De Havilland Aircraft of Canada Limited has reached an agreement with the federal government and Export Development Canada (EDC) for up to $2.5 billion in financing to double production capacity for its Canadair 515 waterbombers.
The Calgary-based aircraft manufacturer, which operates as De Havilland Canada, announced the agreement Friday, Oct. 30, saying the financing will allow it to expand manufacturing operations and hire additional workers.
The company expects to make additional aircraft production slots available starting in 2030 as it works toward doubling its current manufacturing capacity.
According to a federal government backgrounder, the financing will be delivered through EDC to support increased manufacturing capacity and strengthen Canadian aerospace supply chains.
The announcement follows a summer campaign by De Havilland Canada calling for a federally supported national fleet of waterbombers that could be deployed to help provinces and territories fight wildfires.
The campaign coincided with growing public discussion about Canada’s aerial firefighting capacity during a wildfire season that caused extensive damage in British Columbia, including the Okanagan.
In July, De Havilland Canada released findings from a Pollara survey showing 89 per cent of respondents supported federal investment in waterbombers to help provinces protect communities and the environment.
Neil Sweeney, the company’s vice-president of corporate affairs, said at the time that longer, hotter summers made additional firefighting capacity increasingly urgent.
The Kelowna Chamber of Commerce reported in late August that calls for a national waterbomber fleet were growing as wildfires displaced residents and disrupted businesses across the Okanagan.
The financing agreement announced Friday addresses the company’s ability to manufacture additional aircraft. It does not establish a national firefighting fleet or announce a federal purchase of waterbombers.
Okanagan wildfires renew attention on aerial firefighting
The debate over firefighting resources gained urgency in August as major wildfires forced evacuations across the Okanagan.
The Bald Range wildfire, discovered Aug. 7 about 15 kilometres west of Summerland, burned through areas around Faulder and Meadow Valley, forcing residents from their homes.
In an Aug. 17 update, the Regional District of Okanagan-Similkameen reported a preliminary estimate of approximately 150 structures damaged or destroyed by the fire. About 110 were in Electoral Area F, including Faulder and Meadow Valley, while approximately 40 were within the District of Summerland.
An RDOS statistics update issued Aug. 21 reported that 7,093 properties had been affected by evacuation orders or alerts during the emergency. Emergency Support Services recorded registrations representing approximately 15,000 people.
Aircraft were among the resources deployed during firefighting operations, alongside ground crews working to protect communities.
The scale of the emergency provided a local backdrop to the broader debate over whether Canada has enough aerial firefighting capacity to respond when major wildfires occur simultaneously.
De Havilland Canada has advocated for a national fleet that could be deployed across provincial and territorial boundaries according to need.
In an Oct. 18 interview with The Canadian Press, Sweeney said a government order for 50 additional waterbombers would provide the foundation for a second production line at the company’s planned manufacturing complex east of Calgary.
At the time, De Havilland Canada reported 38 aircraft on order, with its available production slots committed through 2034.
Financing will expand Canadian manufacturing
De Havilland Canada says the financing announced Friday will support additional manufacturing capacity at its facilities in Calgary and Victoria, along with operations in Toronto, Kitchener and Fort Erie, Ont.
The company projects the expansion will create thousands of jobs across Canada, including employment with suppliers from Newfoundland to British Columbia.
It also plans to work with suppliers to accelerate delivery of components needed to build additional aircraft.
The agreement comes as De Havilland Canada develops De Havilland Field, a major aircraft manufacturing complex in Wheatland County, east of Calgary.
The approximately 1,500-acre development is designed to accommodate aircraft assembly and component manufacturing, along with maintenance operations.
Construction began in May 2026.
Alberta’s major projects registry estimates the development will support approximately 3,000 permanent jobs once completed. The first building is expected to open in spring 2028.
That employment projection applies to the broader De Havilland Field development and is separate from the jobs forecast associated with Friday’s financing agreement.
De Havilland Canada has not disclosed how much of the new financing will be allocated to individual facilities or how many additional aircraft it expects to produce annually.
Aircraft orders extend into the next decade
The Canadair 515, also known as the DHC-515, is an amphibious firefighting aircraft designed to scoop water from lakes and other suitable bodies of water before dropping it over wildfires.
The aircraft is the successor to the Canadair CL-415.
In a March production update, De Havilland Canada reported it was producing 22 aircraft for six European countries, including France, Spain and Italy.
Canadian provincial governments have also placed orders.
Alberta announced a $400-million agreement in February to purchase five Canadair 515 aircraft, with the first expected to arrive in spring 2031.
Manitoba and Ontario have also ordered the aircraft.
The federal financing agreement is expected to close in the first quarter of 2027.
While Ottawa has confirmed that EDC will deliver the financing, the public announcements do not specify whether it will involve direct loans, guarantees or another arrangement. Interest rates and repayment terms have not been disclosed.
