Canada Takes Step Closer to Buying 6 Saab Spy Aircraft

By Robb M. Stewart

OTTAWA--Canada's government has agreed a preliminary deal to buy six surveillance aircraft from Saab as part of its effort to rebuild its military and tighten security ties with Europe.

The government and the Swedish company signed a nonbinding term sheet that establishes the scope and foundation for detailed negotiations for the potential acquisition of Saab's GlobalEye platform, which would be used by the Royal Canadian Air Force to detect and deter threats in the Arctic and beyond.

The agreement doesn't constitute a contract or commitment to buy aircraft, but it does mark a concrete step after Prime Minister Mark Carney's government in late May selected Saab as the preferred supplier for a future airborne early-warning and control capability.

Under the proposed deal, Canada would buy GlobalEye aircraft, with associated systems, training and support. Saab said the discussions will focus on a system configuration that will reflect Canada's operational needs, as well as industrial participation and a schedule.

The move follows months of talks between Saab, Canada's Defence Investment Agency and the air force. Saab has offered to build, maintain and upgrade planes bought by Canada in partnership with Canadian companies. GlobalEye is built on Global 6500 aircraft made by Montreal-based Bombardier.

"Entering into this agreement is an important and tangible step forward in our ongoing efforts to equip the Royal Canadian Air Force with the modern capabilities it needs to support operations," Defense Minister David McGuinty said.

Saab's GlobalEye includes an array of active and passive sensors that provide long-range detection and identification of incoming threats, providing real-time information to military commanders.

Canada, long a laggard in defense spending among North Atlantic Treaty Organization countries, has rushed to build up the country's military since Carney became prime minister. Canada in the past year has met has met its NATO spending target of 2% of gross domestic product ahead of schedule and pledged to meet the new 5% target by 2035. This year it became the first non-European country to join Europe's defense-procurement pact.

Last year, the Swedish royal family paid a rare visit to Canada as part of the Scandinavian country's effort to pitch Saab's Gripen jet fighters as an alternative to Lockheed Martin's F-35s. Canada is reviewing a 2023 deal to buy up to 88 of the U.S. jets, a move it said reflected the geopolitical environment.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

September 25, 2026 11:09 ET (15:09 GMT)