Waiting in the Wings: N.S. company could benefit from potential jet deal

A Nova Scotia company could benefit if a deal to assemble Gripen jets goes ahead.

With a review underway of Canada’s F-35 deal with Lockheed Martin, Saab, the Swedish manufacturer of the Gripen jet is waiting in the wings.

“I am wholeheartedly in favour of this,” says military analyst, Ken Hansen. “I have not been a proponent of the F-35 for Canada.”

Canada committed to buying 16 of the U.S. made F-35’s with an option to boost that number to 88.

Hansen isn’t a fan of the American jet and says the deal should be scrapped even if it means facing a penalty. He says F-35s don’t satisfy the needs of the Canadian military.

“It is so limited in terms of what Canada needs for long range, long sustainment, ease of operation,” says Hansen. “The F-35 is simply out on the logistic and operational terms.”

If contracts are signed with Saab, some of the assembly of the Gripen jets could happen at IMP Aerospace and Defence in Enfield, N.S., just outside Halifax.

Saab president and CEO Micael Johansson confirmed he has talked to Ottawa about making Gripens on Canadian soil, potentially creating up to 10,000 jobs.

“It’s important for Canada to have sovereign capability, in Canada, to do their own upgrades, to build parts of it, to do final assembly and tests,” Johannsen says. “At Saab, we are prepared to do that technology transfer to Canada and support that buildup.”

Hansen believes there are benefits beyond Canada’s needs. Global orders for Gripens could be filled on Canadian assembly lines.

“One of the reasons why I believe this is that Rolls-Royce, who is going to put this new engine in the Gripen aircraft is based just outside of Montreal and they’ve been there for 47 years,” says Hansen.

“They need a new assembly line for new aircraft and a new market. This will generate a lot of business interest for Rolls-Royce and Sweden.”

A delegation from Sweden, that includes the King and Queen, will visit Canada next week. Johannsen will join them. A visit to Bombardier in Montreal is on the itinerary but Johannsen says Nova Scotia’s IMP could be an intrinsic part of the plan.

For more Nova Scotia news, visit our dedicated provincial page