Transatlantic turbulence over strike fighter deal
Published: Thu Jan 19th, 2006Source: www.isn.ethz.ch
When the US offered its closest ally a slice of its multi-billion dollar Joint Strike Fighter program four years ago, the opportunity seemed too good to decline. For a contribution of just US$2 billion, Britain could become the top international partner in a project to create a new generation of fighter jets, and receive a raft of profitable defense contracts into the bargain. Since then, however, the relationship between the two transatlantic allies has run into turbulence over the US$240 billion program, with the US threatening drastic cuts and Britain accusing its partner of reneging on the original deal.
US officials are planning to scrap a second engine for the fighter, which under the original contract was to be built by Rolls-Royce of Britain in co-operation with General Electric of the US. The cut is part of a wider economy drive caused by the financial strain of the ongoing conflicts in Iraq and elsewhere.
British Prime Minister Tony Blair has written personally to US President George W. Bush to try to reverse the decision, which defense experts say will not only hit the industry hard but could have severe military implications.
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