Federal government considering delaying acceptance of bids for new fighter jets

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  8 mai 2019 | Local, Aérospatial

  U.S. government again urges Canada to acquire American fighter jets, despite Pentagon threats

  DANIEL LEBLANC The American government is once again urging Canada to acquire U.S.-built fighter jets to replace its fleet of CF-18s, one day after it emerged the Pentagon recently threatened to pull the F-35 out of the $26-billion competition for new aircraft. The contradictory messages from the U.S. government showcase how the Americans are trying to prevent a tendering process that would favour European manufacturers at the expense of either the Lockheed Martin F-35 or the Boeing Super Hornet. The Canadian government is weeks away from launching a competition for 88 new fighter jets, with the two American firms set to enter into a competition against the Swedish Gripen and the Eurofighter Typhoon, which is built by a consortium that includes Airbus. In a statement on Tuesday, the American government called on Canada to make sure its fighter jets can operate alongside U.S. military aircraft around the world. The “crucial” point, according to the American government, is Canada's participation in the North American Aerospace Defence Command (NORAD) that controls the Canadian and American airspace. Only U.S.-built fighter jets currently operate in NORAD and European aircraft would face technological hurdles in gaining the ability to fully integrate into the bi-national military alliance. “We continue to believe in the importance of NATO and NORAD interoperability as a crucial component of Canada's acquisition of defence assets,” said Joseph Crook, a spokesman for the U.S. embassy in Ottawa. Mr. Crook added the American government remains “hopeful that U.S. firms are able to participate in open and transparent competition processes that can support Canada's NATO and NORAD obligations, especially when it comes to co-operative engagement capabilities.” On Monday, the Macdonald-Laurier Institute published letters from American officials who warned their Canadian counterparts last year that the F-35 might be pulled from the competition unless Canada's requirements for industrial benefits were modified. The American government is concerned about Canada's Industrial and Technological Benefits (ITB) policy, which requires the winner of the contract to invest the equivalent of the acquisition cost in Canada. Built by Lockheed Martin, the F-35 is a stealth aircraft developed by an international consortium of allied militaries under a program that specifically rejects the application of traditional industrial benefits. Canada has been a member of the program since 2006. In an interview after a cabinet meeting on Tuesday, Defence Minister Harjit Sajjan said he has sought to reassure the Americans by pointing out that the Canadian government will focus mostly on technical capabilities in deciding which aircraft to purchase. “First of all, the capabilities of the aircraft is the number one priority. Making sure we meet the needs of the Canadian Armed Forces – the Air Force in this particular case – is the number one priority. We will always make sure that will happen,” Mr. Sajjan said. He added that obtaining benefits for the Canadian economy is also important, while suggesting the matter will have less importance in the final weighting of the bids. “This obviously factors into the equation, but the capability requirements for the Canadian Armed Forces is always the number one priority,” he said. In a speech laying out his foreign-affairs policy on Tuesday, Conservative Leader Andrew Scheer said he will seek to modernize the NORAD alliance if his party forms the next government, including through the purchase of fighter jets that can defend North America alongside the U.S. fleet. “I will act to select a new fighter jet through an open competition and make sure the new jets are interoperable with our American allies,” Mr. Scheer said. Vice-Admiral Mathias Winter of the U.S. Navy said in a letter last December that Canada has received US$1.3-billion in economic benefits from its participation in the F-35 program to this point. “The F-35 supplier team will submit an F-35 offer only if (1) the ITB requirement is waived entirely and (2) there is no future ITB obligation arising from selecting the F-35,” Vice-Adm. Winter said in his letter. https://www.theglobeandmail.com/politics/article-us-government-urges-canada-to-acquire-american-fighter-jets-in-2/

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  11 octobre 2018 | Local, Aérospatial

  Les gouvernements du Canada et du Manitoba renforcent l'industrie de l'aérospatiale

