Skip to content

Canada's Business and Tech Newsroom

  • Professional Subscription
  • Partnerships & Advertising
  • Licensing & Syndication
Log In Subscribe
Welcome,
  • My Account
  • Log Out
  • Business
  • Tech
  • National
  • The Big Read
  • Briefings
  • Commentary
Search
Log In Subscribe
Welcome,
  • My Account
  • Log Out
The Big Read

Canada’s space industry faces its moment of truth

Listen Now
0:00
An artist's rendering of the Canadarm3 mounted on a space station orbiting the moon. Earth is visible in the distant background.
The Big Read

Canada’s space industry faces its moment of truth

A change of plans at NASA left the Canadarm3 without a home. The people building it say they can find a new one—just as Canada hunts for more spacefaring friends.

By David Reevely
NASA recently scrapped plans for the Lunar Gateway space station, throwing the future of the Canadarm3 project into question. Photo: Canadian Space Agency/NASA/Handout
Apr 10, 2026
A A
A Small A Medium A Large
Share

Gift

Share

Listen Now
0:00

OTTAWA — The people building Canada’s billion-dollar space robot arm found out it won’t have a home at the same time everybody else did: When NASA administrator Jared Isaacman announced that the United States is “pausing” plans for a space station orbiting the moon.

The Lunar Gateway was to be the staging area for human missions to the surface. In their separate offices in November 2020, amid the COVID-19 pandemic and at the end of the first Trump administration, the heads of the Canadian and United States space agencies signed a treaty to build it together. 

Talking Points

  • The billion-dollar Canadarm3 bought Jeremy Hansen his ticket around the moon, but it was meant for a lunar space station that NASA just decided to skip
  • Like the country as a whole, Canada’s space sector is inextricably tied to the United States, but is hoping to find other partners and customers

The U.S. government under President Donald Trump has ranged from unpredictable to belligerent, even with its formerly close allies. But in space, as with trade and defence, those allies are lashed to America by decades of deliberate intertwining of plans and capacities.

MDA Space has been working on a third-generation Canadarm manipulator for the Lunar Gateway since shortly after the plan to build the station was announced. The Canadarm3 is Canada’s central contribution to the Artemis moonshot program, the thing that bought Canadian astronaut Jeremy Hansen his seat on the Artemis II mission around the moon. He and three American astronauts are due to splash down back on Earth shortly after 8 p.m. EDT on Friday.

Related Articles

The new space race: MDA says it’s time for Canada to set a new strategy for the stars

By David Reevely

NASA is not building the Gateway station, Isaacman declared in a speech in Washington, D.C. on March 24. It’s skipping that and going straight to a moonbase.

Canada’s national contribution to a multi-country effort to put humans back on the moon for the first time since the 1970s had abruptly lost its main purpose.

The move wasn’t a complete surprise: the White House proposed cancelling the space station in a budget submission last spring that included deep cuts to NASA’s budget. But Congress rejected those cuts earlier this year.

On the day of, nobody knew what Isaacman was going to do, says Mike Greenley, MDA Space’s CEO.

“No one disagrees with the goal of going to the moon. How you get there and what architecture you bring—sometimes that changes along the way.”


“There were actually very strong rumours in each direction—strong rumours that absolutely we weren’t going to talk about that, and then absolutely we were going to talk about that,” Greenley says. “Everyone had to wait until the actual announcement.”

Lisa Campbell, the president of the Canadian Space Agency, says she knew what was coming.

“I was at the Washington event, but I had spoken with [Isaacman] before then, so I was well aware of their plans,” she says. “No one disagrees with the goal of going to the moon. We all agree with that. How you get there and what architecture you bring—sometimes that changes along the way.”

The Lunar Gateway figured into the Canadian Space Agency’s to-do lists as late as March 13, when the agency published its official plan for the year. To save money, the same plan cancelled a Canadian lunar rover mission, which was supposed to land on the moon in 2029, though work on a separate utility rover is continuing. Then, on March 16, the federal government put $200 million into a lease on a launch pad at Maritime Launch Services’ in-the-works spaceport in Nova Scotia.

So in just a few weeks, the United States took away the Canadarm3’s destination, Canada cancelled its own lunar mission, domestic space-launch capacity got a big boost, and the Artemis II mission took off from Cape Canaveral.

A group shot of the Artemis II crew inside their crowded capsule, with Canadian and American flags and an "America 250" flag in the background. They're smiling and giving the thumbs-up. There is gear tied down under netting to the lower left of the frame.
The crew members of Artemis II on the return leg of their moon flight; the Canadarm3 helped get Canada's Jeremy Hansen, second from left, his seat on the mission. Photo: NASA/Handout

It’s been a hectic time, says Brian Gallant, the CEO of the industry association Space Canada, amounting to a reorientation of the country’s space priorities. But the change is an evolution, he says, not a reset.

