The Big Story Digging into Canada’s plan to meet NATO’s 2% target
Jun 16, 2025
In this engaging conversation, Richard Shimooka, an expert in Canadian defense policy at the Macdonald-Laurier Institute, discusses Canada’s ambitious plan to increase its defense budget to meet NATO’s 2% GDP target. He explains the historical context of Canada’s military underspending and the urgency driven by global security demands. The conversation dives into the complexities of defense procurement, challenges in military readiness, and the pressing security issues in Canada’s Arctic, particularly in light of climate change and geopolitical tensions.
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Canada's Major Defense Spending Shift
- Prime Minister Carney announced Canada will meet NATO's 2% GDP defense spending target early.
- This marks a major shift after decades of military neglect in Canada.
Timing Signals New Canadian Defense Stance
- The timing of Canada's defense announcement is linked to upcoming G7, NATO, and relations with the U.S.
- Carney aims to signal seriousness to allies, distinguishing his government from Trudeau's.
Capability Gaps Beyond 2% Target
- The 2% NATO target is a vague guideline; hard capability matters more than just percentage.
- Canada faces capability gaps despite aiming to meet spending targets.