Back to news

May 22, 2020 | International, Aerospace, Naval, Land, C4ISR, Security

French defense industry plays catch-up as lockdown partially lifts

By:

PARIS — As France slowly emerges from an almost complete industry shutdown imposed March 16 in response to the COVID-19 pandemic, defense company executives are considering their next steps.

Stephane Mayer, Eric Trappier and Herve Guillou — respectively presidents of the groups of French industries for land and air-land (GICAT), air and space (GIFAS), and naval (GICAN) systems — were witnesses at an April 23 hearing by the National Assembly's Defence Committee. They said that despite the partial return of employees to work, the supply chain is still experiencing problems.

The three industry leaders explained that following discussions with unions and the implementation of modifications in the workplace that enable employees to work while maintaining a distance of at least 1 meter between each other, about 30 percent of the workforce on production sites was back by April 23. Those able to work from home are doing so, they added.

More employees returned to work on May 11 when the lockdown was eased, but personnel who can continue to work from home are being urged to do, they said. Meanwhile, shifts are being modified to ensure workers don't arrive and leave at the same time, they added.

However, all three agreed that the supply chain had been interrupted, most notably in the aeronautical sector because of its dual military-civilian role and the near-total halt in air traffic, which negatively affected imports.

They explained that during the lockdown, defense industry leaders and the French procurement office DGA jointly set out priorities for programs and established what activities must be maintained to ensure the military continues its missions within France and in foreign theaters.

How are exports performing?

All three were also unanimous in their analysis that the French defense sector could take a hit in the export market, noting that German companies never completely stopped their activities; China was quick to reconnect with potential export clients; and the American defense sector benefits both from the continuation of much of its production capacity and massive support from the federal government.

This was later repeated by Guillou at a video conference organized this week by the Foundation for Strategic Research think tank.

“None of us can survive unless we have 50 percent of our order intake from the export market," Guillou said. "Even if the French market returns to normal, we still have that 50 percent export segment to worry about. If we want to remain competitive on the world export market, keeping in mind that the Chinese ramped up before we did, that the Russians, Germans and Dutch never stopped, we will have to restore our competitivity extremely quickly ... to stay in the race and not lose a part of this market forever.”

He also stressed that the need to catch up is a major concern of the French defense industry.

What about the supply chain?

The supply chain in France is largely made up of small and medium-sized enterprises. Eric Beranger, CEO of European missile-maker MBDA, told French Armed Forces Minister Florence Parly on May 6 that some of the 1,200 French suppliers that work for the company are now very fragile due to the developing economic crisis.

Guillou remarked during the video conference that the “terrific solidarity” among the supply chain and subcontractors, as well the prime contractors in the naval sector, is something he'd never come across in his 40-year career. But he added that the small and medium-sized enterprises serving the aeronautical sector are suffering more.

The Armed Forces Ministry began slowly ramping up on May 7 based on two principles: preserving the health of staff and their families (all personnel, civilian or military, have been given masks, which must be worn by those who work in confined spaces such as workshops, restaurants or vehicles); and continuing with the ministry's essential mission. This includes programs meant to keep fielded weapons and equipment in operational condition, but it also concerns the delivery of new materials.

“The reversibility of the procedures means that were the epidemic to break-out again within the ministry we would be able to handle it,” a May 7 ministry statement said.

https://www.defensenews.com/industry/2020/05/21/french-defense-industry-plays-catch-up-as-lockdown-partially-lifts/

