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17 Feb 19. Al Bowardi Discusses Cooperation With Defence Ministers Participating In IDEX 2019. Mohammed bin Ahmed Al Bowardi, Minister of State for Defence Affairs, received today a number of Ministers of Defence and military officials as part of IDEX 2019.
Al Bowardi received separately Lieutenant General Andrei Alekseyevich Ravkov, Defence Minister of Belarus, Genevieve Darrieussecq, France’s Secretary of State to the Minister of the Armed Forces, Moroccan Minister Delegate for National Defence Administration, Abdeltif Loudyi, Abdelkrim Zbidi Tunisian Minister of National Defence, Askar Zhumagaliyev Deputy Prime Minister and Minister of Defence and Aerospace Industry of Kazakhstan, and Italy’s Undersecretary of Defence Angelo Tofalo.
He welcomed them and hailed the strong cooperation between the UAE and their respective countries. They also hailed the high level of organisation of IDEX and congratulated him on the Silver Jubilee of the exhibition. They also reviewed cooperation and ways to enhance ties in the defence field. The audience also exchange views on issues of mutual concern. (Source: Google/https://www.urdupoint.com)
18 Feb 19. Minister reviews cooperation with officials. Mohammed Bin Ahmed Al Bowardi, Minister of State for Defence Affairs, received yesterday a number of Ministers of Defence and military officials as part of Idex 2019. Al Bowardi received separately Lieutenant General Andrei Alekseyevich Ravkov, Defence Minister of Belarus, Genevieve Darrieussecq, France’s Secretary of State to the Minister of the Armed Forces, Moroccan Minister Delegate for National Defence Administration, Abdeltif Loudyi, Abdelkrim Zbidi Tunisian Minister of National Defence, Askar Zhumagaliyev Deputy Prime Minister and Minister of Defence and Aerospace Industry of Kazakhstan, and Italy’s Undersecretary of Defence Angelo Tofalo.
He welcomed them and hailed the strong cooperation between the UAE and their respective countries. They also hailed the high level of organisation of Idex and congratulated him on the Silver Jubilee of the exhibition. They also reviewed cooperation and ways to enhance ties in the defence field. The audience also exchange views on issues of mutual concern. (Source: Google/http://gulftoday.ae)
17 Feb 19. German arms ban to Riyadh sparks UK concerns over BAE contract. UK says post-Khashoggi measure hits company’s ability to honour Typhoon contract. A German ban on arms exports to Saudi Arabia imposed after the murder of journalist Jamal Khashoggi has caused growing diplomatic tensions between Berlin and London, amid concerns that it would prevent BAE Systems’ supplying some parts for the Saudis’ Eurofighter planes. Britain’s biggest defence company is the lead industrial partner for the pan-European Eurofighter consortium in Saudi Arabia and, as such, is responsible for ensuring the maintenance and support of the kingdom’s Typhoon jets. The move by Berlin to stop exports to Riyadh has hurt supply lines and caused consternation within the consortium. “We’ll soon get to the point where the Saudis can’t fly their planes any more,” said a person with direct knowledge of the problems. “Someone’s going to have to pay — this is causing millions of pounds-worth of damage.” British sources briefed on the situation confirmed that the UK government was working with BAE Systems to resolve the issue. Although the Royal Saudi Air Force still has access to a significant number of spare parts in the kingdom to service its 72 jets, if the situation persists it could have an impact on the operational readiness of the fleet. The problem has highlighted how a lack of unanimity in Europe on rules for arms exports is playing havoc with some of the continent’s key trading relationships. It also risks undermining recent efforts to deepen defence industry co-operation in Europe, which both Angela Merkel and Emmanuel Macron have identified as a key objective. Ms Merkel hinted at the problem during her speech to the Munich Security Conference on Saturday, saying that without a “common arms export culture”, Europe would “struggle to develop joint weapons systems”. “You can’t talk about a European army and . . . about developing weapons together if you’re not prepared to pursue a common arms export policy,” she said.
