The Canada-U.S. Defence Production Sharing Agreement (DPSA) is a bilateral treaty between the United States and Canada that was signed in 1956. The aim of the DPSA is to promote collaboration and cooperation in defence production between the two countries.
Under the agreement, Canadian defence contractors are given the opportunity to bid on U.S. defence contracts, and vice versa. This allows for the sharing of technology, expertise, and resources, and helps to reduce the costs of defence production for both countries.
The DPSA has been a critical component of the defence relationship between the U.S. and Canada for over 60 years. It has facilitated the production of key defence equipment such as fighter jets, tanks, and submarines, and has been instrumental in supporting the defence industrial base of both countries.
In addition to promoting collaboration in defence production, the DPSA has also helped to foster closer military ties between the U.S. and Canada. The two countries have a long history of military cooperation, and the DPSA has further strengthened this relationship by encouraging joint training, exercises, and research and development.
The DPSA has been subject to periodic review over the years to ensure that it remains relevant and effective. The most recent review of the agreement was conducted in 2017, and resulted in a number of updates and revisions to the treaty.
While the DPSA has been a cornerstone of the U.S.-Canada defence relationship for many years, it is not without its challenges. One of the key challenges facing the agreement is keeping up with the rapidly changing nature of defence technology. As new technologies emerge, it can be difficult to ensure that the DPSA remains up-to-date and relevant.
Another challenge facing the DPSA is the increasing pressure on defence budgets in both countries. As defence spending comes under scrutiny, there may be less money available for joint production and research initiatives.
Despite these challenges, however, the Canada-U.S. Defence Production Sharing Agreement remains an important tool for promoting collaboration and cooperation in defence production between the two countries. As long as both countries continue to see value in the agreement, it is likely to remain a key component of the U.S.-Canada defence relationship for years to come.