The House of Commons National Defence committee met to study Canada’s defence industrial strategy. Appearing were Mélanie Lussier, President and CEO of Aéro Montréal; Mike Mueller, President and CEO of the Aerospace Industries Association of Canada; Robert Asselin, CEO of U15 Canada; and Paul Ziadé, Co-Chair of the Alliance of Canadian Defence Companies.
Mélanie Lussier said the Quebec aerospace industry welcomed the strategy but will monitor its implementation closely, urging that it build on existing industrial hubs rather than create new ones from scratch. She recommended a specific aerospace strategy for Canada, early engagement with local suppliers during needs assessment to maximize the “build” component of the build-partner-buy model, and help for SMEs to obtain costly certifications or secure first contracts. She noted that Quebec has four of the ten sovereign capabilities identified in the strategy and that a national inventory of industrial capability is being developed for Quebec.
Mike Mueller called the strategy a strong foundation but stressed that execution is key, and he urged faster, more predictable procurement through the new Defence Investment Agency. He recommended stable long-term demand signals, a national skills program aligned with industry needs, and government acting as a first buyer to de-risk and scale Canadian solutions. He agreed with Lussier that a broader national aerospace strategy is still needed, and he emphasized that Canada’s aerospace sector is deeply integrated with allied supply chains and that preserving the zero-tariff framework with the United States is critical.
Robert Asselin argued that sovereign capability requires depth across the entire value chain from basic research to manufacturing, and he noted that Canada allocates less than 5% of federal R&D to defence compared to an OECD average of 21%. He said the BOREALIS innovation initiative is so far an “empty shell” and underwhelming, and that the defence innovation secure hubs are small in scale and focused on late-stage technology, missing the upstream research pipeline from universities. He called for standing mechanisms to connect university research to defence outcomes, warning that without a better interface, Canada will not build the technological depth needed.
Paul Ziadé said the strategy’s shift from reliance to resilience is strongly supported by Canadians, but he argued that the definition of a “Canadian bidder” must be tightened to favour Canadian-owned firms that own proprietary intellectual property. He recommended a sovereignty fast track within the Defence Investment Agency, lowering the $100-million threshold for SME access, designating Canadian-owned companies as strategic partners, and implementing sovereign production guarantees. He disagreed with the idea that Canada cannot build quickly, noting that 21st-century defence technologies like autonomy and cyber can be ramped up faster than traditional platforms, and he stressed that contracts—not grants—provide the strongest signal to industry.
The committee also heard brief exchanges on operational urgency, with members pressing witnesses on the gap between immediate needs and long-term strategy. Witnesses generally agreed that a national defence strategy identifying threats is still missing and that a government-led national inventory of industrial capability would aid planning. No procedural motions or votes were recorded during this meeting.
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