At issue is the German government’s unilateral decision last October to suspend arms sales to Saudi Arabia, its second biggest customer for weapons after Algeria. The ban caused frustration among many of its allies, in particular France, because it covers all weapons that include parts made in Germany. Germany’s left-of-centre Social Democrats, the junior partner in Ms Merkel’s grand coalition, have traditionally been uneasy about German arms exports. The coalition agreement negotiated between the SPD and Ms Merkel’s CDU last year, for example, included a pledge to ban weapons sales to parties in the civil war in Yemen. Germany’s partners have long complained about Berlin’s restrictive policies, with the latest broadside coming from Tom Enders, chief executive of Airbus. “It has been driving us crazy at Airbus for years that when there is even just a tiny German part involved in, for example, helicopters the German side gives itself the right to . . . block the sale of a French helicopter,” he told Reuters.
The problem for BAE Systems concerns 72 Eurofighter Typhoons that the Saudi government agreed to purchase in 2007 under a government-to-government contract with Britain. The UK government and BAE are ultimately responsible for the delivery of the contract on behalf of the Eurofighter consortium. BAE is responsible for ensuring the flow of all parts to the kingdom to enable the maintenance and operational support of the aircraft for the Saudi Royal Air Force. The decision by Berlin to block export licences for German military equipment to Riyadh has therefore raised questions over BAE’s ability to meet its contractual obligations as the lead partner. BAE declined to comment. The company is likely to come under pressure to address the issue when it reports its results for the full year on Thursday. Asked last month whether the export ban complicated the company’s joint projects with its German partners, Sir Roger Carr, BAE chairman, told Bloomberg TV in Davos: “Ultimately it does complicate arrangements. When you have a partnership, you expect everybody in the partnership to behave as was committed at the time the partnership was formed. “There is no question that in developing an aircraft with partners you believe them to be there to the end,” he said. Recommended David Gardner The global tide is turning against Mohammed bin Salman The UK government signed a memorandum of intent last March to sell another 48 Typhoons to Riyadh, in addition to the 72 it has already sold the kingdom. Although the size of the contract was not disclosed, the order could be worth more than £5bn. Like Ms Merkel, the German defence minister Ursula von der Leyen has acknowledged that Germany’s approach to arms exports needs to change.
“We Germans shouldn’t pretend that we are more moral than France or have a deeper commitment to human rights than the UK,” she told the Munich conference. “We must summon the political strength for a reliable, common line, which links our security and our humanitarian interests — just as our European partners do,” she said. As well as the Typhoons, the German export ban has also affected the supply of Meteor long-range air-to-air missiles to Saudi Arabia. The Meteor is assembled by MBDA, a joint venture of Airbus, BAE Systems and Leonardo, while its propulsion system and warheads are manufactured in Germany. Mr Enders told Reuters that Germany needed to secure common arms regulations if it wanted to push ahead with plans for a European defence policy. “It is to some degree a litmus test as to how serious the Germans are about common defence and close Franco-German co-operation,” he said. (Source: FT.com)
17 Feb 19. Saudi Arabia signs defence deals with France, UAE. Saudi Arabian Military Industries announces new deals with Mubadala, France’s Naval group. The Saudi Arabian Military Industries Company (Sami) signed new deals with France and UAE on Sunday to boost its defence capabilities and diversify its economy away from oil. The two deals, one with the French company Naval Group and the other with the UAE based Mubadala Investment Company were announced on the sidelines of International Defence Exhibition, Idex 2019 that got underway on Sunday.
Saudi Arabia will manufacture warships, frigates and submarines as part of the agreement signed with Naval Group, Dr Andreas Schwer, the chief executive officer of Sami said during a press conference on the sidelines of Idex.
“Our joint venture agreement with Naval group laid the foundation of a strategic partnership that will reinforce Sami’s commitment to helping Saudi Arabia develop self-sufficient defence capabilities,” said Dr Schwer.
