Newest F-35s stalled by slow production of key parts

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  19 novembre 2020 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité

  Contract Awards by US Department of Defense - November 18, 2020

  ARMY Hydrogeologic Inc.,* Reston, Virginia (W9128F-21-D-0006); Cape Environmental Management Inc.,* Norcross, Georgia (W9128F-21-D-0007); Environmental Chemical Corp.,* Burlingame, California (W9128F-21-D-0008); Bhate Environmental Associates Inc.,* Birmingham, Alabama (W9128F-21-D-0009); Bay West-Ahtna JV LLC,* Saint Paul, Minnesota (W9128F-21-D-0010); Bristol Environmental Remediation Services LLC,* Anchorage, Alaska (W9128F-21-D-0011); Kemron Environmental Services Inc.,* Atlanta, Georgia (W9128F-21-D-0012); and North Wind-CDM JV LLC,* Idaho Falls, Idaho (W9128F-21-D-0013), will compete for each order of the $176,250,000 hybrid (cost-plus-fixed-fee and firm-fixed-price) contract for environmental remediation projects. Bids were solicited via the internet with 21 received. Work locations and funding will be determined with each order, with an estimated completion date of Nov. 17, 2025. The U.S. Army Corps of Engineers, Omaha, Nebraska, is the contracting activity. General Atomics Aeronautical Systems Inc., Poway, California, was awarded a $93,293,554 hybrid (cost-plus-fixed-fee and firm-fixed-price) contract for research, development, test and evaluation of artificial intelligence for the smart sensor prototype unmanned aerial platform. Bids were solicited via the internet with 999 received. Work will be performed in Poway, California, with an estimated completion date of March 2, 2023. Fiscal 2021 research, development, test and evaluation (Army) funds in the amount of $13,000,000 were obligated at the time of the award. The U.S. Army Contracting Command, Aberdeen Proving Ground, Maryland, is the contracting activity (W911QX-21-C-0001). B.L. Harbert International LLC, Birmingham, Alabama, was awarded a $46,500,000 firm-fixed-price contract for repair and replacement of existing taxiway pavements, shoulders, drainage, signage, lighting systems, duct banks, paint and markings and temporary taxiways. Bids were solicited via the internet with one received. Work will be performed at Joint Base Andrews, Maryland, with an estimated completion date of Feb. 11, 2022. Fiscal 2021 operation and maintenance (Army) funds in the amount of $46,500,000 were obligated at the time of the award. The U.S. Army Corps of Engineers, Baltimore, Maryland, is the contracting activity (W912DR-21-C-0002). DEFENSE HEALTH AGENCY Logistics Health Inc., La Crosse, Wisconsin, was awarded a $162,000,000 modification to their current indefinite-delivery bridge contract (HT0011-19-D-0002). This award, titled “Reserve Health Readiness Program,” provides health readiness support services to the military service components to meet medical and dental standards essential in maintaining a deployable force. This extension to the current bridge contract will permit time to complete evaluations and award of a competitive follow-on to this requirement. Services include immunizations, physical examinations, periodic health assessments, post-deployment health reassessments, mental health assessments, dental examinations, dental treatment, laboratory services, and other services as required to satisfy military service component health readiness needs. Services are delivered at military service component designated sites during group events, through the contractor's call center, and within an integrated network. The work will be performed in every U.S. state, U.S. territory, the District of Columbia, and Germany with period of performance from Dec. 1, 2020, to Nov. 30, 2021. Fiscal 2021 operation and maintenance funds will be obligated on task orders issued under this award. This contract was awarded on an other than full and open competition basis; pursuant to the authority of 10 U.S. Code 2304 (c)(1). The Defense