Investment
Government Announces $11.2 Billion Investment in RCAF Aircrew Training
The government will be pouring $11.2 billion over the next 25 years into modernizing the Royal Canadian Air Force’s (RCAF) aircrew training.
The $11.2 billion investment is in the form of a contract with SkyAlyne Canada Limited Partnership for the Future Aircrew Training (FAcT) Program.
“Today’s investments demonstrate that when we work collaboratively with Canadian industry partners, we can provide our troops with the tools that they need to do their jobs – and support good jobs right across Canada. With these projects, and through our renewed vision for defence, Our North, Strong and Free, we are committed to building an even stronger relationship with industry, founded on transparency and trust,” said Bill Blair, Minister of National Defence, who made the announcement during the Canadian Association of Defence and Security Industries (CADSI) annual defence industry trade show, CANSEC, in late May.
Contract Details
The investment is being hailed as the “largest recapitalization” of the RCAF since the Second World War.
Under this contract, the RCAF will receive 70 training aircraft, according to the Department of National Defence (DND). These aircraft will be split into five fleets:
- Grob G120TP,
- Pilatus PC-21,
- Beechcraft King Air 260,
- Airbus Helicopters H-135, and
- De Havilland Dash 8-400.
The contract not only provides for vehicles but also will include instruction, simulator and flight training and other on-site supports for future RCAF Pilots, Air Combat Systems Officers, and Airborne Electronic Sensor Operators.
“Nothing is more important than our people. We must modernize our training systems as we are modernizing our front-line equipment and weapons systems. The Future Aircrew Training program will do that by incorporating the latest training concepts and technologies and adapting to emerging trends to ensure Royal Canadian Air Force personnel can operate and win in highly contested and increasingly complex theatres of operation,” said LGen. Eric Kenny, Commander RCAF.
Training will begin in spring 2029 and will take place at RCAF Wings in Saskatchewan and Manitoba, according to DND.
The investment is part of a larger effort to modernize the RCAF and the Canadian Armed Forces at large. Since 2022, the government has planned to procure or upgrade 140 new aircraft, such as F-35 fighters and P-8A Poseidon.
FAcT Program
The FAcT program contract replaces training services currently provided through in-house delivery by the RCAF and two additional contracts with CAE Military Aviation Training and Allied Wings.
The military says the program will deliver training services essential for members to graduate to Operational Training Units. The program will use sites currently already in use. For example, aircrew training for pilots, air combat system officers, and airborne electronic sensor operators will be conducted at 15 Wing Moose Jaw, Saskatchewan, Portage la Prairie, Manitoba, and 402 Squadron, at 17 Wing Winnipeg, Manitoba.
The program is also expected to create or sustain 3, 400 jobs and contribute $405 million into Canada’s economy over the next 25 years.
Canadian Army Investment
During the CANSEC trade show, Minister Blair also announced an investment of $2.58 billion to acquire and maintain a new fleet of logistics vehicles for the Canadian Army. The contract was awarded to General Dynamics Land Systems-Canada alongside Marshall Canada.
The project will help provide the Canadian Army with over 1,000 light trucks and approximately 500 heavy trucks. The contract also provides for equipment such as armoured protection kits, modules, containers, and trailers.
According to DND, the new fleet will allow the CAF to “transport larger loads of personnel, equipment, and supplies while also providing increased mobility and protection for CAF members.”
The vehicles are expected to be delivered in 2027 and will replace the vehicles that have been in use since the early 1980s and 1990s.
“These major contracts underscore Canada’s commitment to fortifying our national defence while simultaneously bolstering our industrial landscape. These programs showcase our dedication to equipping our Armed Forces with cutting-edge capabilities while propelling the growth of our defence sector. Through the Industrial and Technological Benefits Policy, we ensure that these investments not only strengthen our defence capabilities but also nurture the leadership of Canadian supply chains, fostering job creation and economic prosperity for years to come,” said François-Philippe Champagne, Minister of Innovation, Science and Industry.
Investment
Tesla shares soar more than 14% as Trump win is seen boosting Elon Musk’s electric vehicle company
NEW YORK (AP) — Shares of Tesla soared Wednesday as investors bet that the electric vehicle maker and its CEO Elon Musk will benefit from Donald Trump’s return to the White House.
