$2.5 Billion contract for Canada's Arctic over-the-horizon radar marks Australia's largest ever defence export

Published
2026-06-22T12:26:38.823+02:00 22 June 2026
Business BAE Systems Australia
Location Australia
The Australian and Canadian governments have announced an export agreement of Australia’s High Frequency Surveillance capability system to establish an Arctic over-the-horizon radar (A-OTHR) in Canada.
Arctic over-the-horizon radar artist impression. Not for reuse.
Artist impression of Arctic over-the-horizon radar. Not for reuse.

Under the agreement, which will be Australia’s largest ever defence export, BAE Systems Australia will support both governments as the A-OTHR industry partner. 

The Australian solution for A-OTHR is built on a mature, high-performance OTHR capability that delivers enhanced detection and tracking of threats to security, building on more than 40 years of expertise and innovation. 

An OTHR capability works by refracting high-frequency electromagnetic waves off the ionosphere to 'see' objects thousands of kilometres away that are invisible to conventional radars because of the curvature of the earth.

BAE Systems Australia has demonstrated experience in the full lifecycle support of complex OTHR capabilities, including the Jindalee Operational Radar Network (JORN), which plays a vital role in supporting the Australian Defence Force (ADF), border protection, disaster relief and rescue operations.

BAE Systems Australia stands ready to support the rapid delivery of operational capability to Canada with an experienced workforce in the installation, operation, upgrade and sustainment of complex OTHR systems.

The agreement enables deeper collaboration on OTHR capability development between Australia and Canada to meet emerging threats. BAE Systems Australia will continue to support both nations as it progresses.

Ref 063/2026

The export of Australian OTHR capability presents a significant opportunity for both Australian and Canadian industry and positions domestic firms to expand exports of high-value goods and services, particularly into allied defence and technology markets. 

Canada’s acquisition of a cutting-edge Australian OTHR system supports the strategic interests of both nations through enhanced detection and tracking of threats to North America, strengthening Five-Eyes situational awareness.

Craig Lockhart
Chief Executive Officer, BAE Systems Australia

About BAE Systems Australia

We provide some of the world’s most advanced, technology-led defence, aerospace and security solutions, helping customers stay ahead of evolving threats across domains including air, maritime, land, surveillance, guided weapons and autonomy. As Australia's largest defence company, with more than 70 years of local experience, we serve, supply and protect those who serve and protect us.

Get in touch
BAE Systems logo red on white background
Richard Sproull

Senior Communications Manager, Media and Reputation

BAE Systems Australia

Get in touch
BAE Systems logo red on white background
Phillip Morton

External Affairs Lead

BAE Systems Australia