14 avril 2022 | International, Aérospatial
U.S. Army May Revive 5GAT Target Program
The U.S. Army may seek to revive a program canceled two years ago and produce a stealthy aerial target to be used for testing and training.
6 novembre 2020 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité
How COVID-19 Is Affecting The Defense Industrial Base
The COVID-19 pandemic has exacerbated some of the risks that have always existed in the defense industrial base. Although government assistance and a robust Pentagon budget have helped offset initial trials, more challenges are looming.
One of the biggest risks to the defense industrial base is that some companies serving the military are too heavily leveraged toward the commercial sector or too reliant on international companies, financial analysts told Aviation Week's DefenseChain Conference.
“Some of these places are two weeks from bankruptcy,” says Chris Celtruda, managing principal at Destiny Equity Partners, says. Suppliers are beginning to falter because of a combination of factors, including the need to comply with cybersecurity standards, the pressure that prime contractors such as Boeing and Lockheed Martin have applied to them and their reliance on commercial business. A prime example is the recent bankruptcy of Impresa Aerospace, a Wichita-based company that made parts using computer numerical control machines as well as sheet metal parts and assemblies for Boeing and Lockheed military aircraft but was highly dependent on its work for the commercial Boeing 737 MAX.
The U.S. federal Paycheck Protection Program helped delay some business failures, but others are inevitable, says Rick Nagel, managing partner of Acorn Growth. “The Impresa bankruptcy is an example of a lot more insolvencies we may see,” he adds.
Weakness among niche companies could pose a problem for the Defense Department in the future. “I'm always amazed at how many critical systems have multiple single points of failure on major programs,” he says.
At the Pentagon, officials have been working to keep essential suppliers afloat and to keep production moving through its sprawling international industrial base.
For the U.S. Army, that has meant initial disruptions to Apache fuselage production in India and to the flow of generators from Mexico. The Pentagon and the State Department helped ease the stoppage, but the incident has caused them to review the full range of risks to its international supply chain.
“I think that we can navigate through this, though it's certainly always going to be complex in today's global economy,” says Patrick Mason, deputy program executive officer for U.S. Army Aviation, adding that he is in the position of putting pressure on vendors to reduce cost, particularly to provide savings on multiyear aircraft contracts.
One trend emerging along with the pandemic is a movement toward onshoring or reshoring overseas business for reasons of cybersecurity and the protection of the U.S. industrial base.
As that happens, and as the commercial aviation market sags, Raanan Horowitz, president and CEO of Elbit Systems of America sees opportunity. “We are trying to position ourselves around some of those discontinuities,” Horowitz says, adding that the company likes going after opportunities that are not necessarily glitzy but hold value. “We are intensifying efforts toward looking at licensing, taking over orphan product lines and positioning ourselves to be part of the long-term solution.”
Horowitz says Elbit is investing in U.S. infrastructure to capture new business. Industry officials see broad support for bringing more of the defense supply chain back to the U.S. The shift stems in part from the COVID-19-related economic downturn but also from longstanding concerns about China. In the fiscal 2020 National Defense Authorization Act, Congress passed restrictions on contracting with companies that use Chinese telecommunications equipment.
Though companies first look for the best value, the threat posed by Chinese parts that either do not work or could transmit classified information back to China is an ongoing concern, says John Luddy, vice president for national security policy at the Aerospace Industries Association. “The concept of reshoring of supplies to better connect our allies and friends, both from a production standpoint and from an operational functionality and alliance standpoint, I think the volume is getting turned up on that a little bit,” he says. “There's also a strong impetus in Congress to look at exactly how vulnerable we are. That's going to be a more intense discussion in the year to come than it has been.”
And that trend toward reshoring could have unintended consequences, warns Steve Grundman, founder and principal of Grundman Advisory.
“I'm genuinely concerned that benign moves to secure our supply chain to prevent nefarious supplies and code [coming] into particularly our defense supply chain or commercial aerospace supply chain could slip very easily into protectionism,” Grundman says. “If you want to really put pressure on the defense budget, ask the defense industry to reshore the supply chain.
https://aviationweek.com/defense-space/supply-chain/how-covid-19-affecting-defense-industrial-base
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22 mai 2020 | International, Aérospatial
Indian Air Force restructures $17 billion fighter jet program
By: Vivek Raghuvanshi NEW DELHI — The Indian Air Force is overhauling its plan to induct 114 medium-weight multirole fighters, with a senior service official saying the aircraft will be built in India with significant foreign technology transfer and no foreign procurement. The effort will cost about $17 billion under the Make in India economic policy. The Air Force official said the project is very much alive, but that the “final nitty-gritties have yet to be worked out, and that will take time because it will require manufacturing capability building in the country.” Daljit Singh, a retired Indian Air Force air marshal and current defense analyst, agreed that India must move quickly to create the capability to manufacture high-tech systems at home. “The main aim should be to extract the maximum [transfer of technology] from the OEM [original equipment manufacturer] and start manufacturing subcomponents through Indian companies," Singh said. Finance Minister Nirmala Sitharaman announced Saturday that the government will create a separate budget for domestic procurement of weapons and equipment to help reduce the imports bill. A Ministry of Defence official said a formal budget allocation of about $17 billion for the multirole fighters project will be granted sometime next year, and will be launched under the Strategic Partners procurement policy. Under that policy, the multirole fighters will be manufactured by domestic private defense companies with one of the original equipment manufacturers approved by the government. The process for selecting contractors is yet to begin, but the MoD official said the businesses will be selected within three years. No private defense company in India has made fighter jets before, but several have expressed interest in participating in the program, including Tata Advanced Systems, Adani Defence, Reliance Defence, Mahindra Defence and Bharat Forge Limited. Reliance Defence has created a joint venture with France's Dassault Aviation, which currently manufactures components for Rafale fighters. Meanwhile, Tata Advanced Systems has teamed with Lockheed Martin, an American company that produces the F-35 Joint Strike Fighter. Adani Defence has announced a teaming arrangement Sweden's Saab AB, which makes the Gripen jet. Another Indian Air Force official said a request for information was sent in June 2018 to foreign original equipment manufacturers for the multirole fighters. Among those who have responded to the RFI are: Boeing, Lockheed Martin, Dassault Aviation, Saab AB, Airbus Defence and Space, Russian Aircraft Corporation, and Sukhoi Company. The Indian Air Force plans to induct all 114 multirole fighters within 12 years after the contract is awarded. The official added that the RFI included the requirement for transfer of technology, including the transfer of design, development, manufacturing and repair expertise. It also included the requirement for the unilateral capability to integrate weapons, systems and sensors. The capability to upgrade the aircraft and a provision on exporting the aircraft is also part of the program. India is also seeking transfer of technology for stealth technology, active electronically scanned array radars, avionics, electronic warfare systems and engines. “The advantage of making a fighter aircraft in India is that the customer can select the types of sensors, EW equipment, avionics and weapons, as per operational requirements. Subsequently, the customer is assured of full logistic and upgrade support without any restriction. However, it is important to embed most of these systems in the aircraft design itself to ensure low observability and systems compatibility,” he said. However, Singh, the defense analyst, said any transfer of technology agreement would need to make business sense to the OEM. “Propriety Items could still be under the control of the OEM,” he said. https://www.defensenews.com/global/asia-pacific/2020/05/21/indian-air-force-restructures-17-billion-fighter-jet-program/
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24 avril 2024 | International, Aérospatial
GA-ASI Mojave Lights Up the Yuma Desert in Live-Fire Demonstration
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