US aerospace giant Boeing Co. has been approved to participate in a bid to replace Canada’s aging F-18 fleet, despite an earlier trade dispute between the American manufacturer and Ottawa.
A senior Canadian official said on Thursday that Boeing stands an equal chance with other bidders in a race to supply Canada with 88 new fighter jets, ignoring the current dispute.
The announcement came a month after the US International Trade Commission rejected a complaint filed by Boeing against its Canadian rival Bombardier, demanding nearly 300 percent anti-dumping duties on the C Series passenger plane.
Boeing, which makes the Super Hornet, is one of five manufacturers invited to submit proposals in spring 2019 for an order of 88 advanced fighter jets, which are to be delivered in 2025, according to a Canadian government statement.
The other manufacturers are US-based Lockheed Martin (F35), France's Dassault (Rafale), the Airbus group (Eurofighter Typhoon), and Sweden's Saab (Gripen).
Canada is due to release the exact specifications for the jets next year. Officials say the deal is worth between C$15 billion ($11.80 billion) and C$19 billion.
The Canadian government will include an assessment of bidders impact on Canadas 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 Canadas 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 Canadas economic interests
The Canadian government will announce its intention to buy a used fleet of older Australian F-18 fighter jets scrapping the plan to buy 18 new Super Hornets from Boeing. The decision comes amidst growing dispute with the US aerospace company,
The US State Department has approved a $140 million sale of Raytheon-made AIM-120D Advanced Medium Range Air-to-Air Missiles (AMRAAM) for use on Canadian F/A-18 aircraft. The Defense Security Cooperation Agency delivered the required certification notifying Congress of this possible sale on October 30, 2017
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