Former Vancouver mayor Gregor Robertson raised eyebrows yesterday when he called the federal government’s procurement practices “deeply flawed” after Ottawa approved a $950 million ferry contract with a Chinese state-owned shipbuilder over Canadian alternatives.
“We need a Buy Canada policy that actually works,” Robertson told reporters at a sustainability conference in Halifax. “The current approach leaves our shipbuilders competing with subsidized foreign companies while Canadian tax dollars sail overseas.”
The controversy stems from Transport Canada’s decision to award the BC Ferries replacement contract to China Merchants Industry Holdings rather than Seaspan’s Vancouver Shipyards or Davie Shipbuilding in Quebec. The contract includes construction of eight medium-sized passenger ferries slated for the busy Vancouver-Victoria route.
Robertson, who served as Vancouver’s mayor from 2008 to 2018 and now heads the Global Covenant of Mayors for Climate and Energy, pointed to the economic and environmental costs of the decision. “When we build these vessels here, we’re supporting Canadian jobs, maintaining critical infrastructure expertise, and reducing the carbon footprint of shipping these massive vessels across the Pacific.”
The decision has created rare alignment between labor unions and business groups. Terry Beech, MP for Burnaby North-Seymour, acknowledged the backlash during a press conference. “We understand there are concerns about this procurement decision. The evaluation process followed established criteria including cost, delivery timeline, and technical capabilities.”
According to Transport Canada documents obtained by CBC News, the Chinese bid came in approximately 25% lower than Canadian alternatives, with promised delivery dates 18 months earlier. However, critics point to hidden costs not factored into the decision.
“What’s the true cost when we factor in lost Canadian jobs, tax revenue, and potential national security implications?” asked Alex Neve, former Secretary General of Amnesty International Canada. “There are serious human rights concerns about certain Chinese state enterprises that can’t be separated from these procurement decisions.”
Statistics Canada reports the Canadian shipbuilding and repair industry employs nearly 12,800 workers and contributes approximately $1.7 billion annually to GDP. Industry experts suggest each large vessel built domestically creates between 300 and 500 direct jobs over the construction period.
Robertson’s comments reflect growing political tension about Canada-China relations across party lines. Conservative leader Pierre Poilievre criticized the Liberal government for what he called “economic self-sabotage,” while NDP transportation critic Taylor Bachrach issued a statement calling for procurement reform to prioritize Canadian jobs and expertise.
The ferry contract represents the largest transportation procurement from China since 2016 when Montreal’s transit authority purchased metro cars from Chinese railway manufacturer CRRC. That deal similarly sparked criticism about overlooking domestic manufacturing capabilities.
BC Ferries CEO Nicolas Jimenez defended the decision as a necessary compromise. “We have a responsibility to maintain affordable service while replacing aging vessels. This contract helps us meet our service obligations within budget constraints.”
Robertson suggested the government review its procurement framework to better align with other G7 nations. “The Americans have the Jones Act, which ensures vessels serving domestic routes are built domestically. We need similar protections that recognize the strategic importance of shipbuilding capacity.”
As discussions continue, the first vessels from China are expected to arrive in British Columbia waters by early 2027, with the full fleet operational by 2029.