“The collaboration offers us an excellent opportunity to leverage Naval Group’s strong trackrecord of helping its partners develop sovereign defence capabilities to create an integrated military industries ecosystem in the kingdom.”
He also added that the joint venture will significantly contribute to further enhancing the capabilities and readiness of Royal Saudi naval forces.
In the other agreement, Mubadala Investment Company and Sami will collaborate across aerospace, defence manufacturing, maintenance, repair and overhaul, research and development and engineering.
“This represents a historic moment for the global aerospace and defence industries in setting up an aligned aerospace and defence strategy between the UAE and KSA (Kingdom of Saudi Arabia),” said Badr Al Olama, Director of Aerospace and Defence, Mubadala.
“Through our strategic collaboration, we have identified a number of areas for potential partnership in the manufacturing, R&D and MRO space that can utilise the deep experience of the UAE in growing international partnerships and establishing a regional ecosystem.”
Saudi Arabia and the UAE are also closely cooperating in a number of sectors including banking, energy and other fields. (Source: Google/https://gulfnews.com)
17 Feb 19. UAE Armed Forces Awards Deals Worth more than AED4.971bn. Speaking at a press conference on day one of the International Defence Exhibition and Conference (IDEX 2019) and the Naval Defence and Maritime Security Exhibition (NAVDEX 2019),General Mohammed Al Hassani, Official Spokesperson of IDEX 2019, and Naval Staff Colonel Fahad Nasser Saif Al Thehli, Official Spokesperson of NAVDEX 2019, announced 33 deals worth more than AED4,971,082,582bn. National companies received 18 of the 33 deals, while the remaining 15 were awarded to international companies.
- A contract with the American company Raytheon to buy AED1,307,220,700 worth of Patriot missiles for the UAE Air Force and UAE Air Defence Force
- Spanning two-years, an AED45,921,675 contract with the Russian Joint Stock Company for maintenance work and to buy Pantsir spare parts for the UAE Air Defence Force
- A contract with the Russian Joint Stock Company to buy AED146,920,000 worth of EM150 Kornet missiles for the UAE Army
- A contract with the Swiss company Rheinmetall worth AED6,836,400 for technical support in Skyguard air defence product for the UAE Air Force
- An AED193,500,000 contract with French company Nexter Systems for technical support with Leclerc tanks
- An AED86,000,000 contract with the French company Safran Electronics & Defense to buy spare parts and provide maintenance and repair works for Leclerc tank telescopes, as well as armoured PMP-3
- An AED6,062,183 contract with the French company Thales Group to replace batteries and extend the life of mines
- An AED50,320,100 contract with the Korean company Hanwha Group for the purchase of explosives and supplements to open loopholes in mine fields and sites of various types for the UAE Army
- An AED204,857,534 contract with the Jordanian company King Abdullah II Design and Development Bureau to purchase missiles and training rounds for the UAE Army
- An AED1,161,958,938 contract with the Australian company EOS Defence to purchase ground and naval systems particularly EOS RWS 30mm for the UAE Army, Navy, and Critical Infrastructure and Coastal Protection Authority
- An AED38,700,000 contract with the German company Rheinmetall Electronics GmbH to provide technical support services for tactical engagement simulations
- An AED77,003,636 contract with the American company HESCO to purchase defensive shelters for the UAE Army
- An AED404,030,000 contract with the American company Lockheed Martin to add capabilities to the radar system for the UAE Air Force
- An AED10,284,400 contract with the American company Paramount Logistic to purchase four Mbomb for the UAE Army
- An AED127,085,800 contract with the Indian company Ordnance Factory to purchase ammunitions (155mm HE) and accessories (PRIMER M191-A2) for the UAE Army
17 Feb 19. Defence Spending On The Up In The Middle East. Dubai Airshow To Host Defence Delegations and Exhibitors. The Middle East is cited by Deloitte as one of the key regions that are expected to contribute to industry performance in the near term, in its 2019 global aerospace and defence industry outlook. It states that defence spending in the region is expected to increase as oil prices stabilise at much higher levels compared to recent years. The Dubai Airshow has a well deserved reputation for representing all sectors of the aerospace industry and the 2019 edition, taking place 17-21 November at DWC, Dubai Airshow Site, will be no exception.
