Minister Highlights $1.4B Investment In Ammunition

The Government of Canada has announced a major investment of $1.4 billion to strengthen its domestic ammunition production capacity, aiming to enhance national security and reduce reliance on foreign suppliers. The announcement was made on April 8, 2026, in Repentigny by Joël Lightbound.

This funding is part of the Canadian Defence Industry Resilience (CDIR) Program, which is designed to build a stronger and more self-reliant defence industry in Canada. The program focuses on increasing manufacturing capacity, improving supply chain stability, and supporting the production of critical defence materials within the country.

A significant portion of the investment will go to General Dynamics Ordnance and Tactical Systems in Quebec. Through multiple agreements, the company will develop new and upgraded facilities to support ammunition production. These include the construction of a nitrocellulose production facility, as well as new plants capable of assembling and packaging artillery charges and high-explosive projectiles used in modern defence systems.

The investment will also help restore Canada’s ability to produce nitrocellulose domestically, a key component in ammunition manufacturing. By bringing this capability back to Canada, the government aims to strengthen supply chain resilience and ensure consistent access to essential materials, especially during times of increased demand.

In addition to the Quebec projects, further support is being provided to IMT Precision in Ingersoll. This funding will help establish a new facility to produce metal shells for advanced artillery projectiles, further expanding Canada’s domestic production capabilities.

Officials noted that these investments are expected to create more than 350 jobs during construction and through indirect employment opportunities. The projects will also encourage innovation, strengthen partnerships with educational institutions, and attract further investments in the defence sector.

The initiative is aligned with Canada’s broader Defence Industrial Strategy, which focuses on security, sovereignty, and economic growth. By increasing domestic production, the government aims to ensure that the Canadian Armed Forces have reliable access to essential equipment while supporting long-term economic development.

Overall, the investment reflects Canada’s commitment to building a stronger defence industry, improving national security, and supporting high-quality jobs. It also highlights the importance of developing local capabilities to meet future defence needs in an increasingly complex global environment.