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AFB calls for funding to be rescinded for the promotion of arms exports as groups call for EU Due Diligence Directive to cover the arms sector

Photo: Germany will host its first DSEI arms fair in Hanover on March 9-12, 2027. Canada and CADSI will have an official presence there.

Peace Brigades International-Canada contributed to the writing of the “Defence chapter” in the recently-published Canadian Centre for Policy Alternatives Alternative federal budget 2026-27: Bridge to independence report.

That proposed Alternative federal budget (AFB) would “rescind Defence Industrial Strategy funding for military exports and trade shows” estimated at approximately $30 million over the 2027-28 to 2029-30 period.

The AFB states: “The government has now committed to increase the export of Canadian-made military goods by 50 per cent by hiring a ‘new dedicated team for export promotion’ and appointing ‘new trade commissioners in the United Kingdom and key European Union markets to support Canadian business abroad and ramp up Canada’s presence at major global defence and aerospace trade shows’.”

This clearly suggests the Canadian government has prioritized increasing arms exports to European Union countries. In 2025, Canada exported more than $896 million in military-related “strategic goods and technologies” to European Union countries. A 50 per cent increase would bring that to well over $1 billion a year.

This agenda could be advanced by the current proposal for Canada to become an associate member of the European Union.

EU Corporate Sustainability Due Diligence Directive

According to the European Commission, the Corporate Sustainability Due Diligence Directive (CSDDD) “requires companies to identify and address human rights and environmental risks, as well as prevent and mitigate adverse impacts throughout their global value chains.”

In March 2023, numerous human rights organizations, including Amnesty International, stated: “The EU Corporate Sustainability Due Diligence Directive must fully cover the arms sector.” They added: “The arms sector must be listed as a high-risk sector and subject to enhanced human rights due diligence obligations.”

Those organizations further noted: “Four EU Member states are among the world’s top ten arms exporters: France (3rd), Germany (5th), Italy (6th) and Spain (9th). Together in the period 2017-2021, they were responsible for over 21% of global arms exports.”

In 2025 alone, Canada exported more than $478 million in military goods to those four EU countries: France, Germany, Italy and Spain.

Arms exports to Israel

In April 2026, Amnesty International stated: “The European Union and its member states should immediately suspend all transfers and transit of arms, munitions, equipment, technology, parts and dual-use goods to Israel. This obligation is not discretionary but arises under both EU and international law.”

Significantly Germany continues to export arms to Israel. Amnesty International notes: “Germany is Israel’s second-largest supplier of arms after the United States. According to the German government, it has issued export licences worth more than €485 million – from 7 October 2023 to 12 May 2025, including anti-tank weapons and gearboxes for Merkava tanks used in Gaza.”

In the 2023 to 2025 period, Canada exported more than $669.5 million in military goods to Germany. During that same period, Canada exported more than $64.218 million in military goods directly to Israel.

Front Line Defenders and the Committee to Protect Journalists have implicated Israel in the killing of Palestinian human rights defenders, medical workers and journalists.

Saudi Arabia, Türkiye and Algeria

Beyond these exports to Europe, the Canadian government’s pledge “to increase the export of Canadian-made military goods by 50 per cent” raises additional concerns given current exports to countries that repress human rights defenders.

In 2025, Canada exported $404 million of military goods were exported to Saudi Arabia. That year, Amnesty International reported: “Authorities continued to severely restrict freedom of expression and association, with critics and human rights defenders facing long prison terms, grossly unfair trials, and arbitrary travel bans including for those recently released from detention.”

Canada also exported $60.76 million of military goods to Türkiye in 2025. Amnesty International documented for that year: “Baseless investigations, prosecutions and convictions of human rights defenders, journalists, opposition politicians and others intensified.”

And Canada exported $27.63 million of military goods to Algeria in 2025. Amnesty International has noted in that year: “Authorities continued to curtail exercise of the rights to freedom of expression, peaceful assembly and association. They used arbitrary arrests, unfair trials based on unfounded terrorism and other charges, and travel bans to punish peaceful dissidents. Authorities hindered the activities of trade unions and political parties and obstructed peaceful gatherings.”

Human rights violations

The Alternative Federal Budget 2026 states: “When Canadian military equipment is exported to governments implicated in human rights violations or in situations marked by serious violations of international law and human rights norms, it undermines Canada’s international reputation, as well as peace and security.”

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