Boeing has effectively withdrawn from Chile's reactivated fighter competition. The Chilean requirement, originally for at least 24 aircraft, has shrunk to around 12, making it uneconomical to restart F/A-18C/D production, which has begun to shut down as the last US Marine Corps aircraft move down the line.

The US manufacturer has briefed the Chilean air force on the upgraded F/A-18E/F, undergoing operational evaluation with the US Navy, but the larger aircraft is not cleared for export and is not expected to be available for delivery until 2005.

Chile asked bidders to revalidate their offers after restarting its stalled fighter competition earlier this year. A decision, expected a year ago, was delayed when Chile's economy collapsed in the wake of the Asian crisis. The companies responded with updated prices in mid-May. Chile plans to make a decision by 31 July.

Dassault has revised its bid to offer the latest Mirage 2000-5MkII, as ordered by Greece and the United Arab Emirates. Lockheed Martin is offering the F-16C/D and Saab/British Aerospace the Gripen. Both are reported to have reduced their prices.

Boeing has not formally withdrawn its bid, but the delay has made it economical to restart production of the F/A-18C/D only if Chile orders more than the 24 aircraft originally planned.

The manufacturer has briefed other potential F/A-18 customers on the impact of the C/D line shutting down (the last aircraft on order will be delivered next year). These include the Czech Republic, Hungary and Poland. Talks are under way with the USN on how to transition export sales to the new F/A-18E/F.

• Chilean aerospace company Enaer has signed a deal with Dassault to maintain the 150 Mirage IIIs, 5s, 50s and F1s operated by Latin American air forces.

Source: Flight International