Back to news

May 8, 2019 | Local, Aerospace

Trump may have given Trudeau the excuse he needs to ditch the F-35 once and for all

David Pugliese, Ottawa Citizen

The defence and aerospace industry is abuzz about the letters the U.S. government sent to Canada over the upcoming competition to acquire a new fleet of fighter jets to replace the RCAF's CF-18s.

In short, the Trump administration has given an ultimatum to Prime Minister Justin Trudeau and his government. If Canada insists that industrial and technological benefits must come from the outlay of $19 billion for a new fighter jet fleet then Lockheed Martin's F-35 stealth jet is out of the race. Full stop.

The U.S. argument is that because Canada is a partner in the F-35 program it cannot ask Lockheed Martin to meet specific industrial benefits for a Canadian competition if the F-35 is selected. Under the F-35 agreement, partner nations are prohibited from imposing requirements for industrial benefits as the work is determined on the best value basis. In other words, Canadian firms compete and if they are good enough they get work on the F-35 program. Over the last 12 years, Canadian firms have earned $1.3 billion U.S. for their work on building F-35 parts.

The U.S. had boldly stated it cannot offer the F-35 for the Canadian competition if there are requirements to meet for set industrial benefits.

But that ultimatum could seriously backfire on the Trump administration.

Trudeau and the Liberal government has never been keen on the F-35 (Trudeau campaigned against purchasing the jet). There have also been a number of negative headlines over the last year outlining the increasing maintenance costs for the F-35s, not a good selling point for the jet.

The U.S. ultimatum may have just given Trudeau a way out of his F-35 dilemma, particularly if the prime minister can say that it was it was the Americans themselves who decided not to enter the F-35 in the Canadian competition.

Trudeau will also be able to point to the other firms ready and keen to chase the $19 billion contract.

Airbus, a major player in Canada's aerospace industry, says it is open to producing its Eurofighter Typhoon in Canada with the corresponding jobs that will create.

Boeing, which has a significant presence in Canada, will offer the Super Hornet.

Saab has also hinted about building its Gripen fighter in Canada if it were to receive the jet contract.

To be sure, if the U.S. withdraws the F-35 from the competition, retired Canadian military officers and the defence analysts working for think-tanks closely aligned with the Department of National Defence be featured in news reports about how the Royal Canadian Air Force will be severely hindered without the F-35. Some Canadian firms involved in the F-35 program may complain publicly about lost work on the F-35 program but companies tend not criticize governments for fear they won't receive federal contracts or funding in the future.

There will be talk about how U.S.-Canada defence relations will be hurt but then critics will counter that U.S. President Donald Trump used national security provisions to hammer Canada in ongoing trade disputes.

And let's face it. Defence issues are rarely a factor in federal elections or in domestic politics.

The Trump administration, which is not the most popular among Canadians, may have just given Trudeau a political gift.

https://nationalpost.com/news/national/defence-watch/trump-may-have-given-trudeau-the-excuse-he-needs-to-ditch-the-f-35/wcm/08b1313f-81eb-4adc-9ebf-b54ffc19c2c7

On the same subject

  • MEET WITH THE NEW U.S. AMBASSADOR TO CANADA

    May 2, 2022 | Local, Aerospace, Naval, Land, C4ISR, Security

    MEET WITH THE NEW U.S. AMBASSADOR TO CANADA

    May 10th 12 p.m to 1 p.m | Free | Registration Required Towards a new era in Canada-US relations! On May 10th, we will have the honor and privilege of welcoming David L. Cohen, U.S Ambassador to Canada since December 2021. Mr. Cohen will share his vision and goals for strengthening the Canada-U. S relationship to support a sustainable and inclusive recovery for our economies. During a conversation co-hosted by Charles Milliard, President and CEO of the Quebec Federation of Chambers of Commerce, and Garry Douglas, President and CEO of the North Country Chamber of Commerce, Mr. Cohen will discuss avenues of collaboration to support SMEs in both countries, as well as opportunities for partnering to decarbonize our economies. REGISTER HERE!

