Canada joins the EU’s Safety Motion for Europe (SAFE) rearmament initiative, giving entry to $170bn in loans for navy gear procurement.
Printed On 2 Dec 2025
Canada has joined a multibillion-dollar European Union defence fund, turning into the primary non-European nation to take action, as Ottawa seems to diversify its navy spending away from the United States.
Canadian Prime Minister Mark Carney mentioned on Monday that participation within the EU’s Safety Motion for Europe (SAFE) initiative would give Canadian defence corporations “large alternatives” from elevated entry to the European market in a “harmful and divided world”.
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“Canada’s participation in SAFE will fill key functionality gaps, increase markets for Canadian suppliers, and entice European defence funding into Canada,” Carney mentioned in a press release.
“That is the subsequent step in our deepening cooperation and symbolic of the shared priorities of the European Union and Canada,” Carney mentioned in a separate joint assertion with European Fee President Ursula von der Leyen.
The 150-billion-euro ($170bn) SAFE rearmament fund was introduced earlier this 12 months amid fears of a possible Russian assault on the EU and issues amongst member states over the reliability of US navy safety.
SAFE has been described as a serious effort by the EU to “velocity up defence readiness”, because the bloc goals to re-arm and be able to defending itself from exterior threats by 2030.
Canada’s becoming a member of the SAFE initiative comes after Carney mentioned he supposed to diversify Canada’s procurement and trade partnerships and improve the nation’s relationship with the EU. Carney had additionally beforehand mentioned that greater than 70 cents of each greenback of Canadian military capital spending would now not go to the US.
The transfer by Canada comes after US President Donald Trump infuriated Canadians by launching a commerce warfare earlier this 12 months and suggesting that Canada grow to be the 51st state in the US.
Joint arms initiatives beneath SAFE will need to have a minimal 65 p.c of their elements produced throughout the EU’s 27 member nations, however accomplice nations corresponding to Canada could possibly be granted exemptions, in response to experiences.
Precedence defence spending beneath SAFE entails the procurement of missiles and ammunition, artillery techniques, floor fight capabilities, drone and anti-drone techniques, and cyber warfare, in addition to air and missile defences, maritime forces, digital warfare and “area belongings safety”.
Talks between the EU and London on the UK becoming a member of the SAFE fund ended with out settlement final week.
Negotiations foundered over cash, with Europe demanding extra for the UK’s participation than the federal government was keen to pay.
Majority of the 🇪🇺 Member States will put the initiatives beneath 4 flagship domains, proposed by the 🇪🇺: Drone Defence Initiative, Jap Flank Watch, Air Defend and Area Defend.#EUDefence
Extra information on #SAFE 🔗 ⬇️https://t.co/RY9lbd6kBA
— Andrius Kubilius (@KubiliusA) December 1, 2025
