I have been looking into this issue of defense spending levels as a percentage of GDP, and I don't understand why Canada or other NATO nations agreed to a 5% of GDP level of spending considering that as of 2024 U.S. defense spending as a percentage of GDP is
2.9%
Key Figures:
- Total Defense Budget: $895 billion
- Defense as % of GDP: 2.9%
- Projected Decline: Expected to fall to 2.4% by 2035, reflecting budgetary constraints and shifting priorities
source: https://www.theglobalstatistics.com/military-spending-in-the-united-states/
Key Takeaway:
Based on the figures above, why would Canada and fellow NATO nations agree to even a 3% GDP target for military spending let alone 5%? The United States spends just under 3%, largely because it still considers itself the world’s hegemonic power. It maintains around 700 military bases globally—few of which are directly related to the
defense of the U.S. homeland or the NATO alliance. The same goes for the U.S. Navy and its aircraft carriers, which exist primarily to project American
offensive power across the globe.
Canada and the rest of NATO should have told the United States that if it’s dissatisfied with our levels of military spending, it is free to exit the alliance. At one point in recent history, Vladimir Putin proposed to George W. Bush that Russia join NATO—an offer that, in retrospect, should have been accepted (Bush reportedly gave it some consideration). Had that happened, we would not be seeing over a million dead Ukrainian soldiers today. If the Americans are unhappy with NATO members’ spending, they should leave, and perhaps Russia could take their place.
Whatever the appropriate spending level is for Canada, the
KEY QUESTION is: what should we buy? This requires a deep understanding of the
actual threats facing Canada. The current threat is not intercontinental ballistic missiles (ICBMs) or ground invasions from Russia or China. In fact, it’s doubtful these countries ever posed a direct threat to Canada, despite our heavy investment in NORAD over the past almost 70 years—covering roughly 40% of its costs. It’s unlikely the former Soviet Union ever had ICBMs aimed at Ottawa or Toronto. NORAD has always existed primarily to protect the United States.
In addition to contributing billions to U.S. defense over the decades, Canada’s greatest strategic asset has been its geography. Our vast territory provides a ~2,500-mile buffer between Russia and the U.S. homeland. How would Americans feel if they had to relocate their early warning systems to the lower 48 states? Would they feel more secure—or less secure—from Russian ICBMs? Remember this the next time you hear Trump say,
"we pay to protect Canada" "Canada wants to be under our Golden Dome! It will cost Canada $71 billion unless they agree to become the 51st state in which case we will give them Golden Dome for free".
Clearly, the number one military threat to Canada is the United States. Donald Trump has made no secret of his interest in Canada’s vast wealth and his intent on annexing us. In terms of natural resources, Canada ranks second only to Russia. In terms of proven oil reserves alone Canada is #4 in the world versus the United States which is #9 (~171 billion vs. ~69 billion barrels of oil). With all of this in mind, what should Canada be spending its defense budget on? I would argue for a focus on air-defense systems, a large stockpile of missiles—preferably hypersonic—and a MASSIVE drone fleet. We don’t need stealth fighters, especially not American-made F-35s. Why hasn’t Mark Carney canceled that program already? Spain cancelled its program this week.
Ultimately, Canada needs nuclear weapons. We are one-tenth the size of the United States and have no realistic chance of defending our territory with conventional arms alone. Perhaps the UK or France could sell us some until we develop our own. We have the technology and capability. If we acquire nuclear weapons, the final item on my wish list would be a minimum of three nuclear-powered submarines to form the backbone of a Canadian nuclear triad.