Jet Race between Lockheed Martin and Boeing

jet

CBJ — Canada’s decision to make it harder for Boeing to win a major jet order hands rival plane maker Lockheed Martin an advantage in capturing the contract according to industry experts.

That would mark a reversal in Lockheed’s fortunes after Liberal leader Justin Trudeau campaigned in 2015 on a promise not to buy the firm’s F-35 stealth fighter.

Trudeau’s government scrapped plans to buy 18 Boeing Super Hornets and made clear the company would not win a contract for 88 jets unless it dropped a trade challenge against Canadian planemaker Bombardier.

Government officials estimate the cost of the jets at between $15 billion and $19 billion and say it is the biggest investment in the air force in 30 years.

Last week Boeing issued a statement making clear it would not back down in its fight against Bombardier, which it accuses of trying to dump airliners on the U.S. market.

The firm may not even launch a bid for the 88 jets, the first of which are due to be delivered in 2025.

@CanBizJournal

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