March 19, 2026 – Kitchener, Ontario
The Government of Canada is committed to rebuilding, rearming and reinvesting in the Canadian Armed Forces (CAF) to ensure they receive the equipment they need to achieve mission success and protect Canadians.
Today, the Honourable Stephen Fuhr, Secretary of State (Defence Procurement), and the Minister of National Defence, the Honourable David J. McGuinty, announced that the Defence Investment Agency has awarded a contract to Colt Canada of Kitchener, Ontario, to acquire up to 65,402 assault rifle systems under the Canadian Modular Assault Rifle (CMAR) initiative. By awarding this contract to Colt Canada, the Government of Canada is reinforcing the recently announced Defence Industrial Strategy and its commitment to invest in Canadian innovation.
The CMAR project will be delivered through 2 phases:
Phase 1 includes procuring 30,000 General Service (GS) rifles over a three-year period. The estimated value of this initial phase is approximately $307 million, including applicable taxes.
Phase 2, which is expected to begin in year four under an optional provision, will include procuring the remaining 19,207 GS rifles, 16,195 Full Spectrum (FS) rifles, as well as associated ancillaries.
This contract will provide a modern replacement for the current C7/C8 assault rifle fleet, which has been in service for more than 35 years. The new rifles will enhance the awareness, protection, and reliability of deployed CAF members. The project also includes system integration and engineering support.
The investment will bolster Canada’s defence industrial base for years to come, creating good?paying jobs and contributing roughly $10 million annually to Canada’s GDP over the next five years. Colt Canada’s commitment to include at least 80% Canadian content will also generate opportunities for suppliers across the country. Further economic benefits are expected under the Industrial and Technological Benefits (ITB) Policy, which ensures that defence procurements generate long?term, high?value investments in Canada.
This contract is part of the first wave of high-priority defence procurements to be implemented by the Defence Investment Agency. The Agency play a central role in implementing Canada’s Defence Industrial Strategy by engaging industry earlier in the procurement process, supporting innovation and aligning procurement strategies with long-term military and industrial priorities.
Together, the Defence Investment Agency and the Defence Industrial Strategy are making generational investments in Canada’s defence ecosystem—transforming how Canada equips its military, strengthening domestic supply chains, and ensuring the Canadian Armed Forces have the equipment they need to keep Canada safe and sovereign.
To replace the current service rifle, the DIA made a deliberate decision to advance CMAR through a direct acquisition for asset replacement, and advanced the procurement using a Risk?Based Approach (RBA). These actions reflect Canada’s commitment to streamlining processes and accelerating the delivery of equipment to the CAF. This investment supports Canada’s efforts to meet its NATO defence spending targets, while ensuring the CAF has the modern equipment needed to respond to evolving operational demands.
“Providing modern, reliable capabilities to the Canadian Armed Forces is central to the Defence Investment Agency’s mission, and our streamlined approach will deliver this capability to our troops faster. This contract with Colt Canada advances Canada’s new Defence Industrial Strategy by strengthening domestic production, creating good?paying jobs, and growing our economy. By investing in advanced systems and Canadian expertise, we are ensuring our Forces remain ready for the challenges ahead while building a stronger, more resilient defence industry at home.”
The Honourable Stephen Fuhr
Secretary of State (Defence Procurement)
“Today’s announcement reflects our government’s ongoing commitment to ensuring the Canadian Armed Forces have the capabilities they need to protect Canadians and contribute to global security. The Canadian Modular Assault Rifle project is an important step in modernizing the equipment our service members rely on every day. By investing in modern, reliable tools and working with a trusted Canadian partner, we are supporting the operational readiness of our Armed Forces while strengthening Canada’s defence industry and the skilled workforce behind it.“
The Honourable David J. McGuinty
Minister of National Defence
“Today’s announcement is a win for Canada and the Canadian Armed Forces. Rifles remain foundational to soldier effectiveness in the field, and this development brings over 40 years of technology evolution to Canada’s fighting forces. This represents tangible progress, and a clear example of how we can move with greater agility to bring modern, reliable equipment to soldiers. It is about delivering the Army Canada needs, today, and into the future.”
Lieutenant-General M.C. Wright
Commander Canadian Army
On February 17, 2026, the Prime Minister launched Canada’s first Defence Industrial Strategy to transform our defence industries by prioritising Canadian suppliers and materials, investing in Canadian innovation and commercialisation, and streamlining procurement to give businesses consistent and predictable demand.
On October 2, 2025, the Prime Minister announced the creation of the Defence Investment Agency. This new special operating agency was established to strengthen Canada’s defence procurement system. It marks a major advancement in modernizing the process, aimed at rebuilding, rearming, and reinvesting in the Canadian Armed Forces to address evolving global threats and meet operational requirements.
The newly established Defence Investment Agency is modernizing defence procurement for the Government of Canada. The Agency is accelerating mission-critical equipment delivery to the CAF by centralizing expertise and streamlining decisions.
Under this contract, up to 65,402 modern assault rifles will be delivered: 16,195 will be the FS variant, while the remaining 49,207 will be the GS variant.
The FS variant is designed for front-line combat roles. It is optimized for offensive operations in urban and open terrain, and it has advanced features for soldiers in Regular Infantry units. The GS variant is intended for broader use across the CAF. It provides reliable personal protection and deterrence for personnel who are not in primary combat roles.
The ammunition to be produced as part of the CMAR initiative will also be made in Canada.
The CMAR contract was advanced under a Risk?Based Approach (RBA), through which a procurement is managed according to its level of complexity and risk . This approach ensures that procurements receive Treasury Board (TB) approvals and oversight appropriate to their complexity, enabling timely delivery for the CAF by streamlining processes.
The Munitions Supply Program, established in 1974, ensures that the CAF have reliable sources of supply in Canada for ammunition, small arms and related equipment. Equipment is purchased from designated domestic facilities that serve as strategic sources of supply and centres of excellence. The MSP supports the development of a competitive Canadian defence industry, creating long-term economic benefits and thousands of jobs across the country.