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INTERNATIONAL PROCUREMENT OPPORTUNITIES

August 24, 2018 by

Sponsored by American Panel Corporation

http:// http://american-panel.com/


UNITED KINGDOM AND NATO

22 Aug 18. Cammell Laird forms supplier network for UK’s Type 31e frigate project. Shipbuilding and engineering services company Cammell Laird has set up a network of more than 2,000 suppliers that would be involved in the construction bid for the UK Royal Navy’s future Type 31e frigate. The company is currently registering more than five new suppliers every week in order to establish the supply chain for the new Leander-class warship. Currently, Cammell Laird is bidding to construct five Type 31e frigates for the UK Royal Navy after the Ministry of Defence (MoD) took its first steps to reopen competition for the shipbuilding contracts.

“BAE Systems has also had strong interest from other countries, so we are keen to hear from more companies that believe they could be part of the Leander success story.”

Designed by BAE Systems, the Leander-class vessels will be marketed to international customers by the company.

Cammell Laird Leander project director Tony Graham said: “While our supplier list is already extensive as we select suppliers for the five Royal Navy frigates, BAE Systems has also had strong interest from other countries, so we are keen to hear from more companies that believe they could be part of the Leander success story.”

According to Graham, the company still continues to provide opportunities for interested parties to join the Type 31e frigate supplier list. Since the competition was announced in September last year, more than 400 Leander specific suppliers have registered with the programme as part of the UK’s new National Shipbuilding Strategy. To date, more than 300 suppliers have already been cleared to support the Cammell Laird’s UK MoD bids.  (Source: naval-technology.com)

EUROPE

23 Aug 18. Bulgarian president criticises defence officials over U.S. visit. Bulgaria’s president has criticised a planned visit by defence officials to Washington just as the country seeks bids to supply warplanes from the United States and several other countries. The defence ministry had on Tuesday said a delegation led by Deputy Minister Atanas Zapryanov will visit the United States next week after an invitation from the U.S. Embassy in Sofia. But President Rumen Radev, a former air force commander, said on Thursday the visit could put some of the possible bidders in a less favourable position.

“In countries where there is equal treatment, no meetings, visits or talks are held from the moment of sending invitations for offers for aircraft supply until their submission,” Radev said.

Last month the Black Sea state, which joined NATO in 2004, sent a request for proposals (RFP) to Portugal, Israel, Italy, Germany, France and Sweden for 16 new or used fighter jets to replace its ageing Soviet-designed MiG-29s. The question of which warplanes to buy has vexed successive governments in Bulgaria for more than a decade. But NATO is encouraging its eastern members to develop, buy and operate new equipment.

“The only acceptable meeting is a conference at which all participants could receive information,” Radev, elected in November 2016 with backing from the opposition Socialists, said.

Radev said the visit to the United States was a decision of the defence ministry that was not coordinated with him. The president of Bulgaria is also the chief commander of the military of the country. The defence ministry was not immediately available for comment. In June Bulgaria’s parliament approved a plan to buy the jets in two equal stages. Some 1.8 billion levs (£0.78 billion) will cover the first eight aircraft, as well as ground handling, team training and three years of initial logistics support. Potential options include Boeing’s F/A-18 Super Hornet, Saab’s Gripen, Dassault’s Rafale and Lockheed Martin’s F-16 or the Eurofighter. Sofia is asking manufacturers to make bids by Oct. 1. (Source: Reuters)

22 Aug 18. Serbia takes delivery of 2 Russian fighter jets. Serbia’s air force on Tuesday took the delivery of two Russian MiG-29 fighter jets, part of an arms purchase that could heighten tensions in the Balkans and increase Moscow’s influence in the region. Serbian President Aleksandar Vucic attended the ceremony at a military airport close to the Serbian capital, Belgrade, thanking Russian President Vladimir Putin for helping make Serbia’s armed forces stronger. In October, Serbia received six MiG-29 jets from Russia which has also promised the delivery of 30 battle tanks and 30 armored vehicles. Serbia, a Russian ally, was at war with neighbors Croatia, Bosnia and Kosovo in the 1990s during the bloody breakup of the former Yugoslavia. Moscow gave the secondhand jets to Serbia for free and the two that flew on Tuesday have undergone an extensive overhaul. The repairs of all six will cost Serbia around 185m euros ($213m).

Vucic, a former ultranationalist, said that the repaired MiGs should be named after Serbian pilots and other “heroes” who died during the “NATO aggression” in 1999 when Serbia’s air force was depleted during the Western alliance’s 78-day air war against the Balkan state because of its bloody crackdown against Kosovo Albanian separatists.

Serbia, which claims military neutrality, is negotiating additional arms purchases from Russia, including attack and transport helicopters and air defense systems.