  • Senator critiques defence procurement process

    February 13, 2019 | Local, Aerospace

    Senator critiques defence procurement process

    by Chris Thatcher An Ontario Senator says defence procurement needs better oversight and an improved process if it is to avoid the problems affecting the government's efforts to replace the Royal Canadian Air Force (RCAF) CF-188 fighter jet fleet. “The fiasco of fighter jet replacement is the best example of a procurement system that is cumbersome, bureaucratic and beset by political interference,” Senator Nicole Eaton wrote in an article originally published in The Hill Times. “Unless ministers start to devote close attention to the management of major projects, or until the process is overhauled, Canadians can continue to expect poor outcomes and wasted taxpayer dollars.” Eaton is a member of the Senate National Finance Committee, which launched a study last fall into the processes and financial aspects of defence procurement. It held its first hearing on Oct. 30 and expects to conclude later this year. In her article, the senator critiqued the process by which Conservative and Liberal governments have struggled to replace the aging CF-188 Hornets, noting that while both Canada and Australia are members of the U.S.-led Joint Strike Fighter program to develop the F-35, Australia received its first two operational F-35s in December while Canada, as part of an interim measure, is poised to take delivery of the first of 25 “well-used” Australian F-18s. “As we take possession of Australia's scrap, Canada is in the early stages of a minimum five-year-long process to pick a replacement for the F-18, which will be more than 50 years old before it is retired in the 2030s,” she wrote. The current government bears blame for creating some of the problems with the fighter file, she wrote, but “military procurement has bedeviled successive governments, Liberal and Conservative alike.” She attributed part of the problem to political interference for both partisan advantage and regional turf protection, but said the main reason for “paralysis in military procurement in Canada is it is too cumbersome and bureaucratic. Process is paramount and results are secondary. “There are layers of committees, depending on the size of the project, with membership from Public Services and Procurement Canada, National Defence, and Innovation, Science and Economic Development,” she wrote. “The consensus-based decision-making process on which these committees operate is supposed to avoid a big mistake — no doubt an appealing quality for a risk-averse bureaucracy, but the downside is the system is not conducive to fast action. Simply put, the buck stops nowhere.” Eaton suggested that bureaucratic morass has resulted in an inability to spend allotted project budgets, an indication the government could struggle to fulfil the commitments laid out in its 2017 defence policy, Strong, Secure, Engaged (SSE). “In the last fiscal year, the policy projected capital spending of $6.1 billion, yet only $3.7 billion was spent. This year, $6.55 billion is called for under SSE, but total appropriations to date amount to $4 billion,” she noted. “Given this poor track record, the idea that military spending can be cranked up by 70 per cent over 10 years, as envisioned in Strong, Secure, Engaged, looks increasingly fanciful. At the Finance committee's first hearing on the procurement system, Patrick Finn, assistant deputy minister, Materiel at the Department of National Defence, and André Fillion, assistant deputy minister for defence and marine procurement at Public Services and Procurement Canada, faced a barrage of questions on ongoing participation in the F-35 program, the authorities and mandates of interdepartmental committees involved in military procurement, and about the challenge of balancing military requirements with equipment costs and opportunities for Canadian industry. “Buying a fighter plane isn't like buying a compact car, and the role of the government is very important. We had to adapt our method of supply to the context of fighter jets,” Fillion told the senators. He said a draft RFP released in late October “was the result of many months of consultation on all five potential options (to replace the CF-188s). “There has been a lot of back and forth over the last several months to make sure that what we are asking meets the requirements of the Air Force and ensures that we do not inadvertently limit the competition. I feel very confident that what we've put together is fair, open and transparent to all the potential suppliers.” Finn said the government had met with and learned lessons from allies who had conducted similar fighter replacement programs. He also dismissed some of the concerns about acquiring used Australian aircraft to fill a gap while the government proceeds with the replacement project. “In our opinion, Canada has the best expertise related to this type of aircraft. Some companies in Montreal do maintenance for the United States and other countries because they have the necessary knowledge,” he said. “This aircraft will really increase our fleet, and it is not the number of aircraft that counts; it is rather the hours of use in the future. We are looking for an aircraft that will remain in service for another 14 years. What is needed is enough hours on the structural side. We will be able to use these aircraft until the entire fleet is no longer in service.” https://www.skiesmag.com/news/senator-critiques-defence-procurement-process

