Canada cancels Boeing fighter jet order amid trade spat

Report: Canada canceling purchase of new Boeing fighter jets

Report: Canada canceling purchase of new Boeing fighter jets

Reuters, citing three sources, said the government of Prime Minister Justin Trudeau will soon announce it plans to acquire older F-18 jets from Australia instead.

The F/A-18 is a twin-engine, supersonic combat aircraft that can operate as a fighter or attack jet.

Relations between Canada and U.S. aerospace company Boeing have continued to deteriorate, with the Canadian government now walking away from plans to buy 18 Boeing Super Hornet fighters.

The decision comes after the U.S. Commerce Department levied a 300 percent tariff on each Bombardier C Series jet delivered to the U.S., following accusations from Boeing that the Canadian industrial giant was receiving unfair government subsidies.

The Canadian government then confirmed on 29 September it submitted an expression of interest, formally marking Canada's interest in the Australian equipment.

Canada was looking to buy the Boeing aircraft as a placeholder for its fleet until a competition in 2019 to replace its ageing CF-18 jets.

The move to try to acquire fighter jets from Australia coincides with the USA government's decision, based on a Boeing complaint, to hit Bombardier with nearly 300 per cent duties on its CSeries civilian passenger jet.

Canada had decided it needed Boeing's new Super Hornets to refresh its aging CF-18 Hornet fleet, but may have had a change of heart after the American manufacturer accused Canadian plane maker Bombardier of dumping in the commercial plane market.

The final ruling in the case is expected next year, but the relationship between Boeing and Canada has nosedived since.

Bombardier denies any wrongdoing and says Boeing can not prove it was harmed by the Canadian company's actions because it did not offer Delta any planes of its own.

But the company's thinly-veiled threat may be futile, especially in a larger political climate where Canada and Mexico are frustrated by Trump's attempts to renegotiate long-standing trade deals. "Unfortunately, I think they're taking advantage of a [political] context that's favourable to them".

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