22 avril 2020 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité
By: Joe Gould
WASHINGTON ― Factory closures in Mexico due to the coronavirus pandemic are hurting U.S. defense firms, and the Pentagon is urging America's neighbor to the south to reopen vital suppliers.
Because Mexico has not designated its aerospace and defense sector as essential, it's disrupting the supply chain for the American defense industrial base, particularly aircraft manufacturers. Though little known, Mexico's defense exports to the U.S. and beyond grew mightily over the last 15 years as defense firms large and small opened production facilities there.
Speaking to reporters at the Pentagon on Monday, Undersecretary of Defense for Acquisition and Sustainment Ellen Lord said she discussed the problem with U.S. Ambassador to Mexico Christopher Landau. She was planning a letter to Mexican Foreign Affairs Minister Marcelo Ebrard, she said, to ask that he, “help reopen international suppliers there.
“These companies are especially important for our U.S. airframe production.”
The pandemic has raised broader questions about America's dependence on global supply chains, particularly its reliance on China for key medicines and supplies. A Pentagon task force set up to monitor COVID-19′s impact on military suppliers found “several pockets of closure” linked to “international dependencies,” Lord said.
“Mexico right now is somewhat problematical for us but we're working through our embassy, and then there are pockets in India as well,” Lord said.
More broadly, only small fractions of the Pentagon's suppliers in the U.S. have closed due to the new coronavirus and distancing measures imposed to fights its spread, but the aviation, shipbuilding and small space launch subsectors have been hardest hit by disruptions from the virus, Lord said.
The Pentagon is using $250 million from last month's emergency stimulus funding to bolster defense firms, and it will funnel another $750 million to medical resources.
The Defense Department is also working with the White House budget office to request “billions and billions” of dollars in future fiscal packages to cover schedule delays, accelerated progress payments and other costs, Lord said.
A Pentagon spokesman declined to provide details about the products and companies impacted by the Mexican factory closures, and said Lord's letter to Ebrard was not being shared publicly because it contained sensitive information.
A 2013 United States International Trade Commission report noted that General Electric, Honeywell, Lockheed Martin and Eurocopter were among more than a dozen U.S. firms of various sizes that opened Mexican subsidiaries ― all part of a Mexican aerospace export boom.
Mexico's growth was fueled by its lower manufacturing costs, duty-free access to markets through the North American Free Trade Agreement, a Bilateral Aviation Safety Agreement with the U.S., and by Mexican government subsidies and workforce development efforts.
According to the Mexican Federation of Aerospace Industries, or FEMIA, Mexico's aerospace exports rocketed from $1.3 billion in 2004 to $9.6 billion last year. Lizcano said Mexico manufactures everything from avionics, to landing gear and fuselages, and it's in the top ten overseas suppliers to the U.S. aerospace and defense sector.
But coronavirus is blunting Mexico aerospace growth, and it is reverberating across its economy. Mexico's Labor Department said this month that the country had lost 346,748 jobs since mid-March due to the economic impact of the new coronavirus.
FEMIA is arguing publicly that its government should designate Mexico's aerospace and defense sector as “essential,” to synchronize with the U.S. and Canada, its general manager, Luis Lizcano, told Defense News. It's also coordinating with its trade association counterparts in the U.S. and Canada.
“What we're asking is that we standardize in this sector because we're going to break with supply chains with OEMs for commercial and defense aircraft,” Lizcano said.
The U.S.-based Aerospace Industries Association had a similar argument:
“Maintaining the free flow of goods and services between the United States, Canada, and Mexico is vital to our nation's economy and to our industry," AIA President and CEO Eric Fanning said in a statement. He hailed the recent United States-Mexico-Canada Agreement as aid to that goal.
“However, this certainty is currently threatened by disruptions in America's common aerospace and defense supply chain affecting companies of all shapes and sizes. To restore certainty and keep goods and services moving, all levels of government within the U.S., Canada, and Mexico must work together to provide clear, coordinated, and direct guidance about how best to protect our workers, while ensuring aerospace and defense is declared an ‘essential' function in all three countries.
"A unified North American approach helps ensure critical operations will continue under some of the strictest health and safety standards in the world and offer much-needed stability during this crisis.”
