Government of Canada launches new initiative to accelerate the integration of Canadian businesses into domestic and international defence supply chains.
MONTRÉAL, Dec. 8, 2025 /CNW/ - Canada Economic Development for Quebec Regions (CED)
The Honourable Mélanie Joly, Minister of Industry and Minister responsible for CED, today announced that businesses in Quebec can now apply to the Regional Defence Investment Initiative (RDII), a $357.7-million national initiative delivered by Canada's regional development agencies to meet the country's defence needs while driving regional economic development. The RDII will be delivered in Quebec by CED with an investment budget of $64.9 million over three years.
The Government of Canada is focused on rebuilding the country's defence capacity, which in turn requires a strengthening of Canada's defence industrial base. The RDII will accelerate the integration of businesses and regional ecosystems into domestic and international defence supply chains and increase their industrial and innovation capacity. This includes investment in businesses whose products and services are dual use and who wish to pivot their activities to supply the defence sector.
A strong defence industry is key to Canada's national sovereignty and security as well as its economic resilience and long-term prosperity.
CED is now accepting funding applications; organizations are invited to consult the eligibility criteria on CED's website.
Quote
"Small and medium-sized enterprises are at the core of regional economic development and are key to our government's plan to build, protect and empower Canadian industry. By providing Canada Economic Development for Quebec Regions with the tools to boost investment in Quebec's defence industrial capacity and innovation, we will generate long-term economic benefits for businesses, workers and the regional ecosystem."
The Honourable Mélanie Joly, Member of Parliament for Ahuntsic-Cartierville, Minister of Industry and Minister responsible for CED
Quick facts
- As announced in Budget 2025, initial investments have already been put into action to support Canada's defence industrial base by allocating $6.6 billion over five years on a cash basis starting in 2025-2026 under the forthcoming Defence Industrial Strategy.
- These initial investments will drive research and innovation, strengthen domestic supply chains, grow critical resource stockpiles, and improve access to funds for Canadian small and medium-sized defence businesses.
- The funds are being granted under the Regional Economic Growth through Innovation (REGI) program. This program targets entrepreneurs leveraging innovation to develop their activities and enhance their competitiveness, as well as regional economic stakeholders helping to create an entrepreneurial ecosystem conducive to innovation and growth for all, across all regions.
- By capitalizing on RDAs' expertise in support of innovation and a place-based approach, the RDII will strengthen Canada's defence industrial base in all regions across the country while helping it fulfil its defence spending commitment to NATO.
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SOURCE Canada Economic Development for Quebec Regions
Information: Media Relations, Canada Economic Development for Quebec Regions, [email protected]; Gabrielle Landry, Press Secretary, Office of the Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, [email protected]
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