Engine manufacturer Pratt & Whitney Canada is to receive C$207 million ($168 million) in Canadian government support for research and development over the next three years.
To comply with rules on subsidies, the conditionally repayable investment by Technology Partnerships Canada (TPC) will support technology validation rather than development of particular engines.
Industry Canada says the investment will support work under P&WC's pre-competitive engine technology and advanced capabilities and technologies programmes, with the funding split 60:40 between the company's primary R&D centres in Quebec and Ontario.
Following Canada's bitter dispute with Brazil over regional aircraft subsidies, TPC was restructured to make it compliant with World Trade Organisation rules. Under the original scheme, TPC funding supported product development and was ruled an illegal export subsidy.
Now the programme is used to fund general research and development, and is repaid by royalties based on the commercial success of technologies developed under the TPC-supported R&D initiatives.
The TPC investment will support development and testing of component technologies for small and medium turbine engines and validation and integration of designs.
Source: Flight International