On Monday, the CEO of the National Defense Industrial Association, retired Gen. Herbert “Hawk” Carlisle, said the increasingly global nature of some American defense supply chains cannot and should not be reversed. The U.S. ought to keep its suppliers diversified, he said, to avoid choke points overseas.
“What you don't want are single points of failure where if something happened in that country, it couldn't produce,” Carlisle said. “You have [to have] multiple, avenues to supply that capability. Some may be internal, and you can have more than one nation external.”
10 octobre 2024 | International, Aérospatial
The programme aim is to enhance secure communications and information systems for the UAE's national security, providing cutting-edge protections for strategic applications
30 novembre 2023 | International, C4ISR
The summit is slated for early 2024 and is designed to update companies on the Replicator process and get feedback on the Defense Department’s plans.
1 novembre 2018 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité
NAVY Millennium Corp.,* Arlington, Virginia, is awarded an indefinite-delivery/indefinite-quantity contract to provide program management support services for the Naval Air Systems Command (NAVAIR). This contract is an additional award against a previously announced multiple award contract, with an estimated aggregate ceiling for all contracts of $960,000,000, with the companies having an opportunity to compete for individual orders. Services to be provided include leading, facilitating, and ensuring the strategic planning, implementation, coordination, integration, and evaluation of programmatic activities and administrative systems for NAVAIR managed programs' program executive offices. Work will be performed at various locations within the NAVAIR Patuxent River, Maryland, commuting area and is expected to be completed in June 2023. No funds will be obligated at time of award; funds will be obligated on individual task orders as they are issued. This contract was competitively procured via an electronic request for proposals as a 100 percent small business set-aside, with 84 offers received. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity (N00421-19-D-0003). Lockheed Martin Corp., Fort Worth, Texas, is awarded a $64,290,305 modification to a previously awarded fixed-price-incentive-firm contract (N00019-18-C-1048) that exercises an option to procure one lot of F-35 training devices for the Marine Corps. Work will be performed in Orlando, Florida (47 percent); Sterling, Virginia (28 percent); Wilsonville, Oregon (7 percent); Cleveland, Ohio (4 percent); Reston, Virginia (4 percent); Alameda, California (3 percent); London, United Kingdom (3 percent); Bristol, United Kingdom (2 percent); and Tampa, Florida (2 percent), and is expected to be completed in July 2021. Fiscal 2019 aircraft procurement (Navy) funds in the amount of $64,290,305 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. Dyncorp International LLC, Fort Worth, Texas, is awarded $54,411,494 for modification P00015 to exercise an option to a previously awarded firm-fixed-price, cost-plus-fixed-fee, cost-reimbursable contract (N6893617C0052). This option provides for aircraft maintenance, modification and aircrew support for the Naval Test Wing Pacific. Support to be provided includes organizational-level aircraft maintenance and logistics support on aircraft, systems/subsystems aircrew systems, search and rescue equipment, and support equipment for P-3 Orion, C-130 Hercules, F/A-18 Hornet, EA-18G Growler, AV-8B Harrier II, and H-60 Black Hawk aircraft. Work will be performed in China Lake, California (50 percent); Point Mugu, California (40 percent); Hickam Air Force Base, Hawaii (2 percent); Lemoore, California (2 percent); Patrick AFB, Florida (1 percent); Holloman AFB, New Mexico (1 percent); Patuxent River, Maryland (1 percent); Marine Corps Air Station (MCAS), Yuma, Arizona (1 percent); MCAS Miramar, California (1 percent); and North Island, California (1 percent), and is expected to be completed in August 2023. Fiscal 2019 working capital funds (Navy) in the amount of $30,123,601 are being obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Warfare Center Weapons Division, China Lake, California, is the contracting activity. Raytheon Co., Tewksbury, Massachusetts, is awarded a $34,068,452 modification to previously awarded contract N00024-17-C-5145 to exercise options for DDG 1000 ship class integrated logistics support and engineering services. The DDG 1000 ship class is a multi-mission surface combatant designed to fulfill volume firepower and precision strike requirements. DDG 1000 combat systems provide offensive, distributed, and precision firepower and long ranges in support of forces ashore, while