B.C. tech and shipbuilding firms eye boom from Ottawa’s defence push

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Engineers and technicians move between racks of cables and control consoles inside OSI Maritime Systems’ Burnaby facility working on navigation systems for naval ships — work the company says will drastically increase as Ottawa commits billions of dollars in new defence spending.

“Right now we’re at the pinnacle of a new era,” said Jim Girard, the company’s president. 

OSI builds high-tech ship bridges and navigation systems for the Royal Canadian Navy and 25 other navies around the world.

The company employs about 400 people, which is up sharply from 265 just three years ago, says Girard. 

Jim Girard, CEO and president of OSI Maritime Systems in Burnaby, B.C., on Thursday, Nov. 20, 2025. (Ben Nelms/CBC)

“This growth coming out of Canada alone is going to be dramatic over the next 10 years,” he said. 

Shipbuilding and naval-tech firms say they are optimistic about the future as the federal government significantly increases defence spending to satisfy NATO allies who have long said Canada is falling behind on military funding. 

Earlier this year, NATO leaders — including Canada — endorsed a plan to increase defence spending across the alliance to five per cent of GDP over the next decade.  

According to a NATO report from last year, Canada was estimated to spend roughly 1.37 per cent of its GDP on defence in 2024.

Ottawa’s recent federal budget announced $6.6 billion over five years on spending for its forthcoming defence industrial strategy.

WATCH | B.C. hopes to capture new federal defence spending:Ottawa has earmarked billions more in spending on national defence, and B.C. is eager to attract some of the high-paying jobs that might come with it. As Katie DeRosa reports, B.C. shipbuilding companies see it as a golden opportunity.

For B.C., it’s a chance to stimulate the economy and create high-paying jobs, says Girard.

"It’s going to create a lot of jobs in British Columbia, a lot of jobs in Canada.”

B.C. pushing to secure its share

British Columbia has also laid out a new 10-year plan, dubbed as the Look West strategy, to get major projects built faster, expand skills training and strengthen key sectors, including defence. 

Part of the plan is for the province to secure 35 per cent of federal defence vessel contracts by 2035, with shipyard Seaspan as a strategic partner.

B.C. Jobs Minister Ravi Kahlon said the province is determined to ensure local workers and companies benefit from Ottawa’s increased spending.

“Billions of dollars are being invested,” Kahlon said. 

“We want to make sure B.C. sees as many of those dollars as possible because it means good jobs in our communities.”

Former defence minister helping B.C.’s pitch

To ensure the province is on Ottawa's radar, B.C. has enlisted former federal defence minister Harjit Sajjan to advise on how the province can compete for contracts. The province says Sajjan is volunteering his time at no cost.

Sajjan said B.C. companies are well-positioned, but must move quickly to take advantage of new opportunities.

To strengthen its pitch, B.C. has brought in former federal defence minister Harjit Sajjan to advise at no cost to the province. (Maria Tobin/CBC)

“We need to expand the opportunities,” he said. “Companies need to see where those opportunities are and be bold to take advantage of it, because now you have all levels of government fully behind this growth.”

The surge in federal investment comes at a time when B.C.'s shipbuilding capacity has become a national story. 

B.C. Ferries recently chose a Chinese state-owned shipyard to build four new major vessels, generating blowback from unions and marine industry groups who wanted the work to stay in Canada.

Seaspan, one of Canada’s largest shipyards, did not bid on the B.C. Ferries contract, saying it could not compete with Chinese labour costs and timelines while it is still completing major navy and coast guard ships under the National Shipbuilding Strategy.

“I don’t think Seaspan had the capacity to support B.C.’s immediate needs for new ferries,” said Leo Martin, Seaspan’s senior vice-president of programs.

But he said increased federal defence spending could reshape B.C.’s industrial landscape.

“Investment into skills training and development, investment into wider infrastructure and the ecosystem here in B.C. will put us in a fantastic position going forward,” Martin said.

WATCH | B.C. shipyard contracted to build federal vessels but not local ferries:There have been questions over why a B.C. Ferries' contract went to a Chinese shipyard instead of North Vancouver's Seaspan. As Leanne Yu reports, B.C.'s largest shipyard is already busy with federal projects.

Girard of OSI Maritime agrees that the single biggest factor shaping B.C.’s future role in defence shipbuilding will be people.

“The more investment they can make in training, the better,” he said.

“The more investment they can make in research and development … whatever they can do to build up the workforce to be ready for this.”

The province recently announced that it will double funding for trades training — a key part of its jobs strategy to ensure B.C. companies poised to benefit from the defence dollars have the workers they need.