Canada is stepping up its Arctic strategy amid growing geopolitical tensions and the region’s transformation due to climate change.

On Friday, Canada unveiled a 37-page security policy detailing plans to enhance its military and diplomatic presence in the Arctic, citing rising threats from Russian and Chinese activity.

Here’s what to know about Canada’s strategy and the tensions in the region.

Why is Canada strengthening its presence in the Arctic?

Canada said its beefed-up presence in the Arctic is meant to counter security challenges in the region from Russia and China.

Canada’s new Arctic strategy highlights recent increased Russian activity along the edges of North American airspace.

It called Russian weapons testing and deployment of missile systems in the Arctic, which are capable of striking North America and Europe, “deeply troubling”.

Canada also accused China of regularly deploying vessels, equipped with dual-use military-research capabilities, in the north to collect data.

The document states that Ottawa has sought for years to manage the Arctic cooperatively with other states and keep it free from military competition.

“However, guardrails that prevent conflicts are increasingly under immense strain,” Minister of Foreign Affairs Melanie Joly told a news conference.

“The Arctic is no longer a low-tension region,” she said.

What will the shift look like?

Canada’s Arctic strategy includes several key initiatives it will undertake in the region, ranging from diplomatic presence to security measures.

The country will establish consulates in Anchorage, Alaska, and Nuuk, Greenland, and designate an ambassador to lead and coordinate Canada’s policies and actions in the region. Ottawa is also seeking to settle a boundary dispute with the United States in the Beaufort Sea, and to resolve a border dispute over Hans Island (Tartupaluk in the local Inuktun language), a small uninhabited island between Denmark and Canada.

Along with seeking to deepen Arctic cooperation with Japan and South Korea – similar to the allies’ Asia Pacific partnership – Canada said it will actively involve Indigenous communities in surveillance and defence activities.

The Arctic region is home to various Indigenous communities, such as the Inuit, Sami and Chukchi, who have lived there for thousands of years.

Military enhancements could include deploying new patrol ships and navy destroyers, ice breakers and submarines capable of operating beneath ice sheets, as well as more aircraft and drones.

Minister of National Defence Bill Blair said Canada’s revised doctrine calls for strengthening military capabilities to “conduct and sustain operations in the Arctic” where biting cold and unpredictable storms, long periods of darkness and drifting sea ice pose severe hazards.

How big is Canada’s Arctic region?

The Arctic, which encompasses the area around the North Pole, is the northernmost region of the planet. It is defined by an imaginary line called the Arctic Circle. It includes areas belonging to eight countries: Canada, Russia, the US (Alaska), Greenland (an autonomous territory of Denmark), Norway, Sweden, Finland and Iceland.

Canada’s Arctic region covers more than 4.4 million square km (1.7 million sqm) and is almost deserted, except for a few ports and communities. Less than 16 percent of the waters, which include parts of the Arctic Ocean, Barents Sea, Greenland Sea, Chukchi Sea and others, have been adequately surveyed.

What other Western powers are positioned there?

The US is a key Western ally that works closely with Canada in the Arctic, especially in modernising continental defences, such as investing in new maritime sensors and satellites for surveillance.

Nordic nations, many of which are NATO members (including Finland and Sweden, which joined recently), are also increasing their Arctic presence. They typically collaborate in military exercises.

Western powers conduct a range of activities in the Arctic, from deploying military assets to exploring natural resources.

What are Russia and China doing there?

In recent years, Russia has expanded its naval presence, deployed missile systems and ramped up weapons testing in the Arctic.

China has deployed vessels capable of serving both military surveillance and research functions in the region. The purposes are to collect data and secure access to resources and shipping lanes which are emerging as a result of melting ice.

Experts warn that deploying dual-purpose vessels can lead to espionage and data misuse.

A report by the Center for Strategic and International Studies (CSIS) reveals that China’s civilian research fleet, the world’s largest, ostensibly conducts scientific research but also collects oceanographic information that enhances the Chinese military’s undersea warfare capabilities.

In its 2018 Arctic policy, China outlined its goals to “understand, protect, develop and participate in the governance of the Arctic”. The country also wants to make the Northern Sea Route, which connects the western part of Eurasia to the Asia Pacific region, a viable shipping lane to potentially shorten maritime travel between the regions.

China and Russia have collaborated on infrastructure projects, such as the Polar Silk Road (also known as the “Ice Silk Road”), particularly as traditional passages like the Suez Canal face growing congestion and security challenges.

Why is the Arctic becoming a geopolitical hotspot?

Climate change and a rapidly melting ice sheet are making the Arctic a geopolitical hotspot.

The Arctic is warming four times faster than the global average, making it more accessible for maritime trade routes and resource exploration – including for countries like China and India that are not Arctic nations.

In March 2022, for instance, India announced its Arctic Policy. In recent months, New Delhi and Moscow have discussed deepening their cooperation in the Arctic, including through the possible use of the Northern Sea Route to ship oil from Russia to India.

European powers too have been eyeing a greater role in the Arctic: In recent years, France, Germany and the United Kingdom have each unveiled and subsequently updated their Arctic policies.

The region is already known to hold vast reserves of oil, gas and critical minerals such as rare earth elements (REEs) used in electric vehicles and lithium used in batteries. But countries are eager to explore the Arctic for new deposits that could shape the race for both clean energy and access to traditional fossil fuels.

At the same time, the increased military presence of rival countries creates risks of territorial claims and influence, raising the stakes for potential conflicts.

What are the effects on the region?

Historically, cooperative frameworks have managed the Arctic’s stability, which current tensions may undermine.

For example, the Arctic Council was established in 1996 to promote cooperation among Arctic states (Canada, Denmark, Finland, Iceland, Norway, Russia, Sweden and the US) and Indigenous communities.

This intergovernmental forum explicitly excludes military security from its mandate and focuses on non-militarised collaboration.

However, Russia’s invasion of Ukraine has strained the Council’s operations, and the seven other member states suspended cooperation with Russia in March 2022. In June, these nations announced a limited resumption of cooperation on specific projects, excluding Russian involvement.

Additionally, increased shipping, resource extraction and military activity could threaten the fragile Arctic ecosystem, which is already under strain from climate change.

In January, the Arctic Council reported a 37 percent increase in ships in Arctic waters over the past decade. This rise elevates the risk of oil spills, air pollution, chemical contamination and disturbances to marine life.

Military operations and infrastructure development, which involve activities such as icebreaking, disrupt sea ice habitats, affecting species like polar bears and seals.