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April 16, 2020 | International, Aerospace, Naval, Land, C4ISR, Security

UK hits pause on defense review due to coronavirus

By: Andrew Chuter

LONDON — The British government has hit the pause button on its integrated defense review as it pours its efforts into battling the coronavirus crisis, Cabinet Office officials have told the parliamentary Defence Committee.

“The Cabinet Office has informed the defence select committee that work on the integrated review has been formally paused across Whitehall,” the committee announced April 15.

Committee chair Tobias Ellwood said in a statement that the move by the Cabinet Office, the department leading the review, was the right move to take given the crisis.

“There would be no point in conducting an in-depth review of the nation's defence and security challenges to an artificial deadline, especially at a time when Whitehall is rightly focusing on tackling conronavirus,” Ellwood said.

The recently appointed Defence Committee chair said that when the review restarts it will have to do so “with the added consequences of the pandemic to be considered.”

A spokesperson for the Defence Committee said the Cabinet Office had not given any indication as to when it might start to ramp up the review effort again. However, two sources tell Defense News that the review could go on ice for up to a year.

In a letter announcing the pause, deputy national security adviser Alex Ellis said that while the review was on hold, the government would be retaining a “small core capacity to think about the long-term effects of COVID-19 and issues expected to be covered in the Integrated Review." This team will be very limited in size and function, he added.

The Ministry of Defence already faced mounting budget problems before the pandemic struck. Now, the massive economic crisis facing the British government makes it highly unlikely any additional cash will be found for defense, despite the prominent role the military is playing here combating the virus.

The review was initiated immediately following Boris Johnson's election as prime minister in early December. Johnson promised it would be the most fundamental review of its kind since the end of the Cold War. Defense, security, foreign policy and international development strategy were to all be part of the effort. The review was scheduled by the government to be completed by July, a timescale the Defence Committee, analysts, lawmakers and others all said was too quick.

Johnson first signaled his intention to slow down work on the review in a letter to Ellwood and two other committee chair dated March 24.

“We have diverted resources from across Government and the Civil Service to work on COVID-19, scaling back efforts on the Integrated Review,” Johnson said at the time.

Quizzed last month by parliamentarians about a possible delay to the review, Defence Secretary Ben Wallace said the government was open-minded about putting the work on hold.

“There is no ideological block or determination to carry on come what may," Wallace said then. “With this coronavirus growing, if it is the right thing to do, we will absolutely pause the review if necessary; if not, we shall move forward.”

Jon Louth, an independent defense analyst, believes the government may have to start the review process over again, given the changing circumstances.

“I think we are close to going back to square one, if the budget settlement for defense is to be unpicked and secured as part of a late Autumn or Spring [2021] government-wide spending review,” he said. “Who could have any confidence in what the defense equipment program funding settlement would actually be? It could involve unpacking current contracts, but also unpick some of the ambition we have in terms of new things.

“What we have and what we would like are going to be colored by a budget settlement smaller than people were anticipating; in fact, quite substantially smaller. Whether that means the MoD starts to think about reprofiling things to the right or really starts taking strategic choices, we will have to wait and see,” added Louth, who until recently was a senior analyst at the Royal United Services Institute think tank in London.

https://www.defensenews.com/global/europe/2020/04/15/uk-hits-pause-on-defense-review-due-to-coronavirus/

On the same subject

  • L'Espagne investit pour moderniser ses avions de combat Eurofighter Typhoon

    December 20, 2018 | International, Aerospace

    L'Espagne investit pour moderniser ses avions de combat Eurofighter Typhoon

    Le gouvernement espagnol a débloqué une enveloppe de plus de 7 Md€ afin de mener trois programmes de modernisation. Le Ministère de la défense espagnol a annoncé le 14 décembre qu'une enveloppe de plusieurs milliards d'euros avait été débloquée afin de conduire trois programmes d'armement. Le conseil des ministres a ainsi autorisé un investissement de 7,331 Md€ pour la conduite de programmes pluriannuels de défense. Cette enveloppe doit permettre de financer trois programmes jusqu'en 2032. Gr'ce à ces 7 Md€, l'Espagne va pouvoir s'équiper de cinq frégates F-110, de 34 blindés VCR 8x8 et entamer la modernisation de sa flotte d'avions de combat Eurofighter Typhoon. Les dépenses autorisées pour l'Eurofighter sont donc revues à la hausse. 906 M€ devraient ainsi être alloués à la modernisation des appareils jusqu'en 2023. Gr'ce à cette décision, « la Défense pourra moderniser et adapter ces appareils en les équipant de nouvelles technologies », a déclaré le ministère de la défense espagnol. L'Espagne est partie prenante du programme Eurofighter aux côtés de l'Allemagne, de l'Italie et du Royaume-Uni. L'ejercito del aire dispose actuellement de 69 appareils sur les 73 commandés. Les quatre aéronefs restants devraient lui être remis au cours de l'année 2019. La flotte devrait ensuite rester en service jusqu'en 2045. http://www.air-cosmos.com/l-espagne-investit-pour-moderniser-ses-avions-de-combat-eurofighter-typhoon-118485