  WINNIPEG, le 10 oct. 2018 /CNW/ - Le Manitoba possède la troisième grappe en importance sur le plan de l'aérospatiale au Canada, comptant plus de 50 entreprises du domaine de l'aérospatiale qui possèdent leur administration centrale ou d'importants centres d'activités dans la province, et qui offrent à la classe moyenne plus de 4 600 emplois bien rémunérés. Aujourd'hui, l'honorable Navdeep Bains, ministre de l'Innovation, des Sciences et du Développement économique et ministre responsable de Diversification de l'économie de l'Ouest Canada (DEO), de concert avec Scott Johnston, membre de l'Assemblée législative du Manitoba pour St. James, ont annoncé une aide financière de 10 millions de dollars destinée à quatre projets visant à promouvoir l'innovation, le perfectionnement des compétences et la croissance au sein de l'industrie de l'aérospatiale du Manitoba. Le gouvernement du Canada et la Province du Manitoba ont uni leurs efforts pour trouver des initiatives conçues pour assurer l'avenir de l'aérospatiale au Manitoba. Ensemble, ces initiatives permettent d'aborder des pressions nouvelles et émergentes sur le plan de la concurrence, tout en appuyant une stratégie de croissance portant sur les défis que représente le besoin d'innover, de maintenir des compétences technologiques et d'améliorer la productivité. Quatre projets bénéficieront des investissements suivants : Composites Innovation Centre : 1,8 million de dollars pour établir un espace de collaboration à la Smart Factory du Collège Red River pour concevoir, démontrer et valider de nouveaux produits et procédés composites de pointe dans le domaine de l'aérospatiale. Magellan Aerospace Limited : 5 millions de dollars pour intégrer une conception, une production et des technologies accrues à l'industrie de l'aérospatiale du Manitoba, renforçant l'avantage concurrentiel du Manitoba en tant que leader dans la chaîne d'approvisionnement mondiale dans le domaine de l'aérospatiale. West Canitest R&D Inc. (WestCaRD) : 1,6 million de dollars pour élargir la portée des capacités de mise à l'essai de moteurs du GE Aviation Test, Research and Development Centre, solidifiant la position de Winnipeg en tant qu'emplacement de choix pour mettre à l'essai les moteurs de GE. Composites Innovation Centre : 1,6 million de dollars pour administrer et verser le Manitoba Aerospace Fund visant à appuyer la commercialisation de produits, l'innovation des procédés et les activités de prospection de clientèle de petites et moyennes entreprises dans le secteur de l'aérospatiale du Manitoba. Ces projets mèneront à la création d'emplois bien rémunérés, introduiront de nouvelles capacités de conception de produits et technologies de fabrication, faciliteront l'introduction de technologies novatrices de fabrication composée et élargiront les capacités de mise à l'essai de moteurs. Faits en bref La fabrication constitue le plus important secteur industriel de Winnipeg. Le Manitoba figure au troisième rang parmi les carrefours de l'aérospatiale les plus importants au Canada, employant plus de 4 600 personnes. Cet investissement créera approximativement 70 emplois et fera croître l'économie régionale gr'ce à un accroissement des ventes à l'échelle mondiale. Citations « L'investissement de notre gouvernement dans l'industrie de l'aérospatiale canadienne s'appuie sur notre plan ambitieux de transformer les forces économiques du Canada en réussites mondiales. Ces projets appuient une grappe économique clé au Manitoba et dans l'Ouest canadien, grappe qui continuera de créer de bons emplois pour la classe moyenne de demain. » - L'honorable Navdeep Bains, ministre de l'Innovation, des Sciences et du Développement économique et ministre responsable de Diversification de l'économie de l'Ouest Canada « Le secteur de l'aérospatiale du Manitoba est compétitif à l'échelle mondiale et constitue un élément important de notre économie provinciale. Nous continuons d'appuyer le développement, dans le secteur, d'une main-d'œuvre de pointe, et nous sommes heureux d'avoir fait de ces projets des priorités dans l'établissement de la prochaine génération d'expertise en fabrication de pointe ici au Manitoba. » - Scott Johnston, membre de l'Assemblée législative du Manitoba pour St. James, au nom de Blaine Pedersen, ministre de la Croissance, de l'Entreprise et du Commerce du Manitoba « Nous sommes heureux de bénéficier de l'aide de Diversification de l'économie de l'Ouest Canada dans le cadre du lancement d'un projet de développement technologique collaboratif qui rassemble nos partenaires de l'industrie, de la recherche et du milieu universitaire. Nous sommes fiers aussi de soutenir l'objectif du Manitoba Aerospace Fund consistant à accroître la compétitivité industrielle ainsi que notre empreinte économique sur le secteur de l'aérospatiale. Avec ces fonds, nous comptons unir nos efforts pour accroître nos capacités à faire du Manitoba, et du Canada, des leaders dans le domaine de l'aérospatiale. » - Doug McCartney, président et directeur général, Composites Innovation Centre « Magellan est à la fois heureuse et reconnaissante de poursuivre son partenariat avec Diversification de l'économie de l'Ouest Canada dans le but d'investir dans le renforcement du secteur de la fabrication de pointe de Winnipeg. Le partenariat avec DEO annoncé aujourd'hui contribuera directement aux technologies et à la formation requises pour livrer les biens manufacturés spécialisés pour la prochaine génération de produits de l'aérospatiale. » - Dan Pashniak, directeur général, Magellan Aerospace, Winnipeg "WestCaRD se réjouit de l'aide financière accordée par le gouvernement du Canada destinée à la mise à l'essai avancée de moteurs d'aéronefs, à la recherche et au développement à Winnipeg. Des occasions d'emplois de grande qualité sont créées et maintenues directement gr'ce aux essais de mise au point, tandis que d'autres occasions sont générées indirectement par la recherche-développement de pointe nécessaire pour concevoir, entretenir et exploiter de nouvelles générations d'aéronefs encore plus efficaces, sécuritaires et respectueux de l'environnement. Cet investissement dans l'avenir braque les projecteurs sur le Manitoba, soulignant ainsi la vigueur économique de son secteur de l'aérospatiale, et il constitue un brillant exemple de la collaboration entre le gouvernement et l'industrie visant à assurer la santé et le mieux-être économiques à long terme du Canada et du Manitoba." - Bob Hastings, directeur général, WestCaRD SOURCE Diversification de l'économie de l'Ouest du Canada https://www.newswire.ca/news-releases/les-gouvernements-du-canada-et-du-manitoba-renforcent-lindustrie-de-laerospatiale-696617531.html

