Canada to make it harder for US companies to win its fighter competition

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.

ca.reuters.com...

So! Canada! So dramatic!

It's not a bad tact, if this were a different administration. I mean, hardish ball negotiations for the fighter competition is not unexpected and could, given the tussles over trade, even work to some extent.

This is not some other administration and Canada has even more to lose: Canada is a nontrivial industrial partner in the F-35 program. They actually get out MORE from the program (currently) than they put in, iirc. Their gov does spend money, but their industrial participation is nontrivially above that. It's highly likely Canada will be excised from the F-35 program and then not get the financial benefits of participating in the F-35 program.

So, that means the Rafale, Eurofighter or Gripen then. It would be theoretically be possible to do the KF-X, but we (the US) have such a huge say in what gets exported (due to US tech) that at least under the current US administration, that export would likely be blocked.

So, Rafale, Typhoon or Gripen. Any bets?

a reply to: anzha

Maybe it'll give all of those World Class Canadian fighter types a well-deserved leg up.

It would at least ensure that all of those Canadian aircraft carriers can project air superiority no matter WHERE they sail.

a reply to: MteWamp

Excuse me, but what world class Canadian fighter?

Are we hitting you guys where it hurts?

a reply to: InTheLight

Which you guys?!

originally posted by: anzha
a reply to: InTheLight

Which you guys?![/quote

Canada doing the hitting where it hurts...money, it's always about money.

a reply to: InTheLight

Right, but Canada is about to get hurt over the stupid program even more. As I stated, they have been getting MORE money out of the program than they put it. Even with the purchase of the F-35s. They're going to lose that.

originally posted by: anzha
a reply to: InTheLight

Right, but Canada is about to get hurt over the stupid program even more. As I stated, they have been getting MORE money out of the program than they put it. Even with the purchase of the F-35s. They're going to lose that.

That prediction is dependent on factors that can change daily...let's see what our legal marijuana sales hauls in for purchases such as this.

a reply to: InTheLight

If California is any indicator, it'll be less than expected.

OTOH, 420 isn't a substitute for technical jobs if you want to preserve technical jobs.

originally posted by: anzha
a reply to: InTheLight

If California is any indicator, it'll be less than expected.

OTOH, 420 isn't a substitute for technical jobs if you want to preserve technical jobs.

We are not Cali, we are bigger and have a big appetite.

a reply to: InTheLight

Bigger? In what way?

Population? no. 39.54M in 2017. Canada? 36.29M in 2016.

Economy? no. California, $2.7t. Canada, $1.8T.

Land area? yup, ya got the Calis beat there.

originally posted by: anzha
a reply to: InTheLight

Bigger? In what way?

Population? no. 39.54M in 2017. Canada? 36.29M in 2016.

Economy? no. California, $2.7t. Canada, $1.8T.


Land area? yup, ya got the Calis beat there.

An appetite for marijuana and oil and gas...watch the pipelines start flowing soon. We don't need you.

a reply to: anzha

What aircraft carriers?

a reply to: InTheLight

Canada's exports to the US are $307B. That's 1/6th of your economy. The next largest is the EU...for $94B.

The US has exports of $320B to Canada...and our economy is $19T.

It looks rather the opposite, really.

The US has a trade surplus and the whole dispute with Canada, IMO, is silly. However, it is what it is now and not much can be done for another couple years.

a reply to: Zaphod58

The HMCS Bonaventure?

a reply to: anzha

They're getting the Lightning II.

It'll all work itself out.

a reply to: muzzleflash

Not until Trudeau is out of office, if then.

Why? He made a campaign promise to dump the F-35. Then followed through (but still kept Canada's toes in the pool).

Trudeau tried to buy the Rhino, but then Boeing did a weird thing and got into it with Canada over a transport class they don't make. That made it unlikely ANY Boeing aircraft would be bought.

Trudeau tried to kick the can down the road, but that's not working either.

Now there's the dispute between Trudeau and Trump...soooo...

Trudeau can't back down on the F-35. He can't buy anything Boeing (F/A-18E/F or F-15). Quite possibly not ANYTHING American, at least for another couple more years. Politically.

It'll be the Rafale, Gripen or Eurofighter, but none of them are comparable to the F-35. There's no western equivalent at this time and won't be for at least a decade. Everyone jumped on one train in the West and buying from elsewhere is a bit tough.

They could soldier on with the classic Hornets. Especially since the USN is deadset on retiring them as quickly as possible...
Meanwhile they could go in with France and Germany on their 6 gen platform, and in 30 years they can replace the Hornets.

Honestly, they could probably get a smokin deal on Rafales. Especially if they went in on the next gen project.


But there's no better value than the F-35 right now, or anytime in the foreseeable future. And they are already industrial partners, so it seems silly to jeopardize that gravy train by playing games.

a reply to: RadioRobert

I think they are just buying "now." That means Eurofighter, Rafale or Gripen. If the Pentagon rejects the nuclear mission for the Eurofighter, that would leave the Rafale. And the French would love that. However...as you said, the whole thing is kinda a big, stupid mess.