Australia has secured the largest defence export agreement in its history following the signing of a landmark government-to-government arrangement with Canada to export Australian-developed Over-the-Horizon Radar (OTHR) technology.

The agreement, valued at A$2.5 billion, marks the first international sale of Australia’s world-leading OTHR capability and represents a major milestone for the nation’s defence industry. The technology is based on the highly successful Jindalee Operational Radar Network (JORN), which provides Australia with long-range surveillance and early-warning capabilities.

Under the arrangement, Australia will assist Canada in developing its Arctic Over-the-Horizon Radar (A-OTHR) system, enhancing Canada’s ability to monitor and protect its northern approaches through advanced long-range detection and surveillance technology.

Prime Minister Anthony Albanese described the agreement as a showcase of Australian innovation and technological excellence.

The partnership reflects growing strategic cooperation between Australia and Canada, both key members of the Five Eyes intelligence alliance. The two nations reaffirmed their commitment to collaborate on the technology during discussions between Prime Minister Albanese and Canadian Prime Minister Mark Carney in March 2026.

Deputy Prime Minister and Defence Minister Richard Marles said the agreement demonstrates Australia’s growing ability to export advanced defence capabilities while maintaining national security interests.

The project is expected to support approximately 300 highly skilled jobs across Australia, including engineering, technology, and manufacturing positions. Delivery of Canada’s Arctic radar capability will be led by BAE Systems Australia, with work scheduled to commence on 1 July 2026.

Defence Industry Minister Pat Conroy described the agreement as a significant achievement for Australia’s defence sector and a powerful example of how defence exports can drive economic growth while strengthening national resilience.

Beyond the commercial benefits, the agreement establishes a framework for future joint research and development, enabling both countries to advance OTHR technology and improve surveillance capabilities across the Indo-Pacific and North Atlantic regions.

As global security challenges continue to evolve, the Australia–Canada radar partnership is expected to strengthen defence cooperation, enhance early-warning capabilities, and deepen industrial ties between the two nations.

Source: Australian Government Department of Defence – Australia and Canada sign landmark agreement on Over the Horizon Radar export (June 2026).

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