“The core priorities remain the same: space supports Canada’s sovereignty, including in the North; enables connectivity for rural and remote communities; underpins climate monitoring and environmental protection; and contributes to economic resilience,” he says.

Historically, the Canadian space sector has usually had one major project underway at a time, Greenley says—something like a Canadarm or a major new satellite—plus a number of relatively little ones.

That’s not the state of the industry in 2026. “We’re in a period where we have multiple billion-dollar-or-more–sized programmes in Earth observation, in space-based communication, in space-based infrastructure, occurring at the same time,” he says. Beyond that, investments in space-based military capabilities are just starting to rev up.

For MDA, the Lunar Gateway pause isn’t a calamity, Greenley says. His company’s contract for the Canadarm3 is with the Canadian Space Agency, not NASA, and it’s plowing ahead.

With the arm’s preliminary design done, the company now plans to give the arm a whole new purpose in the lunar environment.

“As we now finalize the design of those robotics, instead of finalizing them for the orbiting Gateway, we can finalize them for surface activity on the moon and work through that,” he says.

That means allowing for gravity, with an arm that can support its own weight on the moon in addition to whatever it’s asked to move around. “Your motor joints and the like are going to be different, but that’s all very adaptable,” Greenley says.

A photo dominated by about two thirds of the moon in the foreground, with Earth appearing much smaller in the background as a mere crescent of blue and white light. Earth appears to be setting on the sharply curved horizon of the moon.
An image captured by the Artemis II crew from the far side of the moon; Greenley says the Canadarm3 can be adapted to work on the surface of the orb. Photo: NASA/Handout

Unlike previous versions, the Canadarm3 has been designed to be remote-controlled from hundreds of thousands of kilometres away—far enough that even signals travelling at the speed of light have a noticeable lag—and that problem isn’t meaningfully different on the moon versus in orbit around it. Moon dust—fine, sharp specks of rock—will be a bigger issue on the surface than on a space station, but MDA already expected the Canadarm3 would have to deal with some of the stuff floating off craft coming up to dock, Greenley says.

Besides that, the premise of the Canadarm3 contract has always been that MDA’s technology could and would be adapted for other customers.

The company has a market for Canadarm3-based robotics in commercial space stations, systems for cleaning up space junk, spacecraft for servicing satellites and private rover vehicles, Greenley says.

Pausing the Lunar Gateway also doesn’t mean it will never happen, he says. Maybe the U.S.-led lunar coalition will build a base, or bases, first, and then a waystation in orbit to help serve astronauts on the surface.

The United States spends far more on space than Canada does, says Gallant—per capita, not just in raw dollars—and that makes it a vital partner and customer even if “Canadians hold very negative feelings towards the U.S. right now, and for good reason.”

He slips into phrasing that could come from a trade speech by Prime Minister Mark Carney, talking about canola or aluminum: “We should absolutely work to ensure the relationship serves Canadian interests all while diversifying our partnerships globally to reduce overreliance on the U.S. market. These principles apply to space, as well. Perhaps even more so.”

Gift the full article

Canada is doing so even as Hansen and NASA astronauts have ridden together around the moon, living symbols of the two countries’ co-operation, says Campbell. A huge increase in Canada’s contribution to the European Space Agency is part of the diversification; Carney talked about space co-operation with the leaders of India, Australia and Norway during recent visits.

“Space is so difficult, no country can go it alone,” Campbell says. “You need help. You want the industrial contributions of others, because it’s what makes us stronger.” 

#Artemis II #Canadarm #Canadian Space Agency #economy #MDA #NASA #space #Tech

Loading...

Thanks for sharing!

You have shared 5 articles this month and reached the maximum amount of shares available.

Close
This account has reached its share limit.

If you would like to purchase a sharing license please contact The Logic support at [email protected].

Close
Want to share this article?

Upgrade to all-access now

Close
Gift the full article!

You have gifted 0 article(s) this month and have 5 remaining.

Copy link and gift
Copy Link
Email to a friend
Send Email
Gift on Social Media

Recipients will be able to read the full text of the article after submitting their email address. They will not have access to other articles or subscriber benefits.

An artist's rendering of the Canadarm3 mounted on a space station orbiting the moon. Earth is visible in the distant background.