  • New armoured vehicle fleet faces more problems – civilian vehicle hit near Petawawa

    February 21, 2020 | Local, Land

    New armoured vehicle fleet faces more problems – civilian vehicle hit near Petawawa

    DAVID PUGLIESE, OTTAWA CITIZEN The Canadian military is investigating potential problems with brakes on its new armoured vehicle fleet which may have contributed to a number of incidents, including where one of the 18-tonne vehicles hit a car near Petawawa. There have been eight reported incidents involving problems with stopping or issues with brakes affecting the Tactical Armoured Patrol Vehicles, or TAPVs. A formal safety advisory was issued Feb. 12 to the army units using the $600-million TAPV fleet. But the use of the vehicles is not being restricted at this time. The brake issues started being reported in January 2018 and the intermittent problem has only occurred at speeds in the range of five to 15 kilometres an hour, according to the Canadian Forces. “We are working with experts to try and determine if there is a problem with the vehicles braking performance at low-speed, and if the problem is isolated to a few vehicles or the result of something that may affect the wider fleet,” noted army spokesman Lt.-Col. Doug MacNair. So far, the Canadian Forces and Department of National Defence has been unable to replicate the reported problem, nor have inspections uncovered any obvious causes. There have been no injuries as a result of the incidents. Among the eight incidents is a Feb. 3 accident during which a TAPV rolled through a red light and hit a civilian vehicle near Canadian Forces Base Petawawa. No injuries were reported, and Ontario Provincial Police issued a ticket to the TAPV driver for failing to stop at a red light. Driver error was the “apparent problem” according to the Canadian Forces. But sources point out the driver in question reported problems with the TAPV brakes. During a change of command parade in Halifax in November 2019 a TAPV hit a wall causing minor damage after the brakes failed to stop the vehicle. A soldier near the vehicle had to “take evasive action to avoid being struck,” according to the Canadian Forces. In one case the brakes on a TAPV caught fire. In the aftermath of several other incidents involving brake failure large amounts of ice were found in the brake drums. In another case a TAPV hit the side of a bridge during training. “Following each of these incidents, technicians were unable to locate a problem with the brakes after they conducted technical inspections,” the Canadian Forces added. In 2016 the TAPV fleet had brake issues. At that time it was determined the anti-lock braking system on the vehicles was engaging erratically at higher speeds. A retrofit was introduced across the entire fleet to deal with that problem. The military says there is no evidence to suggest a connection between the 2016 braking issues and these latest incidents. Last year this newspaper reported on a series of rollovers and fires affecting the TAPV fleet. Between April 2014 and January 2019 there had been 10 incidents when Tactical Armoured Patrol Vehicles have tipped on to their sides, six where they have rolled over completely, and four where they have caught fire. Pat Finn, then the assistant deputy minister in charge of procurement at the Department of National Defence, said at the time there have been no serious injuries as a result of the incidents. Finn suggested the rollovers might be caused because of the high centre of gravity the vehicles have. Training was improved to deal with the issue of rollovers. No explanation was provided at the time for the cause behind the fires. The TAPVs have also faced other problems, according to DND documents obtained by this newspaper using the Access to Information law. The TAPV program has “experienced a number of significant technical issues, particularly affecting vehicle mobility,” then-Conservative defence minister Rob Nicholson was told in August 2014. There have been problems with the suspension, steering and other items on the vehicle, according to the briefing document for Nicholson. The technical issues significantly delayed the test program for the vehicles, the document added. The Conservative government announced the TAPV contract in 2012 as part of its re-equipping of the Canadian Army. Canada bought 500 TAPVs from Textron, a U.S. defence firm, at a cost of $603 million. The TAPV is a wheeled combat vehicle that will conduct reconnaissance and surveillance, security, command and control, and armoured transport of personnel and equipment. The TAPV project cost taxpayers a total of $1.2 billion, which not only includes the vehicles but also includes the building of infrastructure to house them, as well as the purchase of ammunition and service support for the equipment. https://ottawacitizen.com/news/national/defence-watch/new-armoured-vehicle-fleet-faces-more-problems-civilian-vehicle-hit-near-petawawa

All news