Canada Invests $2B in Armored Vehicles: 6,000+ Jobs Secured in London and Beyond

The federal government has announced a $2 billion investment in General Dynamics Land Systems-Canada (GDLS-Canada) to build 190 armored combat support vehicles (ACSVs). This move is set to inject substantial economic stability and high-paying jobs into London and across the nation.

Prime Minister Mark Carney revealed the funding at a news conference Thursday, stating, "Our government will invest nearly $2 billion over four years to build and deliver 190 armored combat support vehicles."

The acquisition will expand Canada’s fleet from 360 to 550 vehicles, ensuring the Canadian Armed Forces are equipped for evolving global demands. The new ACSVs feature advanced armor to counter threats such as mines and enemy fire, keeping soldiers protected and mobile.

This funding designates GDLS-Canada as the first strategic partner under the newly established Defence Industrial Strategy’s framework, aiming to foster sovereign defence capabilities and align with Canada’s commitment to reaching NATO’s 2% defence spending target.

Economic Impact

• 6,000+ high-paying jobs created or sustained annually across Canada for the next eight years.
• 1,700 jobs supported at the General Dynamics’ London operation.
• Over 600 Canadian suppliers in more than 100 communities will benefit, from steel production to advanced engineering.

Local leaders welcomed the news. GDLS UNIFOR Plant Chair Jeff Skinner noted its importance for younger workers: "We have so many young members now that worry about just getting into this workforce... This news keeping around for another eight years, it’ll just be a bridge to the next contract."

Mayor Josh Morgan echoed this sentiment: "Just under 200 vehicles. And every single one of them is going to be made right here in London. This is long term, good paying, secure jobs in our city."

Kapil Lakhotia, CEO of the London Economic Development Corporation, emphasized GDLS-Canada’s significant economic footprint: "There’s well over 40 companies in London alone that rely on this supply chain."

Global Competitiveness

With approximately 80% of production slated for export, the partnership is expected to open new opportunities in a "more dangerous world," according to Carney. This, combined with Canada’s deepening ties with NATO and participation in European defence procurement, will enhance GDLS-Canada’s global competitiveness.

The government’s broader strategy includes the establishment of the Defence Investment Agency to streamline procurement and cut red tape, supporting the Defence Industrial Strategy. The Industrial and Technological Benefits Policy ensures these contracts generate further opportunities for Canadian businesses in research, development, and training.