22 septembre 2020 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité, Autre défense

Germany tries to forge a deal on who can play ball in Europe

COLOGNE, Germany — Time is ticking for Germany to find a compromise on letting American, British and other non-European Union countries tap into the bloc's emerging defense cooperation scheme.

The government of Chancellor Angela Merkel has taken on the task of sorting out the issue by the end of the year, when Germany's six-month term at the helm of the European Council concludes.

“It is an important issue to solve, particularly for close NATO partners,” Karl-Heinz Kamp, special envoy of the political director at the German Ministry of Defence, said during a panel discussion at the annual Defense News Conference this month.

The challenge is to find common ground between two camps within the EU: member states seeking ties with outsiders, and those countries who prefer treating the nascent defense agenda as a members-only affair.

Poland, Sweden and the Netherlands are leading a group of nations advocating for openness. But France, for example, is pursuing a more restrictive stance, especially toward Turkey and the United States.

From the beginning, the Trump administration has eyed the EU's creation of a defense cooperation mechanism, dubbed PESCO, and the proposed multibillion-dollar European Defence Fund with a degree of mistrust. The efforts run the risk of undermining NATO if America and its powerful defense companies are kept out, Washington claims.

The tone has softened more recently, however, as officials on both sides of the Atlantic try to broker a compromise.

“One of the things that COVID-19 has really brought into sharp focus is the significance of our integrated defense industrial base,” said Gregory Kausner, executive director for international cooperation, who works in the Pentagon for acquisition chief Ellen Lord.

At NATO headquarters in Brussels, leaders are striking a similar chord.

“We welcome the EU's effort to invest in defense, and I think altogether this is a good-news story. In a way, the more money put into defense, including by EU institutions, the better,” said Camille Grand, the alliance's assistant secretary general for defense investment.

“Then there is a second point: that it is important those projects are allowed as full as possible [the] involvement of non-EU allies. Because the reality is indeed that those non-EU allies have strong connections with the European defense market, with the European defense industry,” Grand added.

German officials have been optimistic about reaching a compromise since they took on the third-country challenge this summer. That is because their proposal piggybacks on a paper by the previous, Finnish-run presidency that was only narrowly rejected last year. A few modifications would be enough to clinch a deal.

According to a German MoD spokesman, officials aim to present a workable solution to defense ministers at an EU foreign affairs council meeting slated for Nov. 20.

Poisoned politics

The current political context hasn't exactly been helpful for forging a deal.

For one, there is the frosty climate between Germany and United States that stems from President Donald Trump's testy relationship with the country, and his assertion that the EU is taking advantage of American taxpayers on trade and defense. That rift makes the proposition of importing the powerful American defense industrial base into the bloc's defense cooperation calculus an uphill battle, especially in the European Parliament, a Brussels-based analyst argued.

And Turkey, which is part of NATO but not the EU, is creating the perfect case study against allowing nonmembers into the inner workings of European defense cooperation because of its dispute with Greece and Cyprus over gas reserves in the eastern Mediterranean Sea.

“The German government is fairly optimistic that we will be able to find a compromise. The problem is that currently neither the Turkish policy nor the U.S. policy terribly helps to find such a consensus,” Kamp said.

“We have a severe problem in NATO with its internal cohesion because some allies have issues with other allies,” he added. “We have a Turkish-French dispute in the Mediterranean and we have a Greek-Turkish dispute. Turkey is not always behaving in — let me say — in the way of an ideal NATO ally, and that just makes things a little bit more difficult.”

At the same time, the flareup has yet to touch the ongoing third-party access negotiations, according to officials and analysts.

“Concerns over dependencies, intellectual property and security predate the standoff between Greece and Turkey," said Yvonni-Stefania Efstathiou, a Greece-based defense analyst.

Meanwhile, Pentagon officials have begun diving into a set of case studies designed to help them think through the nitty-gritty involved in setting up future cooperative programs under an EU umbrella, according to Kausner. “Those case studies illuminate the potential challenges on things such as intellectual property and re-transfer that we feel are still problematic,” the Defense Department official said.

