Aeronautics industry of Canada

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Table of Contents

Introduction
History of the Industry
Main companies in the industry
Competition
Contribution of industry (invention of CANADIAN ARM) aero space technology
References

Introduction

Canada possesses one of the best aeronautics industries in the world, which ahs been very active in the national arena, thereby reflecting its rise in the international scene. Among the western, nations Canada is ranked second based on its private aircraft fleet and its commercial size. It is estimated that Canada’s aeronautics industry has constructed non-military aircraft that surpasses the 25,000 mark and that these aircrafts are distributed in over 731 airline companies.

Moreover, the aeronautics industry of Canada is mainly geared to exporting as it is attributed to meeting approximately 2.3 % of aerospace material demanded by the world. Generally, this industry is grouped into three. The first category involves aircrafts possessed by firms; the second category involves the manufacturing of aircraft subsystems and aerospace and engines, and the third category involves structuring of manufactured parts and at the same time, it processes metals and parts.

In addition to this, the third category offers maintenance and repair services. This therefore indicates that the aeronautics industry does not only focus on aeronautics operations, but also undertakes subcontracting to companies that lie in the category one and two. In regard to this, aeronautic in Canada is regarded as the most complex of all industries (Gerald, et al, 1986, p. 87 & 88).

History of the Industry

The early indications of an aeronautical research were first visible in 1929-1930 fiscal year report. The arrangement for the research was undertaken after recommendations were issued by Associate Committee on Aeronautical Research. This committee was comprised of individuals of the council staff, aircraft and air transport industries and the Department of National Defense.

The universities Professors of physics were also involved as well as the chemistry and physics department. The increase in growth and development of the aviation industry in Canada is attributed to the aeronautic research but in lower scale. The council later agreed with the help of the government to set up laboratories at the Edwards property for the sole reason of undertaking aeronautical research (Middleton and Edgar, 1979, p. 22).

Main companies in the industry

Bombardier

Bombardier is an international company whose presence is established in over 60 countries and in five continents. The company’s role is to manufacture state-of-the-art modern planes to be used in transportation of goods and people. The headquarters of Bombardier is located in Montreal Canada, while its shares are traded in Toronto stock exchange. In 2010 fiscal year, the Bombardier Company registered 19.4 billon dollars as revenue (Bombardier website, 2011).

Embraer

Embraer was established in 19 August 1969, as a company that was under the grip of the government, with the Brazilian government playing a major role in its design. The company started manufacturing and production of Bandeirante; however, “Embraer was commissioned by the Brazilian Government to manufacture the EMB 326 Xavante, an advanced trainer and ground attack jet, under license of Italian company Aermacchi” (Embraer website, 2010).

Apart from this, more airline brands were introduced including “EMB 400 Urupema high-performance glider and the EMB 200 Ipanema agricultural airplane” for farming activities, thus being a few products that marked the company’s beginning (Embraer website, 2010).

Competition

Bombadier Company is regarded as the main supplier due to its exclusive dealings. Its plans of building a new type of plane with a capacity of 110-130 passengers is set to increase the competition levels with the Boeing 737, as well as the Airbus’ A319. The C series new planes would be one of the major boost for Bombardier, which is always related to regional jets that are small and whose carrying capacity ranges from 50 to 80 (Anon, 2008).

Contribution of industry (invention of CANADIAN ARM) aero space technology

The industry acts as the core for domestic defense. In this case, the aerospace and electronic defense sectors are integrated. The aerospace is attributed to enhancing trade with the importing countries. Employment opportunities are also created by the companies within this industry, while the defense of a country is also enhanced.

Transportation of goods and people is enhanced by the state of art planes that are manufactured and produced by this sector. In addition to this, investment opportunities are created, as more foreign investors establish their business in Canada, for instance, Embraer is a Brazilian company that has already established itself. The imports undertaken in this industry, in one way or the other, provide foreign earnings that that attracts investments by the foreigners (Edgar and Haglund, 1995, p. 78 & 79).

The impact initiated by this industry is also crucial as the companies involved in this industry reflect the success nature of an airline. Some of these companies are also involved in the defense making systems of a country. Nevertheless, relationship between the different countries that are importing and exporting the airplane parts is enhanced in one way or the other.

References

Anon. (2008). Further competition for Airbus and Boeing – Bombardier’s C Series. Web.

Bombardier website. (2011). About us. Toronto. Web.

Embraer website. (2011). Tradition and Background. Web.

Edgar, D. A. and Haglund, G. D. (1995). The Canadian Defence Industry in the new Global Environment. NY: McGill-Queen’s University Press.

Gerald, A. et al., (1986). The smaller, independent manufacturer: 12 Quebec case studies. Montreal: Institute of Research on Public Policy.

Middleton, K. and Edgar W. (1979). Physics at the National Research Council of Canada, 1929-1952. Ontario: Wilfrid Laurier University Press.

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