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===== Avro CF-105 Arrow jet fighter affair ===== In 1959, the Diefenbaker government cancelled the development and manufacture of the [[Avro CF-105 Arrow]]. The Arrow was a supersonic jet interceptor built by [[Avro Canada]] in [[Malton, Ontario]], to defend Canada in the event of a [[Soviet]] attack. The interceptor had been under development since 1953, and had suffered from many cost overruns and complications.{{sfn|Smith|1995|pp=307β308}} In 1955, the [[RCAF]] stated it would need only nine squadrons of Arrows, down from 20, as originally proposed.{{sfn|Smith|1995|pp=307β308}} According to [[C. D. Howe]], the former minister responsible for postwar reconstruction, the St. Laurent government had serious misgivings about continuing the Arrow program, and planned to discuss its termination after the 1957 election.{{sfn|Stewart|1991|pp=254β255}} In the run-up to the 1958 election, with three Tory-held seats at risk in the Malton area, the Diefenbaker government authorized further funding.{{sfn|Smith|1995|p=309}} Even though the first test flights of the Arrow were successful, the US government was unwilling to commit to a purchase of aircraft from Canada.{{sfn|Smith|1995|p=310}} In September 1958, Diefenbaker warned{{sfn|Smith|1995|p=316}} that the Arrow would come under complete review in six months.{{sfn|Stewart|1991|pp=244β245}} The company began seeking out other projects including a US-funded "saucer" program that became the [[VZ-9 Avrocar]], and also mounted a public relations offensive urging that the Arrow go into full production.{{sfn|Smith|1995|p=317}} On February 20, 1959, the Cabinet decided to cancel the Avro Arrow, following an earlier decision to permit the United States to build two [[Bomarc]] missile bases in Canada. The Avro company immediately dismissed its 14,000 employees, blaming Diefenbaker for the firings, though it rehired 2,500 employees to fulfill existing obligations.{{efn|name=Avro jobs}} Although Diefenbaker and Eisenhower had a strong relationship, by 1960 U.S. officials were becoming concerned by what they viewed as Canadian procrastination on vital issues, such as whether Canada should join the [[Organization of American States]] (OAS). Talks on these issues in June 1960 produced little in results.{{sfn|Nash|1990|pp=56β57}} Diefenbaker hoped that U.S. Vice President [[Richard Nixon]] would win the [[1960 United States presidential election|1960 presidential election]], but when Nixon's Democratic opponent, Senator [[John F. Kennedy]], won the race, he sent Kennedy a note of congratulations. Kennedy did not respond until Canadian officials asked what had become of Diefenbaker's note, two weeks later. Diefenbaker, for whom such correspondence was very meaningful, was annoyed <!-- suggest "aggravated" or "vexed" as more direct -->at the [[President-elect of the United States|President-elect]]'s slowness to respond.{{sfn|Nash|1990|pp=59β61}} In January 1961, Diefenbaker visited Washington to sign the [[Columbia River Treaty]]. However, with only days remaining in the Eisenhower administration, little else could be accomplished.{{sfn|Nash|1990|pp=61β62}}
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