04 Aug 17. State-owned Rostec Corporation and the Indonesia owned Enterprises State Trading company, PT.PPI signed a memorandum on cooperation. The document was signed by Deputy CEO Igor Zavyalov on behalf of Rostec and Export Import Senior Advisor Andi Killang Pakkanna Malaka on behalf of Indonesia owned Enterprises State Trading company, PT.PPI. The signing ceremony was attended by Gleb Nikitin, Deputy Minister for Industry and Trade of the Russian Federation, and Director General for International Trade Negotiation Iman Pambagyo of the Ministry of Trade of the Republic of Indonesia.
The memorandum provides for cooperation in the implementation of the bilateral trade program under the contract for the sale of Su-35 multipurpose fighters to Indonesia. To support the export of Indonesian goods, Rostec has agreed to proceed with a bilateral trade program as part of its obligations under the above contract. The Russian party will have the right to choose Indonesian goods and manufacturers to act as trading partners. The agreement is structured to promote the increase in the export of the most advanced goods produced by Indonesian companies to Russia. The list of goods will be negotiated by the members a working group appointed by the parties in accordance with the agreement.
“We believe that the signing of the agreement will further expand military and technical cooperation with Indonesia and improve trade relations between our two countries,” said Viktor Kladov, Director for International Cooperation and Regional Policy of Rostec.
The Su-35 is a Russian multidimensional fighter with a phased array antenna and thrust-vectoring engines. The fighter has the maximum speed of 2,500 km/h and the range of 3,400 km with a fighting range of nearly 1,600 km. It carries a 30 mm gun and has 12 hardpoints to carry a combination of bombs and missiles.
04 Aug 17. Report: Saudi Arabian defence spending to reach $80bn by 2022.
The annual military expenditure of Saudi Arabia is estimated to be $50.9bn in 2017 and reach $80.8bn by 2022, witnessing a compound annual growth rate (CAGR) of 7.54%, according to a report by Strategic Defence Intelligence (SDI).
Titled ‘Future of the Saudi Arabia Defense Industry – Market Attractiveness, Competitive Landscape and Forecasts to 2022’, the report evaluates the future trends of defence industry in Saudi Arabia.
The allocation for capital expenditure is projected to be an average of 45.2% during 2018-2022, while revenue expenditure allocation is estimated to be 54.8% of the country’s defence and security budget over the forecast period.
Defence spending is expected to be driven by the ongoing arms race among Middle East nations, growing instability in countries such as Syria, Iraq, and Yemen, and perceived threat from Iran.
The government of Saudi Arabia plans to invest in fighter and multi-role aircraft, border security, infantry fighting vehicles, main battle tanks, unmanned aerial vehicles, cyber security, submarines, computer network defence capabilities, and naval vessels, states the report.
The modernisation of defence systems and efforts to develop domestic military capabilities are expected to drive arms supplies, while lack of transparency, corruption, and unavailability of skilled labour are anticipated to hinder the growth of the Saudi Arabian defence industry. (Source: army-technology.com)
03 Aug 17. India Should Co-Produce Stealth Fighter with Russia, Says Top Panel. A high-powered panel appointed by the defence ministry to examine different aspects of the multi-billion dollar fifth generation fighter aircraft (FGFA) project has said that India should co-develop and co-produce the stealth fighter with Russia, Indian Air Force sources said.
At a time when the IAF has serious reservations about the project, the committee, headed by Air Marshal Simhakutty Varthaman (retd), has strongly recommended India should go ahead with it, the sources said.
HT was the first to report on