At the Dubai Airshow 2017, the UAE Ministry of Defence spent more than $4bn on new products, services and technologies from a range of companies that were exhibiting at the event. “The great thing about the Dubai Airshow is that people come there prepared to do business,” says Major General Abdullah Al Hashemi of the UAE MOD. “Having seen the show grow over the years to now attract the biggest and best of the industry from around the world, I’m looking forward to seeing what will be on offer in November.”
Of the 1300 exhibitors expected at the Dubai Airshow, around 40% are predicted to be defence companies, with many more companies represented that are part of the associated supply chain. Demonstrating the global appeal of the event, those already committed to exhibiting include Lockheed Martin and Raytheon from the USA, Sukhoi from Russia and Rafale from France as well as Emirates Defense Industries Company (EDIC) from the UAE. In addition, new exhibitors to the event include the Korea Defense Industry Association.
The Dubai Airshow will once again include its reknowned Delegations Programme, in which military and civil delegations from across the world are invited to participate, co-ordinated by show organisers, in conjunction with the UAE Ministry of Defence, Dubai’s Department of Civil Aviation Authority and the Government of Dubai. In 2017, the show hosted 279 delegations from 76 countries around the world, with that number expected to increase in 2019.
Michele van Akelijen, Managing Director of Tarsus F&E LLC Middle East, says, “The Dubai Airshow is the most effective the way to do business in the Middle East, and the networking value is immeasurable. The region’s business culture is all about face-to-face communication where personal business relationships are highly valued. The Dubai Airshow provides the ideal platform for the aerospace industry as whole to come together and do business in the region and beyond.”
Held under the patronage of HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, the Dubai Airshow is held in co-operation with the UAE Armed Forces, Dubai Civil Aviation Authority and Dubai Airports. The Dubai Airshow takes place 17-21 November 2019 at DWC, Dubai Airshow Site. For more information or to book your space, please visit dubaiairshow.aero or email email@example.com.
16 Feb 19. UAE, Saudi companies sign landmark manufacturing deal. Mubadala Investment Company, Sami ink first joint initiative between two nations in advanced manufacturing. Mubadala Investment Company announced a strategic collaboration with the Saudi Arabian Military Industries Company (Sami), the kingdom’s aerospace and defence business. The announcement marks the first joint initiative between Saudi Arabia and the UAE in the field of advanced manufacturing. With Saudi Arabia and Abu Dhabi sharing ambitious plans for industrialisation, including strategies to develop and grow across the aerospace and defence value chain, the collaboration sets out the strategic framework for co-investment and long-term partnership.
Badr Al Olama, director of aerospace and defence at Mubadala, said: “This represents a historic moment for the global aerospace and defense industries in setting up an aligned aerospace and defense strategy between the UAE and Saudi Arabia.”
Dr Andreas Schwer, CEO of Sami, added: “[The] partnership between two regional leaders that will leverage the aerospace and defence industries boom in the region to support the Saudi government’s efforts to localise at least 50 per cent of the kingdom’s military spending.”
This strategic collaboration will enable world-class expertise and experience to be deployed immediately following the establishment of a formal cooperation framework agreement. (Source: Google/https://www.khaleejtimes.com)
15 Feb 19. Growing Modernisation and Industrialisation Behind Hike in Gulf Defence Spending, Says Jane’s by IHS Markit. Spending in the region to hit USD103bn in 2019 and continue upwards to USD110bn in 2023, up from USD82bn in 2013. Defence budgets in the Middle East are increasing as countries pursue the modernisation of military equipment and expansion of their current capabilities, says Jane’s by IHS Markit (Nasdaq: INFO), a world leader in critical information, analytics and solutions.