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  5 septembre 2019 | Local, Aérospatial

  Updated: Eurofighter drops out of Canadian fighter jet program

  By DAVID PUGLIESE, OTTAWA CITIZEN Another company has pulled out of Canada's competition to buy new fighter jets. The United Kingdom's Ministry of Defence and Airbus Defence and Space informed the Canadian government Friday of their decision to withdraw from Canada's future fighter competition. Airbus had been offering Canada the Eurofighter. Last year the European firm Dassault informed the Canadian government it would not be competing in the competition. It had been planning to offer Canada the Rafale fighter jet. The $19 billion competition has been dogged by allegations it is designed to favour Lockheed Martin's F-35 stealth fighter. Postmedia reported earlier this year that the requirements for the new jets put emphasis on strategic attack and striking at ground targets during foreign missions. That criteria is seen to benefit the F-35. In addition, the federal government changed criteria on how it would assess industrial benefits after the U.S. government threatened to pull the F-35 from the competition. Industry representatives have said they will carefully review the Canadian requirements before making their decision to bid. The work needed to prepare a bid will cost the firms around $15 million each. The decision to pull the Eurofighter from the competition leaves the F-35, the Boeing Super Hornet, and Saab's Gripen. It is unclear whether Boeing or Saab will continue in the competition. Airbus and the UK Defence Ministry noted that its decision to withdraw was the result of a detailed review of Canada's request for proposals which was released to industry on July 23. It pointed to the changes Canada made to the industrial benefits package to appease Lockheed Martin as well as the excessive security costs that U.S.-Canadian security requirements placed on a company based outside North America. “A detailed review has led the parties to conclude that NORAD security requirements continue to place too significant of a cost on platforms whose manufacture and repair chains sit outside the United States-Canada 2-EYES community,” the statement from Airbus and the UK Defence Ministry noted. “Second, both parties concluded that the significant recent revision of industrial technological benefits obligations does not sufficiently value the binding commitments the Typhoon Canada package was willing to make, and which were one of its major points of focus.” Bids must be submitted by the spring of 2020. Public Services and Procurement Canada, which is running the competition, did not provide comment. A winning bid is expected to be determined by early 2022. The first aircraft would be delivered by 2025. Technical merit will make up the bulk of the assessment at 60 per cent. Cost and economic benefits companies can provide to Canada will each be worth 20 per cent. The Conservative government had previously selected the F-35 as the air force's new jet but backed away from that plan after concerns about the technology and growing cost. During the 2015 election campaign, Justin Trudeau vowed that his government would not purchase the F-35. But at the same time, Trudeau stated his government would hold an open competition for the fighter purchase. The Liberal government backed away from its promise to freeze out the F-35 and the aircraft is now seen as a front-runner in the competition as it has many supporters in the Royal Canadian Air Force. Many of Canada's allies plan to operate the plane. Canada is a partner in the F-35 program and has contributed funding for the aircraft's development. Canada already changed some of the industrial benefits criteria of its fighter jet competition in May to satisfy concerns from the U.S. government that the F-35 would be penalized or couldn't be considered because of how that program was set up. U.S. officials had warned that the F-35 development agreement Canada signed years ago prohibits partners from imposing requirements for industrial benefits. Under the F-35 agreement, partner nations such as Canada are prohibited from demanding domestic companies receive specific work on the fighter jet. Instead, Canadian firms compete and if they are good enough they receive contracts. Over the last 12 years, Canadian firms have earned more than $1.3 billion in contracts to build F-35 parts. The changes made in May would now allow some of those F-35 contracts to be considered when looking at industrial benefits for the new planes. https://ottawacitizen.com/news/national/defence-watch/eurofighter-drops-out-of-canadian-fighter-jet-program