Tim Ripley

Lockheed Martin chiefs are optimistic that a true trans-Atlantic aerospace and defence marketplace can develop.

Company chairman and chief executive, Vance Coffman, however, warned that a crucial juncture had been reached and progress was not inevitable.

"I am optimistic about building a trans-Atlantic marketplace that is integrated, open and competitive and supported by a trans-Atlantic defence industrial base that is innovative and robust," he says. "This would be a marketplace where governments would work together to define harmonised military requirements and seek best value in defence procurement."

But to achieve this goal, NATO governments need to work out the 'rules of the road' on military technology sharing. These rules must protect sensitive technologies as well as outline arrangements for sharing technology. In this regard, the recent declaration of principles between the US and the UK is an effort at a balance approach. We are hopeful that similar agreements can be reached with other NATO allies.

"Programme partners serve a variety of purposes and, when done well, these efforts can be very attractive to all participants. Too often, however, this is not the case."

"A maze of bureaucratic red tape, politically influenced decisions by governments, the failure to harmonise military requirements or disagreements over technology transfer often reduce the probability of success - or even discourage making the attempt in the first place. We are now at a crucial juncture."

Industry

"Will governments and industry be able to take the necessary steps to make transatlantic defence co-operation meaningful and attractive for all concerned? Will governments receive greater military capabilities for the amount of resources expanded? Will industry be able to enjoy the benefits of larger markets and economies of scale? Will research and development spending be more rationally allocated across the alliance as a whole, resulting in more efficient spending of those resources? Will governments agree to procedures for technology sharing in such a way that co-operation is fostered? Will governments permit industry to take difficult decisions and actions necessary to restructure and reduce capacity?"

How these questions are answered will determine the depth and intensity of future trans-Atlantic defence co-operation.

Responding to questions about a suggested BAE Systems-Boeing merger, he says he could see a merger on that scale in the near future. "It is far away. Transatlantic mergers are likely to grow from joint programmes. Once you have got something to start with in terms of partnership material. You can then start to slow walk programmes through to execution. We start then," Says Coffman.

Source: Flight Daily News

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