From Industrial Origins to Military Applications
From the celluloid of the late 19th century to Bakelite, the first commercially available synthetic plastic introduced in 1907, the history of plastics has been closely intertwined with major industrial and military revolutions. During the Second World War, the rise of nylon, Plexiglas and polyethylene demonstrated how these lightweight, durable and versatile materials could transform military equipment. From parachute manufacturing and optical protection to waterproof coatings, they contributed to decisive advances in the field.
Over the decades, this evolution led to the development of composite materials, in which plastics reinforced with fibres (glass, carbon or aramid) or mineral fillers provide significantly enhanced mechanical, thermal and chemical properties. Today, these materials play a central role in critical applications, particularly in the defence sector.
A Globalized and Concentrated Market
The global plastics and composites industry is now dominated by a handful of major powers. China accounts for approximately 32% of global production, followed by the United States (17%) and Europe (14%) (1). China is a leading exporter of finished products, with exports worth nearly $100 billion annually, while the United States leverages its shale gas resources to produce low-cost polymers and remains the world’s largest exporter of plastic raw materials.
This delicate balance is influenced by energy costs, environmental regulations and geopolitical tensions. For countries that depend on imports, such concentration represents a strategic vulnerability.
A Strategic Vulnerability in the Defence Sector
For Canada, this industrial concentration raises a major concern: dependence on foreign suppliers for materials that are essential to defence. Aramid fibres used in body armour, high-performance resins for structural composites, and nanoparticles incorporated into stealth coatings are often not produced domestically. This dependence makes supply chains vulnerable: even a temporary disruption caused by political tensions, trade disputes or health crises can quickly jeopardize the production of strategic equipment and, consequently, operational autonomy.
Against this backdrop, the issue goes beyond simple availability: it is about securing these critical supply chains and ensuring long-term control over them. Reshoring certain production capabilities, developing integrated domestic supply chains, and strengthening government support for innovation are becoming essential.
Reshoring, Innovation and Circularity: Key Levers of Industrial Policy
Recent geopolitical and public health shocks, such as the COVID-19 pandemic and growing trade tensions, have accelerated global awareness of supply chain vulnerabilities. In response, governments in the United States, Europe and Canada have implemented ambitious policies to strengthen the resilience of supply chains for materials such as plastics, composites, resins and additives.
- In Canada, the Canadian Critical Minerals Strategy aims to secure access to essential resources (graphite, rare earth elements, aluminum, cobalt, nickel, etc.), including those used in specialty plastics, high-performance composites and advanced additives, thereby reducing strategic vulnerabilities.
- In the United States, the Defense Production Act and the CHIPS and Science Act are complemented by the Additive Manufacturing Forward program, which promotes the adoption of 3D printing in the defence sector (2). Washington also uses anti-dumping duties and import restrictions to protect domestic industry (3).
As François Guilbault, President of Solaxis Ingenious Manufacturing, points out:
“Additive manufacturing simplifies the defence supply chain by enabling on-demand production without the need for tooling investments, significantly reducing lead times. By transforming physical inventory into a digital catalogue of printable parts, it optimizes inventory management while consolidating multiple components into a single part, thereby reducing the number of suppliers required.”
- In Europe, the Critical Raw Materials Act sets specific targets: 10% of annual consumption from domestic extraction, 40% from processing within the EU, 25% from recycled materials, and no more than 65% dependence on any single third country (4).
Supporting Local Industry: Incentives and Regulation
The United States is leveraging fiscal and regulatory tools to strengthen its domestic industry. The Inflation Reduction Act introduced tax credits with “domestic content” bonuses, encouraging production and assembly in the United States (5). This policy has already contributed to the development of new polymer and composite manufacturing facilities, further strengthening the domestic supply chain.
In Canada, similar proposals are emerging to encourage domestic processing and strengthen the national supply chain. Internationally, Ottawa is actively engaged in the G7, where coordination on critical minerals is helping to strengthen the North American supply chain (6).
Towards a Circular and Sustainable Economy
In Europe, the transition towards circularity for plastics and composite materials is becoming a strategic priority. Recovering and recycling plastic waste not only reduces environmental impacts but also helps decrease dependence on imports.
The European Defence Agency supports projects aimed at incorporating recycled plastics into tactical equipment, stealth systems and electromagnetic shielding applications. The European Circular Composites Alliance (ECCA), supported by EuCIA, coordinates the development of circular value chains tailored to the needs of the defence sector (7).
A Quebec Example: The Military Textile Sector
Quebec already provides an example of a strategic approach to reshoring in the textile sector. As Valerio Izquierdo, Vice-President, Business Development and Partnerships at Groupe CTT, explains:
“In Quebec and Canada, the supply chain for soldier equipment relies on a strong textile manufacturing industry that has been providing high-performance materials suited to a wide range of climatic conditions for decades. Locally sourced polymers and bio-based fibres are prioritized to strengthen Canadian sovereignty. This complex supply chain, from fibre to finished garment, clearly illustrates the value of smart reshoring focused on critical, high-value-added stages to ensure a reliable and strategically secure supply.”
Conclusion: Building Sustainable Industrial Sovereignty
Industrial sovereignty in plastics and composites is not simply about bringing manufacturing facilities back home; it is about building robust and resilient regional value chains. This requires financial incentives, recycled-content standards, significant investment in research and development, and stronger regional coordination, supported in particular by Quebec’s Créneaux d’excellence industrial clusters.
Quebec and Canada have the assets needed to build advanced and innovative value chains. By focusing on innovation, targeted reshoring and the circular economy, they can address the challenges of industrial sovereignty while balancing global competitiveness with environmental sustainability.
By Fanny Charreteur
This article has not undergone thorough linguistic review. It may therefore contain some spelling and syntax errors. Rest assured that the nature of the content and information presented is not affected.
(2) https://www.primante3d.com/strategie-additive-06052022/
(3) https://plasticstoday.com/legislation-regulations/plastics-economist-outlines-impact-of-china-s-duties-on-us-industrial-plastics
(5) https://www.energy.gov/lpo/inflation-reduction-act-2022
(6) https://https://pm.gc.ca/en/news/statements/2025/06/17/g7-critical-minerals-action-plan
(7) https://plasticseurope.org/wp-content/uploads/2023/11/1814354_Roadmap-pdf
