Eclipse Sound, in the northeastern Canadian Arctic, has experienced a substantial increase in ship traffic due to growing tourism and industrial development in the region. This study aims to describe the natural soundscape as well as to assess the noise levels associated with shipping. Underwater sound recordings were collected at two locations: Eastern Eclipse Sound (72° 43.730 N, 76° 13.519 W, 670 m) leading to Baffin Bay, and Milne Inlet (72° 15.260 N, 80° 34.205 W, 313 m) situated near the southwest end of Eclipse Sound. To capture the dynamic nature of the soundscape, the data from these two locations were divided into three seasons: late spring, summer, and early fall. These periods were selected to account for the changing contribution of sea ice to the soundscape during the sea ice break-up, two months of open water, and the sea ice freeze-up. By analyzing ship tracks and underwater acoustic recordings, we identified patterns of ship traffic and estimated underwater noise levels due to ships. Noise emitted by ships is quantified by vessel type, including three cargo ship types, passenger ships, pleasure craft, and icebreakers. Individual ship transits through the region introduce transient noise at frequencies from <20 Hz to >20 kHz, with durations lasting from a few minutes to >6 h. The impact of ship noise on the soundscape is significant, resulting in increases in sound levels by 15 to >30 dB when ships are within 10 km and measurable ship noise below 200 Hz at distances of >50 km.