Government will review towing vessel contract after procurement process questioned by trade tribunal

On the same subject

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  May 29, 2023 | Local, Other Defence

  Defence Minister Anita Anand to visit Singapore to advance Indo-Pacific security

  May 29, 2023 – Ottawa, Ontario – National Defence / Canadian Armed Forces The Honourable Anita Anand, Minister of National Defence, will travel to Singapore from June 2-3, 2023, to advance Canada’s defence relationships with allies and partners in the Indo-Pacific region. Minister Anand will be joined by General Wayne Eyre, Chief of the Defence Staff. During her trip, Minister Anand will attend the Shangri-La Dialogue – the premier annual conference on Indo-Pacific security that brings together defence ministers, senior officials, and defence experts from more than 50 countries. In Singapore, Minister Anand, General Eyre, and National Defence officials will meet with counterparts from countries in the region and around the world, to discuss how Canada’s Indo-Pacific Strategy is advancing a free, open, and inclusive Indo-Pacific Region. June 3, 2023 -- 9:30 am (Singapore Time) - Minister Anand will deliver plenary remarks during a session entitled Building a Stable and Balanced Asia-Pacific. Open to media. Media should contact press@iiss.org https://www.canada.ca/en/department-national-defence/news/2023/05/defence-minister-anita-anand-to-visit-singapore-to-advance-indo-pacific-security.html  

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  October 22, 2020 | Local, Aerospace, Naval, Land, C4ISR, Security, Other Defence

  Canada jumps closer to military-spending target thanks to COVID-19's economic damage

  The Canadian Press OTTAWA — Canada has taken a big leap closer to meeting its promise to the NATO military alliance to spend a larger share of its economy on defence thanks to an unexpected assist from COVID-19. New NATO figures released Wednesday show that largely thanks to the pandemic, Canada is poised to spend the equivalent of more of its gross domestic product on defence this year than at any point in the past decade. That is because the alliance expects the Liberal government to hold Canadian defence spending steady even as COVID-19 batters the country's economic output. Yet defence analyst David Perry of the Canadian Global Affairs Institute says the results are unlikely to appease the United States, as Canada continues to fall far short of its promise to NATO to spend two per cent of GDP on defence. "I think they'll be pleased to see positive momentum," Perry said of the U.S., "but it doesn't resolve their concern about where we are." All NATO members, including Canada, agreed in 2014 to work toward spending the equivalent of two per cent of their GDP — a standard measurement of a country's economic output — on defence within the next decade. The promise followed complaints from the U.S. about burden-sharing among allies and broader concerns about new threats from Russia and China as the two countries increased their own military spending. NATO and the U.S. have repeatedly criticized Canada for not meeting the target, with President Donald Trump in December calling Canada "slightly delinquent" during a meeting with Prime Minister Justin Trudeau. His predecessor, Barack Obama, also called out Canada over its defence spending during an address to Parliament in 2016. The U.S. spends more than any other NATO member on defence, both in terms of raw cash and as a share of GDP. NATO Secretary-General Jens Stoltenberg on Wednesday said the continued importance of increasing military spending would be discussed when defence ministers from across the alliance meet this week. The NATO figures show that Canada is poised to spend 1.45 per cent of its GDP on the military this year. That is not only a big jump from the 1.29 per cent last year, but the largest share of the economy in a decade. It also exceeds the government's original plan, laid out in the Liberals' defence policy in 2017, to spend 1.4 per cent of GDP on the military by 2024-25. That is when NATO members were supposed to hit the two-per-cent target. Yet the figures show the expected increase isn't the result of a new infusion of cash for the Canadian Armed Forces this year as spending is expected to hit $30 billion, up just over $1 billion from 2019. Rather, NATO predicts Canadian GDP will shrink by about eight per cent this year as COVID-19 continues to ravage the economy. The fact Canadian defence spending is expected to remain largely steady despite the pandemic is noteworthy, particularly as there have been fears in some corners about cuts to help keep the federal deficit under control. The NATO report instead appears to lend further credence to recent assertions from Defence Minister Harjit Sajjan, Defence Department deputy minister Jody Thomas and others that the Liberals are not readying the axe. Canada also remained 21st out of 29 NATO members in terms of the share of GDP spent on the military as other allies also got a surprise boost from the economic damage wrought by COVID-19. At the same time, Perry said the government has yet to lay out a timetable for when it plans to meet the two per cent target. Military spending is instead expected to start falling after 2024-25, according to the Liberal defence plan. Despite having agreed to the target during the NATO leaders' summit in Wales in 2014, successive Canadian governments have repeatedly described the NATO target as "aspirational." This report by The Canadian Press was first published Oct. 21, 2020. https://www.kamloopsthisweek.com/news/canada-jumps-closer-to-military-spending-target-thanks-to-covid-19-s-economic-damage-1.24224303