Jane’s notes that defence expenditure across the Gulf has increased from USD82.33bn in 2013 to USD103.01bn in 2019. This figure is forecast to continue trending upwards to USD110.86bn in 2023.
“Falling energy revenues between 2014 and 2016 led to some major procurement projects being delayed as government’s reigned in budget deficits,” said Charles Forrester, senior defence industry analyst at Jane’s by IHS Markit. “However, defence was generally protected from the worst of the spending cuts due to regional security concerns and budgets are now growing again.”
Procurement expenditure for 2019 is expected to reach USD14.8bn but is forecast to grow to USD17bn by 2023. Procurement expenditure has experienced a rapid recovery following a 25% dip in 2016, as countries have invested in new aircraft, missile systems and naval vessels. Major deals in the region have included Saudi Arabia’s decision to procure the Littoral Combat Ship (LCS) for its navy and new combat aircraft including the Boeing F-15SA Saudi Advanced Eagle and Eurofighter Typhoon, as well as Kuwait’s decision to acquire Boeing F/A-18E/F Super Hornets and Eurofighter Typhoons.
Economic diversification drives push for regional defence industrial base
The collapse in oil prices in 2014 served as a reminder of the importance of economic diversification for the region. Future investments in developing lower-tier supply chain capabilities will help to position the region’s growing industrial sectors into global component supply chains. In the defence sector, participation in the supply chain will help to build resilience and self-sufficiency into the procurement and operation of defence equipment.
“Within the defence sector, the establishment of Saudi Arabia Military Industries (SAMI) in 2017 and consolidation of the UAE’s defence industrial base through the creation of Emirates Defence Industries Company (EDIC) in 2014 have helped consolidate and drive forward industrial defence capabilities. This has happened as the countries focus on improving the quality of the defence technological work packages they undertake through offset, as well as increasing their ability to begin exporting defence equipment,” Forrester said.
Regional technical planning
“As we approach the end of the decade, a number of governments in the Gulf region are in the process of updating their economic plans and strategies. As part of this, they are considering how new, disruptive technologies can be leveraged,” Forrester said. “As civil-sector demand for technologies such as artificial intelligence and cyber security grows, the acquisition of defence equipment can help to deliver further investments and capabilities in these areas as offset is leveraged.”
Economic plans that have been launched or are underway include Saudi Arabia’s Vision 2030, the Abu Dhabi Economic Vision 2030, Dubai Industrial Strategy 2030 and Oman Vision 2040.
Meet Jane’s by IHS Markit at IDEX
Meet us at IDEX 2019 (stand C12-008) from 17 to 21 February in Abu Dhabi. Jane’s by IHS Markit is the official Show Daily partner of the IDEX Defence Conference.
Jane’s Experts available at the event include:
- Charles Forrester, senior defence industry analyst, Jane’s Defence Budgets, Jane’s by IHS Markit
- Jeremy Binnie, Middle East/North Africa Editor, Jane’s Defence Weekly by IHS Markit
- Georgios Salapasidis, principal research analyst, Jane’s by IHS Markit
- Oscar Widlund, Air defence editor for Jane’s Land Warfare Platforms: Artillery & Air Defence, Jane’s by IHS Markit
Other subject matter experts from Jane’s will also be able to provide written comment throughout the show. Please reach out to firstname.lastname@example.org with any specific questions. (Source: BUSINESS WIRE)
15 Feb 19. Russia targets Mideast market with first-ever offerings of defense systems beyond its border. The Russian defense and technology company Rostec is set to make a splash at this year’s IDEX show in the United Arab Emirates with its first international offering of naval air and missile defense systems, as well as new small arms targeting the Middle Eastern market.