  • Contract Awards by US Department of Defense - October 26, 2018

    October 29, 2018 | International, Aerospace, Naval, Land, C4ISR, Security

    Contract Awards by US Department of Defense - October 26, 2018

    NAVY American International Contractors Inc., Arlington, Virginia (N62470-19-D-5000); Bryan 77 Construction JV,* Colorado Springs, Colorado (N62470-19-D-5001); ECC-MEZ LLC, Virginia Beach, Virginia (N62470-19-D-5002); P. & C. Development S.A/Ergotem S.A. JV, Athens, Greece (N62470-19-D-5003); SKE-ICM JV, Viale Venezia, 79/B33074 Fontanafredda (PN) (N62470-19-D-5004); and Zafer Taahhut, Insaat Ve Ticaret A.S., Ankara, Turkey (N62470-19-D-5005), are each awarded an indefinite-delivery/indefinite-quantity multiple award design-build, design-bid-build construction contract for construction and renovation projects located primarily at Camp Lemonnier, Djibouti (CLDJ), but also worldwide. The maximum dollar value including the base period and four option years for all six contracts combined is $240,000,000. The work to be performed provides for tasks for general building type projects (new construction, renovations, alterations, demolition, repair work, and any necessary design) including: industrial, airfield, aircraft hangar, aircraft traffic control, infrastructure, administrative, training, retail, food service, dormitory, community support facilities and both vertical and horizontal construction for Department of Defense activities. ECC-MEZ LLC is being awarded the initial task order at $9,990,000 for the construction of an Aircraft Apron Expansion at CLDJ, Djibouti, Africa. Work for this task order is expected to be completed by November 2020. All work on this contract will be performed in Camp Lemonnier, Djibouti, Africa, whose area of responsibility includes facilities located in Kenya, Africa, areas managed by the Naval Facilities Engineering Command, Europe, Africa and Southwest Asia, but also worldwide. The term of the contract is not to exceed 60 months with an expected completion date of October 2023. Fiscal 2018 military construction (Navy); and fiscal 2019 operations and maintenance (Navy) contract funds in the amount of $10,040,000 are obligated on this award; of which $50,000 will expire at the end of the current fiscal year. Future task orders will be primarily funded by military construction (Navy); and operations and maintenance (Navy). This contract was competitively procured via the Navy Electronic Commerce Online website, with 18 proposals received. These six contractors may compete for task orders under the terms and conditions of the awarded contract. The Naval Facilities Engineering Command, Atlantic, Norfolk, Virginia, is the contracting activity. Central Lake Armor Express Inc.,* Central Lake, Michigan, was awarded a $59,369,617 ceiling, firm-fixed-price, indefinite-delivery/indefinite-quantity contract for the production of up to a maximum 65,469 Plate Carrier Generation III – Soft Armor Inserts and data reports. Work will be performed in Central Lake, Michigan, and is expected to be complete by Oct. 24, 2023. Fiscal 2018 operations and maintenance (Marine Corps) funds in the amount of $2,220,578 will be obligated on the first delivery order immediately following contract award and funds will before the end of the fiscal year. This contract was competitively procured as a total small business set-aside via the Federal Business Opportunities website with 13 offers received. The Marine Corps Systems Command, Quantico, Virginia, is the contracting activity (M67854-19-D-1509). (Awarded Oct. 25, 2018) Praescient Analytics LLC,* Alexandria, Virginia, is awarded a $45,279,089 single award, indefinite delivery/indefinite quantity, supply and services contract (N65236-19-D-1002) utilizing firm-fixed-price and firm-fixed-price, level-of-effort delivery/task orders. This contract is for the delivery of an advanced analytics technical solution (AATS) software product. Work will be performed in Alexandria, Virginia (95 percent); and Charleston, South Carolina (5 percent), and is expected to be completed by October 2023. Fiscal 2018 and 2019 procurement (Marine Corps) funds in the amount of $15,701,990 will be placed on the first delivery order and obligated at the time of award. Funds will not expire at the end of the current fiscal year. The single award contract was competitively procured by full and open competition via the Space and Naval Warfare Systems Command - Electronic Commerce Central website and the Federal Business Opportunities website, with five offers received. Space and Naval Warfare Systems Center Atlantic, Charleston, South Carolina, is the contracting activity. Huntington Ingalls Industries San Diego Shipyard Inc., San Diego, California, is awarded a $44,779,160 firm-fixed-price contract for the execution of USS O'Kane (DDG 77) fiscal 2019 Extended Selected Restricted Availability. This availability will include a combination of maintenance, modernization, and repair of USS O'Kane. This contract includes options which, if exercised, would bring the cumulative value of this contract to $51,505,314. Work will be performed in San Diego, California, and is expected to be completed by January 2020. Fiscal 2019 operations and maintenance (Navy); fiscal 2019 other procurement (Navy); and working capital fund funding in the amount of $44,779,160 will be obligated at time of award, and funding in the amount of $35,141,499 will expire at the end of the current fiscal year. This contract was competitively procured using full and open competition via the Federal Business Opportunities website, with three offers received. The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity (N00024-19-C-4406). BAE Systems Technology Solutions and Services Inc., Rockville, Maryland, is awarded $9,532,186 for modification P00021 to previously awarded cost-plus-fixed-fee contract (N00030-17-C-0001) to provide systems engineering and integration services in support of Trident II (D5) strategic weapons system, the SSGN attack weapon system, and strategic weapon surety. Work will be performed in Rockville, Maryland (70.6 percent); Washington, District of Columbia (14.7 percent); Kings Bay, Georgia (5.1 percent); Silverdale, Washington (2.7 percent); Norfolk, Virginia (1.5 percent); San Diego, California (1.1 percent); Barrow, United Kingdom (1.1 Percent); Alexandria, Virginia (1.0 percent); Buffalo, New York (0.3 percent); Downingtown, Pennsylvania (0.3 percent); Ocala, Florida (0.2 percent); Pittsfield, Massachusetts (0.2 percent); Montgomery Village, Maryland (0.2 percent); New Lebanon, New York (0.2 percent); New Paris, Ohio (0.2 percent); Wexford, Pennsylvania (0.2 percent); Alton, Virginia (0.2 percent); Springfield, Virginia (0.2 percent); Vienna, Virginia (0.2 percent); and St. Mary's, Georgia (0.2 percent), with an expected completion date of Sept. 30, 2019. United Kingdom funds in the amount of $8,488,977; and fiscal 2019 research and development test and evaluation (Navy) funds in the amount of $1,043,209 will be obligated on this modification. No contract funds will expire at the end of the current fiscal year. Strategic Systems Programs, Washington, District of Columbia, is the contracting activity. AIR FORCE Northrop Grumman Systems Corp., Herndon, Virginia, has been awarded a $54,626,116 labor hour and cost contract for the Unified Platform Systems Coordinator. This contract provides for continued development, integration, fielding and sustainment for the Unified Platform Program. Work will be performed in San Antonio, Texas, and is expected to be completed by Oct. 31, 2021. This award is a result of a competitive acquisition and six offers were received. Fiscal 2019 research, development, test and evaluation funds; and operations and maintenance funds in the amount of $2,000,000 are being obligated at the time of award. Air Force Life Cycle Management Center, Joint Base San Antonio, San Antonio, Texas, is the contracting activity (FA8307-19-F-0002). AAI Corp., Hunt Valley, Maryland, has been awarded a $23,696,816 firm-fixed-price contract for non-developmental contractor-owned and contractor-operated unmanned aerial systems, intelligence, reconnaissance and surveillance. This contract provides support force protection efforts at airfields located within U.S. Air Forces Central Command. Work will be performed at Bagram Airfield and Kandahar AF, Afghanistan, with an optional site at Muwaffaq Salti Air Base, Jordan, and is expected to be completed by March 27, 2024. Fiscal 2019 operations and maintenance funds in the amount of $17,556 are being obligated at the time of award. Total cumulative face value of this contract is $114,064,396. The Acquisition Management and Integration Center, Joint Base Langley-Eustis, Virginia, is the contracting activity (FA4890-19-C-0002). * Small business https://dod.defense.gov/News/Contracts/Contract-View/Article/1674381/