Vucic said that he expects eight refurbished MiGs to fly at a military parade that Putin is expected to attend in Belgrade in November.

“Today is an important day for Serbia. Today we have seen the mighty wings of Serbia,” Vucic said, adding: “Serbia will no longer be an easy target.”

Serbia faces a mini arms race with NATO-member Croatia, which has recently agreed to purchase 12 used F-16 fighter aircraft from Israel. Serbia formally wants to join the European Union, but under political and propaganda pressure from Moscow, Belgrade has steadily slid toward the Kremlin and its goal of keeping the countries in the region out of NATO and other Western organizations. (Source: Defense News Early Bird/Defense News)

21 Aug 18. BAAINBw issues second RFP to MBDA and Lockheed for TLVS IAMD system. The German Federal Office of Bundeswehr Equipment, Information Technology and In-Service Support (BAAINBw) has issued a second Request for Proposal (RFP) for the development of ground-based tactical air defence system, TLVS. The RFP for the future integrated air and missile defence (IAMD) system has been received by the TLVS bidders consortium, which is a joint venture (JV) between MBDA Deutschland and Lockheed Martin. TLVS JV managing director Dietmar Thelen said: “This second RFP is based on the first RFP. It addresses the results of our negotiations and aligns the TLVS offering with Germany’s new approach to acquisition reform, called Agenda Rüstung, focusing on military capabilities, transparency and risk management to ensure a successful contract.”

The MBDA and Lockheed Martin JV is expected to serve as the prime contractor for the delivery of the new TLVS system. The project is expected to generate several hundred high-tech job opportunities in both Germany and the US.

“The TLVS system will help transform the defence capabilities of the unified German Armed Forces (Bundeswehr).”

TLVS JV managing director Gregory Kee said: “The comprehensive negotiations phase decisively increased our common understanding regarding risks and possible solutions and will ensure the TLVS tender fully addresses BAAINBw requirements.’ The two companies are jointly responsible for submitting a proposal in response to the second RFP in anticipation of the contract award slated for next year. Designed as an advanced, networked 360° IAMD system, the TLVS features netted-distributed capability in addition to open plug and fight interface. It is claimed to be the only existing system that has the ability to flexibly react to evolving threats using force that is specifically customised to address the mission. The TLVS system will help transform the defence capabilities of the unified German Armed Forces (Bundeswehr). In March this year, the JV was established to support the delivery of the next-generation TLVS IAMD system to Bundeswehr. (Source: army-technology.com)

USA

22 Aug 18. Lockheed Poised to Get $11bn F-35 Contract Despite Delays. Lockheed Martin Corp. continues to deliver its next-generation F-35 aircraft late because of production flaws, even as the Pentagon is poised to award the company a potential $11bn contract that’s the biggest yet. The contractor for the costliest U.S. weapons system has been “late to contract requirements” in providing 209 of 308 of the planes to U.S. and international customers through June 30, the Defense Contract Management Agency said in a statement to Bloomberg News. While Lockheed and the Pentagon’s F-35 program office said they expect on-time delivery of all 91 F-35s due this year, the contract agency predicted seven won’t make that deadline.

“The government expects and needs better performance by Lockheed Martin and its suppliers,” Mark Woodbury, a spokesman for the Defense Contract Management Agency, said in the statement. Major improvements on the assembly floor will be “more difficult to achieve since many of the easy corrections have already been made,” he added.

While the Pentagon’s F-35 office concurs with most of the contract agency’s concerns, according to Joe DellaVedova, a spokesman, he said Lockheed “remains on track” to deliver all 91 jets this year. Carolyn Nelson, a Lockheed spokeswoman, said the company is making steady progress in eliminating production-line failings.

September Award

By early September, the Defense Department is expected to complete the award of a potential $11bn contract for 141 F-35s for the U.S. and allies, the 11th production batch. A $5.6bn down payment was awarded in July 2017. The Pentagon and Lockheed have also been negotiating a larger “block buy” of 440 aircraft for international partners. (Source: Bloomberg News; published Aug 22, 2018)

