Managed maritime boundary disputes with the US at Dixon Entrance, Beaufort Sea, Strait of Juan de Fuca, and around the disputed Machias Seal Island and North Rock; uncontested dispute with Denmark over Hans Island sovereignty in the Kennedy Channel between Ellesmere Island and Greenland.

Illicit producer of cannabis for the domestic drug market and export to US; use of hydroponics technology permits growers to plant large quantities of high-quality marijuana indoors; transit point for heroin and cocaine entering the US market; vulnerable to narcotics money laundering because of its mature financial services sector.