Question Period Note: Future Fighter Capability Project

As part of the Government of Canada’s reaffirmed commitment to invest in Canada’s military, as announced in the 2017 Defence Policy, Strong, Secure, Engaged, the Government launched an open and transparent competition in December 2017 to permanently replace Canada’s fighter fleet with 88 advanced jets—the Future Fighter Capability Project (FFCP).

Notes:

• All questions related to capability gap, security and interoperability requirements, costs, and Canada’s participation in the Joint Strike Fighter Program should be answered by the Minister of National Defence
• All questions related to the Industrial and Technological Benefits Policy and the assessment of bidders’ impact on Canada’s economic interests should be answered by the Minister of Innovation, Science and Economic Development (ISED)
• All questions related to trade issues should be answered by the Minister of Foreign Affairs

• The Government is committed to ensuring that members of the Canadian Armed Forces have the equipment they need to do their jobs and protect Canadians, while maximizing economic benefits for the country
  • The Government delivered on its promise to launch an open and transparent competition to replace Canada's fighter fleet with 88 advanced jets, and we are making great progress
  • At the request of industry, Canada has granted a one-month extension to the June 30 proposal submission deadline, in the wake of the COVID-19 pandemic. The pandemic has impacted numerous businesses in various capacities, and the eligible suppliers are no exception. The proposals are now due on July 31, 2020
  • This extension supports the Government’s commitment to conduct an open, fair, and transparent competition, maximizing the likelihood that Canada will receive competitive proposals that meet Canadian requirements
  • We continue to anticipate awarding a contract in 2022, with delivery of the first replacement aircraft as early as 2025

If pressed on which supplier requested an extension:

• We do not disclose information about which suppliers make requests during active procurements

In June 2017, Canada’s Defence Policy confirmed a fleet size of 88 advanced fighter aircraft to replace the current CF-18s. The Government launched a procurement process for the future fighter aircraft in December 2017. Officials conducted extensive industry engagement with suppliers to maximize the likelihood that Canada receives competitive proposals, and with Canadian industry to ensure that they are well positioned to participate in the procurement.

In November 2018, France-Dassault Aviation officially withdrew from the competitive process.

In July 2019, the request for proposal was shared with the eligible suppliers.

In August 2019, UK-Airbus also withdrew from the competition.

On October 4, 2019, Canada received Preliminary Security Offers from the remaining 3 eligible suppliers, outlining how the suppliers intend to meet Canada’s security and interoperability requirements. Canada has completed the First Security Acceptability Assessment on the offers and provided significant feedback to suppliers on January 31, 2020. The feedback will help suppliers to understand the scope of information that is required in their proposals in order to submit an acceptable security offer to Canada.

Next steps

A dialogue phase may be conducted with two or more compliant bidders in 2021 so they can address, in revised proposals, any gaps and risks that are identified during the evaluation phase. Canada will finalize the contract terms with the preferred bidder prior to contract award anticipated in 2022.

Plans are being developed to proceed with proposal evaluations during a pandemic while minimizing any impact to the project schedule.

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