Eby Says He Won’t Interfere in BC Ferries’ Deal With Chinese Shipyard, Citing ‘Urgently’ Needed Vessels

B.C. Premier David Eby makes an announcement in Delta, B.C., on March 18, 2024. The Canadian Press/Darryl Dyck

British Columbia Premier David Eby says that while the decision by BC Ferries to hire a Chinese state-owned shipyard to build four new vessels is not his preferred outcome, he will not ask the ferry operator to reopen the procurement process, citing the urgent need for the vessels.

Eby made the comments at a press conference on June 17, while discussing the outcomes of his recent 10-day trade mission in Asia, which did not include China. He said he has raised concerns with BC Ferries about the deal, but that re-awarding the contract is not an option due to the time and financial costs involved.

“I agree it is not ideal that the ferry award went to China, but reopening would mean a delay in delivering ferries for British Columbians who are desperate for them,” he said in Victoria.

“It took five years to get to this process, and I will not leave families sitting on the blacktop waiting for a ferry that is broken down in the strait somewhere when they need to get to see grandma or a business desperate to get their deliveries,” he added. “They are just urgently needed ferries.”

He also noted that no Canadian shipyard bid on the contract, and said he sees the situation as an “opportunity” to work with the federal government to ensure future vessels are built in Canada.

“I look forward to being able to ensure that the next round of ferries is built right here at home,” Eby said.

BC Ferries, a publicly owned company, announced its decision to hire state-owned China Merchants Industry Weihai Shipyards on June 10. It said this followed a “rigorous global procurement process” that evaluated proponents on bid strength, technical capabilities, safety and quality standards, experience, costs, and delivery timelines.

The new vessels are meant to replace four aging ships that are increasingly prone to mechanical issues, BC Ferries said. The new vessels are expected to be in service between 2029 and 2031.

B.C. Opposition Conservative Leader John Rustad questioned Eby’s comments, arguing the province did not make an effort to encourage Canadian companies to compete for the contract.

“If BC asks Canada’s shipbuilders to come to the table, so we can build BC Ferries right here in BC–they will all come to the table,” Rustad said in a June 17 social media post. “I’m so tired of these excuses–China is not better than Canada.”

Rustad had previously urged the province to cancel its contract with the Chinese firm, calling it a national security issue.

“China’s money laundering, China’s fentanyl, & China’s election interference have all hurt BC & Canada,” he said in a social media post last week. “This is a national security issue —moreover, BC cannot give China billions of BC tax [dollars] that should be going to OUR BC workers.”

BC Ferries has not responded to The Epoch Times’ request for comment.

Federal Response

The issue has also drawn attention at the federal level.

Last week, Liberal MP Mike Kelloway, parliamentary secretary to the transport minister, said he shares the “concern” and “outrage” over BC Ferries’ decision, but that it falls under provincial procurement standards.

He said that if the decision were in the federal government’s hands, it would prioritize Canadian companies.

Kelloway made the comments during question period in the House of Commons on June 13 in response to a comment from Conservative MP Aaron Gunn, who said the new deal would mean public money, including subsidies from Ottawa, will go to “shipyards owned by the Chinese Communist Party.”

“Taxpayer money [is] now subsidizing jobs in China, a country that has kidnapped Canadian citizens and has unjustly tariffed our farmers and our fishermen,” Gunn said.

Earlier this week, Conservative MP Dan Albas introduced a motion at a meeting of the transport committee, calling for a debate on the issue. The motion sought to build consensus among MPs to ask the federal government to request that the province restart the procurement process.

“I ask all honorable members to support Canadian jobs, Canadian steel, especially during this time where our steel and aluminum industries are hit so hard,” Albas said on June 16.

“We must stand firm that we cannot be offshoring to places that subsidize their steel, that have lower environmental regulations and also substandard labor situations, which allows them to undercut Canadian enterprise like ship building and steel,” he said, in reference to China.

The committee decided to adjourn debate on the issue, saying there were more pressing issues to discuss, such as Bill C-5, which is aimed at speeding up major project approvals.