Fighter manufacturers are again focusing their attention on Austria where they hope a change of government will provide an opportunity to overturn the country's selection of the Eurofighter Typhoon last year.
In what was considered a surprise decision at the time, Austria selected the Typhoon to meet a long-standing requirement to replace its Saab Draken fighters. The deal for 18 aircraft was valued at €2.5 billion ($2.7 billion), and Vienna planned to sign a contract within a few months of the selection.
A contract was not signed before national elections on 27 November last year, and a new government has not been formed. Negotiations to forma new government are not expected to conclude for weeks.
An industry source says politicians who supported Typhoon are no longer in power and Eurofighter's competitors now have "high hopes in Austria...anything could happen".
The Typhoon selection has been contentious, with the deal regarded in some quarters as too expensive, and opinion polls have suggested up to 80% of the population are against the purchase. The need to pay for flood damage sustained last year also caused many to question the deal.
Before Typhoon's selection, the Saab/BAE Systems Gripen was regarded as the lead contender, particularly as there are long-established and close ties between Austria and Sweden.
One fighter manufacturer says: "We have a counter bid which is around half the price of the Eurofighter for the same number of aircraft." A Eurofighter source says the company recently extended its pricing offer to July and does not expect to restart significant negotitions until April.
To lose the Austrian order would be a blow to Eurofighter, which has won only one other export competition, Greece, and that deal has been postponed until after the 2004 Olympics.
Source: Flight International
