French defense chief urges fair US tanker deal

MILPLEX

by Staff Writers
Washington (AFP) March 3, 2009
French Defense Minister Herve Morin on Tuesday called for fair competition as Washington prepares to reopen bidding to US and European aerospace rivals on a lucrative contract to build a new air refueling tanker.

The 35-billion contract for a new generation of refueling tankers was awarded in February 2008 to Northrup Grumman and its European partner, the European Aeronautic Defence and Space Company (EADS), parent of Airbus.

But the deal was withdrawn in July after US aerospace giant Boeing successfully appealed the decision.

"I felt an obligation to mention the future call for tender regarding an American tanker," Morin told reporters at a joint press conference with US Defense Secretary Robert Gates.

Morin said he reminded his counterpart that an "opening had to be necessary in both directions," apparently a reference to US demands to open up European defense contracts to US-based firms.

"You can't be a great supplier of military equipment and at the same time consider there should not be a reciprocity," he said.

Gates in January said he hoped to reopen bidding in the spring on the tanker project, with a decision due in early 2010.

In September, the Defense Department canceled the competition, leaving the politically charged decision to the next president.

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MILPLEX

Analysis: European defense contracts

Brussels (UPI) Jan 26, 2009
French arms exports soared by almost 15 percent in 2008, the French government announced earlier this month. France hopes to further boost its international arms exports by finally creating overseas demand for its long-criticized Rafale fighter jet, manufactured by Dassault.

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