Content Provider for Newsweek
Mike Mueller

Mike Mueller

CEO
The Aerospace Industries Association of Canada
03 June 2024

The Aerospace Industries Association of Canada (AIAC) is a member-driven, not-for-profit, national organization, based in Ottawa, and dedicated to the promotion and expansion of Canada’s presence in the global aerospace industry across the civil, defence, and space sectors. 

What was it about your time working in government that piqued your interest in and passion for the aerospace industry?

I spent about 10 years on the political side in Canada, working for previous Prime Ministers and Ministers, including as Director of Stakeholder Relations and Parliamentary Affairs for the Minister of International Trade. During this time, I was struck by the aerospace industry in Canada—its global reach, strategic importance, and the pride we have in it. Canada is one of the few countries that can build an aircraft from nose to tail and certify it, and that was really appealing to me.

I started with the association in 2016 and got to know the industry in detail as a vice president. In 2021, at a critical juncture for the industry due to COVID-19, I was asked to take on the CEO role. I worked closely with the industry and government to help the industry recover. We saw many successes, such as the $2 billion support in the 2021 federal budget, and significant funding for innovation in 2023. I aim to bridge the divide between industry and government and redefine our priorities.

You joined the AIAC in 2016 and later became President & CEO in 2021. Now you are firmly at the helm, what are your top priorities for the AIAC?

The top priorities involve taking advantage of the upcoming opportunities in aerospace, such as the need for 40,000 new aircraft over the next decade. This ties back to the industrial strategy I mentioned, focusing on aligning the Canadian industry to seize these opportunities. Our primary goal is to establish an industrial aerospace strategy for Canada, ensuring we continue to build on our rich history.

The US and EU are large markets for us, but we export to approximately 194 countries. Aerospace is global, and we're integrated into major supply chains worldwide. Asia-Pacific is a significant growth market with lots of opportunities, especially as demand for air travel returns post-COVID.

Canada has a reputation as a historic leader in aerospace. How influential and competitive is Canada on the world stage in 2024? 

This year marks the 100th anniversary of the Royal Canadian Air Force, which highlights Canada’s long-standing connection to the industry. Mid-20th century innovations like the Avro Arrow and the Canadarm on the International Space Station are testaments to our capabilities and how they’ve continued to evolve.

Today, we're leaders in aerial firefighting, business jets, and civil flight simulators. Canada's aerospace industry is spread across the country with significant hubs in Quebec, Ontario, Western Canada, and Atlantic Canada. For example, Quebec accounts for about 65% of the total employment for aerospace manufacturing. There's also a growing presence in Alberta, with companies like De Havilland leading major initiatives.

Given the global movement towards sustainability, how is Canada leveraging its natural resources to become a world leader on the road to net-zero carbon emissions by 2050?

Sustainability has been a growing focus for years. In 2023, we saw dedicated funding for sustainability, but the emphasis has been present for much longer. The industry has been proactive, with milestones like the world's first all-electric flight in 2019 by Harbour Air in Richmond, British Columbia. The planning for these achievements began well in advance.

Canada's natural resources position us well for sustainable aviation fuels (SAF), crucial for achieving net-zero emissions. In 2023, we announced a $350 million partnership with the government at the Paris Air Show, aimed at sustainable aviation initiatives, unlocking over $700 million with industry partnerships.

What are the largest challenges facing the aviation industry within Canada today?

Challenges include procurement, government policies, and access to funding. The workforce is a critical challenge that members are concerned about; recruitment is more of an issue than retention. Aerospace offers 30% higher wages than other manufacturing sectors, making it a desirable industry. However, building a pipeline of future workers is essential.

We need to address these challenges with a comprehensive industrial aerospace strategy. This will help us take advantage of the opportunities and continue our success in the global market. All political parties recognize the strategic nature and economic impact of aerospace. With 80% of our production exported and significant demand for new aircraft, we see broad support for this strategy. It's crucial for contributing to economic recovery and meeting global demand.