Government of Canada responds to Auditor General’s report on National Shipbuilding Strategy

For immediate release

Gatineau, Quebec, February 25, 2021 – Through the National Shipbuilding Strategy, the Government of Canada is delivering ships to the Canadian Coast Guard and the Royal Canadian Navy, strengthening Canada’s marine sector and creating jobs for Canadians across the country.  

Since the launch of the Strategy, four large ships have been delivered and several small vessels have been built. A number of repair, refit and maintenance projects are underway across the country. Contracts awarded to support this work have contributed an estimated $20 billion to the Canadian economy and supported almost 17,000 jobs.

Given the importance of the Strategy, we welcome the Auditor General of Canada’s report and accept all of the recommendations. As the Auditor General acknowledges, shipbuilding is complex and challenging work, and we continue to seek opportunities to improve the Strategy.

During the early years of the Strategy, initial plans and projections were not yet informed by actual build experience at the shipyards, and expertise in industry and government was developing. Many decisions taken during this period led to the establishment of schedules that we now know to be unrealistic. Today, we have a much more evidence-based and reliable understanding of the time, effort and expenditures required to build world-class vessels.

As noted in the report, the government has made several key improvements to place the Strategy on a more viable path. We addressed important risks and developed better schedules, therefore increasing the prospect of the federal large vessel fleet being renewed in a timely manner.

While we have made progress, the Strategy is a decades-long initiative and ongoing enhancements will be needed. We will keep working closely with our shipyard partners so that ships can be delivered as quickly as possible and important socio-economic benefits and jobs continue to be provided for Canada.