20 Aug 18. GAO report states USAF plans to replace ageing HH-60G helicopter fleet. The US Air Force (USAF) is planning to replace its ageing HH-60G personnel recovery helicopter fleet as the service faces several maintenance challenges, according to a new report released by the US Government Accountability Office (GAO). The reports highlights that the material condition of the HH-60G Pave Hawk aircraft has declined while their maintenance challenges have increased owing to the extended use beyond the initially planned service life of the helicopters. As of 2017, approximately 68% of the total fleet of 96 HH-60G helicopters was mission-capable, which is below the 75% mission-capable rate required by the USAF. USAF officials stated that the schedule for integrating the new combat rescue helicopters prioritises the replacement of the aircraft fleet with the highest number of flight hours. The active component of the airforce will begin receiving the deliveries of its new helicopters in fiscal year 2020, which would be six years before the delivery to the service’s reserve component. Beginning next year, the squadrons from the Air National Guard are expected to receive upgraded and overhauled US Army helicopters that would temporarily replace the ageing HH-60G fleet until the new Combat Rescue Helicopters are delivered beginning in 2027. According to USAF officials, the army helicopters will have 3,000 or fewer flight hours and will be upgraded to the USAF’s HH-60G configuration. These aircraft will help enhance reliability rates, reduce the need for unscheduled maintenance and bridge the gap until the Air National Guard receives the new fleet. Furthermore, the airforce fielding schedule for the new helicopters is expected to pose a challenge in supporting formal training for reserve component squadrons in fiscal years 2025-28. Training squadrons at Kirtland and Nellis Air Force Bases are deployed to carry out all formal HH-60G training for both the active and reserve components, the report added. By 2025, the training squadrons are slated to be completely transitioned to the new Combat Rescue Helicopters. (Source: airforce-technology.com)

REST OF THE WORLD

22 Aug 18. Lockheed Gives Japan More Than 50% of New Fighter Jet Work. Lockheed Martin has proposed that Japanese companies be responsible for more than half of the development and production of a next-generation fighter jet that Japan wants to introduce in 2030, Nikkei learned Wednesday. Lockheed is offering Japan an upgraded version of the existing F-22. The U.S. currently bans exports of the plane known as “the Raptor,” which is considered the world’s most powerful fighter, has stealth capabilities and is armed with eight air-to-air missiles. The U.S. aircraft manufacturer’s decision to open the production to Japan comes out of the belief that there is little risk of technology leaks. The company also says providing the jet to Japan would contribute to the security of Asia. If the share of work pans out as proposed, it would strengthen Japan’s defense industry and the Japan-U.S. alliance. Lockheed’s proposal comes in response to concerns in Japan that American companies might monopolize the development and production of the upgraded warplane, leaving little room for Japanese partners’ involvement. The company calls the plan a Japan-led framework. The next-generation fighter will replace Japan’s F-2 jets, scheduled to retire around 2030. Tokyo initially looked for ways for Japan Inc. to completely develop a successor on its own, hoping to boost the domestic defense industry’s orders, but the idea proved unfeasible due to technological and cost hurdles. The Japanese government sees Lockheed’s proposal, which could deliver high performance at reduced development costs, as the most promising alternative. The next-generation fighter program is estimated to cost about 6trn yen ($54.2bn), including development, acquisition and maintenance. Some voices are citing a need to update the F-22, which has been deployed since around 2000, and Lockheed’s plan has the benefit of lowering upgrade costs shouldered by the U.S. Although Japan produced 60% of the jointly developed F-2, the U.S. handled engine development since Japan did not have the basic technology at the time. But Lockheed has expressed a willingness this time to shift development and production of new engines to major Japanese heavy machinery maker IHI in the future. If IHI’s XF9-1 jet engine is adopted, Japanese companies could be responsible for more than 60% of the total work. In addition, the exports of high–margin military equipment for the project could ease the U.S. trade deficit with Japan. Mitsubishi Electric’s fighter jet electronics system could be adopted, and Mitsubishi Heavy Industries will handle the development and production of wings, according to the plan. The aircraft’s body, engines and the fighter system are to be made in the U.S., but Lockheed intends to use more Japanese-made components, incorporating them gradually until Japanese companies play a central role in development. To hasten development, Lockheed will send Japan F-22s that have not been deployed by the U.S. Air Force so that it can grasp its performance in advance. The updates will improve the plane’s main wings and allow more fuel to be loaded, increasing the jet’s range to about 2,200 km so it can be used to defend isolated islands and other missions. Although the F-22 has the most advanced stealth abilities in the world, it requires a special coating that is laborious to maintain. Maintenance will be simplified by using the same material as the F-35 stealth fighter, making it easier to perform drills and deploy for battle.

One challenge is the cost. Lockheed estimates the price of the next-generation fighter will be far higher than the F-35’s 15bn yen-per-jet price tag. Lockheed estimates the price of a next-generation F-22 at about 24bn yen if it is part of an order of 70 aircraft. Producing 140 of the jets could reduce the unit price to about 21bn yen. There is also concern that including Japanese companies, which have not independently developed a fighter jet in recent years, could complicate production and ramp up costs. Lockheed initially estimated that the F-35A would cost about 10 billion yen per jet. Costs temporarily rose to 17bn yen, however, when assembly was given to Japanese companies, a cause for concern this time. Some doubt that the U.S. will fully disclose core technology for the world’s most powerful fighter jet. Although Lockheed plans to outfit the jet with several Japan-made weapons in an effort to include as much domestic technology as possible, the U.S. will initially be responsible for most of the work, with Japanese companies gradually joining the process later. It is unclear, however, when development will proceed to that second stage.

