Canadian North doubles size of YOW cargo facility as Arctic sovereignty grabs spotlight

Terminal upgrades and new restaurants have been welcome additions for those travelling through the Ottawa International Airport in recent years, but a locally headquartered airline is driving growth in a more overlooked area of the airport’s operations.

Terminal upgrades and new restaurants have been welcome additions for those travelling through the Ottawa International Airport in recent years, but a locally headquartered airline is driving growth in a more overlooked area of the airport’s operations.  Last month, Ottawa-based carrier Canadian North officially opened its new 42,646-square-foot cargo facility near YOW at 145 Thad Johnson Private. The project represents a $22-million investment in the airline’s local infrastructure, doubling the capacity of its previous facility down the road.  The airline specializes in transporting passengers and cargo to remote communities across Nunavut and the Northwest Territories. President and CEO Shelly De Caria told OBJ the decision to strengthen its position in Ottawa was strategic.  “Ottawa, the city, is well-positioned geographically, and we do have a modern airport with room to grow,” said De Caria. “As Canada’s Arctic continues to develop, and Northern communities continue to grow, the increase in demand is there, and we see the efficiencies that this new cargo facility is bringing forward, and it’s a much more reliable supply chain.” Nearly 29,000 tonnes of freight moved through YOW in 2025, with most transported on dedicated cargo flights by operations such as FedEx, Cargojet and DHL. Other airlines, including Air Canada, WestJet and Air France, transport cargo on passenger flights.  In its 2025 report, the airport said cargo has become “an increasingly important growth area,” in no small part because of Canadian North.  “It’s something that, as we think about sovereignty and everything going on down south, I think more and more people are putting emphasis on,” Susan Margles, president and CEO of the Ottawa International Airport Authority, told OBJ earlier this year. “Making sure that we have a strong supply chain, particularly to the North, where there’s going to be a lot more defence activity, is important.” As one of the primary connection points for Northern communities, Canadian North transports everyday goods like groceries, diapers, medical supplies and Amazon packages, as well as industrial goods such as tires and replacement parts that keep isolated communities running smoothly.  The new facility adds cooler and freezer space for temperature-sensitive goods, dedicated pharmaceutical storage for delicate materials such as blood samples and even a specific area for transporting human remains.  “You can see the Pampers boxes, you can see the milk going up North, you can see the medicine, the blood samples,” De Caria said of the new facility. “Anything that you get here on a daily basis in Ottawa, they get it via either plane or through the barges and the ships in the summer.” With a fleet of 34 aircraft — mostly Boeing 737s and ATR 42s and 72s — the airline can move 45,000 to 55,000 kilograms of cargo a day. De Caria said the decision to add capacity was part of the airline’s growth planning, which emphasized the need to keep up with demand as geopolitical concerns turn more eyes North.  “We’ve actually positioned ourselves to be able to take on the influx,” she said. “It was very strategic because we knew the expansion of the North was coming. You see it today. We’ve added capacity on Baffin Island because the North is a hotspot right now, and protecting our sovereignty is extremely important. And we are in a position to be able to support that."

In Ottawa specifically, local stakeholders are looking to take advantage of federal investments in defence.  The Ottawa airport has already put its stake in the ground. Margles sits on the city’s defence innovation task force, which is responsible for determining key priorities and securing investment dollars to expand the local defence ecosystem.  In March, the Department of National Defence opened its Ottawa facility, Hangar 14, home of its aerospace engineering test establishment, following extensive renovations.  “We already have a lot of DND activity on campus and we’re actively engaged with them,” said Margles. “We’ve got 90 acres of land on our north field for development and we’re hoping that DND will be one of those tenants, if not a key tenant, on the property in the future.” De Caria will also be paying attention to what happens next. But in the meantime, she said her job is to keep the airline prepared to meet mounting defence needs while also prioritizing the communities it’s served for years.  “We will do what we need to do to ensure that daily service is there for that, and we have room to grow,” she said. “Our mission at Canadian North is to make life better in the communities we serve, as it is an essential service. I’m from the North, so it is a lived experience for me. I almost take it personally. Most people wouldn’t know how big of a hub (Ottawa is) for the North. It is the gateway.”