Transport Minister Chrystia Freeland told MPs Friday she was "dismayed" by B.C. Ferries' decision to purchase four new electric-diesel ships from a Chinese shipbuilder, using a $1 billion federal loan, but did not call for the loan's cancellation.

The House of Commons transport committee launched a study of the Canada Infrastructure Bank loan today.

B.C. Ferries announced in June that it had hired China Merchants Industry Weihai Shipyards to build the new ships after a five-year procurement process that did not include a Canadian bid.

The Canada Infrastructure Bank contributed a $1 billion loan to the deal and said in June that the new ferries "wouldn't likely be purchased" without this financing.

The Coastal Celebration, a B.C. Ferries vessel, sails through Active Pass while travelli

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