CED RDII — Regional Defence Investment Initiative (Quebec)
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Who actually receives this funding
1 business received this funding in 2025 — 24 recipients since 2025. Top provinces: Quebec 100%. Covers: CED-Quebec RDII — two sub-streams: SME stream (direct contributions to Quebec defence SMEs, type=F) and Ecosystem stream (contributions to ecosystem orgs — Aéro Montréal, cégeps, research centres, type=N/S). Total 24 rows. New program (2025). Source: Government of Canada proactive disclosure data · Contains information licensed under the Open Government Licence – Canada · Data through Q3 2026.
Individual award sizes for this program aren’t published — too few recipients to summarize without identifying them.
Source: Government of Canada proactive disclosure
Eligibility & Details
What this program funds and who can apply
Program Description
Supports Quebec SMEs and non-profits looking to enter or expand within domestic and international defence supply chains. Funds projects that increase production and innovation capacity to serve the Canadian Armed Forces, NATO, or allied nations. Part of a $64.9M, three-year temporary initiative running April 2025–March 2028.
Eligibility Requirements
- SMEs active in or seeking to enter the defence sector supply chain, incorporated and operating in Quebec
- Not-for-profit organizations (industry associations, accelerators, incubators) supporting defence-sector SMEs in Quebec
- Indigenous recipients and provincial/municipal authorities with a defence-related mandate
- Projects must demonstrate alignment with current or future needs of the Canadian Armed Forces, NATO, or an allied country
Quick Assessment
Funding Details
- Amount
- Up to 75% of eligible costs for SMEs; up to 90% for non-profits
- Type
- Forgivable Loan
- Level
- Federal
- Financing share
- Up to 75% of eligible costs
- Deadline
- Ongoing — eligible activities April 1, 2025 to March 31, 2028
Program Scorecard
Competition, effort, and approval at a glance
Everything you need to secure CED RDII — Regional Defence Investment Ini...
Not a marketing summary. The actual checklist, intel, and stack strategy reviewers look for.
- 9-document checklist with what each reviewer is actually checking
- 5-step application timeline with prep hours per step
- Insider tip from program officers on what separates winners
- 3-program stacking strategy to combine with compatible funding
- Success profile + evaluation criteria — exactly what lenders look for
How to qualify
Insider tips, common pitfalls, and what successful applicants look like
Insider TipThe RDII explicitly covers defence certification costs (AS9100, ITAR, CCPSA, NATO CAGE code registration) — this is one of the few federal programs where certification prep is directly eligible. If your business has existing relationships with primes like CAE, L3Harris, or Rheinmetall's Quebec operations, reference those explicitly. CED held outreach sessions in fall 2025 — contact your regional CED office for a pre-application meeting before submitting.
Success Profile
Quebec-based manufacturer or technology firm with 10–250 employees that has identified a specific defence supply chain gap (e.g., aerospace components, cybersecurity, simulation systems). Most successful applicants have at least one existing defence client or a letter of interest from a prime. Bilingual capacity (French operations) strengthens the CED relationship.
Evaluation Criteria
CED assesses: specificity of alignment with current/future Canadian Armed Forces, NATO, or allied nation defence needs; financial capacity and viability of the SME; evidence of existing defence sector relationships (contracts, LOIs, certifications, letters from prime contractors); quality of project budget and economic benefit description; jobs created, revenue impact, productivity gains. Letters of support from defence prime contractors are strongly recommended.
Application Playbook
Step-by-step process, required documents, and expenses
Application Steps
Required Documents 9
Eligible Expenses 8
- Labour costs (wages and benefits) directly related to the defence project
- Capital costs: purchase of machinery, equipment, and manufacturing infrastructure
- Consultancy fees: professional services, technical expertise, engineering
- Defence certification and qualification costs (AS9100, ITAR, CCPSA, NATO CAGE code registration)
- Pre-production activities: tooling, prototyping, testing for defence contracts
- Market exploration and expansion into defence markets (allied nations, NATO)
- Business development for defence supply chain integration
- Response to calls from prime defence contractors and Government of Canada
Ineligible Expenses 8
- Debt refinancing
- Over-market asset purchases
- Amortization on existing assets
- Goodwill
- Land purchases
- Costs incurred before April 1, 2025
- Costs incurred after March 31, 2028
- Costs deemed unreasonable or not directly related to the project
Deadline Notes
Program runs April 1, 2025 to March 31, 2028. Eligible activities must be undertaken within this window. CED typically processes applications within 4–6 months. Apply well before the 2028 end date to ensure multi-year project eligibility.
Open Application Portal →Ineligible Organizations
- Businesses operating primarily outside Quebec
- For-profit businesses without a connection to Canadian Armed Forces, NATO, or allied nation defence supply chains
- Businesses in purely civilian sectors with no defence application
- Organizations without incorporated status (SME stream requires incorporation)
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Funding Stack Strategy
Compatible programs, clawback risk, and combined funding potential
Compatible Programs
Clawback Risk
Medium RiskModerate. For SMEs, repayment is required per schedule regardless of commercial outcomes. Clawback risk exists for misrepresented costs, ineligible activities (costs outside April 2025–March 2028 window), project abandonment, or costs not directly related to approved project scope.
How CED RDII — Regional Defence Investment Ini... Compares
Side-by-side with similar programs
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| CED RDII — Regional Defence Investmen... | Up to 75% of eligible costs for SMEs | Moderate | Reimbursement | Ongoing — eligible... |
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Frequently Asked Questions
Quick answers to the questions founders most often ask about CED RDII — Regional Defence Investment Ini...