Australia and Canada have signed a A$2.5 billion government-to-government agreement for the export of an Australian Over the Horizon Radar (OTHR) system, marking Australia’s largest defence export to date.
The agreement will see Australia’s Department of Defence work alongside Canada’s Department of National Defence to support Canada’s Arctic Over the Horizon Radar capability. BAE Systems Australia is scheduled to begin delivery on 1 July 2026.
Key developments:
- A$2.5 billion agreement marks the first international export of Australia’s OTHR technology.
- Around 300 high-value technical jobs are expected to be supported in Australia.
- The arrangement includes future joint research and development on advanced radar capabilities.
- The project aims to strengthen long-range surveillance, interoperability and defence cooperation between Australia and Canada.
Australian Prime Minister Anthony Albanese described the agreement as a demonstration of Australia’s leadership in Over the Horizon Radar technology and said it reflected the country’s innovation in advanced defence capabilities.
He also highlighted the longstanding Australia–Canada relationship, citing decades of defence cooperation, shared strategic interests and collaboration through the Five Eyes partnership, adding that the agreement establishes a foundation for deeper defence industry collaboration between the two countries.
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