On Wednesday, 2026.03.18, David McGuinty, the Minister of National Defence, announced an investment of $1.4 billion to expand Canada’s domestic ammunition production capacity.
Under the Canadian Defence Industry Resilience (CDIR) Program, Minister McGuinty announced that the Government of Canada will provide up to $305.4 million in financial assistance to IMT Precision in Ingersoll, Ontario. This will establish a new manufacturing facility capable of producing empty metal shells for more modern and effective 155mm artillery projectiles, which will increase Canada’s sovereign ammunition production capacity reducing dependency on foreign suppliers. The facility will also act as a vital backup to North American supply capabilities, strengthening Canada’s position within NATO.
The new facility will bring significant economic benefits to the local area, including the creation of at least 75 full‑time, high‑value jobs and up to 400 jobs at full production.
Three additional contribution agreements have also been awarded under the CDIR to General Dynamics – Ordnance and Tactical Systems in Quebec:
- $355.7 million to construct a nitrocellulose facility;
- up to $57.9 million to establish Canada’s first facility capable of loading, assembling, and packing M231/232 charges used in 155mm artillery; and
- up to $642 million to establish a manufacturing facility to load, assemble, and pack 155mm High‑Explosive projectiles.
The Canadian defence industry contributes nearly $10 billion to the Canada’s GDP and supports over 81,000 jobs.
Source: DND News Release: Minister McGuinty announces investment of $1.4 billion into Domestic Ammunition Production