Another avenue to glean lessons for a wider EU application lies in the so-called European Defence Industrial Development Programme, or EDIDP, which aims to boost the bloc's defense industry cooperation through all manners of military technology. In June, the European Commission announced 16 projects eligible for funding from a two-year, €500 million (U.S. $593 million) pot.

The selection includes “four participants controlled by entities from Canada, Japan and the United States,” the commission statement read. In theory, those projects “demonstrate the possibility to involve EU-based subsidiaries controlled by third countries or third country entities provided they fulfill appropriate security-based guarantees approved by Member States,” the statement noted.

The commission has yet to say which participants hail from North America and Japan, and what roles they play, which suggests their integration into the project structure remains unfinished.

As officials continue to sort out the details on intellectual property rights, liabilities and consortium structures, for example, a few principles are beginning to take shape. For one, the four non-EU countries in the European Free Trade Association — Iceland, Liechtenstein, Norway and Switzerland — stand to get rights to partake in EU defense projects similar to member states.

In addition, officials consider it easier to include British or American companies in projects when they are removed from immediate funding through the European Defence Fund. While European companies have their eyes on possible subsidies from the fund whenever they enter into PESCO agreements, there may not be an automatic funding eligibility for outside participants.

https://www.defensenews.com/global/europe/2020/09/21/germany-tries-to-forge-a-deal-on-who-can-play-ball-in-europe/

