Rafale Best Jet On Offer for Brazil: French PM

SAO PAULO - French Prime Minister Francois Fillon said Dec. 14 he was confident of selling Rafale fighter jets to Brazil and could beat off rival bids because the aircraft's technology cannot be matched.

The Rafale is competing against Boeing's F/A-18 Super Hornet and Saab's Gripen for a tender from Brazil to supply 36 multi-role combat aircraft.

The French premier begins a three-day visit to Brazil on Dec. 15."We are confident because we believe that the French offer has the best possible transfer of technology, without equivalent," Fillon said in an interview published with local media.

French Defense Minister Gerard Longuet was quoted earlier this month in Le Monde as saying that unless the Rafale can find a foreign buyer, the government will have to stop funding its production by Dassault Aviation.

The Rafale was used in the recent war in Libya but the fighter has repeatedly lost out in tenders in countries including Singapore, South Korea, Morocco and, earlier this month, Switzerland.

No Clear Signal Yet From Japan on F-35 Selection

TAIPEI, WASHINGTON and TOKYO - The F-35 could see its wings emblazoned with the red sun roundel, if Japanese media reports are correct.

The Lockheed Martin Joint Strike Fighter (JSF) has been in competition with the Boeing F/A-18 Super Hornet and Eurofighter Typhoon for the Japanese F-X program for several years. The F-X will replace Mitsubishi F-4EJ Kai Phantoms, due to begin retirement in 2015.

Japan plans to purchase between 40 and 50 fighters for roughly $10 billion. Tokyo is also considering replacing F-15Js within the next 10 years, increasing the number of F-X fighters to 150.

However, both the Japanese Ministry of Defense (MoD) and the U.S. Pentagon's Joint Program Office are denying any final decision has been made. Boeing discounted the reports, holding out hope the Japanese government will continue to work with the company, as it has with the F-15J.

"We've seen the speculation on the JSF winning but won't comment on that aspect," said Lorenzo Cortes, international communications, Boeing Defense, Space & Security. "The Japanese government could best respond to what's going on. We are expecting a formal announcement as early as this week, but ultimately, it's Japan's discretion as to when they want to do that."

The MoD has repeatedly said they "were unable to confirm neither decision in favor of the F-35 nor the public release of the announcement for Dec. 16," an MoD spokesman said. "Nothing has been decided on the selection, and we can't confirm when the decision will be announced."

Richard Aboulafia, an analyst with the Teal Group, Fairfax, Va., said that if true, Japan's selection of the F-35 is a "very strong endorsement from a respected service." The F-35 has been under attack in the U.S. Congress and media due to a variety of production and program problems.

"Despite all the doubts, they still see the F-35s capabilities and technology as the future," he said. "It's the first new customer outside the original partner nations."

Despite the Japanese endorsement for the F-35, there will be challenges finding a role for Japan's indigenous aviation industry, which is facing layoffs and reduced production with the end of the Mitsubishi F-2 fighter, the country's only active fighter line, scheduled to close soon.

"No licensed production will be tantamount to disaster," a Japanese defense industry source said. "We have excellent engineers, and a generation of skills will be lost."

A U.S. defense industry source in Tokyo said the F-35 program is a "complex multinational program that will take some negotiation to carve out a Japanese aviation industry role."

Part of the problem is the limited number of F-X fighters, 40 to 50, which "means investment would be quite high, so question is, does this position the F-35 to fulfill the F-XX/F-15J replacement program?"

Philippines' New Warship Sent to Disputed Waters

MANILA, Philippines - The Philippines launched its newest warship on Dec. 14, a former U.S. Coast Guard cutter that President Benigno Aquino said would be deployed to waters at the heart of a territorial dispute with China.

Aquino said the 378-foot (115-meter) Gregorio del Pilar would lead patrols in the parts of the South China Sea that the Philippines claims exclusively as its own and where exploration for potentially lucrative gas fields is underway.

"The Gregorio del Pilar, named after the newest general of the Philippine revolution, will take the lead in patrols for our sovereignty, and in ensuring that our waters are crime-free," Aquino said.

