Graham Warwick/WASHINGTON DC
The US Department of Defense (DoD) is pushing for controls to be waived on exports of weapons and technology to the UK and Australia, in an effort to enhance interoperability and encourage open defence markets.
Secretary of Defense William Cohen and Secretary of State Madeline Albright have met to discuss the DoD's proposal to exempt the two countries from the US International Traffic in Arms Regulations (ITARs).
Such an exemption would "send a message" that the USA is ready to open its defence market to countries prepared to meet its requirements for reciprocal export controls, industrial security and open competition, says David Oliver, Principal Deputy Undersecretary of Defense for Acquisition and Technology.
Canada is the only country exempt from the ITARs. Extending the exemption to the UK is a prerequisite for transatlantic industrial mergers and for full UK participation in the Joint Strike Fighter programme, Oliver says. "We could do this in a month," he says, noting that Albright has the power to waive the ITARs. "It's a matter of will. We do not need new legislation," he adds
Industry believes that the State Department is not as keen as the DoD on granting blanket exemptions. Joel Johnson, of the US Aerospace Industries Association, says: "They want the flexibility to change their minds." Oliver argues that experience with Canada shows that waiving the ITARs and encouraging industrial co-operation can help the USA achieve its foreign policy goals.
The proposal to exempt Australia, Oliver admits, is a result of technology releasability issues which marred its Project Wedgetail airborne early warning and control (AEW&C) programme.
Boeing won the competition, but Australia had to fight to gain access to key technology in the 737 AEW&C. "They got what they wanted - eventually," says Oliver, acknowledging that the issue risked damaging the USA's relationship with Australia.
After increasing complaints from the military services and defence industry that the USA's outdated export controls harm coalition operations and sales efforts, the DoD is overhauling its licence approval processes.
"This is critical to warfighting interoperability and the industrial base," says Oliver.
The DoD handles about 45,000 requests for export licences annually. Last year, it took an average of 46 days to approve a licence. That is down to 22 days, "and we expect it to be less than 10 days within three months", says Oliver. The DoD is adding personnel and installing computer links with the Departments of State and Commerce, also responsible for granting export licences.
About 30% of requests would be eliminated if the UK and Australia were granted ITAR exemptions. "We already share such sensitive information with the countries," Oliver points out. Waiving export controls would "signal change" and improve access to technology "both ways". Talks between Cohen and Albright continue. "We're not there yet," admits Oliver.
Source: Flight International