BRENDAN SOBIE / SINGAPORE
Tenders to be issued as expected Sikorsky order scuppered by political backlash from US import restrictions
China has scrapped plans to sign this week a non-competitive letter of intent (LoI) for two Sikorsky S-76 and two S-92 helicopters. It will instead release a competitive tender for its search and rescue (SAR) helicopter requirement.
Helicopter manufacturers expected until last week that China would buy directly from Sikorsky without a competition. The LoI was to have been signed during premier Wen Jiabao's visit to Washington DC this week, as part of China's effort to reduce its trade surplus with the USA. But helicopter industry sources say political changes, spurred on by a row over new restrictions the USA has placed on textiles and televisions, quickly soured the proposed deal.
AgustaWestland, Bell, Eurocopter and Sikorsky expect China's ministry of communications to instead issue a tender for two medium-size and two heavy helicopters by the end of this month. Selection is due in the first half of next year, aimed at delivery in 2005.
AgustaWestland plans to offer the AB139 and EH101 and Eurocopter the EC155 and the AS332 Super Puma. Bell can only meet the medium-size requirement, proposing the 412EP.
Sikorsky may still have the upper hand, having sold the ministry two S-76s in 2002. But European officials are trying to persuade China to buy European for this round. A third procurement is expected within the next few years as the ministry opens additional SAR helicopter bases throughout China.
Source: Flight International