Canada accelerates sovereign space launch push with federal funding

Canada is accelerating efforts to develop a sovereign space launch capability to reduce reliance on foreign assistance. The federal government has committed CAD $305 million through its ‘Launch the North’ program to incentivize the domestic space industry.

Beneficiaries of the program include Canada Rocket Company, NordSpace, and Reaction Dynamics, which each received an initial installment of CAD $8.3 million in May 2026. Additionally, a CAD $200 million investment has been directed toward a Canadian-owned spaceport.

Recent milestones include NordSpace unveiling an orbital-class engine and Maritime Launch conducting a successful hypersonic suborbital test in Nova Scotia. Both companies aim to achieve orbital flight within approximately one year. The Canadian Space Launch Act, introduced in April 2026, provides the regulatory framework for rocket launches and re-entry within Canadian airspace.