“It is likely that the U.S. will not want to give up such core technologies as fighter systems and software,” said Heigo Sato, a professor at Takushoku University. “The technological spillover to Japanese companies would be limited if they mostly receive subcontracting work.”

Although Mitsubishi Heavy assembles the F-35, which has begun deployment, it has been pointed out that having that job has hardly improved the company’s technology knowledge. The U.S. Congress also turned down Japan’s request for the F-22 to succeed the F-4 a decade ago because of hesitance about transferring military technology. Should technology transfers from the U.S. slow, it may hinder Japan’s continued development of fighter jet technology. Japan must choose whether to develop its own jet, jointly develop with another country or update existing aircraft. Tokyo will make its decisions at the end of the year in its revised medium-term defense program. Boeing and Britain’s BAE Systems have also made submitted proposals to upgrade existing planes. (Source: ASD Network/Nikkei Asian Review)

24 Aug 18. Australian LAND 400 Phase 3 tenders now open. The multibillion-dollar project to replace Army’s M113 Armoured Personnel Carriers has taken another step forward with the formal release of the request for tender for LAND 400 Phase 3 – Mounted Close Combat Capability. Defence is placing greater emphasis on a co-ordinated and programmatic approach to Army’s biggest project ever. A new Armoured Vehicle Division will been created to consolidate large programs like LAND 400, LAND 907 – Main Battle Tank Replacement and LAND 8160 – Enhanced Gap Crossing Capability into a programmatic ‘mega project’. When fully delivered, the LAND 400 program will allow Army to successfully sustain mounted close combat operations against emerging and future threats as part of a joint force.

Minister for Defence Industry Christopher Pyne encouraged Australian industry to get behind the project, saying, “I actively encourage Australian small and medium sized enterprises to take advantage of the significant opportunities arising from this project.”

Opportunities for industry to participate in the process are outlined in the tender documents and include industry briefing sessions scheduled for September this year.  Assistance to industry is available through the Centre for Defence Industry Capability (CDIC) for Australian businesses entering or working in the defence industry.

Minister Pyne indicated that during this tender process, Defence will work closely with industry to optimise Australian industry capability content.

“This project is another exciting opportunity for Australian industry to deliver leading-edge technology in support of the Army,” he said.

Minister for Defence Marise Payne said the project will see Army’s capability significantly enhanced with a fleet of up to 450 modern Infantry Fighting Vehicles and 17 Manoeuvre Support Vehicles.

“This will be the largest investment in Army’s capability ever undertaken and will provide our troops with a modern close combat capability,” Minister Payne said.

This announcement follows a fortnight of announcements made by government and industry regarding LAND 400 Phase 2, with the announcement of the joint venture between Varley and Rafael and the confirmation of the Spike LR2 Anti-Tank Guided Missile for Army’s future 211 Boxer combat reconnaissance vehicles as part of the $5.2bn project.  The LAND 400 program is broken down into four distinct phases:

  • LAND 400 Phase 1 – Project Definition Study (completed);
  • LAND 400 Phase 2 – Mounted Combat Reconnaissance Capability, primarily enabled by the combat reconnaissance vehicle (CRV) mission system (the ASLAV replacement);
  • LAND 400 Phase 3 – Mounted Close Combat Capability, primarily enabled by the Infantry Fighting Vehicle (IFV) (the M113 APC replacement) and MSV mission systems; and
  • LAND 400 Phase 4 – Integrated Training System.

Rheinmetall has been selected to deliver Australia’s new Combat Reconnaissance Vehicle, the Boxer 8×8 CRV, for LAND 400 Phase 2.

The full tender can now be downloaded from the AusTender website at www.tenders.gov.au. Submissions will close at 5:00pm AEST on Friday, 1 March 2019. (Source: Defence Connect)

23 Aug 18. Duterte says three U.S. officials seeking talks on Philippines’ defence procurement. Philippine President Rodrigo Duterte on Thursday said three members of U.S. President Donald Trump’s cabinet had sought a dialogue about Manila’s procurement plans for defence equipment. Duterte said he had received a letter signed by Secretary of State Mike Pompeo, Secretary of Commerce Wilbur Ross and Secretary of Defense James Mattis reaffirming Washington’s “strongest support” for the Philippines’ effort to modernise its military. Duterte’s disclosure follows advice last week from a visiting Pentagon official, Randall Schriver, against buying Russian weapon systems and platforms. Philippine Defence Secretary Delfin Lorenzana was scheduled to meet his Russian counterpart this week about the possibility of buying Russian arms, local media said. The U.S. government’s letter, which Duterte read during a military event in his hometown Davao, said the “special relationship” between the two countries “will only grow stronger by increasing our dialogue and cooperation especially on security”. The letter noted Manila’s recent decision to procure Bell combat utility helicopters and Cessna utility aircraft. Bell and Cessna are both part of Textron Inc.

