The Irving Shipbuilding facility is seen in Halifax on June 14, 2018. The $60-billion effort to build new warships for Canada’s navy is facing another delay after a trade tribunal ordered the federal government to postpone awarding a final contract for the vessels’ design. The federal government announced last month that U.S. defence giant Lockheed Martin beat out two rivals in the competition to design replacements for the navy’s frigates and destroyers. Lockheed is now negotiating a final contract with the government and Halifax-based Irving Shipbuilding, which will build the ships. THE CANADIAN PRESS/Andrew Vaughan

Tribunal orders feds to postpone contract in $60B warship project

The federal government annouced it’s contract to design new warships, last month

Canada’s International Trade Tribunal is telling the federal government not to award its contract to design new warships for the navy.

The federal government announced last month that U.S. defence giant Lockheed Martin beat out two rivals in the competition to design replacements for the navy’s frigates and destroyers.

RELATED: Legal challenge filed over high-stakes competition to design $60B warships

Lockheed is now negotiating a final contract with the government and Halifax-based Irving Shipbuilding, which will build the ships.

But one of the other two bidders, Alion Science and Technology, asked the Canadian International Trade Tribunal to quash the decision, saying Lockheed’s design did not meet the navy’s stated requirements and should have been disqualified.

RELATED: Feds aiming to select preferred design for $60B warships by end of month

Late Tuesday, the tribunal officially ordered the government to postpone the award of any contract until the tribunal can determine whether Alion’s complaint is valid.

With a $60-billion total price, the warship project is Canada’s largest-ever military procurement, with new vessels expected to serve as the navy’s backbone for most of the century.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Unofficial holidays: Here’s what people are celebrating for the week of Sept. 27 to Oct. 3

World Farm Animals Day, Drink Beer Day and Virus Appreciation Day are all coming up this week

United Way celebrates seven decades of impact in Southern Interior

Organization sees issues with poverty, mental health and addictions, heighten during the pandemic

Primary Care Networks coming for Okanagan Nation Alliance communities

New partnerships will provide Syilx members with better, culturally-safe primary care

Okanagan rental housing market facing challenges due to COVID-19

The impact on real estate markets remains a wildcard

Two new COVID-19 cases reported in Interior Health

The total number of Interior Health cases since the beginning of the pandemic is now at 522

B.C. records 98 more COVID-19 cases, most in Lower Mainland

One new senior home outbreak, Surrey Memorial outbreak over

Public input sharpens vision of Oyama Ithmus Park

Proposed project to shape the long-term future of waterfront land in Lake Country

COVID-19 outbreak declared at Kelowna church service

Attendees of Calvary Chapel Kelowna’s Sept. 13 morning service may have been exposed

Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

Kelowna man injured during arrest sues RCMP

Supreme Court civil claim alleges Dustin Blondin was the victim of an ‘unprovoked attack’

PHOTOS: Ghost sighting in Vernon’s Polson Park

Mom and daughter photoshoot brings joy and laughter to bystanders

PHOTOS: 2nd calf in a month confirmed among Southern Resident killer whale pod

Center for Whale Research said they will eagerly await to observe the calf to evaluate its health

Parks Canada not responsible for Mount Kobau blockade

Nearby residents have been vocal about plans to turn the area into a national park

Most Read