Canada has signed an agreement to buy Australia’s advanced over-the-horizon radar technology for Arctic surveillance.
The deal, worth $2.5 billion, is Australia’s largest defence export and marks a major step in security cooperation between the two close allies. BAE Systems Australia will serve as the industry partner responsible for supporting the project.
The agreement will deliver an Arctic Over-the-Horizon Radar (A-OTHR) system designed to improve Canada’s long-range surveillance capability.
The radar will help detect and track aircraft, ships, and other potential threats across vast areas of the Arctic. It also strengthens defence cooperation between Australia and Canada at a time of growing focus on northern security.
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BAE Systems Australia will support both governments during the delivery and long-term operation of the system. The company brings more than four decades of experience in developing, operating, and maintaining over-the-horizon radar technology. That experience is expected to help Canada deploy the capability more quickly and efficiently.
How the Arctic Radar Works
Unlike conventional radar, an over-the-horizon radar can monitor targets far beyond the normal line of sight. It sends high-frequency radio waves toward the ionosphere, where they bounce back to Earth and detect objects thousands of kilometres away. This allows the system to monitor large regions that standard radar cannot cover due to Earth’s curvature.
Australia has developed this technology through the Jindalee Operational Radar Network (JORN). The system supports the Australian Defence Force by monitoring air and maritime activity over long distances. It also contributes to border protection, search and rescue missions, and disaster response operations.
Why the Deal Matters
The project creates new opportunities for Australian and Canadian companies involved in defence technology and advanced manufacturing. It also opens the door for more exports of high-value products and services into allied defence markets. The agreement encourages deeper collaboration between the two countries on future radar and surveillance technologies.
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For Canada, the new radar strengthens the ability to monitor activity across the Arctic and improve early warning capabilities. It also enhances information sharing across the Five Eyes intelligence partnership by improving long-range detection and tracking.
As work moves forward, the project is expected to play an important role in strengthening North American security and expanding defence cooperation between the two nations.