incorporating signature reduction, active, and passive self-defense system and enhanced survivability features. Work will be performed in Portsmouth, Rhode Island (52 percent); Tewksbury, Massachusetts (24 percent); San Diego, California (10 percent); Nashua, New Hampshire (6 percent); Bath, Maine (5 percent); Marlboro, Massachusetts (1 percent); Ft. Wayne, Indiana (1 percent); and St. Petersburg, Florida (1 percent); and is expected to be completed by September 2019. Fiscal 2018 shipbuilding and conversion (Navy); fiscal 2019 operations and maintenance (Navy); and fiscal 2019 research, development, test and evaluation (Navy) funding in the amount of $9,118,286 will be obligated at time of award, and funding in the amount of $3,498,000 will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity. Boston Consulting Group, Bethesda, Maryland, was awarded $21,195,935 for firm-fixed-price order N0042119F0106 against a previously issued General Services Administration, Federal Supply Schedule contract (GS-10-F-0253V). This order provides for the implementation of a new Naval Sustainment System (NSS) to include the development of governance, coordination, and accountability mechanisms across the Naval Aviation Enterprise. The commander for the Fleet Readiness Center's contribution to the NSS will deploy commercial maintenance best practices, tailored to the Navy's operational requirements and starting position, in order to reduce component repair and heavy maintenance periodic maintenance inspection turnaround times and better enable aviation readiness recovery. Work will be performed in North Island, California (20 percent); Oceana, Virginia (15 percent); Whidbey Island, Washington (15 percent); Jacksonville, Florida (10 percent); Cherry Point, North Carolina (10 percent); Lemoore, California (10 percent); Dallas, Texas (5 percent); Bethesda, Maryland (5 percent); Miramar, California (4 percent); Patuxent River, Maryland (3 percent); Washington, District of Columbia (2 percent); and Mechanicsburg, Pennsylvania (1 percent), and is expected to be completed in April 2019. Working capital (Navy) funds in the amount of $21,195,935 will be obligated at time of award, none of which will expire at the end of the fiscal year. The Naval Air Warfare Center Aircraft Division, Patuxent River, Maryland, is the contracting activity. (Awarded Oct. 30, 2018) The Boeing Co., St. Louis, Missouri, is awarded $20,243,066 for modification P00004 to delivery order N61340-18-F-0001 previously placed against basic ordering agreement N00019-16-G-0001 in support of the T-45 aircraft Service Life Extension Program (SLEP). This modification exercises an option for the production and delivery of SLEP retrofit kits and support equipment/special tooling, as well as retrofit engineering and logistics to support the installation of associated technical directives. This modification contains both cost-plus-fixed-fee and firm-fixed-price contract line items. Work will be performed in St. Louis, Missouri, and is expected to be completed in October 2019. Fiscal 2019 aircraft procurement (Navy) funds in the amount of $20,243,066 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Warfare Center Training Systems Division, Orlando, Florida, is the contracting activity. DRS Network & Imaging Systems LLC, Melbourne, Florida, is being awarded an $18,906,754 modification (P00010) to a previously awarded firm-fixed-price contract (N00019-16-C-0015) for the procurement of 121 distributed aperture infrared countermeasure sensors and 30 processors for the Navy for MH-60, AH-1Z, and UH-1Y aircraft. Work will be performed in Dallas, Texas, and is expected to be completed in February 2021. Fiscal 2018 aircraft procurement (Navy) funds in the amount of $18,906,754 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. T&E Technologies LLC,* Anchorage, Alaska, was awarded a $16,943,111 cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract. This contract provides for technical, environmental, and encroachment services in support of the Naval Air Warfare Center Weapons Division's Range Sustainability Office. Services to be provided include encroachment analysis, environmental studies and documentation, natural resources documentation, geospatial analysis for resource management and land use planning and geophysical resources analysis. Work will be performed in China Lake, California (80 percent); Pt. Mugu, California (15 percent); and Patuxent River, Maryland (5 percent), and is expected to be completed in November 2023. Fiscal 2019 working capital funds (Navy) in the amount of $100,000 will be obligated at time of award, none of which will expire at the end of the current fiscal year. This contract was competitively procured via an electronic request for proposals as a 100 percent