Disadvantage for Bidders 'Harming Canada's Economic Interests' in Fighter Jet Procurement Plan

The Canadian government will include an assessment of bidders’ impact on Canada’s economic interests as part of its plan to procure 90 new fighter jets to replace Boeing F/A-18 Hornet jets.

An official statement to announce the launch of Competition to Replace Canada’s Fighter Aircraft said, "As it is important to do business with trusted partners, the evaluation of bids will also include an assessment of bidders’ impact on Canada’s economic interests." 

When bids are assessed, any bidder responsible for harm to Canada’s economic interests will be at a distinct disadvantage. This new assessment, as well as guidelines for its application as an ongoing procurement tool, will be developed through appropriate consultations, the statement added.

Canada is engaged in a tiff with the United States over the issues of subsidies for local aircraft maker, Bombardier after Washington imposed duties on its sales in the US. The duty was imposed following a complaint of unfair competition by Boeing.

“The Government of Canada will ensure it gets the right aircraft at the right price, and maximizes economic benefits for Canadians. The government will ensure that the Canadian aerospace and defence industries and manufacturers are consulted and engaged in this process,” Public Services and Procurement Canada said in a statement Wednesday.

Planning and stakeholder engagement will take place throughout 2018 and 2019.  A contract award is anticipated in 2022 and the first replacement aircraft delivered in 2025, the statement read.