Canada reviewing report on US ‘loophole’ sending parts to Israel

Global Affairs Canada said Friday it is reviewing a report revealing Canada's continued shipment of military equipment to Israel via US weapons factories, despite Ottawa's freeze on permits that could be used against the Gaza Strip.

"Global Affairs is aware of the report and is reviewing it," spokesperson Samantha Lafleur told Anadolu in a statement. "Canada has not approved any new permits for items to Israel that could be used in the current conflict in Gaza since January 8, 2024."

The report, "Exposing the U.S. Loophole: How Canadian F-35 Parts and Explosives Reach Israel," which was published Tuesday, stated that evidence the report provided "details hundreds of shipments from Canadian military manufacturers to the U.S. weapons factories that manufacture Israel's key warplanes, bombs, and artillery shells."

"The report also exposes, for the first time, Canada's role as a vital transit corridor for hundreds of shipments of European-made TNT en route to U.S. bomb-makers, and damning evidence of Canadian F-35 components being shipped on to Israel mere days after arriving at U.S. facilities," it said.

Noting that Canada has not authorized any new permits to Israel, Lafleur said, "In 2024, Canada suspended approximately 30 export permits for items destined to Israel that could have conceivably later been incorporated into items that could be used in that conflict."

"All permits suspended in 2024 remain suspended and cannot be used to export to Israel," she added.

Emphasizing that all export applications remain subject to strict legal review, she said that "Global Affairs Canada continues to assess all permit applications on a case-by-case basis under Canada's risk assessment framework, including the criteria set out in the Arms Trade Treaty and enshrined in the Export and Import Permits Act."

"Any items requiring an export permit adhere to Canada's rigorous export permit regime," she said. "Exporting controlled goods or technology without a valid permit is a violation of Canadian law and may result in enforcement actions, including fines, seizure of goods, and potential criminal prosecution."

Canada has long been criticized by rights groups for its alleged role in the global arms supply chain linked to the Israel-Palestine conflict, with advocates warning of gaps in oversight and loopholes in export pathways.

Rachel Small from World Beyond War told reporters Tuesday: "Let me be clear on this point, despite our government's attempts to placate us, to create the illusion of having addressed Canada's arming of Israel's tax we see now the Canadian-made military goods have continued to flow to Israel this entire time."

Haneen Muhanna from the Palestinian Youth Movement echoed the concerns and described the "US loophole" as a "way for the government to continually claim innocence, while its weapon trade continues to go through the United States unchecked."

New Democratic Party member Jenny Kwan also stressed that "the Liberal government can no longer claim ignorance or distance."