  • Pentagon taps $688 million in coronavirus aid for defense industry

    June 3, 2020 | International, Aerospace, Naval, Land, C4ISR, Security

    Pentagon taps $688 million in coronavirus aid for defense industry

    By: Joe Gould WASHINGTON ― The Pentagon plans to spend hundreds of millions of dollars in coronavirus relief funding to support vulnerable manufacturers of submarine torpedo tubes, aircraft engine parts and hardened microelectronics that were hit by closures or other effects of the COVID-19 pandemic. The $688 million defense-industrial base fund is just one category within the $10.5 billion the Department of Defense received from Congress' $2.1 trillion CARES Act package. The department submitted its 54-page spending plan to Congress on Friday amid pressure from lawmakers after DoD had spent only 23 percent of that money weeks after it was signed into law in late March. The Pentagon has thus far obligated $167 million of the $1 billion Congress granted under the Defense Production Act, a Korean War-era law that the president recently invoked, to have industry produce key items such as N95 respirator masks and swabs needed for coronavirus testing, ventilators and other items. Under the same law, the Pentagon's spending plan says it would use $688 million to address impacts to the defense-industrial base caused by COVID-19, "by directly offsetting financial distress in the DIB and providing investments to regions most severely impacted to sustain essential domestic industrial base capabilities and spur local job creation.” The plan calls for $171 million for the aircraft propulsion industrial base; $150 million for shipbuilding and submarine launch tubes; $150 million for the space launch industrial base; $80 million for the microelectronics base; $62 million for body armor suppliers; and $40 million for high-temperature materials used in hypersonic weapons. The priorities likely overlap with vulnerable industrial base areas previously identified by the Pentagon's assessment last year, said Wesley Hallman, the National Defense Industrial Association's senior vice president of strategy and policy . “It makes sense given what's going on now economically to ― under the [coronavirus aid] legislation ― reinforce some of the critical vulnerabilities that were identified in that report,” Hallman said. The Pentagon plans $171 million to sustain and preserve the aircraft propulsion industrial base, as many military aviation suppliers have been hard hit from the commercial side by coronavirus travel restrictions. Some would preserve an "essential workforce through support to sustained operations at key repair facility and stabilizing sub-vendors essential to a healthy propulsion industrial base,” according to the department. What that means is the DoD may have to absorb some of suppliers' overhead costs to keep vital suppliers in business, said Teal Group aviation analyst Richard Aboulafia. “Commercial aviation is in the worst crisis it's ever faced, and aviation propulsion aftermarket is the single part of the industry most hit by COVID-19,” Aboulafia said. “It could be [that] if there's a part like a combustor, DoD could be saying: ‘What do you need by way of guaranteed orders to keep that line open?' ” The department, which relies on a vulnerable network of suppliers for parts for the venerable TF33 engine, hopes to “support initiatives to certify and approve new parts sources for” the engine and “catalyze the sub-tier vendor base and mitigate risk of sub-tier vendors exiting the propulsion business.” Pratt & Whitney hasn't made the TF33 in more than 40 years, but it's still used by the B-52 bomber, and no replacement is due for years. The DoD also planned $150 million for the shipbuilding industrial base in areas such as castings, forgings and submarine launch equipment, as well as to support continuous production of essential components such as missile tubes. (Shipbuilding overall has contracted over the last decade, and there were only four suppliers with the capability to manufacture large, complex, single-pour aluminum and magnesium sand castings, according to the DoD's 2019 industrial capabilities report to Congress.) The CEO of Virginia-based military contractor BWXT, Rex Geveden, said on an earnings call last year that the company ― which makes missile tubes for the Columbia-class submarine ― was mulling an exit from the missile tube business. The Navy and its Naval Sea Systems Command, he said, were seeking more than one supplier, adding: “We're not interested in the future orders unless we do have a way to make money on these orders.” The DoD planned another $150 million to maintain a competitive space launch industrial base. DoD relies on a small pool of companies to launch satellites into orbit, but there are numerous companies of all sizes that support those launches, and the DoD has sought to reintroduce more competition over the enterprise in recent years. The department would also spend $80 million to support several critical suppliers of radiation-hardened microelectronics ― products vital to DoD but with limited commercial applications. The funding would “protect the domestic capacity to ensure radiation hardened microelectronics testing capability, and key subcompacts such as substrates and wafer, are available for DoD weapon systems," according to the spending plan. The $40 million would protect suppliers of high-temperature materials used in potentially game-changing hypersonic weapons. “An expanded, sustainable domestic production capability for hypersonic systems is essential to the Department achieving its modernization priorities,” the plan states. https://www.defensenews.com/congress/2020/06/02/688m-in-covid-aid-helping-defense-firms-per-dod-plan/

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