US close to sending $567 million in immediate security aid to Taiwan

On the same subject

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  September 17, 2020 | International, Naval

  Amid Pacific naval arms race, US defense chief calls for increased funding for ships

  Aaron Mehta and David B. Larter Update 9/16/20 — The original version of this story included a statement from Esper's prepared remarks calling for the Navy's shipbuilding accounts to grow to 13 percent of the service's budget. His delivered remarks did not include that specific figure. The story has been appended below to reflect Esper's delivered comments. WASHINGTON — U.S. Defense Secretary Mark Esper on Wednesday announced called for increased funding for Navy shipbuilding after a major review of its force structure — but it is unclear where that funding will come from. In a speech delivered at the think tank Rand, Esper called for a Navy of “over 350 ships,” specifically by increasing the Navy's shipbuilding funding account. “We will build this fleet in such a way that balances tomorrow's challenges with today's readiness needs, and does not create a hollow Navy in the process,” Esper said. "To achieve this outcome, we must increase funding for shipbuilding and the readiness that sustains a larger force. Doing this, and finding the money within the Navy budget and elsewhere to make it real, is something both the Navy leadership and I are committed to doing. The Pentagon sought $207 billion for the Navy in its fiscal 2021 budget request. Even a 2 percent shift under that top line would represent $4.14 billion in extra funding for shipbuilding — real money, even by Pentagon standards. The call to shift funding toward shipbuilding comes amid an accelerating naval arms race in the Pacific, with China investing in both a massive fleet and shore-based, long-range anti-ship missile capabilities to keep the U.S. Navy's powerful carrier air wing out of striking distance. China is building toward a fleet of as many as 425 ships by 2030, according to the Center for Strategic and International Studies, while the U.S. Navy is building to a fleet of more than 355 ships, Esper said. The decision to increase shipbuilding funds, which Esper billed as a “game changer” in his remarks, comes as a result of an internal “Future Naval Force Study,” led by Deputy Secretary of Defense David Norquist. That study — which essentially superseded a review from the service itself — was delivered to Esper this week. That envisioned fleet will include a number of unmanned systems that will “perform a variety of warfighting functions, from delivering lethal fires and laying mines, to conducting resupply or surveilling the enemy,” Esper added. “This will be a major shift in how we will conduct naval warfare in the years and decades to come.” In his remarks, Esper said the forthcoming study “will serve as our guidepost as we decide on, program and build out future fleet and conduct follow-on assessment in select areas.” “In short it will be a balanced force of over 350 ships, both manned and unmanned, and will be built in a relevant time frame and budget-informed manner,” he added. Part of the increased funding could come from Congress shifting around authorities. Esper called on the defense committees to allow the service to “put unused end-of-year Navy funding directly into the shipbuilding account, rather than see it expire.” Traditionally, unspent dollars at the end of the fiscal year are no longer usable by the military. But an internal shift in the Navy's budget, without a corresponding overall increase, means a shift in priorities elsewhere — likely, at least in part, through the retirement of older systems. A key question is whether the Navy will need to fully fund the budget realignment from inside its own coffers, or whether the Department of Defense will realign its own priorities to cover any of the increase, something Esper has been hesitant to commit to in the past. The Navy's shipbuilding budget has been squeezed by the arrival of the Columbia-class ballistic missile submarine, the exorbitantly expensive next generation of nuclear deterrent-bearing boats. Adm. Michael Gilday, the chief of naval operations, said in a January speech at the annual Surface Navy Association symposium that the DoD budget should be realigned to cover the cost of the new Columbia class because it is eating a disproportionate share of the shipbuilding budget at a time the country is trying to grow the size of the fleet to match China. Even a single percentage realignment would make a difference, Gilday argued. To compare, he said, the Navy's budget in the 1980s — when it was building the Ohio-class ballistic missile submarine — was much higher than today's budget. “One percent of the DoD budget would be $7 billion per year in the shipbuilding accounts,” the CNO explained. “If I make some comparison from today and I go back to the 1980s, there are some similarities there.” “Right now we are building the Columbia-class submarine. That is my highest priority,” he added. "By the time we sundown the Ohio class, we'll have 42 years in those hulls. We need to get Columbia out there. “Now, let's go back to when we were building Ohio in the 1980s: It was about 20 percent of the shipbuilding budget. Right now, Columbia is about 20-25 percent. In FY26-30 it's going to be about 32 percent. That's a lot of dough. In the 1980s, the Navy's percentage of the DoD budget was 38 percent. Right now, it's 34. So I think historically I have a case to make.” Jerry Hendrix, a retired Navy captain and analyst with the Telemus Group, said the recognition that the DoD is underfunding shipbuilding is a big step. “It sounds like he [Esper] has recognized that given where we are going with the Columbia class, that the Navy needs more money for shipbuilding, and that's an important recognition,” Hendrix said. “The other part of this is: Is this coming from the Navy's budget, or is it coming from the DoD budget? Because the Navy still needs the rest of its budget to do training and readiness. So that is a very important aspect of this.” https://www.defensenews.com/naval/2020/09/16/amid-pacific-naval-arms-race-us-defense-chief-pledges-billions-more-for-ships/

