Queen's University

$35 billion shipbuilding contracts

2011-10-19

Ugurhan Berkok is the adjunct chair of Defence Management Studies at Queen’s University and is available to discuss the two shipbuilding contracts totaling $35 billion – the largest military procurement in modern Canadian history – that are expected to be announced by the federal government this week.

“Whatever shipyard gets the contract will get about one third of the value of the contract. The other two thirds go to such items as combat and navigation systems that will be built in the Montreal-Toronto corridor or be imported from other manufacturers. The actual production contracts with consortia will be negotiated later this winter. Some names that have being floating around are French manufacturer Thales, which has ties to the Vancouver bid; Lockheed Martin, which is rumoured to be trying to partner up with the Halifax bid; and the Korean shipbuilder Daewoo, which is connected to the Quebec City bid,” says Dr. Berkok.

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