Aerospace recovery will take time and strong partnerships

Almost two years into the COVID-19 pandemic and with a new session of Parliament beginning, there is no better time to leverage the strengths of Canada’s aerospace industry and its ability to bolster economic recovery and grow thousands of new high-paying jobs in every region of this country. The industry has seen significant job losses that impact our domestic capability. As other countries around the world are doubling down on their strategic industries, we also have an opportunity to position our industry with targeted approaches to overcome the complex hurdles that inevitably come as a result of an unprecedented pandemic and a changing geopolitical landscape. While support programs and large-scale government supports have a role to play—they must be accompanied by setting a long-term roadmap for economic recovery; one that recognizes the unique characteristics of an industry built up over 80 years with a world-leading legacy that today supports more than 200,000 workers in every region of Canada, rural and urban, from coast to coast to coast. This week, the Aerospace Industries Association of Canada is pleased to host hundreds of aerospace industry stakeholders, gathering virtually for an important conference with political decision-makers for discussions around the government’s key priorities in the context of a strategic industry vital to Canada’s economic recovery, skills development and capabilities, national sovereignty and security—and to our global standing in aerospace, innovation and R&D. Because of the global nature of aerospace and the broad applications of its technological advancements, in every aerospace nation, the industry has always depended on a close partnership with government. That has never been more true than it will be in the post-pandemic global marketplace. It was through industry-government partnership and commitment that Canada rose to fifth among aerospace nations. Today, we rank ninth. This positioning was slipping even prior to the effects of the global pandemic which hit this industry disproportionately hard. Recovery will take time. Without a roadmap for the next 20 to 30 years, there is no doubt there will be further job losses, further movement of talent overseas, and further challenges for Canadian aerospace companies, more than 500 of which are small- and medium-sized enterprises, to compete and lead in innovation and sustainability. Canada needs a national aerospace strategy—spanning civil, defence, and space—led by industry and government that looks to 2050, defines Canada’s role in the global marketplace and sets out a clear roadmap for the future. Aerospace is entering a new era of transformational growth. Post-pandemic growth will be fuelled by a green revolution, the race to decarbonize flight, global defence procurements and partnerships, pent-up demand for travel, and the trillion-dollar future of space exploration. As an R&D and productivity leader, there’s no reason why Canada’s aerospace industry can’t be a leader among modern Canadian manufacturers to innovate and help grow our national economy to contribute to stronger communities across the country and strong exports around the world. Every other top aerospace nation—including the United States, the U.K., France, Germany, and Australia—has their eye on the future, implementing sector and industrial strategies. There are numerous examples of how a shared vision between industry and government—and a clear strategy—can support growth and jobs. In 2010, the Aerospace Growth Partnership (AGP) was established as a strategic partnership between the U.K. government, the U.K. aerospace industry, and other key stakeholders, to secure the future of the industry. As a result, their industry saw incredible gains with its space industry tripling in size and outperforming the global space economy. Is Canada prepared to step up to ensure our world leading legacy in aerospace is preserved for future generations? If the answer is yes, let’s get to work on a national strategy. The greening of aviation, unmanned aerial systems, and the rise of commercial space activity, are just a few of the opportunities that lie ahead. However, the support of policy makers is imperative to industry’s efforts to capitalize on them. How we plan our aerospace recovery will set the stage and determine our competitiveness for the next 30 years. We have much to build on, including Canada’s expertise and leadership in smaller, business aircraft that provide a best-in-class example. Let’s not miss an opportunity before us. Let’s not stand by as our competitors move forward. Let’s seize our chance to reaffirm Canadian leadership building on our strengths and competitive advantages. Mike Mueller is president and CEO of Aerospace Industries Association of Canada. The Hill Times