Government of Canada announces major contribution to strengthen Canada's dual-use life sciences sector

Investments will advance Canada's industrial capacity and enhance health security

OTTAWA, ON, Sept. 18, 2026 /CNW/ -- Today, the Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, announced a $67 million investment in the life sciences sector through the Life Sciences Fund. These investments will drive economic growth, strengthen health resilience and advance Canada's dual-use industrial capacity.

The Fund is supporting five projects with dual-use capabilities through the following contributions:

• Applied Pharmaceutical Innovation (Alberta) will receive up to $21.9 million toward its $23.5 million initiative to launch the Canadian Allied Antimicrobial Supply Resilience. The project will help secure a variety of broad-spectrum antibiotic and other antimicrobial drugs, with applications in the treatment of priority pathogens, antimicrobial-resistant threats and combat-related infections.
• Avivo Biomedical Inc. (British Columbia) will receive up to $10.9 million toward its $33.9 million project that will advance the development of its technology to expand blood transfusion and organ transplant capabilities. Its platform converts different blood types into Type O (including O negative, the universal donor type), making more transfusion and transplant options available to more patients.
• Northern RNA (Alberta) will receive up to $6 million toward its $9.5 million project that will establish good manufacturing practice capacity for oligonucleotides and self-amplifying RNA, which are vital technologies for vaccines, therapeutics and diagnostics.
• Qidni Labs (Ontario) will receive up to $12.5 million toward its $25 million project to finalize the design of the company's portable and nearly waterless hemodialysis systems. The project will establish pilot-scale manufacturing in Ontario, perform clinical studies and collect real-world battlefield data.
• STEMCELL Technologies (British Columbia) will receive up to $2.8 million toward its $2.9 million project that will establish domestic manufacturing capacity for custom cell culture media. The project will support biomanufacturing resilience and reduce reliance on foreign supply chains.

To continue strengthening Canada's health security, sovereignty and defence capacity, the Fund is contributing $1.55 million over three years to each of the five pan-Canadian research hubs to extend their existing pandemic preparedness activities and integrate the development of dual–use technologies.

The Fund is also supporting research, collaboration and capacity-building through the following grants:

• Dr. Mina Tadrous of the University of Toronto will receive $2.2 million to establish the Canadian Drug Supply Observatory, a national hub that will be used to monitor, analyze and respond to drug shortages.
• The Canadian Biobank Alliance, housed at the Ottawa Hospital Research Institute, will receive $1.2 million to maintain and upgrade a Canadian biobank data platform connecting academia, government and industry.
• The Ottawa Hospital Research Institute and Boreal Biomanufacturing will receive $880,000 to expand adenovirus manufacturing capacity and capabilities, enable larger-scale production and commercialization of vaccines and therapies, and support the implementation of an electronic quality management system to strengthen operational efficiencies.
• Dr. Matthew Miller of McMaster University will receive $780,000 to advance a needle-free inhaled vaccine platform, including by improving its flexibility and adaptability for new and different pathogens.

In a more complex and uncertain world, the government is building Canada's defence and dual-use industrial capacity while driving innovation and protecting Canadians' health and security. These projects will advance the next generation of health innovations, and they have the potential to improve Canadians' lives immeasurably. These investments mean that growing a robust, innovative and competitive life sciences ecosystem that develops the next generation of medicines and technologies is key to building Canada's economy and protecting our sovereignty.

Quotes

"A strong life sciences sector is essential to protecting the health and security of Canadians while supporting economic growth, jobs and innovation. We are investing in the research, industrial capacity and cutting-edge solutions that will improve the lives of Canadians, respond to emerging threats and strengthen Canada's resilience and competitiveness for future generations."

– The Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions

"The health care and life sciences sector is one of the fastest-growing in the country. Canada stands at a pivotal moment and is strengthening its sovereignty and its position as a global leader in the life sciences. We are creating opportunities for researchers, industry leaders and workers for generations to come."

– The Honourable Marjorie Michel, Minister of Health

"Canada's life sciences sector drives innovation well beyond health care. We are investing in dual-use technologies that protect Canadians and the forces who serve them, support economic growth, and grow a resilient and competitive defence industrial base. This is how we build sovereign capability at home, create well-paying jobs for Canadians and reinforce Canada's health security, sovereignty and defence capacity."

– The Honourable David J. McGuinty, Minister of National Defence

Quick facts

• The Life Sciences Fund is delivered through Health Emergency Readiness Canada. The Fund aims to strengthen scientific, technological and industrial capabilities in Canada's life sciences sector to enhance national defence, national security and economic prosperity.
• These projects include funding provided through Canada's Defence Industrial Strategy, which aims to strengthen Canada's defence industrial base, advance sovereign defence and dual-use technologies, reinforce domestic supply chains, and drive innovation, economic growth and competitiveness.

Associated links

• Canada's Biomanufacturing and Life Sciences Strategy
• Canada's Defence Industrial Strategy

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Contacts: Gabrielle Landry, Deputy Director, Media Relations, Office of the Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, [email protected]; Media Relations, Innovation, Science and Economic Development Canada, [email protected]