"I am announcing today that Canada will achieve NATO's 2 percent target this year -- half a decade ahead of schedule," Carney said during a speech at the University of Toronto.

"The threats that Canada faces are multiplying," he added.

Carney's pledge followed similar announcements by members of the alliance and comes after consistent pressure by US President Donald Trump for NATO members to spend more on defense.

"In a darker, more competitive world, Canadian leadership will be defined not just by the strength of our values, but also by the value of our strength," Carney said.

Since taking office in mid-March, Carney has delivered a series of stark warnings about what he terms the changing nature of US global leadership under Trump.

"The United States is beginning to monetize its hegemony: charging for access to its markets and reducing its (relative) contributions to our collective security," Carney said, condemning Trump's trade war.

"We should no longer send three quarters of our defense capital spending to America," the prime minister said.

He further warned that Canada had "been jolted awake by new threats to our security and sovereignty" including from Russia and China.

Carney framed the announcement as a move designed "to protect Canadians, not to satisfy NATO accountants."

In April, NATO announced that 22 of its 32 members hit the 2 percent spending target.

European countries have in particular ramped up their military budgets since Russia's 2022 invasion of Ukraine, and NATO has set two percent as a bottom line for spending.