Rostec’s presence at the International Defence Exhibition and Conference will be spearheaded by CEO Sergei Chemezov. IDEX is always a major event for the world’s largest defense companies, but it has certainly become more important for Russian manufacturers in recent years, as Western sanctions have closed American and European markets to Russian companies. Attention in Russia has shifted heavily to the growing Middle Eastern markets.
More than 50 Russian companies are set to participate in this year’s IDEX. Chemezov, in comments carried by the Russian Tass news agency on Friday, said that “for us, Middle Eastern and North African countries are extremely important markets where we implement numerous projects both in the civilian sector and in defense. … In total, about 1,000 exhibits will be on display.”
Beyond the Middle East, Russia continues to actively market to China, India, Vietnam and Indonesia. Eastern countries make up for almost half of Russia’s arms exports, Tass reported.
Russia always puts on a big show at IDEX. At last year’s conference, Russian companies rented out almost 1,400 square meters of floor space and brought out a number of military aircraft — such as the Su-35 and MiG-29 — as well as an array of tanks, armored vehicles, air defense systems and small arms.
Rostec will kick off this year with briefings held by Chemezov and international cooperation director Viktor Kladov on Feb. 18. Rostec says the two will touch on a range of topics, with a focus on Russia’s presence in the Middle Eastern market, the search for public-private partnerships and the status of aviation projects such as the MC-21 commercial airliner.
Much of the equipment Russia will bring to this years IDEX show will befamiliar to attendees, and have seen heavy use in Russia’s campaign in Syria — such as the Su-35 and MiG-29 fighter jets. It’s likely Mideast customers are very familiar with Russian small arms and tanks, but Rostec is bringing a number of new offerings to the show this year.
One piece of hardware the company is set to unveil for the first time internationally is the Pantsir-ME shipborne air defense missile and artillery system. Pantsir will be located at the center of the Russian expedition, and a demonstration of the system is promised on Feb. 18 and 19.
“Pantsir-ME can be installed on most Russian warships and is very well fit for ships manufactured by other countries,” Alexander Mikheev, director general of the Russian government’s arms clearinghouse Rosoboronexport, said in a statement. “I am confided that it has very good export prospects in the Arab countries, southeast Asia and Latin America.
The Pantsir-ME system can be mounted on vessels displacing more than 300 tons, according to a joint Rosoboronexport-Rostec statement. They go on to claim that Pantsir’s missile complement can simultaneously fire on four targets at a distance of 20 kilometers, with a ceiling of 15 kilometers.
But the missiles are only the first advertised line of defense. Should they miss their target, Russia claims “the target will be hit by the artillery fire with a 100 percent guarantee.” The magic behind the claim is an advertised “completely automated” process from target acquisition to firing using a combined radio and optical-control system.
There is no analogous system found anywhere in the world, according to Rostec official Sergey Abramov, who noted that IDEX is a perfect platform to market Pantsir to customers in the Middle East and North Africa — “the strategic region of Rostec’s presence,” he said.
The Russian exhibition’s targeting of Mideast clients at IDEX 2019 also extends into the field of small arms. The big news from Russia’s gun industry: The Kalashnikov AK200 series assault rifles have been cleared for export. The AK200 is an export version of the new AK-12 assault rifle designed for the Russian military.
Rosoboronexport’s Mikheev expects “strong demand” for the rifle from Middle Eastern customers.
Rostec and Rosoboronexport claim the AK-200 builds upon the key characteristics of previous “AK” models, namely reliability, durability and easy upkeep. The new features include a Picatinny rail for attacking equipment, an adjustable butt plate and other ergonomic features. The weapon is marketed as an “AK” model for more discerning customers.
“The Kalashnikov AK200 series rifles are our strategic product in the export area,” according to Kalashnikov Director General Vladimir Dmitriev.
Several variants of the AK200 pattern will be offered to customers, designated as the AK200, AK203, AK204 and AK205. The rifles will be presented during small arms negotiations with potential customers at IDEX. (Source: Defense News)
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