The aerospace industry is most challenging for small and medium enterprises (SMEs) which are involved as subcontractors. New conditions such as globalization and technology-led competition bring about major changes in terms of which capabilities are required to sustain corporate growth. This paper offers an overview of a survey conducted in North America where 273 SMEs from Canada and the United States were evaluated and compared. Results indicate significant differences between the two countries, and particularly for the medium-sized firms. Canadian subcontractors tend to0501ntain a traditional profile whereas their American counterparts are clearly more proactive, both from a technological and organizational perspective. In view of the Canadian major firms' success on international markets, these results raise questions about the capacity of the Canadian supplier base to participate in building and reinforcing this success.