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May 10, 2019 | Local, Aerospace

Feds look to ease requirements for fighter-jet makers after U.S. complaints

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OTTAWA — The federal government is planning to loosen its industrial requirements for fighter-jet makers in the $19-billion competition to replace Canada's aging CF-18s.

The planned modification follows recent U.S. complaints that the previous criteria violated Canada's obligations as one of nine partner countries in the development of the F-35, one of the small handful of planes expected in the competition.

Yet the proposed change has sparked complaints from some of the companies whose planes will be competing against the F-35, who say the new approach goes too far in the other direction.

Canada has long required companies bidding on major defence contracts to commit to re-investing back into the country, with those unable to make such a contractual commitment seeing their bids tossed out.

But in a presentation to companies on Thursday, the government said it plans to allow bids missing such a commitment in the fighter-jet competition — they will be just docked points in the assessment.

The plan is intended to maximize the number of bids in the competition to buy 88 new jets while still aiming for the largest-possible economic spinoffs, a senior government official told The Canadian Press.

The U.S. had threatened not to enter the F-35 into the competition if the requirement wasn't changed, noting that under the partnership agreement signed in 2006, companies in each member country instead compete for work.

The threat was contained in a letter sent to the government from the head of the Pentagon's F-35 office in December and published in a report from the Macdonald-Laurier Institute think tank on Monday.

Canada has contributed roughly $500 million over the past 20 years toward developing the F-35, while Canadian companies have won nearly $1.5 billion in contracts associated with the stealth fighter. Canada will also be able to buy the plane for less than non-members.

The proposed new process will see the government evaluate bids on a scale, with 60 per cent of the points based on the plane's capability, 20 per cent on its full lifetime costs and the remaining 20 per cent on industrial benefits to Canada.

Bidders can still guarantee that they will re-invest back into Canada if their jet wins the competition and get all 20 points - which is the likely approach for Boeing's Super Hornet, Eurofighter's Typhoon and Saab's Gripen.

But those that can't make such a commitment will be asked to establish "industrial targets," lay out a plan for achieving those targets and sign a non-binding agreement promising to make all efforts to achieve them.

The government will study those plans and assign points based on risk. This is the likely approach for Lockheed Martin and the F-35, which the U.S. has said could provide Canadian companies with billions in work over the next 50 years.

The planned new approach has already stirred complaints from some of Lockheed Martin's competitors, who question why the F-35 should get points if the company can't guarantee re-investment back into Canada.

There are also concerns about how the government will decide how risky plans to achieve "industrial targets" actually are, with one industry source saying that question is entirely subjective.

Bidders were also told Thursday that the actual launch of the competition has been delayed until mid-July. Government officials had previously said they hoped the starting gun would be fired by the end of the month.

Lee Berthiaume, The Canadian Press

https://www.nationalnewswatch.com/2019/05/09/feds-ease-industrial-requirements-for-fighter-jet-makers-after-u-s-complaints/

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  • One new commander — 3 changes of command

    June 10, 2019 | Local, Aerospace

    One new commander — 3 changes of command

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  • Idled industrial plants seen as an untapped source of protective equipment for health workers

    April 6, 2020 | Local, Aerospace, Naval, Land, C4ISR, Security

    Idled industrial plants seen as an untapped source of protective equipment for health workers

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Quebec Premier François Legault said Tuesday the province has three to four days before it runs out of some personal protective equipment (PPE), but that the province has orders that are expected to arrive in the coming days. The province went through a year's worth of PPE in a matter of weeks because of the surge in COVID-19 cases. The question of whether the federal stockpile of equipment is adequate has been on federal Health Minister Patty Hajdu's mind. "No we likely do not have enough," she told the daily media briefing Wednesday. "I think federal governments for decades have been underfunding things like public health preparedness and I would say that obviously governments all across the world are in the same exact situation." In all likelihood, it will be weeks before suppliers, old and new, can ramp up production of vital equipment such as medically-certified N95 masks, which many doctors and nurses throughout the country are being forced to ration and reuse. Tardif argues there is a large alternative supply of identical industrial-grade masks and respirators that can be requisitioned by the federal government and the provinces in the meantime. "We need to take every chance to avoid running out of PPE and in my opinion that involves requisitioning every device that's out there," he said. It's a good idea, says doctor Dr. Andrew Willmore, medical director of emergency management at the Ottawa Hospital, said having the provinces or the federal government coordinate the collection of industrial protective equipment is a very good idea. "I think it's absolutely useful," Willmore said. "I think it's a very important role, both federal and provincial, to be able to enact the appropriate legislative measures by which they can really dig down into industry and create a pool of resources that can be distributed equitably in a way that supports the health care system as a whole." Both 3M, the manufacturer of the N95, and Health Canada have said industrial masks — the kind used in construction, factories and paint shops, where fumes are a problem — are a suitable emergency substitute. Prime Minister Justin Trudeau said Thursday that major shipments of protective equipment, including millions of masks, have started to arrive — one shipment landed on Wednesday — and federal officials are in the process of conducting inventory and getting the equipment out to the provinces. "We will be there to support the provinces and territories with whatever they need," he said during his daily media briefing. "This includes sending personal protective equipment and other supports for the health care system." The shortage of protective equipment for hospital staff was to be the subject of a teleconference between Trudeau and the premiers Thursday night. Willmore said the Ottawa Hospital has reached out to some local businesses in the hopes of laying its hands on an industrial supply. In other parts of the country, major industrial concerns have stepped forward. Honda Canada donated 1,200 masks to the Royal Victoria Hospital in Barrie, Ont., and a further 1,000 and 40,000 pairs of gloves to the Stevenson Memorial Hospital in Alliston, Ont. 'A single point of failure' Tardif said his research suggests that's a fraction of the industrial stock across the country and it's the federal government's responsibility to step in and coordinate a nationwide drive. Shortages of protective equipment for health care staff in a pandemic create "a single point of failure" for the whole system because it either puts doctors, nurses and technicians in danger or leaves them unable to provide care, Willmore said, adding that "the highest levels of government" need to engage with the problem. It has been suggested that giving health care staff reusable respirators, such as the 3M-manufactured 6000, would help cut down on the use of disposable masks. Willmore said that depends on the environment and the patient being treated, noting that there's a danger involved in overusing some equipment. Cost and availability are other factors. "These are expensive pieces of equipment and they're difficult to source, especially since there's been a pull to purchase such equipment," he said. "It's certainly effective but there are practical limitations." https://www.cbc.ca/news/politics/covid-coronavirus-pandemic-masks-respirators-1.5518401

  • Héroux-Devtek announces acquisition of Québec-based Alta Précision Inc.

    June 10, 2019 | Local, Aerospace

    Héroux-Devtek announces acquisition of Québec-based Alta Précision Inc.

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