“We hope to partner in all the significant defence procurement,” the U.S. officials were quoted as saying in the letter.

The U.S. embassy in Manila did not immediately reply to Reuters’ request for comment. Duterte, however, said what he needed were attack helicopters and small planes for counter-insurgency operations. He expressed willingness to meet the three U.S. officials, but said he would not go to the United States for the dialogue. Duterte has vowed to buy brand-new military equipment to fight twin Maoist and Muslim rebellions, and no longer accept second-hand weapons from the United States. The Philippines under Duterte has forged closer ties with both China and Russia involving trade and defence cooperation. Manila scrapped a deal to buy assault rifles from the United States after some U.S. legislators campaigned to block the sale, citing concerns over Duterte’s bloody anti-narcotics campaign. (Source: Reuters)

22 Aug 18. Industry Cries Foul As Canadian Government Makes More Changes to Bid Process for $60bn Warship Program. The government has once again changed how it will evaluate bids on its $60bn warship program, prompting more concerns the new process is designed to help out a company linked to Irving Shipbuilding. The move is the latest twist in the ongoing saga of the Canadian Surface Combatant, believed to be the largest single defence purchase Canada has ever undertaken. Companies have already provided their bids for the surface combatant project to the federal government and Irving, which will construct the vessels. The firms were expecting those to be evaluated using an established process outlined previously, which included one opportunity to fix problems with bids. But on Aug. 13, the government informed the firms a second opportunity would be provided if the companies weren’t fully compliant in meeting Canada’s naval requirements, according to industry sources.

Jean-François Létourneau of Public Services and Procurement Canada confirmed the new process, but added, “this is an example of how the Government of Canada is developing and applying innovative approaches to improve the results for large, complex defence procurements.”

The government has told companies not to comment during the selection process. But the new change has sparked more concerns the process is rigged to favour a bid by Lockheed Martin Canada and British firm BAE, industry sources say. (Source: (Source: defense-aerospace.com/National Post)

22 Aug 18. Indian MoD issues RFI for 30,000 light machine guns.   India’s Ministry of Defence (MoD) has invited responses from local manufacturers by 17 September to a request for information (RFI) regarding the supply of 30,000 7.62 × 51 (7.62mm NATO) light machine guns (LMGs) to the Indian Army (IA) for an estimated INR30bn (USD429.4m). Issued on 21 August, the document, which supplements an RFI issued in October 2017, expands on the previously stated LMG acquisition parameters under the ‘Buy and Make (Indian)’ category of the MoD’s Defence Procurement Procedure-2016 (DPP-2016), as well as on the weapon’s operational requirements. The recently published RFI specifies that the ‘Buy’ component under the DPP, which entails India importing a limited number of weapon systems and licence-building the rest, would be ‘nil’. (Source: IHS Jane’s)

17 Aug 18. India Building New Fighter Jet: First flight of Advanced Medium Combat Aircraft expected in 2032. The Advanced Medium Combat Aircraft (AMCA), India’s next indigenous fighter, is expected to make its first flight by 2032. Development work on the jet is under way.

“The AMCA will feature geometric stealth and will initially fly with two GE-414 engines. Once we develop our own engine, it can be replaced with that. We expect the first flight in 2032,” a defence source said.

“There are two major ways of making a military platform stealthier. One is geometric stealth and other is material stealth. In geometric stealth, the shape of the aircraft is designed at such angles so as to deflect away maximum radar waves thereby minimising its radar cross section. In material stealth, radar-absorbing materials are used in making the aircraft which will absorb the radio waves thus reducing the radar footprint. The AMCA will initially be based on geometric stealth, we can look at material stealth at a later stage,” the source said.

The Indian Air Force has given land to the Defence Research and Development Organisation to set up facilities for the project. The plan is to build on the capabilities and expertise developed during the development of the light combat aircraft (LCA) and produce a medium fifth-generation fighter aircraft. (Source: defense-aerospace.com/The Hindu)

20 Aug 18. Leonardo: NH90 Qatar Contract Now Effective: Order Booked, Advance Payment Received. Leonardo announces that it has made effective the contract, signed on March 14, 2018, for the supply of 28 NH90 medium twin-engine multirole military helicopters to the Ministry of Defense of Qatar and has therefore booked the order in its backlog and received the advance payment relating to the contract. Leonardo acts as overall prime contractor with responsibility for the management of the entire programme valued at more than €3bn to the NHI consortium.