Sur le même sujet

18 juin 2019 | International, Naval

FINCANTIERI ET NAVAL GROUP SIGNENT UN ACCORD DE JOINT-VENTURE. LE PROJET « POSEIDON » PREND FORME
Dans le prolongement de l'annonce faite le 23 octobre 2018, Fincantieri et Naval Group signent aujourd'hui à Rome l'Alliance Cooperation Agreement qui fixe les termes opérationnels de l'incorporation d'une joint-venture détenue à parts égales. L'accord, approuvé par les Conseils d'Administration des deux entreprises, incarne l'avancement du projet « Poseidon » et est une étape dans le renforcement de la coopération dans le naval de défense en vue de constituer une industrie européenne de construction navale plus efficiente et compétitive. L'accord a été signé par les PDG des deux entreprises, Giuseppe Bono et Hervé Guillou, à bord de la frégate Frederico Martinengo, amarrée à La Spezia sur la base navale de la marine italienne. Ce navire fait partie du programme franco-italien de frégates multi-missions (FREMM) et souligne la cohérence de vingt ans de collaboration entre les deux pays, leurs industries et leurs marines. La mise en place de la JV, prévue dans les prochains mois et en tout état de cause avant la fin de l'année, sera soumise aux conditions habituelles pour ce type de transaction et à l'obtention des autorisations nécessaires par les autorités compétentes. Gr'ce à la joint-venture, Fincantieri et Naval Group : Partageront leurs bonnes pratiques ; Mèneront ensemble des projets de recherche et développement sélectionnés ; Optimiseront les processus d'achat ; Prépareront conjointement des offres pour des programmes binationaux et les marchés à l'export. Sur la base de cet accord, l'entreprise aura son siège social à Gênes (Italie) avec une filiale à Ollioules (France). Comme cela a été établi dans l'accord d'actionnaires, la JV sera structurée autour d'un conseil d'administration composé de six membres avec trois membres nommés par chaque entreprise. Pour ce premier mandat de trois ans, Fincantieri nommera le Président et le Directeur des Opérations tandis que Naval Group nommera le Directeur Général Executif et le Directeur Financier. En raison de l'importance stratégique accordée par Fincantieri et Naval Group à cette opération, les membres du Conseil d'administration incluront Giuseppe Bono, nommé Président de la JV et Hervé Guillou. Cette JV doit permettre aux deux groupes et à leurs écosystèmes d'améliorer leurs capacités à servir les marines française et italiennes, de remporter de nouveaux contrats à l'export, de développer de nouvelles solutions technologiques et enfin, d'améliorer leur compétitivité de la filière navale des deux pays. A l'occasion de cette signature, Giuseppe Bono et Hervé Guillou ont déclaré : « Nous sommes très satisfaits des résultats obtenus et, surtout, nous souhaitons remercier nos gouvernements qui ont travaillé main dans la main avec nous au cours de ces derniers mois et continuent à le faire aujourd'hui, afin de parvenir à un accord qui puisse assurer la protection des actifs souverains tout en promouvant la coopération entre nos deux équipes. Cet engagement nous permettra de mieux servir nos marines, de fournir le support adéquat aux opérations à l'export et établira de manière effective les fondations d'une industrie de défense Européenne renforcée. » Fincantieri Fincantieri est l'un des plus grands groupes de construction navale au monde et le premier constructeur de navires du monde occidental en termes de chiffre d'affaires, de diversification et d'innovation. Il occupe une place de chef de file dans la conception et la construction de navires de croisière et se positionne comme un acteur de référence sur tous les segments haute technologie de l'industrie de la construction navale, depuis le naval aux navires off-shore, des navires spécialisés hautement complexes et ferries aux méga-yachts, en passant par la réparation navale et la conversion de navires, la production de systèmes et composants jusqu'aux services après-vente. Basé à Trieste (Italie), le groupe a plus de 19.000 employés, dont plus de 8.400 en Italie, 20 chantiers navals répartis sur 4 continents, et a construit plus de 7 000 navires en plus de 230 ans d'histoire maritime. www.fincantieri.com Naval Group Naval Group est le leader européen du naval de défense. Entreprise de haute technologie d'envergure internationale, Naval Group répond aux besoins de ses clients gr'ce à ses savoir-faire exceptionnels, ses moyens industriels uniques et sa capacité à monter des partenariats stratégiques innovants. Le groupe conçoit, réalise et maintient en service des sous-marins et des navires de surface. Il fournit également des services pour les chantiers et bases navals. Enfin, le groupe propose un panel de solutions dans les énergies marines renouvelables. Attentif aux enjeux de responsabilité sociale d'entreprise, Naval Group est adhérent au Pacte mondial des Nations unies. Le groupe réalise un chiffre d'affaires de 3,6 milliards d'euros et compte 14 860 collaborateurs (données 2018). https://www.naval-group.com/fr/news/fincantieri-et-naval-group-signent-un-accord-de-joint-venture-le-projet-poseidon-prend-forme/
9 juillet 2018 | International, Aérospatial, Naval, Terrestre, C4ISR

