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Showing posts from October, 2017

BOEING'S BULLYING BACKFIRES BIGLY.

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For those of you whom have been living under a rock the last 24 hours, Bombardier has now partnered with Airbus in order to save the C-Series.

No actual money has exchanged hands, but Airbus now owns 50.01% of the C-Series program.  This gives Airbus controlling interest in the jetliner moving forward.  While this may seem like a blow to Bombardier to see its pride and joy become the property of someone else, this partnership all but assures the future of the C-Series and Bombardier as a whole.

Under this new partnership, C-Series headquarters will remain in Montreal and production will continue in Bombardier's Mirabel assembly plant.  Airbus will expand C-Series production by utilizing its pre-existing plant in Mobile, Alabama.  This will allow the C-Series to circumvent the U.S. Department of Commerce's crippling 300% import tariffs.  Airbus will also contribute its considerable marketing and supply chain prowess.

In effect, Bombardier has a sacrificed part of the pie...  But…

FIXING THE CAPABILITY GAP.

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Canada has officially begun the process to acquire used F/A-18 Hornets from the RAAF.  It has presented the Australian government with a "Letter of Interest".  This tire-kicking will give a sense as to how much these second-hand fighters would cost us and how soon they would arrive.

Let me save the Trudeau government some trouble:  Don't bother.

This is not to disparage the Australians or the RAAF.  Like Canada, the Aussies have continuously upgraded and refurbished their fleet of Hornets.  While there are minor differences between the two, integration into the RCAF fleet should be relatively "plug-and-play".

As far as costs go, second-hand F/A-18s would likely seem like a bargain.  It would certainly be a lot more affordable than the mind-boggling $5.23 billion quoted for 18 Boeing Super Hornets.

So why give the RAAF Hornets a pass?

It is a simple matter of availability.  The whole point of the interim fighter is to increase our fighter capability NOW.  Th…

WHY BOEING FEARS THE C-SERIES.

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[Note:  Sorry to dwell on the Boeing/Bombardier dispute instead of jet fighters...  But what is happening with the C-Series will have lasting repercussions to Canada's aerospace industry.  The Federal government's response to cancel its plans for an interim Super Hornet not only shakes up Canada's upcoming fighter competition, it puts the entire thing in a blender.  This point in history will be remembered as a pivotal moment for Canadians, right up there with the cancellation of the Avro Arrow.]


Bombardier got hit with another tariff this past week.  The US Commerce Department imposed an 80% anti-dumping tariff on the CS100.  This is in addition to the 220% "countervailing" tariffs imposed the week before by the same office.  These tariffs come at the behest of Boeing; which accuses Bombardier of both receiving unfair government subsidies and selling the CS100 at below market prices in order to gain market share.

Boeing does have a fair argument.  Bombardier ha…