Hague this week and said in Brussels that Canada and the European Union will negotiate a new security and defence procurement partnership.

McGuinty says Canada needs to be able to leverage European loans through that partnership and that his government intends to join up with European nations on bulk purchasing — something he says will save money on defence procurement.

This report by The Canadian Press was first published June 26, 2025.

Kyle Duggan, The Canadian Press