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Canada, Australia Formalize Deal for Arctic over-the-Horizon Radar System
The first phase will create early-warning coverage over the Arctic and is expected to support about 2,300 Canadian jobs annually, officials said.
On Monday, Canada's Secretary of State for Defence Procurement Stephen Fuhr signed a $2.5-billion agreement in Canberra with Australia's Deputy Prime Minister and Minister for Defence Richard Marles for an Arctic over-the-horizon radar system.
This deal represents the first phase of a $6-billion investment in the Arctic Over-The-Horizon Radar project, a key component of Canada's $38.6-billion plan to modernize the North American Aerospace Defense Command over 20 years.
BAE Systems Australia will provide the technology, with transmission and receiving sites located in Southern Ontario, including the City of Kawartha Lakes and Clearview Township.
Expected to be operational by 2029, the project will contribute nearly $290-million annually to Canada's gross domestic product and create roughly 2,270 jobs annually between 2026 and 2033.
Canada also plans to deploy a separate Polar Over-the-Horizon Radar network deep within the Canadian Arctic Archipelago, though locations for those additional sites remain classified.
Australia and Canada are moving closer together in the defence sector. On Monday, June 22, the two countries signed a contract worth 1.5 billion euros: Canberra sells an advanced defence radar system in Ottawa. A rapprochement that is also due to a desire to diversify.