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Fall 2008
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Written by Martin Sieff
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The decision of U.S. Secretary of Defense Robert Gates to set aside the award of the U.S. Air Force’s gigantic new air tanker contract to the European Aeronautic Defence and Space Company (EADS) and its American partner Northrop Grumman dealt a body-blow to the principles of free trade and mutual cooperation in defense procurement in the Atlantic Alliance. But major European defense contractors should not despair: To a much greater degree than most people realize there remains a wide spectrum of opportunities for the Europeans to boost their exports to the United States and thereby simultaneously strengthen defense capabilities on both sides of the Atlantic.
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Fall 2008
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Written by Robbin F. Laird
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“We in [Britain] are supporting you on your Joint Strike Fighter. Why are you not supporting us on the tanker?” This simple question, posed by Prince Andrew – the Duke of York and a man deeply involved in British industrial exports – to the representative of a major U.S. defense contractor at the 2008 Farnborough International Air Show last July in Britain, bares the frustration many Europeans in the defense industry have felt as of late. In other words, if the United States wants expanding international cooperation on warplanes in order to field stronger, more affordable modern Western air forces, is it helpful for Europe to see so many chauvinistic-sounding complaints in the U.S., especially in Congress, about the choice of a new in-flight refueling tanker for the U.S. Air Force? After a major competition for that important, long-running contract, the Pentagon chose a plane to be built by an international team involving Northrop Grumman-EADS, the European consortium that owns Airbus. The losing design came from Boeing, the U.S. aerospace giant that traditionally has been the sole supplier of in-flight refueling aircraft to the U.S. Air Force.
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Roundtables
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05/20/08 |
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The evolution of European and U.S. defense procurement and industrial relations was at the heart of the discussion. Current moves to consolidate the European defense procurement sector may have a lasting impact on transatlantic industrial cooperation, and procurement rules are under examination in the U.S. as well. François Gayet, Secretary General of the Aerospace and Defence Industries Association of Europe presented the European industry’s perspective. Robert Bell, Chairman of the NATO Industrial Advisory Group (NIAG) Study Group on Trans-Atlantic Defense Industrial Cooperation and Senior Vice President for European Business Development at SAIC, presented the results of NIAG’s report to NATO. Brig. Gen. Olivier-Pierre Jacquotte, Defense Cooperation Attaché at the Embassy of France, discussed France’s initiatives and plans for the French Presidency of the EU Council. Robert Kovac, Managing Director of the Directorate of Defense Trade Controls, U.S. Department of State, addressed progress made so far and challenges ahead for the licensing process. Amb. Robert E. Hunter, Senior Advisor, Rand Corporation and Former U.S. Permanent Representative to NATO, moderated the discussion. |
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Roundtables
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05/22/07 |
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Moderated by Mark Esper, Executive Vice President, Aerospace Industries Association (AIA), the first session of the seminar explored the impact of export controls on defense procurement. William Lowell, Consultant and former Director of the U.S. State Department’s Office of Defense Trade Controls detailed efforts to promote industrial cooperation. Hendrik Petersson, Vice President Export Compliance, Saab AB, highlighted the impact of ITAR regulations on the European defense industry and the future of an intra-community transfer regime. Peter Lichtenbaum, Vice President of Regulatory Compliance and International Policy, BAE Systems, addressed the challenges caused by export controls and their effects on international trade policy. François Gayet, Secretary General, AeroSpace and Defense Industries Association of Europe (ASD), served as the moderator for the second session at which Bernard Rétat, Chairman of the Defense Commission, ASD outlined European initiatives to streamline defense procurement and create a more competitive environment. The Hon. Robert Bell, Chairman of the NATO Industrial Advisory Group (NIAG) Study Group on Trans-Atlantic Defense Industrial Cooperation and Senior Vice President for European Business Development, SAIC examined the growing importance of interoperability and NATO procurement. Gary Powell, Assistant Deputy Under Secretary of Defense for Industrial Policy outlined specific Defense Department goals for Acquisition, Technology & Logistics (AT&L Goals). In his keynote remarks, The Hon. Marshall Billingslea, Acting Deputy Under Secretary of the Navy, and until recently Assistant Secretary General of NATO for Defense Investment, reviewed new trends in defense technology and procurement and their impact on the transatlantic alliance. |
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