Aquino was speaking at Navy headquarters in Manila during a commissioning ceremony for the vessel, which replaces a World War II-era destroyer as the country's top warship.

Gregorio del Pilar was acquired from the United States earlier this year amid rising tensions between the Philippines and China in the South China Sea.

Tensions escalated after the Philippines accused the Chinese People's Liberation Army Navy of firing warning volleys at Filipino fishermen in the South China Sea, harassing an oil exploration vessel and putting up markers on Philippine islets.

Those areas are much closer to the Philippine landmass than Chinese, but China insists it has sovereign rights to virtually all of the South China Sea, even waters up to the coasts of Southeast Asian countries.

Other parts of the sea, which are reputedly rich in mineral resources and straddle vital sea lanes, also are claimed by Brunei, Malaysia, Taiwan and Vietnam.

The competing claims have for decades made the sea one of Asia's most dangerous potential military flashpoints.

Meanwhile in Beijing, state media reported that China has sent its largest patrol ship, the 3,000-ton Haijian 50, to the East China Sea to guard the country's territorial rights.

China has repeatedly locked horns with neighbors Japan and Taiwan over a group of uninhabited islands - called Senkaku in Japan and Diaoyu in Chinese - in the East China Sea that Beijing claims are in its territorial waters.

Japan and Taiwan also claim sovereignty over the area, which is similarly believed to be rich in oil and gas.

Taiwan Compulsory Service Reduced to 4 Months

TAIPEI - Taiwan will reduce compulsory military service from one year to four months, the defense ministry said Dec. 14, in what is widely seen as a first step towards scrapping conscription altogether.

Benefiting from improved ties with mainland China, the island's young men will have to spend shorter time in uniform beginning from early 2015, after parliament passed an amendment to the conscription law late Dec. 13, it said.

"We are gradually introducing a professional military, so there will be no holes in our defense capabilities," said David Lo, the defense ministry's spokesman.

The ministry plans to eventually maintain a permanent professional military of 215,000 soldiers, down from 275,000 conscripted and professional soldiers at present, he said.

Phasing out conscription was a campaign pledge by President Ma Ying-jeou in the 2008 election, and he has stressed that a "small, elite and strong" voluntary military rather than conscription is best for the island's defense.

Taiwan's relatively large army is a legacy of decades of tensions with China, however ties have improved markedly since Ma took office three years ago on a Beijing-friendly platform. He is running for a second four-year term in January.

Alenia, Cassidian To Explore UAV Cooperation

PARIS - In a bid become major industrial players, Italy's Alenia and EADS defense and security unit Cassidian have signed a preliminary agreement to explore cooperation in medium-altitude, long-endurance and combat UAVs, the companies said in a Dec. 14 statement.

"A Memorandum of Understanding was signed between Cassidian on behalf of EADS Deutschland GmbH and Alenia Aeronautica SpA to jointly investigate the potential cooperation in the field of medium-altitude long-endurance (MALE) unmanned aerial systems (UAS) and unmanned combat aerial vehicles (UCAV)," a joint statement said.

"Alenia and Cassidian are aiming to strengthen their technological know-how in order to establish a leading role in the UAS market," the companies said. "Thanks to this agreement, the two companies will analyze the requirements expressed by each of their respective governments in the UAS sector with the objective to create a strategic partnership and to expand their global UAS market share.

Cassidian sought the agreement with Alenia to extend its work on the Talarion advanced UAV.

"We look forward to investigating further collaboration with Alenia Aeronautica around a next-generation MALE UAS, like for instance the Talarion, which is of outmost importance for Europe's military aviation industry," Cassisian chief operating officer Bernhard Gerwert said in the statement.

France, Germany and Spain have shown no willingness to sign a development contract for the Talarion after EADS delivered its 60-million euro risk reduction study.

Alenia sees cooperation with EADS as a way of staying current in the UAV market.

"The UAS sector has a strategic importance for the future of Alenia Aeronautica's programs, and we are convinced that this agreement will allow us to become even more competitive in this quickly expanding market," Giuseppe Giordo, chief executive of Alenia Aeronautica and Alenia Aermacchi, said.