Health Agency, Falls Church, Virginia, is the contracting activity. DEFENSE LOGISTICS AGENCY The Bell Boeing Joint Program Office, California, Maryland, has been awarded a maximum $36,546,991 firm-fixed-price modification (P00009) to three-year delivery order SPE4AX-18-D-9433 against base contract SPRPA1-17-D-009U to extend the period of performance for delivery of V-22 spare consumable and depot-level repairable parts. This was a sole-source acquisition using justification 10 U.S. Code 2304 (c)(1), as stated in Federal Acquisition Regulation 6.302-1. Locations of performance are Maryland, Texas, and Pennsylvania, with a May 10, 2023, performance completion date. Using military services are Navy, Marine Corps and Air Force. Type of appropriation is fiscal 2021 through 2023 defense working capital funds. The contracting activity is the Defense Logistics Agency Aviation, Philadelphia, Pennsylvania. NAVY Sikorsky, a Lockheed Martin Co., Stratford, Connecticut, is awarded a $16,441,085 modification (P00001) to firm-fixed-price, cost-plus-fixed-fee, cost reimbursable order N00019-20-F-0024 against previously issued basic ordering agreement N00019-19-G-0029. This modification provides for fiscal 2021 special progressive aircraft rework sustainment efforts in support of the VH-3D/VH-60N executive helicopter. Specifically, this modification provides security, project engineering, integrated logistics, material, sustainment engineering, training and program support. Work will be performed in Stratford, Connecticut (88%); and Quantico, Virginia (12%), and is expected to be completed in November 2021. Fiscal 2021 operation and maintenance (Navy) funds in the amount of $16,441,085 will be obligated at time of award and will expire at the end of the fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. DEFENSE ADVANCED RESEARCH PROJECTS AGENCY GE Research, Niskayuna, New York, has been awarded a $14,313,300 cost contract, including options, for the Defense Advanced Research Projects Agency's Atmospheric Water Extraction (AWE) program. In Phase 1 of the program, GE Research proposes to develop and select promising water extraction materials. The key objective will be to fabricate an Air2Water prototype device for the production of potable water that will be powered by readily-available fuel and builds directly from pioneering sorbent materials for water harvesting from desert air. Work will be performed in Niskayuna, New York (77%); Berkeley, California (18%); Chicago, Illinois (3%); and Mobile, Alabama (2%), with an estimated completion date for Phase 1 of November 2022. Fiscal 2020 research, development, test and evaluation funds in the amount of $858,975 are being obligated at time of award. The Defense Advanced Research Projects Agency, Arlington, Virginia, is the contracting activity (HR001121C0020). AIR FORCE Tunista Services LLC, Honolulu, Hawaii, has been awarded a $7,606,147, firm-fixed-price modification (P00011) to contract FA4855-18-C-0001 for continuation of operations, maintenance and support services at Melrose Air Force Range, New Mexico. The contract modification provides for the exercise of Option Year Three procured under the basic contract. Work is expected to be completed Nov. 30, 2021. Fiscal 2021 operation and maintenance funds in the full amount are being obligated at the time of award. Total cumulative face value of the contract is $29,954,509. The 27th Special Operations Contracting Squadron, Cannon Air Force Base, New Mexico, is the contracting activity. CORRECTION: The multiple award contract announced on Sept. 10, 2020, for a not-to-exceed amount of $95,000,000 for maintenance, repair and minor construction work at Nellis Air Force Base, Nevada; Creech AFB, Nevada; and Nevada Test and Training Range, Nevada, also includes Valwest Construction, Gilbert, Arizona (FA4861-21-D-0003), as an awardee. *Small business https://www.defense.gov/Newsroom/Contracts/Contract/Article/2420033/source/GovDelivery/