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  July 23, 2020 | International, Aerospace

  Lockheed, Boeing Got Half of $2.3 Billion in Pentagon Virus Cash

  By Anthony Capaccio Lockheed Martin Corp. and Boeing Co. received about half of an initial $2.3 billion in increased, accelerated payments the Pentagon provided contractors to help companies' cash flows after the Covid-19 pandemic erupted in the U.S. The initial infusion was included in $13 billion in regular, periodic progress payments paid to the companies, according to newly released defense figures. Lockheed Martin initially received $685 million while Boeing got $670 million, according to a Pentagon statement to Bloomberg News In a separate statement, Lockheed Martin said that modifications to existing contracts resulted in additional accelerated payments to the company, increasing its total received to $1.1 billion by June 30, “all of which we have flowed down to our supply base.” Lockheed and Boeing are the top two U.S. defense contractors, so they were expected to get the biggest share of the funds. Other companies receiving the accelerated payments include: Raytheon Technologies Corp.: $410 million L3 Harris Technologies Inc.: $74 million The Boeing/Lockheed United Launch Alliance LLC: $70 million Northrop Grumman Corp.: $70 million Another $321 million went to other companies. The companies are benefiting from a policy the Pentagon announced in March, just as the pandemic was building in the U.S., that provided for faster, and bigger, payments to companies. The move was intended to guarantee that critical national security contracts -- including the production of key weapons systems and supplies -- weren't interrupted by companies having problems accessing cash or credit. The extra funding would ensure production lines were able to stay open. The Defense Department's move meant that larger firms could get as much as 90% of their payments for contracts in progress, up from 80% previously. For smaller businesses, which might be more susceptible to virus impacts, the rate rose to 95% from 90%. As the initial funds were identified, the Pentagon “worked with each of the major primes to ensure that they were identifying at risk companies in their supply chain and flowing down payments to those companies, as well as all companies doing work for the prime,” said the statement. The major contractors “have been flowing down payments, in some cases more than the payments received from DOD,” it said. Pentagon officials initially estimated in March about $3 billion would be paid but that number included a potential $700 million payment on a long-standing contract that further analysis deemed was not necessary. In addition to the accelerated progress payments, the Air Force in April released to Boeing $882 million withheld from the company over current deficiencies with its KC-46 military tanker program as part of Covid-19 relief efforts. After the program was announced, Senator Elizabeth Warren, who serves on the Armed Services Committee, expressed concern about its oversight. In particular, the Massachusetts Democrat questioned whether companies might try to divert the increased payments for stock buybacks, dividends or executive pay. Pentagon Undersecretary for Acquisition and Sustainment Ellen Lord in a May 15 letter to Warren said that hasn't been the case. “Companies do not divert payments for incurred costs to share buybacks, dividends or executive salaries because contractors must have already incurred costs before they receive the increased progress payments,” Lord wrote. https://www.bloomberg.com/news/articles/2020-07-22/lockheed-boeing-got-half-of-2-3-billion-in-pentagon-virus-cash

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  May 30, 2024 | International, C4ISR

  Europol Shuts Down 100+ Servers Linked to IcedID, TrickBot, and Other Malware

  Europol takes down major malware loader operations in Operation Endgame. Over 100 servers dismantled and four arrests made.