In a sweeping raid, police arrested about a dozen men in the Toronto area on terrorism-related charges Friday night, the RCMP announced.
Intelligence sources allege the men were part of a terrorist cell, close to carrying out attacks on one or more Canadian targets.
Police seized chemicals used to make explosives and weapons.
"That's the tool of choice for anybody who wants to cause damage," a source who asked not to be named told The Canadian Press.
The suspects are either second-generation Canadians or recently immigrated to Canada with their families.
Sources claimed the men have no connection to al Qaeda, but were allegedly inspired by militant Islamic groups.