22 juin 2018 | Local, Aérospatial
David Ljunggren
OTTAWA (Reuters) - Canada is discussing changes to a multibillion-dollar fighter jet procurement process that could make it harder for a U.S. company to win the order as trade relations between the neighbors sour, two sources with direct knowledge of the discussions said.
Canada is considering whether to penalize companies from countries that have caused it economic damage, the sources said on Wednesday. While a final decision is not expected before next year and the threat could be posturing, the move shows how the Trump administration's trade disputes are spilling over into other areas.
A spokeswoman for federal Procurement Minister Carla Qualtrough - who has overall responsibility for major purchases of military equipment - declined to comment. Sources declined to be identified as the discussions are confidential.
Boeing Co's (BA.N) F-18 Super Hornet and Lockheed Martin Corp's (LMT.N) F-35 fighter were among the favorites to capture the contract to supply 88 planes, worth between C$15 billion ($11.3 billion) and C$19 billion.
Defense sources have long said the Canadian air force would prefer an American-built jet, citing the importance of operating easily with U.S. armed forces.
But a change in procurement terms would give more of a chance to European suppliers: Airbus SE (AIR.PA), which makes the Eurofighter; Saab AB (SAABb.ST), which makes the Gripen; and Dassault Aviation (AVMD.PA), which makes the Rafale.
Defense sources, however, say the European jets are likely to become obsolete by around 2040, at which point they could no longer incorporate the latest technologies.
Canada has been trying unsuccessfully for almost a decade to buy replacements for its aging F-18 fighters, some of which are 40 years old. The former Conservative administration said in 2010 it would buy 65 F-35 jets but later scrapped the decision, triggering years of delays and reviews.
Ottawa has already said bids will be evaluated in part by examining whether firms competing for the order have caused any past economic damage to Canada. Officials said at the time this was aimed at Boeing, which last year launched a trade challenge against Canadian planemaker Bombardier Inc (BBDb.TO).
Government officials are now discussing whether Canada should also consider economic damage caused by governments, a clear reference to worsening relations with Washington, said the sources.
“Politically it's hard to spend billions of dollars on contracts with a country that's hurting you,” said one of the sources, who asked to remain anonymous given the extreme sensitivity of the situation.
However, the sources emphasized that the discussions are at an early stage and Ottawa could eventually decide to drop the proposed language.
Canada - which is due to release the exact specifications for the jets next year - has not yet finished work on the clause referring to economic damage caused by a single firm.
U.S. President Donald Trump last month slapped tariffs on Canadian steel and aluminum, prompting Canada to announce its own retaliatory measures. Trump has also threatened tariffs on Canadian autos, which could badly hurt the economy.
Ottawa froze talks with Boeing about the fighter jet contest but after the company's trade challenge against Bombardier failed, Canadian officials made clear the firm would not be discriminated against if it chose to bid.
https://ca.reuters.com/article/businessNews/idCAKBN1JH2IA-OCABS
13 février 2023 | Local, Aérospatial
OTTAWA — A model F-35 sits in a place of prominence on the corner of Lt.-Gen. Eric Kenny's desk. The miniature grey aircraft is propped in the air by a plastic stand as if it is flying, and Royal Canadian Air Force markings are visible on its wings.
7 novembre 2018 | Local, Aérospatial
Toronto, Ontario – 5 November 2018 -- Magellan Aerospace Corporation (“Magellan”) announced today, that they have secured a six year agreement with Airbus for a contract extension for the manufacture of A350 XWB centre wing box and keel beam detail parts. It is estimated that revenue generated from this work package will exceed CDN $140 million dollars over the term of the contract. The package consists of a number of large structural, machined components, and will be manufactured by Magellan in the United Kingdom and supplied to the Airbus assembly facility in Nantes, France. Mr Haydn Martin, Magellan's Vice President, New Business Development said, “This contract extension has been achieved through a combination of demonstrated operational excellence and market competitive pricing. As a strategic partner to the Airbus Group, Magellan continues to align our technology investments and manufacturing best practices to meet their current and future requirements. About Magellan Aerospace Corporation Magellan Aerospace Corporation is a global aerospace company that provides complex assemblies and systems solutions to aircraft and engine manufacturers, and defense and space agencies worldwide. Magellan designs and manufactures aeroengine and aerostructure assemblies and components for aerospace markets, advanced proprietary products for military and space markets, and provides engine and component repair and overhaul services worldwide. Magellan is a public company whose shares trade on the Toronto Stock Exchange (TSX: MAL), with operating units throughout North America, Europe, and India. Forward Looking Statements Some of the statements in this press release may be forward-looking statements or statements of future expectations based on currently available information. When used herein, words such as "expect", "anticipate", "estimate", "may", "will", "should", "intend", "believe", and similar expressions, are intended to identify forward-looking statements. Forward-looking statements are based on estimates and assumptions made by the Corporation in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors that the Corporation believes are appropriate in the circumstances. Many factors could cause the Corporation's actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements, including those described in the "Risk Factors" section of the Corporation's Annual Information Form (copies of which filings may be obtained at www.sedar.com). These factors should be considered carefully, and readers should not place undue reliance on the Corporation's forward-looking statements. The Corporation has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. For information: Laura Podaima Director, Corporate Communications Magellan Aerospace Ph. 204 788 2831 laura.podaima@magellan.aero http://magellan.aero/investors/press-releases/
28 janvier 2019 | Local, Aérospatial
THE ASSOCIATED PRESS The North American Aerospace Defence Command says two F-22 and two CF-18 fighter jets identified two Russian Tu-160 Blackjack strategic bombers PETERSON AIR FORCE BASE, Colo. — Military authorities say U.S. Air Force and Canadian fighter jets were scrambled to escort two Russian bombers that were travelling near the North American coastline. The North American Aerospace Defence Command says two F-22 and two CF-18 fighter jets identified two Russian Tu-160 Blackjack strategic bombers. The Russian planes were said to be entering an area patrolled by the Royal Canadian Air Force on Saturday morning. There were no reports of conflict between the Russian and the U.S. and Canadian jets. NORAD says it uses radar, satellites and fighter aircraft to patrol the skies and monitor aircraft entering U.S. or Canadian airspace. General Terrence J. O'Shaughnessy, the NORAD commander, said in a statement that “NORAD's top priority is defending Canada and the United States. “Our ability to protect our nations starts with successfully detecting, tracking, and positively identifying aircraft of interest approaching U.S. and Canadian airspace,” O'Shaughnessy said. https://montrealgazette.com/news/us-canadian-fighter-planes-scramble-to-escort-russian-jets