Canada and Germany Finalize Over $1 Billion Deal for CMS 330 Combat Management System

World Defense

Canada and Germany Finalize Over $1 Billion Deal for CMS 330 Combat Management System

On 17 November 2025 Canada and Germany have taken a major step toward deepening their defence and industrial partnership with the signing of a government-to-government (G2G) contract that will equip the German Navy with Lockheed Martin Canada’s CMS 330 combat management system. The agreement, facilitated by the Canadian Commercial Corporation (CCC) and Germany’s Federal Office of Bundeswehr Equipment, Information Technology and In-Service Support (BAAINBw), is valued at more than $1 billion, marking one of Canada’s largest defence exports in recent years.

 

A Milestone in Canada–Germany Defence Cooperation

Canada’s Minister of International Trade welcomed the signing, describing it as a landmark achievement that reinforces both countries’ shared commitment to collective security and advanced defence cooperation. The deal reflects a growing strategic alignment between Ottawa and Berlin as Europe accelerates military modernization in response to rising global tensions.

The CMS 330, originally developed for the Royal Canadian Navy’s Halifax-class frigates, integrates a vessel’s sensors, weapons, communications and decision-support tools into a single unified platform. The system offers enhanced situational awareness and supports air, surface and subsurface warfare, making it a highly adaptable solution for modern naval operations.

 

Strengthening Interoperability Between Allied Navies

By adopting CMS 330, the German Navy will align its combat systems more closely with those of the Royal Canadian Navy. Defence officials say this will significantly improve interoperability during NATO missions, joint exercises and multilateral maritime operations.

Germany is expected to deploy the CMS 330 on its next-generation F127 air-defence frigates, with possibilities for integration in future fleet upgrades. The system’s open-architecture design also allows for continuous upgrades in line with evolving mission requirements.

 

Economic Impact and Industrial Collaboration

Beyond its strategic value, the contract marks a major boost for Canadian defence exports. Ottawa emphasized that the agreement will support high-skilled jobs, drive innovation and expand Canada’s footprint in the European defence market. The partnership will involve extensive collaboration between Canadian and German industry, including integration work, component manufacturing and long-term technical support.

For Germany, the acquisition ensures access to a proven, advanced combat management system at a time when Berlin is rapidly modernizing its armed forces under its expanded defence budget commitments.

 

A Pillar of Renewed Canada–EU Security Engagement

The CMS 330 contract builds on the Canada–EU Security and Defence Partnership, as well as a trilateral maritime cooperation pact between Canada, Germany and Norway signed in 2024. Canada and Germany have also deepened coordination at recent NATO summits as both nations push for stronger transatlantic defence resilience.

Officials on both sides underscored that Canada and Germany share “a deep commitment to democratic values, international law and collective security,” framing the new contract as a practical expression of those principles.

Installation and integration of CMS 330 on German Navy vessels will take place over the coming years, with joint working groups already in place to coordinate timelines, testing and operational certification. Analysts expect the deal to open the door for further Canadian defence technology exports, including potential future systems for European navies seeking NATO-aligned solutions.

As the agreement moves toward implementation, it stands as a powerful symbol of closer Canada–Germany defence cooperation and a significant milestone in Canada’s rise as a global defence technology exporter.

✍️ This article is written by the team of The Defense News.

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