Germany’s navy has agreed to purchase a Canadian-developed combat management system in a contract valued at more than $1 billion, marking a significant expansion of defense cooperation between the two NATO allies.
The Canadian Commercial Corporation announced Monday that Germany’s Federal Office of Bundeswehr Equipment has signed a government-to-government contract to equip German naval vessels with Lockheed Martin Canada’s CMS 330 combat management system.
Canadian Trade Minister Maninder Sidhu called the agreement “a testament to our world-class defence technologies and the value of government-to-government partnerships.” The contract builds on a trilateral maritime security partnership that Canada, Germany and Norway established in July 2024.
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The CMS 330 system was originally developed for the Royal Canadian Navy’s Halifax-class frigates and integrates shipboard sensors, weapons, and communications to provide real-time situational awareness. The system supports air, surface, and subsurface warfare missions.
The system has been in service with the Royal Canadian Navy for more than three decades. International adoption has grown in recent years, with New Zealand’s Royal Navy integrating the system onto its ANZAC-class frigates and Chile equipping its Type 23 frigates with the technology. According to Lockheed Martin Canada, the company has integrated the system on 42 platforms to date.
The system’s open architecture allows it to be deployed across various naval platforms, from small patrol vessels to major surface combatants.
The purchase comes as Germany undertakes an ambitious naval modernization program. Germany has committed to building six F126 multi-purpose combat ships and has allocated funding for at least four F127 air defense frigates. The German government has also ordered new Type 212CD submarines in partnership with Norway.
The contract follows the establishment of a trilateral maritime security cooperation agreement between Canada, Germany, and Norway signed in July 2024. Denmark joined the partnership at the NATO Summit in The Hague in June 2025, focusing on enhancing security in the North Atlantic and Arctic regions.
Germany is Canada’s sixth-largest merchandise trading partner and the largest among EU member states. Two-way merchandise trade between the countries totaled $30.5 billion in 2024, representing a 41% increase since the Canada-European Union Comprehensive Economic and Trade Agreement took effect.
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