Union, industry leaders push for Canadian-built ferries as summit wraps

The head of a union representing close to 5,000 ferry workers in British Columbia says he is optimistic about the future of shipbuilding in the province after attending this week’s “Made in Canada” summit.

The summit wrapped up Tuesday in Hamilton, Ontario. It brought together industry leaders, suppliers and government officials to discuss how they can use domestic steel and aluminum to build transportation infrastructure.

“I think there’s a moment right now,” Eric McNeely, Provincial President of the B.C. Ferry and Marine Workers Union, noting the increased public interest in the wake of B.C. Ferries’ controversial decision to enlist a Chinese shipyard to build four new vessels.

He said it’s crucial that those conservations are followed by action. “It can’t just be handshakes, promises and photo ops…There needs to be a real re-envisioning of how Canada invests and how government at all levels, as well as industry and labour can have a say in that,” said McNeely.

Federal Transport Minister Chrystia Freeland closed out the “Made in Canada: Ferries and Rail” summit without directly commenting on the BC Ferries’ decision.

Freeland said Canadian shipyard representatives at the summit shared what is needed to revitalize the industry and allow them to bid on more Canadian ferry contracts, though she did not provide specifics.

“We had frank and focused discussions about how to use more Canadian steel and aluminum in ferry and rail construction, how to overcome barriers to building in Canada, and what targeted actions governments can take to support industry and build a reliable domestic market,” said Freeland in a statement.

B.C. Ferries sparked outcry from unions, politicians and others when it announced in June that China Merchants Industry Weihai Shipyard would build four new vessels to replace its oldest ferries. The shipyard is owned by the Hong Kong-based China Merchants Group, which describes itself as a state-owned enterprise. While the bidding process was open to Canadian and international companies, B.C. Ferries said no Canadian shipyards submitted a proposal.

B.C. Ferries CEO Nicolas Jimenez called the summit “an important opportunity to talk honestly about Canada’s shipbuilding realities.”

He outlined five things B.C. Ferries believes it is needed to build future vessels on Canadian soil: firm proposals from Canadian shipbuilders, fixed price contracts, guaranteed delivery dates, assured vessel and shipyard performance and quality, and an open and competitive procurement process.

“We want Canadian bids to succeed but, without significant changes and broad supports, we believe they will continue to face challenges competing on projects of the size and delivery timelines of our New Major Vessels,” said Jimenez.

B.C. Ferries has said it is looking to build up to seven new vessels, including the four being built in China.

Seaspan Shipyards said a representative attended this week’s summit, but gave no details on what was discussed.

“We continue to engage with provincial and federal governments on supporting and sustaining the Canadian maritime industry — including how to build ferries here in Canada,” said spokesperson Dave Hargreaves in a statement. “However, we acknowledge BC Ferries’ urgent need for replacement vessels now given their aging fleet. We’re hopeful that the B.C. Government will work with our domestic industry to develop a strategy in order to build some of the seven vessels, particularly the last three, in B.C. in the future.

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