Having an American-controlled command system running Canada’s new warships poses a serious risk, particularly at a time when the U.S. is openly hostile to this country, warns the former commander of the Royal Canadian Navy.
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But Canada is still committed to having the U.S.-built equipment and is already spending more than $2 billion on the first systems, the Department of National Defence has confirmed.
The Ottawa Citizen revealed Feb. 14 that defence industry officials have warned that the U.S. controls many of the key systems onboard Canada’s new warships, allowing the Americans to hold this country hostage over future upgrades or even the provision of spare parts. Taxpayers are spending as much as $80 billion on a new fleet of Canadian Surface Combatants or CSCs to be constructed at Irving Shipbuilding.
The U.S. already controls much of the technology used by the Canadian military, but previously that was not seen as an issue as the Americans were viewed as close allies.
But, with U.S. President Donald Trump in office, the situation has changed. Trump has vowed to economically punish Canada with heavy tariffs. He has also threatened to annex Canada and to make it the 51st state.
The heart of each of the warships is the command management system, which controls weapons, radars and other intelligence-gathering equipment. Originally that high-tech system on board the CSCs was supposed to be Canadian-made and under the full control of the Canadian government.
But that was switched out for made-in-the-U.S. technology called Aegis, allowing the Americans full control.
Retired Vice-Admiral Mark Norman took to social media Feb. 14 to denounce the move as a “real and serious risk.”
“Even if everything was rosy and there was no risk, we’ve given up any down-stream autonomy in pursuit of a less capable system,” Norman wrote on X about the U.S.-built system. “Someone needs to answer for this.”
Norman questioned whether Canada should move as soon as possible to using a new command system for the CSC fleet that is not under American control.
But DND officials confirmed they have no intention of making any changes.
“While the Government of Canada is closely monitoring the trade situation in the United States, Canada’s procurement of the AEGIS system through the US government is proceeding as planned,” DND spokesperson Kened Sadiku stated in an email.
Canada is in the process of spending $1.7 billion U.S. on the Aegis systems and associated equipment for the first three surface combatants.
The Ottawa Citizen reported in December 2020 that Canadian defence industry officials had previously warned Jody Thomas, then the deputy minister at DND, and Bill Matthews, then deputy minister at the procurement department, about the potential dangers of U.S.-controlled technology and the lack of Canadian content onboard the CSCs. But those concerns were dismissed by department officials.
Alan Williams, the former head of procurement at DND, said with the Aegis systems being purchased for the first three CSCs, it would likely cost a lot of money to back out of that deal. But a new direction for the remaining 12 ships could be put in place, he added.
Williams said that, given the current situation with the Trump administration, it made sense to put the CSC on hold so the project could be re-evaluated.
The CSC project would see the construction of 15 warships for the Royal Canadian Navy. But the project, to replace the current Halifax-class frigates, has run into delays and massive cost overruns. It was originally estimated to cost $26 billion, but now the Parliamentary Budget Officer puts that figure at around $80 billion.
When the CSC team was unveiled in November 2017, Lockheed Martin Canada, a subsidiary of the U.S. defence giant, highlighted that its proposal included the Canadian-built command and control system known as CMS-330. The firm pointed out that the maximum focus was to get Canadian content on the new warships.
But DND spokesperson Sadiku explained that shortly after the design selection and contract were awarded for the CSC in 2019, it was only then that discussions began in earnest.
It was soon realized that the Canadian-made equipment that had been contracted for was a “suboptimal solution and introduced significant developmental, cost and schedule risk,” according to the DND statement to the Ottawa Citizen.
Further discussions were held with industry and government officials and it was decided to instead use the Aegis system from the U.S. “This was assessed as a vital and very significant risk reduction decision,” Sadiku stated.
But DND has previously been concerned about U.S. control over key defence technology. In 2010, when the Halifax-class frigates were being modernized, the department insisted on installing the newly developed CMS-330. The development of CMS-330, costing millions of dollars, was financed by Canada, giving it total control over the technology.
The CMS-330 technology was so successful that it was installed on board Canada’s Arctic and Offshore Patrol Ships, Halifax-class frigates and the new joint supply ships being built. CMS-330 technology is also on Chilean and New Zealand navy ships.
Germany, Portugal and Taiwan are also considering purchasing the CMS-330 systems, according to a Jan. 29, 2025 report from Janes, an international defence publication.
It is unclear why Canada and other nations are still keen to use the CMS-330 technology despite the DND claim that the equipment is “sub-optimal.”
Glenn Copeland, general manager, Lockheed Martin Canada Rotary and Mission Systems, noted in an emailed statement that Canada chose the Aegis system in a government-to-government transaction with the U.S. The statement pointed out the Aegis system was being used on the surface combatants and would be combined with a tactical interface being derived from the CMS-330.
Irving Shipbuilding stated it did not have any information about whether Canada had received assurances from the U.S. about the Aegis system. The deal for that combat system is being conducted through a government-to-government transaction with the U.S., Irving spokesman Mel Schori stated in an email. “As such, (Irving) is not privy to the details of that transaction,” he added.
David Pugliese is an award-winning journalist covering Canadian Forces and military issues in Canada. To support his work, including exclusive content for subscribers only, sign up here: ottawacitizen.com/subscribe