Government of Canada Announces Next Steps in Potential Procurement of Interim Fighter Capability

OTTAWA, ONTARIO--(Marketwired - March 14, 2017) - Government of Canada

A modern fighter jet fleet is essential for defending Canada and Canadian sovereignty, especially in our northern skies.

Canada has been exploring the potential acquisition of new Super Hornet aircraft to supplement the current fleet until an open and transparent competition can be completed to replace Canada's legacy CF-18 fleet. Over the course of the last few months, Government of Canada officials have been meeting with United States (U.S.) government officials, and with Boeing, on a regular basis to discuss meeting this interim need.

Yesterday, the Government of Canada took another important step toward the potential acquisition of an interim fleet. In a Letter of Request submitted to the U.S. government, Canada outlined its requirements on capabilities, schedule and economic benefits for 18 Super Hornet aircraft.

Canada has confirmed to the U.S. government its commitment to applying its Industrial and Technological Benefits Policy on this potential acquisition, which requires suppliers to make investments in Canada equal to 100% of their contract value. This policy will provide Canadian companies with opportunities to directly participate in this procurement, develop Canadian-based suppliers, support innovation through research and development, grow export opportunities for Canadian firms, and create jobs for middle-class Canadians.

Following receipt of this letter, the U.S. Department of Defense will engage Boeing and other suppliers to develop an official proposal. This process includes the U.S. government's notification to its Congress about the potential sale of Super Hornets to Canada.

As early as fall 2017, Canada expects to receive a response from the U.S. government. The proposal will be reviewed to determine if the U.S. government can provide the interim solution at a cost, schedule, level of capability and economic value acceptable to Canada. If this process is successful, Canada could enter into a formal agreement with the U.S. government for the interim aircraft and associated elements of in-service support as early as the end of 2017 or the beginning of 2018.

In parallel, Canada will also undertake formal discussions with potential suppliers regarding economic benefits for Canadian industry to meet the requirements of the Industrial and Technological Benefits Policy. This will ensure that the potential procurement of interim aircraft will help grow Canada's aerospace and defence sector, create high-value jobs and support Canadian innovation.

The Government of Canada will continue to provide updates and keep Canadians informed of its progress as it moves forward on replacing and supplementing Canada's fighter aircraft.

Quotes

"The Letter of Request to the U.S. government is an important step that outlines our requirements on capabilities, schedule and economic benefits for 18 Super Hornets. This should address the interim needs of the Canadian Armed Forces until the permanent replacement fleet is in place and operational. Our government is committed to leveraging the procurement to ensure our women and men in uniform get the equipment they need, while maximizing economic benefits for Canadians."

The Honourable Judy M. Foote, Minister of Public Services and Procurement

"Today's announcement shows important progress toward getting the brave women and men of the Canadian Armed Forces the equipment they need to protect Canadians and Canadian values around the world. We will assess whether an interim Super Hornet fleet purchase will help ensure Canada remains a credible and dependable ally for many years to come."

The Honourable Harjit S. Sajjan, Minister of National Defence

"The application of the Industrial and Technological Benefits Policy will ensure that the potential acquisition of 18 new Super Hornet aircraft will result in economic benefits for Canadians. The policy requires potential suppliers to make investments in Canada equal to the value of their contract. These investments will grow Canada's aerospace and defence sectors, support Canadian innovation through research and development, increase export opportunities for Canadian firms and ultimately create high-value jobs for middle-class Canadians."

The Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development

Associated Links

CF-18 Replacement Project

Replacing and supplementing Canada's CF-18 fleet

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