Canada Failed to Repair APCs for Ukraine — Contract Terminated

Canada was unable to repair the armored personnel carriers and transfer them to Ukraine for unknown reasons.

Canada’s Defense Minister David McGuinty announced the decision, CBC reported.

Nearly two years ago, the Canadian Department of National Defense transferred 25 decommissioned armored personnel carriers to Armatec Survivability in Dorchester for refurbishment.

The project was part of Canada’s broader effort to source weapons and equipment for Ukraine to help it resist Russia’s invasion.

The Canadian Commercial Corporation (CCC), which serves as an intermediary for defense contracts, was responsible for finalizing the details of the deal. The contract was valued at up to CAD 250 million.

The plan appeared in the federal agency’s quarterly report until this summer, when it was unexpectedly canceled.

“There is a decision that’s been taken to nullify the contract with that company presently. I can’t go any further in terms of discussing the merits. We’ll see how that evolves in terms of relationship to the department and contractor,” McGuinty reported.

Under the initial plan, Canada was to provide both new and refurbished armored vehicles, but Ukraine received only part of the new batch.

Armatec had even produced a demonstration model for the Ukrainian project, fitted with a new cannon and a remotely operated weapon station.

As of October 2023, the Canadian Army had 195 LAV II Bison armored personnel carriers and 149 Coyote armored reconnaissance vehicles slated for decommissioning.

Armatec Survivability had proposed several modernization options for the surplus vehicles, including configurations as infantry fighting vehicles, ambulances, and support vehicles.

Canada has also previously dropped plans to transfer certain weapons to Ukraine that were banned under domestic law, which were collected as part of a national program.