Photo: Canadian Space Agency/NASA/Handout

A group shot of the Artemis II crew inside their crowded capsule, with Canadian and American flags and an "America 250" flag in the background. They're smiling and giving the thumbs-up. There is gear tied down under netting to the lower left of the frame.

The crew members of Artemis II on the return leg of their moon flight; the Canadarm3 helped get Canada's Jeremy Hansen, second from left, his seat on the mission.

A photo dominated by about two thirds of the moon in the foreground, with Earth appearing much smaller in the background as a mere crescent of blue and white light. Earth appears to be setting on the sharply curved horizon of the moon.

An image captured by the Artemis II crew from the far side of the moon; Greenley says the Canadarm3 can be adapted to work on the surface of the orb.

Most Popular This Week

A shot of a placard on a table reading "Let Alberta Decide." There is a person out of focus in the foreground wearing a cowboy hat.
The Big Read

What Alberta’s corporate heavyweights really think about separation

By Meghan Potkins
A person in glasses and a blue top is sitting and typing on a laptop in an office. A desktop screen next to the laptop displays some blurred-out coding work.
News

A niche white-collar role is becoming the AI industry’s hot new job

By Anita Balakrishnan
A logo that reads AI in blue lettering against a light yellow background.
News

What happened when a VC firm let AI do almost everything

By Catherine McIntyre
News

Canada joins the movement to make AI more open source

By Murad Hemmadi

In-depth, agenda-setting reporting

Great journalism delivered straight to your inbox.

A high-angle shot of workers sorting and packing lettuce along conveyors in an industrial facility.
Commentary

Carmichael: The age-old trade problem Carney’s trying to solve with food

By Kevin Carmichael

Briefing

GFL stock jumps on report of takeover interest

By Anita Balakrishnan   |   Jul 3, 2026

McKinsey to challenge internal leaders on AI plans under new leadership structure

By Anita Balakrishnan   |   Jul 3, 2026

Lobby group can participate in crypto miners’ lawsuits against Hydro-Québec, judge rules

By Martin Patriquin   |   Jul 3, 2026

Best business newsletter in Canada

Get up to speed in minutes with insights and analysis on the most important stories of the day, every weekday.

Exclusive events

See the bigger picture with reporters and industry experts in subscriber-exclusive events.

Membership in The Logic Council

Membership provides access to our popular Slack channel, participation in subscriber surveys and invitations to exclusive events with our journalists and special guests.

Recent Popular Stories

Analysis

It turns out Trump does need something from Canada—aluminum

By Joanna Smith   |   Jun 25, 2026
A close-up of a made-in-Canada stamp on the end of a cylindrical piece of raw aluminum.
The Big Read

What Alberta’s corporate heavyweights really think about separation

By Meghan Potkins   |   Jul 2, 2026
A shot of a placard on a table reading "Let Alberta Decide." There is a person out of focus in the foreground wearing a cowboy hat.
News

What happened when a VC firm let AI do almost everything

By Catherine McIntyre   |   Jun 29, 2026
A logo that reads AI in blue lettering against a light yellow background.
News

A niche white-collar role is becoming the AI industry’s hot new job

By Anita Balakrishnan   |   Jun 30, 2026
A person in glasses and a blue top is sitting and typing on a laptop in an office. A desktop screen next to the laptop displays some blurred-out coding work.
Exclusive

Ssense has laid off photo and make-up teams and says AI will do much of their work

By Catherine McIntyre   |   Jun 22, 2026
News

Alberta to free up a huge amount of power to attract Big Tech and its data centres

By Meghan Potkins   |   Jun 24, 2026
A wide landscape shot of high-tension power lines over green and golden fields in rolling countryside.

Canada's most influential executives and policymakers are reading The Logic

  • CPP Investments
  • Sun Life Financial
  • C100
  • Amazon
  • Telus
  • Mastercard
  • bdc
  • Shopify
  • Rogers
  • RBC
  • General Motors
  • MaRS
  • Government of Canada
  • Uber
  • Loblaw Companies Limited
logic-logo

Canada's Business and Tech Newsroom

100% human-crafted journalism

Newsroom

  • News Tips
  • AI Policy
  • Editorial Disclosures
  • Story Pitches

Company

  • About Us
  • Terms of Service
  • Privacy Statement
  • Corporate Information

Contact

  • Contact Us
  • Advertise
  • FAQs
  • Work at The Logic

© 2026 The Logic Inc. All Rights Reserved.

Trusted by leaders

Error

Account creation failed.

Please email us at [email protected].

Create Account

[wppb-register form_name=”cozmo-registration-form-for-modal”]

I do have an account
Login
or

[wppb-login]

I don’t have an account