On the same subject

  • Contract Awards by US Department of Defense - May 12, 2020

    May 13, 2020 | International, Aerospace, Naval, Land, C4ISR, Security

    Contract Awards by US Department of Defense - May 12, 2020

    ARMY Raytheon/Lockheed Martin Javelin JV, Tucson, Arizona, was awarded a $121,764,089 modification (P00018) to contract W31P4Q-19-C-0076 for the Javelin weapon system. Work will be performed in Tucson, Arizona, with an estimated completion date of Aug. 31, 2023. Fiscal 2019 and 2020 missile procurement (Army) funds in the amount of $121,764,089 were obligated at the time of the award. U.S. Army Contracting Command, Redstone Arsenal, Alabama, is the contracting activity. Construcciones Jose Carro SE, Coto Laurel, Puerto Rico, was awarded a $9,469,023 firm-fixed-price contract to construct channel scour protection and toe key revetment. Bids were solicited via the internet with one received. Work will be performed in Dorado, Puerto Rico, with an estimated completion date of Feb. 28, 2021. Fiscal 2020 civil construction funds in the amount of $9,469,023 were obligated at the time of the award. U.S. Army Corps of Engineers, Jacksonville, Florida, is the contracting activity (W912EP-20-C-0005). NAVY Airborne Tactical Advantage Co. LLC, Newport News, Virginia, is awarded a $34,553,773 modification (P00023) to previously awarded firm-fixed-price, cost-reimbursable, indefinite-delivery/indefinite-quantity contract N00019-15-D-0026. This modification extends the period of performance for contractor-owned and operated Type III high subsonic and Type IV supersonic aircraft. Work will be performed in Newport News, Virginia (44%); Point Mugu, California (37%); and various locations outside the continental U.S. (19%). Work will provide airborne threat simulation capabilities and updates to the government furnished property list in support of the Contracted Air Services Program. Work is expected to be complete by November 2020. Funds will be obligated on individual delivery orders as they are issued. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. Sikorsky Aircraft Corp., Lockheed Martin Co., Stratford, Connecticut, is awarded a $29,940,372 modification (P00039) to previously awarded cost-plus-fixed-fee, fixed-price-incentive-firm-target and firm-fixed-price contract N00019-16-C-0048. This modification provides for rate tooling, physical configuration audits, associated systems engineering and program management in support of CH-53K aircraft production. Work will be performed in Stratford, Connecticut (28.7%); Salt Lake City, Utah (21.88%); Macomb, Michigan (11.01%); Wichita, Kansas (6.04%); Redmond, Washington (5.89%); Rome, New York (5.16%); North Haven, Connecticut (4.42%); Quebec, Connecticut (3.4%); Shelby Township, Michigan (3.36%); Newington, Connecticut (2.07%); Fort Plain, New York (1.44%); Minden, Nebraska (1.2%); Lenexa, Kansas (1.1%); various locations within the continental U.S. (3.71%); and various location outside the continental U.S. (0.62%). Work is expected to be complete by December 2023. Fiscal 2019 aircraft procurement (Navy) funds for $29,940,372 will be obligated at the time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. United Technologies Corp., Pratt and Whitney Engines, East Hartford, Connecticut, is awarded a $10,648,976 modification (P00022) to previously awarded fixed-price-incentive-firm contract N00019-17-C-0020. This modification procures one low rate initial production Lot 11 afloat spares package kit for the Marine Corps in support of the F-35 Lightning II combat aircraft program. Work will be performed in East Hartford, Connecticut (20%); Indianapolis, Indiana (17%); Windsor Lock, Connecticut (16%); North Berwick, Maine (14%); Midland, Georgia (7%); Middleton, Connecticut (7%); Rockford, Illinois (7%); Phoenix, Arizona (6%); Bristol, United Kingdom (5%); and Santa Isabel, Israel (1%). Work is expected to be complete by September 2021. Fiscal 2020 aircraft procurement (Navy) funds for $10,648,976 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. DEFENSE LOGISTICS AGENCY Serco Inc., Herndon, Virginia, has been awarded a maximum $29,002,941 modification (P00021) exercising the third one-year option period of a one-year base contract (SP3300-17-C-5003) with four one-year option periods for chemical management services. This is a firm-fixed-price with cost-reimbursement and cost-plus-fixed-fee contract. Locations of performance are Virginia, North Carolina, Florida and California, with a May 15, 2021, performance completion date. Using customer is the Defense Logistics Agency Aviation. Type of appropriation is fiscal 2020 through 2021 defense working capital funds. The contracting activity is Defense Logistics Agency Distribution, New Cumberland, Pennsylvania. AIR FORCE The Boeing Co., St. Louis, Missouri, has been awarded a $25,439,155 firm-fixed-price delivery order to contract FA8621-15-D-6266 to provide C-17 training devices and spares for the NATO Airlift Management Program located at Papa Air Base, Hungary. The training system will consist of one C-17 Weapon System Trainer (composed of an air vehicle station with an instructor operator station (IOS) and a loadmaster station with an IOS, a learning center complete with computer-based training systems, core integrated processor task trainer, courseware and initial spares to support these items for two years. Work will be performed at Papa AB, Hungary, and is expected to be completed June 1, 2022. This award is a sole-source acquisition. Foreign Military Sales funds to NATO in the full amount will be obligated at the time of award. Air Force Life Cycle Management Center, Wright-Patterson Air Force Base, Ohio, is the contracting activity. (Awarded May 8, 2020) DEFENSE HEALTH AGENCY American Systems, Chantilly, Virginia, was awarded a cost-plus-fixed-fee task order with a value of $11,636,887. HT0038-20-F-0006 provides transformation planning of the Theater Medical Information Program-Joint into a modular and portable software suite with a unified architecture. This task order has a period of performance from May 13, 2020, to Sept. 30, 2020. The estimated completion date is Sept. 30, 2020. Work will primarily occur in Chantilly, Virginia. This award will be funded by fiscal 2020 operations and maintenance funds; and research and development funds. This task order is a Small Business Innovation Research Phase III award. The contracting activity is the Defense Health Agency, Falls Church, Virginia. DEFENSE COUNTERINTELLIGENCE AND SECURITY AGENCY Verato Inc., McLean, Virginia, was awarded a firm-fixed-price delivery order (HS0021-20-F-0010) under HS0021-19-A-0005, for an estimated $8,735,669 for the Defense Counterintelligence and Security Agency (DCSA). The delivery order provides for tri-merge credit reports and credit monitoring in support of the background investigation process. Work will be performed in McLean, Virginia. This delivery order is funded with fiscal 2020 DCSA working capital funds, with $2,183,917 obligated at time of award. The anticipated delivery period is from May 17, 2020, through May 16, 2021. DCSA Acquisition and Contracting, Quantico, Virginia, is the contracting activity. *Small business