Alessandro Profumo, Leonardo CEO, stated: “We are proud to have made this important contract effective. We continue to be fully focused on executing our Industrial Plan aimed at ensuring long-term sustainable growth for the Group, also strengthening our commercial approach”.

The Group Guidance for the full year 2018 is confirmed, as revised upwards on 30th of July in respect of higher order intake and FOCF to reflect the expected effectiveness of the NH90 Qatar contract, that had been only partially factored into Group Guidance, and the potential for certain export campaigns not to be fully finalised by year-end.

2018 Guidance:

— New Orders (€bn.): 14.0 – 14.5

— Revenues (€bn): 11.5 – 12.0

— EBITA (€m): 1,075 – 1,125

— FOCF (€m): 300 – 350

— Group Net Debt (€bn): ca. 2.4

Exchange rate assumptions €/USD 1,20 and €/GBP 0,90

Note on NH90 Qatar Contract

Leonardo acts as overall prime contractor with responsibility for the management of the entire programme which includes 16 NH90 TTH for land operations, 12 NH90 NFH for naval missions, a comprehensive support, maintenance training services package and associated infrastructure. The programme could be further extended in the future with the addition of 6 + 6 units in a mix of TTH and NFH variants.  Leonardo will be also responsible for the final assembly and delivery of the 12 NH90 NFH helicopters from its Venice – Tessera facility in Northern Italy and an eight-year support and training services package for crews and maintenance technicians. Meanwhile Airbus will be responsible for the final assembly of the16 NH90 TTH aircraft. Deliveries are expected to start before June 2022 and to continue through to 2025. Leonardo will also supply, contribute to and integrate various equipment, avionics and sensors.

Note On Leonardo Contribution to the NH90 Helicopter

Leonardo is responsible for or contributes to the design, production and integration of a wide range of NH90 critical components and systems. These include the rear fuselage, main gearbox, hydraulic system, Automatic Flight Control System (AFCS), plant management system, NFH mission system, power plant integration and final assembly of TTH and NFH aircraft for various customers at its Venice – Tessera facility in Northern Italy. Leonardo also integrates additional dedicated systems, avionics and sensors such as the Laser Obstacle Avoidance Monitoring (LOAM) system, radar, digital map generator, sonar and naval mission console. Weapon systems Leonardo contributes to comprise pintle mounted gatling-type guns, torpedoes and air-to-surface missiles for Anti-Surface Warfare (ASuW) missions.

Note on the NH90 Helicopter

The largest military helicopter programme in Europe, the NH90 is the optimal choice for modern operations thanks to its fully composite airframe with a large cabin, its excellent power-to-weight ratio and its wide range of role equipment. It features a quadraplex fly-by-wire flight control system for reduced pilot workload and enhanced flight handling characteristics.

The NH90 is available in two main variants, one dedicated to naval operations, the NH90 NFH (NATO Frigate Helicopter) and the TTH (Tactical Transport Helicopter) for land-based operations. As of today, over 350 helicopters have been delivered in NFH and TTH variants to customers in 13 nations. Aircraft in service have logged nearly 180,000 flight hours in a wide range of weather and environmental conditions, over land and sea. 543 NH90s have been ordered by customers worldwide to date.

The twin-engine, medium-size NH90 helicopter programme is managed by NHIndustries, which is owned by Leonardo, Airbus, and Fokker. (Source: defense-aerospace.com/Leonardo)

21 Aug 18. Australian Defence Industry issues RFI for DMSS programme. The Australian Defence Industry has released a request for information (RFI) for the Defence Marine Support Services (DMSS) programme. The RFI invites local companies to share their views on how marine support services should be delivered in the future. Slated to begin in 2021, the DMSS programme will initially deliver marine support to the Royal Australian Navy (RAN) fleet in ports across the country, in addition to providing supporting exercises, operations and workforce training. The programme has been designed to include services such as tugs for port movements, harbour refuelling, transport services between ships, stores and personnel transfer, and aviation training.

“The DMSS programme will enable the Australian defence industry to work together in order to develop creative contracting options to facilitate delivery at sea.”

Initially valued at A$83m ($60.68m) annually, the cost of the programme is expected to increase over time as further services across the Australian Defence and potentially other government agencies would be considered for inclusion. DMSS is expected to generate more than 287 job opportunities in major ports and defence establishments such as Sydney, Darwin, Cairns and Perth. According to Australian Defence Industry Minister Christopher Pyne, the DMSS programme will enable the Australian defence industry to work together in order to develop creative contracting options to facilitate delivery at sea.

