The U.S. Defense Security Cooperation Agency announced on Tuesday that the U.S. State Department has approved the potential sale of maintenance and support services for C-17 Globemaster III transport aircraft, along with related equipment, to Canada, with an estimated value of $540 million.

The proposed military sale covers follow-on sustainment support for the C-17 fleet, including engineering, logistics support, training, and associated equipment. Boeing has been designated as the primary contractor for this agreement.

Notably, Boeing has recently secured several contracts related to the C-17. In February, the U.S. Air Force awarded Boeing a $13 million contract to upgrade the infrared countermeasure systems for a total of 13 C-17 aircraft operated by Canada and Australia. In March, Boeing also received a contract modification valued at $2.46 billion to support C-17 fleet sustainment for multiple countries, including Canada, extending the contract period until 2027.

The Royal Canadian Air Force currently operates five C-17 Globemaster III strategic transport aircraft, primarily used for long-range troop deployment, cargo transport, and humanitarian aid missions. The approval of these support services will further ensure the readiness and sustained operational capability of Canada's C-17 fleet.