French procurement office to undergo transformation
By: Pierre Tran PARIS - France seeks to shake up, speed up and closely audit its arms acquisition with a “transformation” of its procurement office, the Direction Générale de l'Armement. In a July 5 speech, Armed Forces Minister Florence Parly pointed to the need for a deep restructuring of the DGA in response to changing threats, international relations, technology and innovation. AS part of that process, the DGA will spin up an innovation office for key programs, with a budget of €1 billion (US $1.2 billion). Closer ties with industry will be part of the new approach, with prime contractors sitting down with the DGA and chiefs of staff to draw up a requirement – but industry must also assume responsibility and better share risk, Parly said. “Transformation of the DGA” was the mission assigned to its director, Joël Barre, when he took up the post, Parly told the audience gathered at the defense ministry. Efficiency and responsiveness were key goals, requiring greater dialog between the DGA and the military services, rather than working in silos, she said. There are now three phases in arms programs, half the previous number, she said. Those key stages are preparation, production and use of the equipment. The ministry seeks to simplify procedure, increase flexibility and acquire innovation, while pursuing new legal structures and financing. While greater conversations with industry will be vital going forward, Parly pointed up that there would “balance” in the government's relations with industry. France was ready to talk to industry but the government was not ready to pay any price. There will detailed audits to ensure a right price was agreed to, Parly warned. “The DGA is not a quartermaster's store, nor little old grandma with an open check book,” she said. One of the major reforms for industry will be to pressure prime contractors deliver on time, with the government seeking to move to an approach used in civil aviation, where most of the payment is made on delivery. That encourages a delivery on time, rather than the present phased payment, where defense contractors have no incentive to speed up the work. The DGA will send teams to inspect the contractors to ensure the right price was paid. Additionally, Parly said there will be greater sharing and use of engineering information between the DGA and industry, with increased use of artificial intelligence and large databases. Innovation agency To help drive the new culture, DGA will set up an innovation agency, intended to be the one number to call for inquiries on innovation, and ready to take risk and speed up official backing. There is a search on for director of the agency, which will merge various existing offices including Astrid, Def'invest and Rapid. The agency will have a budget of €1 billion (US $1.2 billion) for investment. There will be a greater cooperation between the DGA, Joint chief of staff and Chief of staff of each of the services, with teams working together in the same office area from this autumn. There are two pilot projects being considered: the Future Combat Air Systems, which will also consider the potential for cooperation with Germany and other European countries, and a maritime surveillance system. There is a search for greater speed by merging the operational requirements set by the services with the technical needs drafted by the DGA. The forces and DGA will, with a prime contractor, draw up a single document setting out requirement. This combined approach will be tested on a new internal communications system for the ministry. The DGA will seek greater flexibility in its staff management as the office relies on technical staff, which are in strong demand in the job market. That includes sending its employees to work temporarily in companies to learn best practice and boost cooperation between the ministry and industry. The DGA manages an average annual budget of €11 billion for some 100 arms programs, employs 9,600 staff, of which 56 percent are engineers and executives. The office has a major role in managing export deals. Parly, in her opening remarks, quoted former U.S. President John F. Kennedy in his 1960 acceptance speech of the Democrats' nomination for the presidential campaign: “We stand today on the edge of a New Frontier--the frontier of the 1960′s--a frontier of unknown opportunities and perils-- a frontier of unfulfilled hopes and threats.” The DGA was formed just a few months before the presidential candidate delivered his speech at the Democratic National Convention at the Memorial Coliseum, Los Angeles. https://www.defensenews.com/global/europe/2018/07/06/french-procurement-office-to-undergo-transformation/
19 septembre 2018 | International, Aérospatial

F-35 stress tests raise possibility of longer service life
SOURCE: FLIGHTGLOBAL.COM, BY: GARRETT REIM After completing static, drop and durability testing on the F-35A, Lockheed Martin believes that early results indicate potential for an increased service life certification of the stealth fighter. The F-35's service lifetime is designed to be 8,000h, but each test airframe is required to successfully complete two lifetimes of testing, the equivalent of 16,000h. The F-35A exceeded the requirement by completing three full lifetimes of testing, 24,000h, prompting Lockheed to moot the potential service-life extension. “We look forward to analyzing the results and bringing forward the data to potentially extend the aircraft's lifetime certification even further,” said Greg Ulmer, Lockheed Martin's vice president and general manager of the F-35 program. “Already certified for one of the longest lifetimes of any fighter, an increase would greatly reduce future costs for all F-35 customers over several decades to come.” The USAF plans to fly the F-35A until at least 2070, so a longer lifespan per aircraft may allow the service to reach that goal without having to purchase new fighters. However, as aircraft age they become more expensive to maintain and operate, making it unclear if a service life extension of the F-35A would be economical. The F-35A airframe completed its testing at BAE Systems in Brough, England. The F-35B and C variants were tested at Lockheed Martin's facility in Fort Worth, Texas, though the company did not release the results for those variants. All variants will eventually undergo final teardown inspections at the National Institute for Aviation Research in Wichita, Kansas. https://www.flightglobal.com/news/articles/f-35-stress-tests-raise-possibility-of-longer-servic-451964

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