Money, designed to support new green aerospace projects, will be shared between CAE Inc., Canadian unit of U.S. engine maker Pratt & Whitney and Textron
MONTREAL — Canada is ready to invest up to $440 million (US$349 million) in three aerospace companies in the province of Quebec, Prime Minister Justin Trudeau said on Thursday in a boost to the hard-hit sector ahead of an expected fall federal election.
The money — designed to support new green aerospace projects — will be shared between training specialist CAE Inc., the Canadian unit of U.S. engine maker Pratt & Whitney and Textron, the parent company of Bell Helicopter, Trudeau told reporters.
Reuters revealed on Wednesday Canada would “co-invest” with the three companies to bring a Pratt hybrid turboprop engine to first flight.
“There is fierce global competition to see who will develop the next cleaner aircraft or the next technology which will revolutionize the sector,” he said. The government of Quebec was ready to invest another $253 million, he added.
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Canada’s aviation sector, like others, saw traffic plummet due to COVID-19 travel restrictions and some companies like Airbus SE complained government support did not go as far as bailouts elsewhere.
Aerospace companies worldwide, including airplane and engine manufacturers, generally tap their governments for support in a trend that has made the sector a lightning rod for global trade tensions.
© Thomson Reuters 2021