MONTREAL — Canadian aerospace companies are pushing back against the idea that a Bombardier Inc. contract win to replace aging military patrol planes would be best for the sector, saying that a deal between Ottawa and front−runner Boeing Co. could be at least as lucrative.
Bombardier has been demanding the federal government allow for open competition on the successor to the Royal Canadian Air Force’s half−century−old CP−140 Aurora aircraft.
The Montreal−based business jet maker argues that its surveillance planes will, once they start rolling off the line early next decade, offer a cheaper and more high−tech product that will be manufactured in Canada.
So far the government has not said whether it will go with a sole−source contract or an open bid, but its procurement department has stated that Boeing’s off−the−shelf P−8A Poseidon is the only reconnaissance aircraft currently available that meets the military’s needs.
Martin Brassard, CEO of Quebec−based landing gear maker Héroux−Devtek, points to Boeing’s massive production capacity, which would generate business for parts providers and maintenance and repair operations across Canada, where 81 suppliers for the Poseidon are already based.
A Boeing−commissioned study by Ottawa−based Doyletech found that a Boeing contract would generate nearly $10 billion in domestic economic activity over a decade and directly support more than 230 Canadian business, while Bombardier has said a deal would add $2.8 billion to the country’s gross domestic product.
This report by The Canadian Press was first published Nov. 24, 2023.
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