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Feds and Seaspan celebrate major shipbuilding milestone

The West Coast shipbuilding industry was on the ropes when the federal government announced plans to renew its fleet of navy and coast guard ships.

The federal government is marking 15 years of the national shipbuilding strategy (NSS), which has delivered massive ships and massive change on the North Shore.

Seaspan’s Vancouver Shipyard on Pemberton Avenue has been buzzing with activity under the program since 2012 and is expected to be at capacity until 2029 at the earliest.

Former Defence Minister Peter MacKay announced the plan to renew Canada’s Royal Canadian Navy and Canadian Coast Guard fleets in the summer of 2010. At the time, then-Seaspan CEO Jonathan Whitworth described the NSS as a “make it or break it” moment for the shipbuilding industry on the West Coast, which had been an “economic trough.”

It was the following October that Seaspan was awarded its first $8-billion in contracts to build seven non-combat coast guard, fisheries, navy support and icebreaker vessels – the largest federal procurement package ever in B.C. at the time.

The contracts meant a major revamp of the company’s North Vancouver shipyard, including construction of Big Blue, the towering gantry crane that can be seen from vantage points around the North Shore.

And Seaspan’s local workforce grew from about 100 workers in 2010 to more than 3,300 today making the company, by far, the largest employer on the North Shore.

With approximately $15.27 billion in contracts awarded to Pacific region companies under the NSS, the outlook for the industry has changed drastically.

“The state of shipbuilding in Canada right now is very encouraging,” said Seaspan CEO John McCarthy, adding thanks for the company’s designers, engineers and trades people. “Seaspan’s capability is a national strategic asset. We’re ready to design and build the ships Canada needs, in Canada.”

Through the NSS, Seaspan has delivered three offshore fisheries science vessels – CGS John Cabot, CCGS Capt. Jacques Cartier and CCGS Sir John Franklin. Under construction are two joint support ships for the navy – HMCS Preserver and the recently-launched HMCS Protecteur. Sea trials are underway for CCGS Naalak Nappaluuk, which will be the Coast Guard’s most modern offshore oceanographic science vessel. Crews at the shipyard have begun cutting steel on the heavy police ice breaker and design and engineering has started for smaller multi-purpose icebreakers.

The federal government estimates the NSS has contributed $38.7 billion to the country’s gross domestic product and created or maintained approximately 21,400 jobs annually between 2012 and 2025.

Joël Lightbound, Minister of Government Transformation, Public Works and Procurement, attended a ceremony at Seaspan on Tuesday to mark the anniversary.

“Through the national shipbuilding strategy, Canada is delivering a modern fleet for the Royal Canadian Navy and the Canadian Coast Guard, while revitalizing the marine industry and creating thousands of skilled jobs,” he said. “The ships built at Seaspan and other Canadian shipyards reflect a long-term investment in innovation, sovereignty and industrial growth under Canada’s commitment to safeguard our oceans.”

District of North Vancouver Mayor Mike Little said there’s no question Seaspan’s success has been a success for the North Shore.

“We are very proud of our role in renewing Canada’s naval fleet. Seaspan’s commitment has attracted some of the best and brightest marine builders in the entire world to our community,” he said. “We look forward to working with all of our marine businesses to keep Canada as a leading builder going into the future.”

Although Seaspan’s rapid growth as a destination employer is likely a factor in the North Shore’s traffic growth, Little said it’s difficult to quantify how much of the congestion is related to shipbuilding.

“We need to see more of our residents and commuters be able to switch to transit services. Our major employers do have an impact,” he added.

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