Tesla stands to make significant gains under a Trump administration with the threat of diminished subsidies for alternative energy and electric vehicles doing the most harm to smaller competitors. Trump’s plans for extensive tariffs on Chinese imports make it less likely that Chinese EVs will be sold in bulk in the U.S. anytime soon.
“Tesla has the scale and scope that is unmatched,” said Wedbush analyst Dan Ives, in a note to investors. “This dynamic could give Musk and Tesla a clear competitive advantage in a non-EV subsidy environment, coupled by likely higher China tariffs that would continue to push away cheaper Chinese EV players.”
Tesla shares jumped 14.8% Wednesday while shares of rival electric vehicle makers tumbled. Nio, based in Shanghai, fell 5.3%. Shares of electric truck maker Rivian dropped 8.3% and Lucid Group fell 5.3%.
Tesla dominates sales of electric vehicles in the U.S, with 48.9% in market share through the middle of 2024, according to the U.S. Energy Information Administration.
Subsidies for clean energy are part of the Inflation Reduction Act, signed into law by President Joe Biden in 2022. It included tax credits for manufacturing, along with tax credits for consumers of electric vehicles.
Musk was one of Trump’s biggest donors, spending at least $119 million mobilizing Trump’s supporters to back the Republican nominee. He also pledged to give away $1 million a day to voters signing a petition for his political action committee.
In some ways, it has been a rocky year for Tesla, with sales and profit declining through the first half of the year. Profit did rise 17.3% in the third quarter.
The U.S. opened an investigation into the company’s “Full Self-Driving” system after reports of crashes in low-visibility conditions, including one that killed a pedestrian. The investigation covers roughly 2.4 million Teslas from the 2016 through 2024 model years.
And investors sent company shares tumbling last month after Tesla unveiled its long-awaited robotaxi at a Hollywood studio Thursday night, seeing not much progress at Tesla on autonomous vehicles while other companies have been making notable progress.
Tesla began selling the software, which is called “Full Self-Driving,” nine years ago. But there are doubts about its reliability.
The stock is now showing a 16.1% gain for the year after rising the past two days.
The Canadian Press. All rights reserved.
Investment
S&P/TSX composite up more than 100 points, U.S. stock markets mixed
TORONTO – Canada’s main stock index was up more than 100 points in late-morning trading, helped by strength in base metal and utility stocks, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 103.40 points at 24,542.48.
In New York, the Dow Jones industrial average was up 192.31 points at 42,932.73. The S&P 500 index was up 7.14 points at 5,822.40, while the Nasdaq composite was down 9.03 points at 18,306.56.
The Canadian dollar traded for 72.61 cents US compared with 72.44 cents US on Tuesday.
The November crude oil contract was down 71 cents at US$69.87 per barrel and the November natural gas contract was down eight cents at US$2.42 per mmBTU.
The December gold contract was up US$7.20 at US$2,686.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.
This report by The Canadian Press was first published Oct. 16, 2024.
Companies in this story: (TSX:GSPTSE, TSX:CADUSD)
The Canadian Press. All rights reserved.
Economy
S&P/TSX up more than 200 points, U.S. markets also higher
TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.
The S&P/TSX composite index was up 205.86 points at 24,508.12.
In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.
The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.
The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.
The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.
This report by The Canadian Press was first published Oct. 11, 2024.
Companies in this story: (TSX:GSPTSE, TSX:CADUSD)
The Canadian Press. All rights reserved.
-
News10 hours ago
Trial to begin in human smuggling case after freezing deaths of Indian family at Canada-US border
-
News23 hours ago
Trudeau heads to G20 in Brazil as Canada crafts approach to emerging countries
-
News21 hours ago
Russia grinds deeper into Ukraine after 1,000 days of grueling war
-
News21 hours ago
Big voter turnout this year benefited Republicans, contradicting conventional political wisdom
-
News21 hours ago
October inflation expected to show mild bump up despite longer-term downward trend
-
News23 hours ago
Nova Scotia Liberal Leader Zach Churchill’s passion for politics started early
-
News21 hours ago
AP sources: Biden for the first time OKs Ukraine’s use of US-supplied long-range missiles in Russia
-
News10 hours ago
Wisconsin Supreme Court hearing case targeting swing state’s top elections administrator