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  November 28, 2018 | Local, Naval

  Tribunal orders feds to postpone contract in $60B warship project

  The Canadian Press, Lee Berthiaume OTTAWA — The $60-billion effort to build new warships for Canada's navy is facing another delay after a trade tribunal ordered the federal government to postpone a final contract for the vessels' design. The federal government announced last month that U.S. defence giant Lockheed Martin beat out two rivals in the long and extremely sensitive competition to design replacements for the navy's frigates and destroyers. Lockheed's design was based on a brand-new class of frigates for the British navy called the Type 26. The company is now negotiating a final contract with the government and Halifax-based Irving Shipbuilding, which will build the ships. But one of the other two bidders, Alion Science and Technology of Virginia, has asked the Canadian International Trade Tribunal and the Federal Court to quash the government's decision. It says Lockheed's design did not meet the navy's stated requirements and should have been disqualified. Two of those requirements related to the ship's speed, Alion alleged, while the third related to the number of crew berths Late Tuesday, the tribunal released a one-page statement ordering the government to “postpone the awarding of any contract ... until the Tribunal determines the validity of the herein complaint.” Alion has argued that the rules of the competition required the federal procurement department and Irving, which helped evaluate the bids, to reject Lockheed's bid because of its non-compliance. Instead, they selected it as the preferred design. The company also maintains that its own proposed design, which is based on a Dutch frigate, met the navy's requirements. It has said that it has received no information about why Lockheed's bid was selected over its own, despite requests for answers. Lockheed Martin and Public Services and Procurement Canada declined to comment because the matter is before the tribunal and federal court. The third company in the competition, Spanish firm Navantia, has remained largely silent on Lockheed's successful bid. The government is planning to build 15 new warships starting in the next three or four years, which will replace Canada's aging Halifax-class frigates and retired Iroquois-class destroyers. They're to be the navy's backbone for most of the century. The bid by Lockheed, which also builds the F-35 stealth fighter and other military equipment, was contentious from the moment the design competition was launched in October 2016. The federal government had originally said it wanted a “mature design” for its new warship fleet, which was widely interpreted as meaning a vessel that has already been built and used by another navy. But the first Type 26 frigates are only now being built by the British government and the design has not yet been tested in full operation. There were also complaints from industry that the deck was stacked in the Type 26's favour because of Irving's connections with British shipbuilder BAE, which originally designed the Type 26 and partnered with Lockheed to offer the ship to Canada. Irving also worked with BAE in 2016 on an ultimately unsuccessful bid to maintain the Canadian navy's new Arctic patrol vessels and supply ships. Irving and the federal government have repeatedly rejected such complaints, saying they conducted numerous consultations with industry and used a variety of firewalls and safeguards to ensure the choice was completely fair. But industry insiders had long warned that Lockheed's selection as the top bidder, combined with numerous changes to the requirements and competition terms after it was launched — including a number of deadline extensions — would spark lawsuits. Government officials acknowledged last month the threat of legal action, which has become a favourite tactic for companies that lose defence contracts, but expressed confidence that they would be able to defend against such an attack. https://nationalpost.com/pmn/news-pmn/canada-news-pmn/tribunal-orders-feds-to-postpone-contract-in-60b-warship-project