Canadian Manufacturing

Fed change tack on Navy warship procurement

Public Services Minister Judy Foote said Ottawa is going to buy an off-shelf warship design to save money



HMCS Algonquin was an Iroquois-class destroyer built at Davie Shipyards and decommissioned in 2015.

HMCS Algonquin was an Iroquois-class destroyer built at Davie Shipyards and decommissioned in 2015.

HALIFAX—Ottawa is going to buy an off-the-shelf design to replace some of the navy’s aging warship fleet as a way to save money and speed up the process.

Public Services Minister Judy Foote made the June 13 announcement at Irving Shipbuilding’s Halifax headquarters.

The shipyard is one of two construction sites contracted in the government’s bid to build new warships.

Original projections put the cost of building 15 new vessels at $26 billion, but internal documents and reports published last fall suggest the bill could run as high $40 billion.

Last month, Foote indicated the government would stop making public cost projections to allow for wiggle room as the project evolves.

She says the cost savings on using an existing design are yet to be determined.

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