Boeing is committing $7 million CAD to Vac Aero International Inc., a Canadian aerospace and defence supplier with sites in Ontario and Quebec, as part of the CP8A Poseidon Industrial and Technological Benefits (ITB) program. With this commitment, Boeing will purchase two vacuum furnaces for Boeing’s Tube, Duct and Reservoir Center in Algona, Washington. The vacuum furnaces will support Boeing’s aerospace manufacturing operations by heat treating tube and duct assemblies critical to various Boeing airplane programs. Boeing has successfully completed over $15.5 billion CAD in ITB programs in the last 40 years, with significant investments announced recently across Canada. The CP8A Poseidon ITB program is bringing significant economic benefits to Canadian organizations, with over 80 suppliers across the country supporting production. Each of the 170+ P-8 aircraft in operation globally contains approximately $11 million CAD worth of Canadian content, contributing to over $2 billion CAD in contracts with Canadian companies. The CP8A ITB program is anticipated to support approximately 3,000 jobs and add $358 million CAD to Canada’s economy annually over the next decade.
“We’re pleased to support Vac Aero with the purchase of this new equipment for our Fabrication facility, which serves our commercial programs and select space and defence work,” said Al Meinzinger, President of Boeing Canada. “This ITB investment underscores Boeing’s commitment to Canada following the CP8A Poseidon selection and to modern manufacturing and Canadian small businesses in our global supply chain.”
“This Boeing purchase commitment allows us to further expand Vac Aero’s Canadian manufacturing capacity. We will be able to better support our aerospace and defence customers in Canada, North America and beyond,” said Michael Miasek, CEO of Vac Aero.
“Canada’s ITB Policy is delivering real economic results. Vac Aero’s partnership with Boeing will boost manufacturing capacity, create high-quality jobs, and strengthen Canada’s defence industrial base,” said the Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions. “Investments like this reinforce Canada’s industrial strength and position our companies for long-term success.”
“This $7 million investment by Boeing in Vac Aero is a strong vote of confidence in Ontario’s advanced manufacturing sector and the skilled workforce here in Burlington and across our province,” said Effie J. Triantafilopoulos, MPP for Oakville North-Burlington. “By expanding vacuum furnace capacity and strengthening participation in the CP8A Poseidon ITB program, this partnership will help drive innovation, create good-paying jobs, and reinforce Ontario’s role as a key player in the global aerospace supply chain. Our government will continue to support investments that grow our economy and ensure Ontario remains a destination of choice for cutting-edge manufacturing.”
On 30 November 2023, Defence Minister Bill Blair announced that Canada would purchase up to 16 P-8As for CA$10.4 billion (US$7.7 billion). The cost breakdown includes CA$8 billion for the aircraft and related equipment while another CA$2.4 billion is for simulators, infrastructure and weapons. Delivery of the type is expected between 2026 and 2027, with full operational capability anticipated by 2033. The fleet is to be based in Nova Scotia at 14 Wing Greenwood, and in British Columbia at 19 Wing Comox.[228]The CP-8A Poseidon is the only multi-mission aircraft currently in service and in production that is able to meet Canadian Multi-Mission Aircraft (CMMA) requirements with its advanced anti-submarine warfare (ASW), anti-surface warfare (ASuW), and intelligence, surveillance, reconnaissance (ISR) capabilities – in addition to search and rescue and humanitarian assistance/disaster relief response. The P-8A offers a mature, proven, cost effective solution for rapidly delivering capability to secure Canada’s northern and maritime approaches and ensure NATO, Allied, and coalition tactical and logistical interoperability. Canada will replace its legacy CP-140 Aurora fleet with the P-8A Poseidon for the Royal Canadian Air Force (RCAF). The P-8A Poseidon is a military derivative of the Boeing 737 Next Generation commercial airliner.