  • Cash in hand for armored vehicles, Italy weighs its clout in Europe

    May 29, 2024 | International, Land

    Cash in hand for armored vehicles, Italy weighs its clout in Europe

    Officials in Rome will soon pick industry alliances for a multibillion-dollar infantry fighting vehicle and, potentially, Europe's next-gen tank.

  • La place Beauvau recherche 645 drones

    April 21, 2020 | International, Aerospace

    La place Beauvau recherche 645 drones

    Le ministère de l'Intérieur vient de diffuser un appel d'offres portant sur 645 drones en quatre lots. Le volume total atteindrait les 3,8 M€. 645 drones de toutes tailles Le service de l'achat, de l'innovation et de la logistique du ministère de l'Intérieur (SAELSI) recherche 645 drones de toutes tailles, apprend-on dans un appel d'offres diffusé le 15 avril. Le volume atteindrait les 3,8 M€ en quatre lots. Le premier concerne les drones du quotidien, un programme initié par la gendarmerie, et qui désormais semble profiter aussi à la police nationale. Le contexte d'emploi principal concerne des opérations diurnes. Ce lot de 1,8 M€ concerne à la fois la formation, la fourniture de drones (565) et leur maintenance pour des unités non spécialisées. Tout le territoire et l'outremer pourront être ainsi dotés. Nano-drones Le deuxième lot équipera des drones pour les unités nationales spécialisées, pour une valeur de 1,58 M€. Les mini-drones concernés sont utilisables de jour comme de nuit, et plus résilients, mais aussi plus chers. Là aussi, le lot concerne la formation, le MCO et la livraison des 66 drones, de quoi équiper notamment le GIGN, le RAID et leurs antennes. Tous sont aujourd'hui dotés d'une kyrielle de modèles. Les nano-drones spécialisés constituent le troisième lot. Il sera là aussi réservé aux unités dont certaines, comme le GIGN, disposent déjà de Black Hornet. Le volume peut sembler assez minime puisque seulement 175 000 euros sont réservés. Ce qui, au prix, du Black Hornet 3 représente assez peu de systèmes. Les prévisions sont néanmoins assez élevées, pas moins de 20 nano-drones. Le quatrième et dernier lot concerne les capacités de communication afférentes, pour une valeur de 240.000 euros. 300 passerelles wi-fi sont attendues. Barkhane La gendarmerie a été motrice sur l'engagement de drones, via le GIGN, mais aussi lors de manœuvres de maintien de l'ordre, à Notre-Dame des Landes, lors des manifestations des gilets jaunes. Elle a notamment utilisée des DJI Phantom IV et des micro drones NX70 et NX110 de Novadem. Elle a rencontré des difficultés avec les NX70 de première génération, interdits de vol plusieurs mois. Ces problèmes ont apparemment été réglés sur la deuxième génération, car les militaires qui les utilisent à Barkhane n'en font pas état. L'expérimentation de drone du quotidien, qui vient de s'achever, a concerné 48 micro-drones, notamment des Mavic Pro et des Anafi du Français Parrot qui a manifestement une belle carte à jouer. https://air-cosmos.com/article/la-place-beauvau-recherche-645-drones-22936

All news