Australia has secured the largest defence export agreement in its history after signing a landmark government-to-government deal with Canada to supply advanced Over the Horizon Radar (OTHR) technology worth $2.5 billion.
The agreement marks the first international sale of Australia’s world-leading OTHR capability, based on the technology underpinning the Jindalee Operational Radar Network (JORN), and is expected to support around 300 high-skilled jobs across Australia.
The deal was announced by Prime Minister Anthony Albanese, Deputy Prime Minister and Defence Minister Richard Marles, and Defence Industry Minister Pat Conroy.
Albanese described the deal as a major milestone for Australian innovation and defence trade.
“Australia is a world leader in Over the Horizon Radar technology, and this agreement showcases Australian innovation,” he said.
“As close friends and valued partners, Australia and Canada’s relationship is grounded in decades of operational cooperation, shared strategic interests, and deep collaboration through the Five Eyes partnership.”
Under the agreement, Australia will work with Canada to deliver the Canadian Arctic Over-the-Horizon Radar (A-OTHR) capability, designed to strengthen long-range surveillance and early warning systems in the Arctic region.
The arrangement follows commitments made by Prime Minister Albanese and Canadian Prime Minister Mark Carney in March 2026 to deepen defence cooperation between the two countries.
Marles said the agreement reflected the growing defence relationship between the two nations amid an increasingly complex global security environment.
“This is the biggest defence export agreement in Australia’s history, which reflects our close and long-standing friendship with Canada.”
The project will be delivered by BAE Systems Australia, which is expected to begin work on Canada’s A-OTHR capability from 1 July 2026.
Defence Industry Minister Pat Conroy said the deal highlighted Australia’s ability to develop and export cutting-edge defence technology.
“The Jindalee Operational Radar Network is a great Aussie success story – world-leading technology that has led to the biggest defence export agreement in Australia’s history.”
Beyond the initial export, the agreement establishes a framework for ongoing joint research and development between Australia and Canada, aimed at advancing Over the Horizon Radar capabilities and strengthening defence industrial cooperation.
Officials said the collaboration would enhance surveillance and early-warning capabilities across both the Indo-Pacific and North Atlantic regions, supporting collective security efforts among trusted partners.
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