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  27 mai 2020 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité

  Defense Spending In China Will Rise By 6.6%

  May 27, 2020 China plans to increase defense spending in 2020 despite the expectation of dramatically reduced economic growth, maintaining pressure on neighboring countries to protect their own defense budgets from cuts. The defense budget will rise by 6.6% to 1.268 trillion yuan ($179.2 billion), Premier Li Keqiang says. The growth rate is the slowest since the early 1990s, but it indicates that Beijing intends to keep military modernization on track despite the economic and fiscal consequences of the COVID-19 pandemic. While the reduction in growth from 2019's rate in part reflects the impact of the COVID-19 pandemic, it is also consistent with a longer-term trend of smaller increases in the budget approximately tracking the slowing expansion of an increasingly mature Chinese economy. Defense spending increases averaged 14% in the decade prior to 2015 but only 8% since then. https://aviationweek.com/defense-space/z/defense-spending-china-will-rise-66?utm_rid=CPEN1000006557235&utm_campaign=24180&utm_medium=email&elq2=5d7f57a46c174c2998ad2129c3ed78df

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  17 août 2020 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité

  Budget and pandemic present challenges to Russia’s defense industrial base

  By: Fenella McGerty The two Russian defense companies in this year's Top 100 list — air defense missile systems manufacturer Almaz-Antey and weapons developer Tactical Missiles Corporation JSC — have again fallen in rank. Almaz-Antey has fallen to 17th place from 8th and 15th in 2018 and 2019 respectively. Similarly, Tactical Missiles Corporation JSC has fallen to 35th place from 25th and 32nd in 2018 and 2019 respectively. The falling revenues of the companies this year reflect the difficult market conditions these enterprises are operating in as a result of the impact of COVID-19 on government budgets. Even before the pandemic and the consequent contraction in economic output emerged, the outlook for Russian defense spending was already subdued in light of persistently low oil prices in 2019. Domestic spending was further constrained this year as the oil price fell below $20 per barrel in April, with the projected average price for the year reaching just $40 per barrel. The International Monetary Fund forecasts a 6.6 percent contraction in Russia's real gross domestic product this year as lockdown measures to prevent the spread of COVID-19 subdued domestic and international economic activity, the latter further weakening global energy demand. The 4.1 percent growth projected for 2021 means the Russian economy will only return to pre-pandemic output in 2022. Last month, as part of wider measures to offset the bleaker fiscal setting, the Russian Ministry of Finance proposed a 5 percent reduction in financing for the state armament program over the next three years. Under the new plans, the 20 trillion rouble (U.S. $271 billion), 10-year military appropriations program (known as GPV 2027) that runs to 2027 covering defense procurement, repairs, research and development, and infrastructure investment will be reduced by a total of 225 billion roubles between 2021 and 2023. Wider defense funding could be reduced by as much 323 billion roubles. The previous state armament program (GPV 2020) saw significant increases enacted to defense investment between 2011 and 2016 as the country pursued ambitious modernization targets. As a proportion of GDP, the official Russian defense budget peaked in 2015 at 3.8 percent. If one includes wider defense spending items such as military pensions, social support and housing, total Russia expenditure accounted for as much at 4.8 percent of GDP that year. This period of significant defense investment helped to recover some lost ground from the previous two decades. Progress was remarkable but by no means comprehensive, with strategic nuclear forces and defense aerospace surpassing modernization targets, while maritime and land forces fared less well. Pockets of advanced capability — e.g., air defense, weapons, combat aircraft — evolved alongside less efficient entities that failed to deliver against the ambitions of GPV 2020. Nonetheless, as Russia approached the overarching target of 70 percent “modern” equipment within the armed forces inventory, defense spending increases slowed and the country moved from a period of dramatic capability buildup toward a sustainment phase — a move further presaged by wider economic constraints at the time As such, GPV 2027 is less ambitious than GPV 2020, and annual defense budget allocations have reflected this. Russian defense spending has been stagnant in real terms since 2017, as sanctions impacted government finances, energy revenues remained subdued and modernization ambitions were deemed close to fulfillment. Official projections of the budget for national defense saw slightly stronger growth in 2021 and 2022, although this was proposed in the months before the full economic ramifications of the pandemic were realized. Russian companies therefore face a tighter domestic market — as indeed will most countries in the wake of the pandemic — while the burden of debt has stifled investment in new technologies and R&D. This lack of funds to invest in research has created a further challenge for companies facing increasing political pressure domestically to diversify production efforts toward the civil market. The reported moves to restructure defense industry debt will ease some of the stress on companies and provide some temporary bandwidth with which to focus on investment. However, such moves will further constrain domestic defense spending, as funds to absolve debt will inevitably squeeze investment elsewhere in the budget. Perhaps on the positive side, the further weakening of the rouble against the dollar in 2020 has the potential to provide Russian defense equipment with an added price advantage in global defense markets and to facilitate exports. The comparatively cheaper kit will appeal to countries that find they have less investment funds at their disposal than a year ago. As competition in export markets intensifies and funding tightens, buyers may find they can demand greater industrial participation, partnership and technology transfer in moves to bolster self-sufficiency and resilience. Markets which have previously shown preference for Western equipment may find such capabilities are no longer affordable with Russia's relative willingness to offer favorable exchange rate agreements and flexible financing terms, offering a further advantage in constrained export markets. Fenella McGerty is a senior fellow for defense economics at the International Institute for Strategic Studies. https://www.defensenews.com/opinion/commentary/2020/08/17/budget-and-pandemic-present-challenges-to-russias-defense-industrial-base