small business set-aside, with two offers received. The Naval Air Warfare Center Weapons Division, China Lake, California, is the contracting activity (N6893619D0009). (Awarded Oct. 29, 2018) Northrop Grumman Systems Corp. - Marine Systems, Sunnyvale, California, was awarded $10,851,494 for cost-plus incentive-fee, cost-plus-fixed-fee modification P00020 to a previously awarded contract (N00030-16-C-0015) to provide support for technical engineering services, design and development engineering, component and full scale test and evaluation engineering, and tactical underwater launcher hardware production supporting the development and production of the Common Missile Compartment. Work will be performed in Sunnyvale, California (55 percent); Ridgecrest, California (20 percent); Cape Canaveral, Florida (10 percent); Bangor, Washington (5 percent); Kings Bay, Georgia (5 percent); Barrow-In-Furness, England (2 percent); New London, Connecticut (1 percent); Quonset Point, Rhode Island (1 percent); and Arlington, Virginia (1 percent), with an expected completion date of Oct. 31, 2020. Fiscal 2018 research, development, test and evaluation funds in the amount of $2,293,546; and United Kingdom funding in the amount of $2,679,700 are being obligated on this award. Funds in the amount of $2,293,546 expire at the end of the current fiscal year. Subject to the availability of funding, fiscal 2019 research, development, test and evaluation; and United Kingdom funding in the amount of $5,878,248 will be obligated on this award. Strategic Systems Programs, Washington, District of Columbia, is the contracting activity. (Awarded Oct. 30, 2018) AIR FORCE General Electric Aviation, Cincinnati, Ohio, has been awarded a $273,509,940 firm-fixed-price requirements type contract for Service Life Extension Program conversion kits to upgrade Egyptian Air Force F-16, F110-GE-100 engines. Work will be performed in Cincinnati, Ohio, and is expected to be completed by Oct. 30, 2023. This contract involves foreign military sales to Egypt and is the result of a sole-source acquisition. No funds are being obligated at the time of award. Air Force Sustainment Center, Tinker Air Force Base, Oklahoma, is the contracting activity (FA8122-19-D-0001). ENSCO Inc., Springfield, Virginia, has been awarded a $34,987,670 modification (P00048) to contract FA8806-17-C-0001 for range and network division system engineering and integration. The modification provides for the continued support in engineering, architectural and integration efforts. Work will be performed at Los Angeles Air Force Base, California; and Peterson AFB, Colorado, and is expected to be completed by Oct. 31, 2019. Fiscal 2019 Air Force space funds in the amount of $7,984,682; fiscal 2019 operations and maintenance funds in the amount of $6,035,870; and fiscal 2019 research, development, test and evaluation funds in the amount of $2,975,000 are being obligated at the time of award. Total cumulative face value of the contract is $97,783,871. Space and Missile Center, Los Angeles AFB, California, is the contracting activity. Sierra Nevada Corp., Hagerstown, Maryland, has been awarded a $23,813,528 definitization modification (PZ0013) to contract FA8620-16-C-4003 for the Saudi King Air 350 program. This contract provides for the modification of two King Air 350 extended range aircraft with intelligence, surveillance, reconnaissance/synthetic aperture radar capability; one transportable ground station; one fixed ground station; and one mission system trainer. Work will be performed in Hagerstown, Maryland, and is expected to be completed by May 2020. This award is the result of a sole-source acquisition and one offer was received. Total cumulative face value of the contract is $99,779,067. This contract involves 100 percent foreign military sales to Saudi Arabia. Air Force Life Cycle Management Center, Wright-Patterson Air Force Base, Ohio, is the contracting activity (FA8620-16-C-4003). CORRECTION: The following contract was awarded on Oct. 16, 2018, instead of Sept. 28, 2018, as indicated in the original posting: Webb Electric Co. of Florida Inc., Pensacola, Florida, has been awarded a $16,460,695 firm-fixed-price in support of the Airfield Lighting Phase 1&2 construction project (FA440719C0003). ARMY SLSCO Ltd., Galveston, Texas, was awarded a $145,500,000 firm-fixed-price contract for a Department of Homeland Security border infrastructure design-build construction project. Three bids were solicited via the internet with three received. Work will be performed in Mission, Texas, with an estimated completion date of April 27, 2020. Fiscal 2018 omnibus funds in the amount of $145,500,000 were obligated at the time of the award. U.S. Army Corps of Engineers, Ft. Worth, Texas, is the contracting activity (W9126G-19-C-0005). The Boeing Co. Huntsville Division, Huntsville, Alabama, was awarded a $23,700,000 firm-fixed-price contract for the manufacture, test and deliver of Avenger fire control computers. Bids were solicited via the internet with one received. Work will be performed in Huntsville, Alabama; and Tukwila, Washington, with an estimated completion date of June 30, 2020. Fiscal 2018 other procurement, Army funds in the amount of $23,700,000 were obligated at the time of the award. U.S. Army Contracting Command, Redstone Arsenal, Alabama, is the contracting activity (W13P4Q-19-C-0024). Hentzen Coatings Inc.,* Milwaukee, Wisconsin, was awarded a $16,414,600 firm-fixed-price contract for chemical agent resistant coating paint products. Bids were solicited via the internet with two received. Work locations and funding will be determined with each order, with an estimated completion date of Oct. 30, 2023. U.S. Army Contracting Command, Warren, Michigan, is the contracting activity (W911RQ-19-D-0001). CORRECTION: An additional contractor has been added to the $249,000,000 multiple-award contract announced on Oct. 15, 2018, for providing resources in support of the Joint Program Executive Office for Chemical and Biological Defense to include its headquarters, directorates and five joint project managers. Edmond Scientific Co., Alexandria, Virginia (W911QY-19-D0015), will also compete for each order of the firm-fixed-price contract. All other information in the contract announcement is correct. MISSILE DEFENSE AGENCY Lockheed Martin Space, Sunnyvale, California, is being awarded a $129,483,864 noncompetitive, cost-plus-incentive-fee and firm-fixed-price contract under a Foreign Military Sales (FMS) case to the United Arab Emirates (UAE). Under this new contract, the contractor will provide maintenance and sustainment for two Terminal High Altitude Area Defense Batteries for UAE. The maintenance and sustainment scope of work includes software and hardware development, contractor logistics support, engineering services, and missile field surveillance. The work will be performed in Sunnyvale, California; Dallas, Texas; Huntsville, Alabama; Anniston, Alabama; Troy, Alabama; Lakeland, Florida; and the United Arab Emirates, with an expected period of performance of Nov. 1, 2018, through July 2, 2021. One offer was solicited and one offer was received. UAE FMS funds in the amount of $129,483,864 will be used to fund this effort. The Missile Defense Agency, Huntsville, Alabama, is the contracting activity (HQ0147-19-C-5001) DEFENSE LOGISTICS AGENCY Federal Prison Industries Inc., doing business as UNICOR,** Washington, District of Columbia, has been awarded a maximum $49,920,000 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for various types of coats. This is a four-year contract with no option periods. Locations of performance are Washington, District of Columbia; Texas; and Illinois, with an April 30, 2023, performance completion date. Using military services are Army and Air Force. Type of appropriation is fiscal 2019 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-19-D-F015). National Industries for the Blind,** Alexandria, Virginia, has been awarded a maximum $8,389,705 indefinite-delivery/indefinite-quantity contract for moisture wicking t-shirts. This is a one-year base contract with four one-year option periods. Locations of performance are North Carolina, Arkansas, and Virginia, with an Oct. 30, 2020 performance completion date. Using military service is Army. Type of appropriation is fiscal 2019 through 2020 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE1C1-19-D-B043). CORRECTION: The contract announced on April 12, 2018, for Winston-Salem Industries for the Blind Inc., doing business as IFB Solutions,** Winston Salem, North Carolina (SPE1C1-17-D-B016), for $10,620,588 has been revised with a new modification number, additional customer, additional locations of performance and an increased dollar value. The new modification number is P00018, additional military service is Air Force, additional locations of performance are Arkansas and Puerto Rico, and the modification value has increased from $10,620,588 to $19,931,088. CORRECTION: The contract announced on April 13, 2018, for San Antonio Light House for the Blind,** San Antonio, Texas (SPE1C1-17-D-B017), for $8,452,012 has been revised with a new modification number, additional customer, additional location of performance and an increased dollar value. The new modification number is P00008, additional military service is Air Force, additional location of performance is Puerto Rico, and the modification value has increased from $8,452,012 to $16,952,460. *Small Business **Mandatory source https://dod.defense.gov/News/Contracts/Contract-View/Article/1678196/