An Anglo-French cooperation military treaty, which includes collaboration in UAVs and UCAVs, has sparked concern in Germany, Italy and Spain that the agreement is exclusively bilateral and locks out other European partners.

F-35 Sound, but Slow Down Production: Report

A "quick look" report on the U.S. Defense Department's F-35 Joint Strike Fighter (JSF) delivered to the Pentagon's acting procurement chief a few weeks ago was leaked to the public Dec. 13 by the Project on Government Oversight and says aircraft production should be slowed down.

A REPORT LEAKED Dec. 13 says the F-35 program is sound but production should be slowed down. Above, an F-35A Joint Strike Fighter in flight earlier this year. (U.S. Air Force)

The report was delivered to the office of Frank Kendall, the Pentagon's acting procurement chief, and calls for the slowdown while 13 test issues are resolved. But the report also declares the F-35's design fundamentally sound.

"No fundamental design risks sufficient to preclude further production were indentified," the report reads.

When asked about the 13 problems highlighted in the report on Dec. 8, Pentagon press secretary George Little said "the secretary is aware of the report."

The Joint Strike Fighter program office (JPO) declined to comment on the report because it is an internal document. But an official with the program said the information within the report is accurate and that the F-35 JPO helped to create the document.

"There may be issues regarding the F-35 program," Little said. "Any large weapon program generally has issues from time to time. And we are aware of certain issues with the F-35 program. But we believe it's important to continue to invest in the program."

Most of the 13 problems highlighted in the report are well known and have been previously addressed by both Lockheed Martin and the JPO. The biggest issues include the helmet-mounted display - which Lockheed Martin F-35 program manager Tom Burbage has previous said is well on its was to being fixed - fuel dump system, integrated power package and arresting gear on the carrier version of the jet.

Corrections are already being developed for the carrier variant's tailhook.

"A joint JPO, Lockheed Martin, NAVAIR [Naval Air Systems Command] engineering team is developing necessary corrections," JPO spokesman Joe Dellavedova said. "Initial focus is on hook point modifications and tailhook hold down damper adjustments. The system will be retested when corrections are incorporated."

Three less-problematic issues are aerodynamic buffeting, airframe fatigue life and executing testing, according to the report. Five other issues noted were: lightning strike protection, software, weight management, thermal management and logistical system.

Taken together, the problems are substantial enough that the report argues production should be slowed down. From the operation assessment perspective, most of the deficiencies stem from the helmet's performance. There were also some classified concerns cited that were not in the report.

ThyssenKrupp Concentrates Shipbuilding on Military Sector

BONN, Germany - ThyssenKrupp AG will concentrate its Marine Systems on military surface ship and submarine building in the future, the company announced Dec. 12, adding that it will sell all its civil shipbuilding activities to British company Star Capital Partners.

The contract, signed with the London-based financial investor company on Dec. 11, includes the large yard builder Blohm + Voss Shipyards, Blohm + Voss Repair, Blohm + Voss Oil Tools and Blohm + Voss Industries, including its subsidiaries. According to ThyssenKrupp, the new investor wants to continue the business at all sites.

"The sale is an essential step to further focus the activities of ThyssenKrupp Marine Systems," Hans Christoph Atzpodien, CEO of ThyssenKrupp Marine Systems AG, said in a news statement. "At the same time, with the new owner, an important course-setting to secure the work places and the future of the shipbuilding at the locations of Blohm + Voss has been taken for the employees."

The deal still has to be approved by oversight committees. ThyssenKrupp expects the deal to be completed at the end of the first quarter of 2012. The transaction reflects its strategic development concept unveiled May 13. It is supposed to improve the Essen-based company's competitive position and offer a sustainable future.

In August, there had been media speculation about a joint venture involving ThyssenKrupp Marine and French ship-building group DCNS. This was strongly denied by the German company at that time, which said that it saw little promise of close cooperation in the submarine or surface naval vessel sector.