Saab Proposes 78 Aircraft and 12,600 Jobs to Canada

Saab Pitches Major Defense Package to Ottawa: 78 Aircraft and 12,600 Jobs

Swedish defense manufacturer Saab has presented the Canadian government with a sweeping proposal to supply the Royal Canadian Air Force with a mixed fleet of fighter jets and surveillance Military-Aircraft. According to reporting by CBC News, the company has pledged to create 12,600 jobs in Canada, contingent on the federal government purchasing 72 Gripen E fighter jets and six GlobalEye surveillance aircraft.

The proposal comes at a critical juncture for Canadian defense procurement. While Ottawa finalized an agreement in 2022 to acquire the Lockheed Martin F-35, the government has currently committed to an initial tranche of only 16 stealth fighters. Saab’s bid aims to secure the contract for the remaining 72 aircraft required to replace the aging CF-18 fleet, alongside a separate requirement for airborne early warning systems.

Breaking Down the Industrial Offer

The core of Saab’s pitch is a “Made in Canada” industrial strategy designed to bolster domestic aerospace sovereignty. CBC News reports that the Manufacturers promise of 12,600 jobs is split between the two major hardware components of the deal.

The Gripen E Program

Saab estimates that the production and sustainment of 72 Gripen E fighter jets would generate approximately 9,000 jobs. The Gripen E is a 4.5-generation multi-role fighter known for its ability to operate in harsh environments and from dispersed locations, such as highways, features Saab argues are well-suited to Canada’s Arctic geography.

The GlobalEye Surveillance System

The second pillar of the proposal involves the GlobalEye, an Airborne Early Warning and Control (AEW&C) system. This portion of the bid carries significant domestic political weight because the GlobalEye system is mounted on the Global 6000/6500 business jet airframe, manufactured by Bombardier in Toronto.

According to the proposal details, the GlobalEye program would account for roughly 3,600 of the promised jobs. This Partnerships with Bombardier positions the bid as a direct boost to the aerospace sectors in Ontario and Quebec.

Strategic Context: The Mixed Fleet Debate

Saab’s proposal challenges the conventional military preference for a uniform fleet. Canada has already begun the process of integrating the F-35 Lightning II, a 5th-generation stealth fighter designed for seamless interoperability with United States and NATO forces. Critics of the Saab proposal argue that operating a “mixed fleet”, consisting of 16 F-35s and 72 Gripens, would create logistical hurdles, requiring duplicate training pipelines, supply chains, and maintenance crews.

However, proponents of the Saab bid suggest that the Gripen’s lower operating costs and full technology transfer could offset these inefficiencies. Unlike the F-35, which relies on a global support network controlled largely by the US, Saab is offering Canada full intellectual property rights for maintenance, allowing for complete sovereign control over the fleet.

AirPro News Analysis

The timing of Saab’s offer appears calculated to leverage current geopolitical and economic anxieties. With trade tensions rising between Ottawa and Washington, there is a growing political appetite for defense solutions that reduce reliance on US supply chains. By tying the bid to Bombardier and promising thousands of high-tech jobs in key electoral provinces, Saab is framing the decision as one of economic stability and national sovereignty rather than purely military capability.

Furthermore, the inclusion of the GlobalEye targets a specific gap in Canada’s defenses. While the Air Force has selected the Boeing P-8 Poseidon for maritime patrol, the requirement for a dedicated AEW&C platform to support NORAD remains unfilled. The GlobalEye competes directly against the Boeing E-7 Wedgetail, which is already in use by key allies. Saab’s gamble is that the economic benefits of a Canadian-built airframe will outweigh the interoperability arguments favoring the Boeing alternative.

Potential Export Implications

Beyond domestic defense, the proposal outlines a vision for Canada to become a production hub for Saab’s export markets. Reports indicate that Ukraine has expressed interest in acquiring the Gripen platform. Under Saab’s proposed model, Canadian facilities could potentially manufacture or assemble aircraft destined for third-party nations, effectively turning Canada into a significant exporter for the program.

Frequently Asked Questions

What is the current status of Canada’s F-35 order?
Canada selected the F-35 in 2022 and has committed to buying an initial batch of 16 aircraft. The full planned fleet size is 88 jets, leaving the remaining 72 subject to final government approval and Contracts issuance.

What is the GlobalEye?
The GlobalEye is an advanced airborne early warning system capable of simultaneous air, maritime, and ground surveillance. It uses the Erieye ER radar and is based on the Canadian-made Bombardier Global 6000/6500 airframe.

Why is a mixed fleet considered controversial?
Operating two different types of fighter jets (the F-35 and the Gripen) increases costs and complexity. It requires two separate sets of pilots, mechanics, spare parts, and training simulators, which military planners typically try to avoid.

Sources

• CBC News