March 3, 2021 | International, Aerospace
Australia makes another order for Boeing’s Loyal Wingman drones after a successful first flight
The design will also be the basis of one of the U.S. Air Force's Skyborg entrants.
June 26, 2018 | International, Aerospace
Airbus threatens to leave Britain over Brexit trade relations
By: Danica Kirka, The Associated Press
LONDON — Aviation giant Airbus is threatening to leave Britain if the country exits the European Union without an agreement on trade relations, underscoring the concerns of business leaders who say the government is moving too slowly.
Airbus, which employs about 14,000 people at 25 sites in the U.K., said it needs to know by the end of the summer what rules will govern its operations, or the company will “reconsider its long-term footprint in the country.” Airbus also says a proposed transition deal that runs through December 2020 is too short for the company to reorganize its supply chain.
“While Airbus understands that the political process must go on, as a responsible business we require immediate details on the pragmatic steps that should be taken to operate competitively,” Tom Williams, CEO of Airbus Commercial Aircraft, said in a statement. “This is a dawning reality for Airbus. Put simply, a no-deal scenario directly threatens Airbus' future in the U.K.”
While many business leaders have demanded clarity about the future with Britain set to leave the EU in nine months, Airbus' sheer size and role in the economy make it an influential voice in the Brexit debate.
Airbus is the U.K.'s largest commercial aerospace company, a leading provider of military satellite communications and the biggest supplier of large aircraft to the Royal Air Force. It also has a significant impact on other companies, funneling an estimated £5 billion (U.S. $6.6 billion) to 4,000 U.K. suppliers, including big names like Rolls-Royce, as well as many smaller businesses.
Darren Jones, the member of Parliament for the community where Airbus makes wings, attacked the government for listening to those who want the most hard-line form of Brexit and “not to the businesses that employ thousands of British workers, including Airbus.”
“Thousands of skilled, well-paid jobs are now on the line because of the shambolic mess the government have created over the Brexit negotiations,” he said.
Airbus, the biggest rival to U.S.-based aircraft-maker Boeing, has been a prime example of how European cooperation could lead to success in business. The German, French and Spanish governments own 26.4 percent of Airbus, which was created through the merger of German, French and Spanish aerospace companies.
Prime Minister Theresa May's government reacted quickly to the Airbus statement, saying it was confident of getting a good deal and “we do not expect a no-deal scenario to arise.”
But Williams said Airbus is frustrated after it tried to discuss its concerns with the government for 12 months and made little progress.
“We've got to get clarity,” he said in an interview with the BBC. “We've got to be able to protect our employees, our customers and our shareholders, and we can't do that in the current situation.”
The comments came as Airbus published an assessment of the risks Brexit poses to the company. The report shows that Airbus, like many modern companies, is particularly vulnerable to Brexit because of its international supply chain. Plants in several countries make specialized components, which are shipped back and forth across international borders as aircraft are assembled.
Britain's membership in the EU makes this easy because goods move freely between the 28 member states, with no tariffs or other trade barriers. That will change after Brexit because Britain will not be a member of the EU's single market and customs union.
While the U.K. government says it wants trade to be as frictionless as possible after Brexit, manufacturers are running out of time to plan for the future.
Airbus said it is facing a variety of decisions, including whether to invest in future manufacturing capacity, the need to build up stocks of components in the event of border delays and how to ensure parts are certified by aircraft regulators in the future.
Delays caused by a no-deal scenario could cost Airbus as much as €1 billion euros (U.S. $1.2 billion) of revenue a week, according to the risk assessment.
“This scenario would force Airbus to reconsider its investments in the U.K., and its long-term footprint in the country, severely undermining U.K. efforts to keep a competitive and innovative aerospace industry, developing high-value jobs and competences,” Williams said.
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October 17, 2019 | International, Land
3 ways the Pentagon wants to make buying American weapons easier
By: Aaron Mehta WASHINGTON — America sold more than $55 billion in weapons abroad in fiscal 2019, but the man in charge of those efforts hopes to increase sales as he continues to tinker with the security cooperation system. Security cooperation has long been a foreign policy tool in America's pocket, but under the Trump administration, it “has been elevated to a tool of first resort for U.S. foreign policy,” Lt. Gen. Charles Hooper, the head of the Defense Security Cooperation Agency, said during a panel at the Association of the U.S. Army's annual conference. Since taking over at DSCA, Hooper has implemented a series of reforms aimed not only at speeding the process up, but shaving costs for potential buyers. He intends to keep that reform effort going in 2020. Here's how: Continue to cut surcharge costs. In June, DSCA dropped a surcharge on American defense goods sold abroad from 3.5 percent to 3.2 percent; later that year, the agency also cut a transportation administration fee. Both those charges are used to support DSCA operations, but some in the security cooperation process had argued the increased prices for customers would lead potential buyers to look to cheaper Russian or Chinese goods in the future. Hooper said that in 2020, DSCA plans to also cut the contract administration surcharge — applied to each FMS case to pay for contract quality assurance, management and audits — from 1.2 percent to 1 percent. “This will reduce the overall costs of FMS and could potentially save allies and partners 16.7 percent in CAS surcharges in this coming year,” Hooper said. Make it easier for customers to get custom weapon systems. The FMS system is set up to help sell weapons that are identical to systems already in use by the U.S. military. It's easier to move a package of Abrams tanks equipped with the same gear that multiple countries use than to push through a custom version with specific capabilities. But Hooper noted that partners are moving away from standard designs and are looking for systems “designed and tailored to meet their needs. Our system was not initially designed to process these types of systems, which increases time and cost in the U.S. response.” To help deal with that, DSCA established an “interagency non-program of record community of interest,” which involves all the agencies that have a say in the process, to figure out ways to make moving custom systems more plausible. The goal is to have a new pathway for moving those capabilities by 2020, which Hooper says will “reduce the time it takes to review request for non-program of record systems, to facilitate industry ability to compete in this global market.” Plan out commercial offsets. Many countries require offsets from industry for big foreign military sales. These offsets are essentially throw-in sweeteners for the buying country, put together from the industrial partner. In the past, these were often things like building a new library or school. But in the last two decades, some countries specifically requested high-end technologies or tech transfer to jump-start their domestic defense industries. Because offsets are negotiated between the industrial partner and the customer nation, the Pentagon, which serves as the in-between for an FMS case, often finds out about offsets only at the end of the process. But with offsets becoming more technological, those now require more review time, and so a deal can slow down while the relevant agencies approve the deal. Hooper hopes 2020 will see industry better inform DSCA of potential offsets early in the process so that last minute hangups can be avoided. “We continue to encourage our industry partners to inform the U.S. of potential offset requirements early on so that we can begin the necessary technology security foreign disclosure and policy reviews as early as possible,” Hooper said. https://www.defensenews.com/digital-show-dailies/ausa/2019/10/16/3-ways-the-pentagon-wants-to-make-buying-american-weapons-easier/
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November 1, 2022 | International, C4ISR
Space Force's Calvelli issues acquisition 'guideposts'
The memo, obtained by C4ISRNET, highlights nine acquisition tenets aimed at fielding space capabilities on faster timelines.