CAE Nabs $300M Contract with U.S. Air Force Despite Trump's Canadian Procurement Ban
The deal extends CAE's role training C-130 crews as questions remain over whether the U.S. ban covers services or subsidiaries.
- On Monday, Montreal-based CAE Inc. secured a $300 million contract to train United States Air Force crews on the C-130 Hercules transport plane, despite President Donald Trump's recent procurement ban on Canadian items.
- President Donald Trump issued a decree on September 16 banning federal procurement of Canadian items, escalating trade tensions between Canada and the United States. The contract was awarded to CAE's American defence division.
- Training for pilots, flight engineers, and navigators will take place at air force bases in Little Rock, Ark., as well as Georgia, Wyoming, Minnesota, and Missouri through 2035. The contract extends CAE's primary contractor role since 2018.
- The contract extends CAE's established training partnership with the United States military as the primary C-130 Hercules aircrew contractor, cementing continuity through 2035. This role has remained uninterrupted since 2018.
- Ongoing trade tensions between Canada and the United States escalated last week after negotiations broke down last month, creating uncertainty around the scope of Trump's procurement restrictions. The CAE contract announcement signals continued defense sector engagement.
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Yet, a decree signed by Trump excludes Canadian companies from U.S. procurement.
The Toronto Star
Loonie PoliticsCAE nabs $300M contract with U.S. air force despite Trump’s Canadian procurement ban
MONTREAL - CAE Inc. says it has secured a $300-million contract to continue training U.S. air force crews, even as U.S. President Donald Trump has moved to ban Canadian companies from government procurement.
Winnipeg Free Press
CAE nabs $300M contract with U.S. air force despite Trump's Canadian procurement ban
MONTREAL - CAE Inc. says it has secured a $300-million contract to continue training U.S. air force crews, even as U.S. President Donald Trump has moved to ban Canadian companies from government procurement.
CAE announced on Monday that it had secured a contract of $300 million to continue training U.S. Air Force crews, while U.S. President Donald Trump has taken steps to exclude Canadian companies from public procurement.
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