Canada Launches Defence Investment Agency to Accelerate Military Procurement

Canadian Prime Minister Mark Carney has launched the Defence Investment Agency to reform and accelerate military procurement by consolidating resources from multiple departments into a single accountable entity. The agency aims to strengthen domestic manufacturing, particularly in sectors like steel, and reduce reliance on U.S. suppliers by tying procurement more strategically to Canadian industrial benefits. Doug Guzman, a veteran financial executive with experience at Royal Bank of Canada and Goldman Sachs, has been appointed CEO to bring expertise in capital allocation and project execution. The agency will handle procurement projects over $100 million and work closely with allies such as the U.K., Australia, and France to pursue joint procurements and enhance efficiency. It also seeks to improve clarity and certainty for the defence industry and prioritize investments in dual-purpose infrastructure benefiting both the military and Canadians. Secretary of State for Defence Procurement Stephen Fuhr emphasized the agency’s role in stimulating the Canadian economy by integrating domestic industry into defence procurement while maintaining cooperation with the U.S.