Canada's decision to purchase Boeing's P-8A Poseidon aircraft will cost more than $10.3 billion in total, but is expected to generate strong economic benefits. PHOTO courtesy Boeing.
In a move expected to have a spinoff effect on hundreds of Canadian companies, the federal government will be purchasing up to 16 Boeing P-8A Poseidon aircraft, as part of the Canadian Multi-Mission Aircraft (CMMA) project.
The P-8 acquisition will generate benefits of nearly 3,000 jobs and $358 million annually in economic output to Canada, according to a 2023 independent study by Ottawa-based Doyletech Corporation.
The P-8 is an in-service and in-production solution that meets all CMMA requirements, including range, speed, endurance and payload capacity, according to Boeing.
“This decision will benefit hundreds of Canadian companies, and bring decades of prosperity to Canada through platform sustainment delivered by our Canadian industry partners,” according to Boeing.
The deal costs more than $10.3 billion in total, including US$5.9 billion for the jets themselves, and the planes are expected to be delivered in 2026 and 2027.
The new planes will replace Canada’s aging CP-140 Aurora fleet, which is more than four decades old and will reach its retirement age in 2030.
“These aircraft are not just planes. They are complex weapons systems. And the Poseidon has a proven capability with a track record of success,” Defence Minister Bill Blair said at a news conference in Ottawa.
The P-8 acquisition will generate benefits of nearly 3,000 jobs and $358 million annually in economic output to Canada, according to a 2023 independent study by Ottawa-based Doyletech Corporation. PHOTO courtesy Boeing.
Canada joins eight defense partners, including all of the FIVE EYES allies, the intelligence alliance that also includes the United States, United Kingdom, Australia and New Zealand, and becomes the fifth NATO nation to have selected the P-8 as its multi-mission aircraft. First delivery is expected in 2026.
“The P-8 will bolster Canada’s defense capability and readiness, and we look forward to delivering this capability to the Royal Canadian Air Force,” said Heidi Grant, president, Business Development for Boeing Defense, Space & Security. “Together with our Canadian partners, we will deliver a strong industrial and technological benefit package that guarantees continued prosperity to Canada’s aerospace and defense industry.”
“This is a very important day for the Royal Canadian Air Force and for Boeing,” said Charles “Duff” Sullivan, managing director, Boeing Canada. “The P-8 offers unmatched capabilities and is the most affordable solution for acquisition and life-cycle sustainment costs. There’s no doubt the P-8 will protect Canada’s oceans and its borders for future generations.”
Team Poseidon forms the cornerstone of Boeing’s P-8 Canadian industry partnership, consisting of CAE, GE Aviation Canada, IMP Aerospace & Defence, KF Aerospace, Honeywell Aerospace Canada, Raytheon Canada, and StandardAero. The team builds on the existing 81 Canadian suppliers to the P-8 platform and to more than 550 Boeing suppliers across all provinces contributing to the company’s annual ~CAD $4 billion in economic benefit to Canada, supporting more than 14,000 Canadian jobs.
With more than 160 aircraft delivered or in service, and 560,000 collective flight-hours, the P-8 has proven capabilities for anti-submarine warfare, anti-surface warfare, intelligence, surveillance, reconnaissance, and humanitarian assistance/disaster relief response.