PCs slam contracts signed with U.S.-based SpaceX

The Progressive Conservatives called out the government Thursday for quintupling a computer hardware contract with a U.S.-based company when the province has promised to buy Canadian.

PC Leader Obby Khan asked why Premier Wab Kinew is doing business with the company owned by tech billionaire Elon Musk, who has played a major role advising U.S. President Donald Trump and has amplified his threats to annex Canada.

“Why is the premier’s response to attacks on Canadian sovereignty to support Elon Musk by sending more of Manitoba’s hard earned money to the United States of America?” Khan asked during question period.

The PCs pointed to two sole-source contracts Manitoba signed with the Canadian division of SpaceX.

One contract was for $24,390 from June 20, 2023 to Jan. 20, 2024. A second contract, for $121,822, was from July 15, 2025 to July 14.

The provincial government said the bigger spend was needed to expand SpaceX’s Starlink satellite communications in remote parts of the province during wildfire fights.

“Last year’s wildfire season was unprecedented, and we know climate-related emergencies are becoming more frequent and more complex,” Natural Resources Minister Ian Bushie said in a prepared statement Thursday. “That’s why our government has taken steps to ensure emergency responders and communities have the tools they need to stay safe and connected.”

Khan told reporters he wanted to see details of the contracts Manitoba signed with SpaceX, what services are provided, what the procurement and vetting process was and why the province ended up signing a contract with the U.S. tech giant rather than a Canadian company.

“If it’s for hardware and computer supplies, that can be done here,” Khan said outside the chamber.

During question period, he mocked the premier for stealing the sovereignty spotlight earlier this week at the western premiers news conference in Alberta. Kinew urged Alberta Premier Danielle Smith to pause plans for a fall referendum on separatism, saying it was “time to work together.”

Khan said Kinew’s comments were rich given Manitoba is buying American goods and services from companies like SpaceX, Granicus LLP (EngageMB online survey) and Aramark (food services).

The premier didn’t respond to questions about the SpaceX contract but said the NDP government has cut U.S. spending by nearly one third since taking office.

“This government has reduced U.S. procurement by 31 per cent,” Kinew said during question period. He called on Khan for an explanation of why the Tories bought from the U.S. while in office.

The March 20 provincial budget said the government is ending contracts with American firms and focusing on Canadian procurement. It said data from the last three fiscal quarters of 2025-26 show a U.S. procurement decrease of 31 per cent compared to 2024-25. It didn’t include that data but pointed to the contract the PCs signed with Texas firm Aspira for provincial park passes — since cancelled — as one example.

When asked Thursday for details of the 31 per cent reduction in U.S. procurement, cabinet communications wasn’t prepared to provide a dollar value of the contracts or list the contracts that it has ended.

carol.sanders@freepress.mb.ca