Toronto 
Canada and Ukraine are deepening their defence relationship, with drones, air defence and long-term security cooperation at the centre of a new round of announcements.
Prime Minister Mark Carney during a welcoming ceremony at the Mariyinsky Palace with President Volodymyr Zelenskyy in Kyiv, Ukraine on August 24, 2025/Photo: Lars Hagberg
Prime Minister Mark Carney and Ukrainian President Volodymyr Zelenskyy unveiled the measures during Zelenskyy’s visit to Canada.
The plans include a Canadian drone marketplace, new production partnerships, hundreds of millions of dollars for Ukraine’s defence and energy systems, and a 100-year partnership framework. Canada’s total assistance commitments to Ukraine since 2022 now exceed $26 billion.
Canada building up its own drone capabilities:
Canada is creating the Defence Drone Initiative Marketplace Supply Arrangement, or DDIM, a national digital marketplace modelled on Ukraine’s Brave1 system.
The platform is intended to connect military and coast guard users with nearly 400 trusted Canadian suppliers, making it easier to find and acquire drones and counter-drone systems.
Initial contracts worth up to $50 million are expected to increase the number of drones deployed by the Canadian Armed Forces tenfold. The longer-term ambition is much larger: Canada wants domestic industry to be capable of producing millions of drones over the next two years.
For the first round of procurement, Canada will work with six suppliers to obtain intelligence, surveillance and reconnaissance drones, as well as uncrewed ground vehicles.
- Beonyx of Québec will provide a Canadian-designed, owned and manufactured UGV system, with engineering and production primarily in Québec.
- AVSS of New Brunswick and Ontario will manufacture and assemble systems in Ontario, with most major components and support systems sourced in Canada.
- Volatus Aerospace of Québec, working with UK partners, will provide a Montréal-manufactured platform supported through Canadian logistics, training and lifecycle services.
- Twenty20 Insight Inc. of Ontario will support a UK-designed platform through Canadian engineering, training, configuration and sustainment services.
- Draganfly of Saskatchewan will produce a platform based on Australian technology under licence, using Canadian engineering, manufacturing and training capabilities.
- Objexis AI of Ontario will provide a Canadian-designed system built around Canadian-owned intellectual property, software, avionics and mission systems.
Canadian and Ukrainian companies working together:
A new partnership between General Dynamics Mission Systems-Canada and Ukraine’s Green Tech Harvest will focus on developing and producing drones and related technologies.
It follows an earlier partnership between Airlogix LLC and Sentinel Research & Development.
Canada and Ukraine also plan to establish a government-to-government partnership covering uncrewed systems, counter-drone technology and priority munitions. The idea is to combine Ukraine’s battlefield experience with Canadian manufacturing, software and artificial intelligence capabilities.
New investments:
The funding covers defence, energy infrastructure, veterans and the return of Ukrainian children:
- Canada will provide about $350 million for critical air defence interceptors through the U.S.-led JUMPSTART program.
- Nearly $23 million will support Ukraine’s security architecture, including responses to hybrid threats and disinformation.
- Nearly $435 million in loan guarantees will support energy security through the European Bank for Reconstruction and Development.
- $200 million in concessional loans through Export Development Canada will support reconstruction projects.
- An additional $10 million will go to the Ukraine Energy Support Fund, bringing Canada’s total contribution to $100 million.
- Canada will provide $2 million to an International Energy Agency program supporting Ukraine’s energy development.
- Up to $40.1 million will support Ukrainian veterans and their families.
- Up to $6 million will help return and reintegrate Ukrainian children who were unlawfully deported or forcibly transferred by Russia.
- Canada is also sanctioning eight individuals connected to violations of Ukrainian children’s rights.
Canada-Ukraine Declaration for a 100-Year Partnership:
Carney and Zelenskyy signed the Canada-Ukraine Declaration for a 100-Year Partnership, setting out cooperation in defence innovation, trade, reconstruction, economic growth and people-to-people ties.
A second declaration focuses specifically on defence and security cooperation, including co-development, co-production and information sharing.
The two countries also announced a critical minerals initiative to support research, reconstruction and mineral development in Ukraine.
“Canada is, has, and always will be a steadfast ally in Ukraine’s relentless pursuit of freedom,” Carney said, adding that the new partnership would strengthen Canada’s drone capabilities, create Canadian jobs and support Ukraine’s pursuit of a “just and lasting peace.”
