Future Canadian warships to be based on BAE Systems Type 26.

On February 08, the Honourable Carla Qualtrough, Minister of Public Services and Procurement and Accessibility, announced that the Government of Canada has officially selected Lockheed Martin Canada for the design of 15 new Canadian Surface Combatants that will be built at Irving Shipbuilding’s Halifax Shipyard.

Type 26 Global Combat Ship (Picture source : BAE Systems)

Through the National Shipbuilding Strategy, the Government of Canada is ensuring that the Royal Canadian Navy has the ships needed to carry out its important work, while creating significant economic benefits from coast to coast to coast.

The winning bid is based on the BAE Systems Type 26 Global Combat Ship. The Government of Canada and Irving Shipbuilding will work alongside Lockheed Martin Canada to customize the ship design to meet Canada’s requirements and to incorporate Canadian systems and equipment. This design work is expected to take three to four years to complete. Construction is set to begin in the early 2020s.

The initial contract with Irving Shipbuilding is valued at $185 million (including taxes) and will increase as design work progresses, resulting in significant benefits across the Canadian economy. The Industrial and Technological Benefits Policy will apply to this contract, ensuring that for every dollar the government puts into this contract, a dollar goes back into Canada’s economy.

The National Shipbuilding Strategy is a long-term commitment to domestic shipbuilding that is about revitalizing and reinvigorating a world-class marine industry that equips the Royal Canadian Navy and the Canadian Coast Guard, supports Canadian technological innovation, creates well-paying stable employment and benefits the economic prosperity of Canada’s coasts and waterways.

Contracts awarded to date through the National Shipbuilding Strategy will contribute an estimated $10.9 billion of gross domestic product and create or maintain more than 10,000 jobs during the period of 2012 to 2022.