Pyne said: “This is about thinking outside the square to deliver a long-term and flexible solution for Defence and industry. Instead of just contracting one large prime to do all the work, perhaps the best option is engaging multiple smaller companies. It will also provide a sustainable on-going business model for industry and provide taxpayers value for money.” (Source: naval-technology.com)

21 Aug 18. India and Japan deepen industrial engagement. Key Points:

  • India and Japan have outlined efforts to expand collaboration on defence development and production
  • No progress has been reported on India’s potential US-2 acquisition, but the two countries have started a joint project to develop UGVs

India and Japan have pledged to expand collaboration on defence technologies and production. Following meetings in New Delhi on 20 August between India’s Defence Minister Nirmala Sitharaman and her visiting counterpart from Japan, Itsunori Onodera, the Indian Ministry of Defence (MoD) highlighted a range of defence industrial initiatives under way between the two countries. However, the Indian Navy’s long-considered programme to procure ShinMaywa Industries’ US-2 search-and-rescue aircraft appears no closer to being finalised. These include a joint working group on defence equipment and technology co-operation and engagement between the MoD’s Defence Research and Development Organisation (DRDO) and Japan’s Acquisition, Technology, and Logistical Agency (ATLA). The former is geared towards identifying specific areas for collaboration, while the latter – framed by an agreement signed earlier this year – has resulted in the two countries embarking on their first co-operative defence project, the development of unmanned ground vehicles (UGVs) and robotics. The MoD added that representatives from Japanese defence companies recently visited Indian defence enterprises as a follow-up to the country’s initial defence industry forum in September 2017, which was intended to promote interaction between Japanese companies and public and private firms in India.

Commenting on these various initiatives, the MoD said, “The ministers commended that such efforts contribute to the deepening of mutual understanding between the defence industries of the two countries and to the prospect of future bilateral projects.” According to the MoD, Sitharaman also invited Japanese companies to invest in India’s programme to develop defence industrial corridors in the north and south of the country.

Despite the deepening defence industrial ties, the MoD statement made only passing reference to India’s potential procurement of the US-2 aircraft. (Source: IHS Jane’s)

20 Aug 18. Brazil postpones decisions again for its new corvettes. The Brazilian Navy has postponed by about two months the short list and best and final offer (BAFO) decisions for its ambitious Tamandaré-class corvette project, the second leading priority within the force. The newly established schedule calls for the short list and BAFO announcements to occur in October and December respectively, the navy told Jane’s on 17 August. The navy said it is delaying its decision because it needs additional information from the competitors to properly analyse the bids. Service officials provided no additional details on what information it still requires. The navy has not said how many companies will be included on the short list. (Source: Defense News Early Bird/IHS Jane’s)

21 Aug 18. Industry sees surge in defence export applications. There has been a boost in the confidence for Australian businesses to reach for opportunities in foreign defence markets, showing the growing capacity of Australia’s defence industry. Defence Industry Minister Christopher Pyne has welcomed new figures published by Defence Export Controls (DEC), which show a 25 per cent surge in the number of defence and dual-use export permit applications received in the last quarter of 2017-18 compared with the same period last year.

“It is pleasing to see strong growth in the number of small and medium-sized defence companies as well as primes across Australia competing to win overseas military contracts,” Minister Pyne said.

The government’s Defence Export Strategy, released in late January, provides industry with comprehensive support to identify and realise export opportunities.

Minister Pyne said the positive growth in defence and dual-use export applications was an indication that Australian companies are embracing opportunities to collaborate with defence forces of Australia’s friends and allies.

All Australian defence exports are subject to approval according to Australia’s export control regulations.

“The earning potential of defence and dual-use exports since the launch of the Defence Export Strategy in January 2018 was over $1bn, vindicating our investment in this initiative,” he said.

DEC is responsible to the Minister for Defence for regulating the export of defence and strategic goods and technologies.

These goods and technologies include:

  • Military items designed or adapted for military purposes or those that are inherently lethal, incapacitating or destructive; and
  • Commercial items and technologies that may be used or adapted for use in a military program or contribute to the development and production of chemical, biological or nuclear weapons systems.

DEC aims to enable the responsible export of defence strategic goods and technologies, by:

  • Providing early advice to producers and developers on the control status and exportability of their good, service and technology;
  • Issuing permits and licences for controlled exports;
  • Delivering outreach programs to enable exporters to meet their obligations under relevant Australian regulations and legislation;
  • Contributing to Australia’s international efforts to prevent the proliferation of weapons of mass destruction through participation in multilateral non-proliferation and export control regimes;
  • Authorising end-user and non-transfer certificates for the import of controlled defence and strategic goods; and
  • Providing assistance with re-transfer approvals for foreign-sourced defence items.

More information on the Defence Export Controls, including reference materials and application forms, is available here. (Source: Defence Connect)

10 Aug 18. Israel Sees Five Eyes As Closed Door To Arms Sales. Exclusive clubs tend to hide behind closed doors. The Five Eyes is the most exclusive club — one whose door is closed to Israeli companies trying to sell their systems to European countries any time an American company is in the competition, Israeli sources say. For example, Israel Aerospace Industries (IAI) has been trying to compete for a new airborne early warning aircraft for Britain. But this effort failed in its early stages. The Five Eyes members reportedly decided that the British would buy Boeing’s Wedgetail system without a competition. The ELTA division of IAI developed and manufactures AEW systems. Three were installed in on IL-76 platforms and were purchased by India. Another version, based on the Gulfstream G-550 business jet, is used by the Israel, Singapore and Italy.

“The decision to buy the American system with no real competition is wrong, mainly from the British perspective,” a senior Israeli source said Aug. 6. “Our system is cost effective, combat proven and there is no reason why it is not in the competition.”

He refused to specify the actions being taken to convince the RAF to evaluate the Israeli system, but said that these are “very active and based on data.”

Another source said: “This closed club is a big hurdle for Israeli companies, and we don’t know how to cope. We try, but we find ourselves in front of a brick wall.”

More importantly, this exclusion of Israel from sensitive competitions is not an isolated event. Very senior Israeli sources told Breaking Defense that this is part of a new U.S policy to block any attempt of countries such as Israel to sell their defense products to countries that have been regular clients of the U.S defense and aerospace industries. The Five Eyes is an intelligence alliance of five countries – the United States, Canada, the United Kingdom, New Zealand and Australia. While it was originally designed (by the UKUSA Agreement) to share signals intelligence, it has become much broader in practice. The five countries share sensitive information they share with no others — except sometimes. Not everyone in the UK supports the AEW decision. In July, the parliamentary defense committee published a letter sent by its chairman to the UK Minister for Defence procurement that warned against a sole-source bid. “In the light of the convincing evidence we have received of at least one highly credible alternative to the Wedgetail, we can see absolutely no reason to dispense with an open competition,” the letter says, according to FlightGlobal. That alternative could be the Saab GlobalEye system based on the Bombardier Global Express 6000 business jet or the IAI AEW based on the Gulfstream G-550.

The Five Eyes club members have long arms. They were stretched out when South Korea decided to acquire AEW aircraft. In  November 2006, Boeing won a $1.6bn contract with South Korea to deliver four aircraft by 2012. Boeing beat the other entrant, IAI Elta’s Gulfstream G550-based aircraft. Many in Israel directly accuse the Five Eyes of effectively barring IAI for competing on the South Korean tender. As one source put it: ‘We offered the South Koreans a very attractive solution, but we have understood very quickly that this is not a competition at all.”

This complicated situation has become even more so since Europe declared that it will not follow the U.S in applying sanctions on Iran, after Washington pulled out of the very sketchy nuclear agreement with the ayatollahs. (Source: glstrade.com/Breaking Defense.com)

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American Panel Corporation

American Panel Corporation (APC) since 1998, specializes in display products installed in defence land systems, as well as military and commercial aerospace platforms, having delivered well over 100,000 displays worldwide. Military aviators worldwide operate their aircraft and perform their missions using APC displays, including F-22, F-18, F-16, F-15, Euro-fighter Typhoon, Mirage 2000, C-130, C-17, P-3, S-3, U-2, AH-64 Apache Helicopter, V-22 tilt-rotor, as well as numerous other military and commercial aviation aircraft including Boeing 717 – 787 aircraft and several Airbus aircraft. APC panels are found in nearly every tactical aircraft in the US and around the world.

APC manufactures the F-35 Joint Strike Fighter Large Area Display (LAD) display (20 inch by 8 inch) with dual pixel fields, power and video interfaces to provide complete display redundancy. At DSEI 2017 we are exhibiting the LAD with a more advanced design, dual display on single substrate with redundant characteristics and a bespoke purpose 8 inch by 6 inch armoured vehicle display.

In order to fully meet the demanding environmental and optical requirements without sacrificing critical tradeoffs in performance, APC designs, develops and manufactures these highly specialized displays in multiple sizes and configurations, controlling all AMLCD optical panel, mechanical and electrical design aspects. APC provides both ITAR and non-ITAR displays across the globe to OEM Prime and tiered vetronics and avionics integrators.

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