English हिन्दी
Connect with us

Latest world news

Make-in-India: U.S Defence firms want to retain control on proprietary technology

Published

on

Make-in-India: U.S Defence firms want to retain control on proprietary technology

By Aditya Kalra and Sanjeev Miglani

US-India Business Council says foreign partners in defence production can’t be held liable for defects in products manufactured in collaboration

New Delhi: U.S. defence firms offering to set up production lines in India to win deals worth billions of dollars want stronger assurances they won’t have to part with proprietary technology, according to a business lobby group’s letter to India’s defence minister.

The letter had been sent a month before Prime Minister Narendra Modi reshuffled his council of ministers and was thus addressed to Arun Jaitley who then held additional charge of the defence portfolio.

These companies are also saying they shouldn’t be held liable for defects in products manufactured in collaboration with local partners under PM Modi’s ‘Make-in-India’ drive to build a military industrial base.

Lockheed Martin and Boeing are both bidding to supply combat jets to India’s military, which is running short of hundreds of aircraft as it retires Soviet-era MiG planes, and its own three-decade-long effort to produce a domestic jet is hobbled by delays. Lockheed has offered to shift its F-16 production line to India from Fort Worth, Texas, and make it the sole factory worldwide if India orders at least 100 single-engine fighters.

The U.S. firm has picked Tata Advanced Systems as its local partner under the defence ministry’s new Strategic Partnership model under which foreign original equipment manufacturers (OEMs) can hold up to a 49 percent stake in a joint venture with an Indian private firm which will hold the majority of shares.

The US-India Business Council (USIBC) wrote to India’s defence minister last month seeking a guarantee that U.S firms would retain control over sensitive technology – even as joint venture junior partners. “Control of proprietary technologies is a major consideration for all companies exploring public and private defence partnerships,” the business lobby, which represents 400 firms, said in the Aug. 3 letter, reviewed by Reuters and previously unreported.

“To allow foreign OEMs to provide the most advanced technologies, the partnership arrangement between an Indian owned ‘strategic partner’ company and a foreign OEM needs to provide an opportunity for the foreign OEM to retain control over its proprietary technology,” it said, noting this wasn’t explicit in the policy document.

TECHNOLOGY TRANSFER

Technology transfer is at the heart of Modi’s drive to build a domestic industrial base and cut reliance on imports that has made India the world’s biggest arms importer in recent years.

Without full tech transfer in previous arms deals, India’s mainly state-run defence factories have largely been left to assemble knock-down kits even for tanks and aircraft produced under licence from the foreign maker. Modi’s advisers have vowed to change that, insisting on transfer of technology so that critical military equipment are designed and manufactured in India.

Benjamin Schwartz, USIBC’s director for defence and aerospace, said the new Indian policy offered a roadmap for establishing partnerships between U.S and Indian companies, but it raised some questions for the firms. He said he was not in a position to name those companies concerned by the Indian policy, but there was a “general desire to see increased clarity” on several aspects, including the control of proprietary technologies.

QUALITY ISSUES

The USIBC also opposed a clause in the new rules that held foreign firms jointly responsible for the quality of the platforms provided to the military, saying legal liability is a significant factor in business decisions.

“We recommend the MoD (Ministry of Defence) affirm that foreign OEMs will not be liable for defects outside their company’s control,” the USIBC said.

Lockheed did not respond to a request for comment. Boeing, which is bidding for a separate contract to sell its F/A-18 Super Hornets for India’s aircraft carrier fleet, declined to comment on the USIBC letter, but the company’s India president, Pratyush Kumar, said there were concerns about Indian private firms’ lack of experience in the aerospace sector.

Only state-run Hindustan Aeronautics Ltd had made planes under licence, while some private players were starting from scratch, having never built even an aircraft component. Kumar said he could not find a single example worldwide of a private enterprise with limited experience building out a plane under transfer of technology.

“Look at Turkey, look at Japan, look at Brazil – look at multiple countries. In all cases there is a fine balancing act of co-opting the capabilities of both public and private enterprise,” Kumar said.

India’s defence ministry offered no response to the concerns expressed by the trade lobbying group on the strategic partnership model, which will also apply to building submarines and helicopters as part of a $150 billion modernisation drive. But an official, referring to sensitive technology, said the government has made clear in the past that foreign firms can be allowed to increase their stake beyond 49 percent if the technology they bring in is state-of-the art.

“It can be done on a case-to-case basis,” the official said. Mukesh Aghi, president of the US-India Strategic Partnership Forum, said that despite the starting problems, defence manufacturing looked set to be a breakthrough area in ties between India and the United States. “It’s the next big thing. There is strong support from the (U.S President Donald) Trump administration to take this forward.”

– With Reuters

Latest world news

Fire near Dubai International Airport after drone incident, flights temporarily suspended

Flights at Dubai International Airport were temporarily suspended after a drone-related incident caused a fuel tank fire near the facility. Authorities confirmed the blaze was contained and no injuries were reported.

Published

on

Fire at Dubai international airport

A fire broke out near Dubai International Airport on Monday after a drone-related incident struck a fuel tank in the surrounding area, prompting authorities to suspend flights temporarily while emergency teams responded.

Officials said crews from Dubai Civil Defence were quickly deployed to control the blaze after the incident was reported near the airport. Authorities confirmed that no injuries were recorded and that safety protocols were immediately activated in the surrounding area.

The Dubai Media Office said in a post on X that a drone incident near the airport had affected one of the fuel tanks. Emergency teams moved rapidly to bring the fire under control.

Later, officials confirmed that the situation had been contained. According to authorities, civil defence teams successfully controlled the fire resulting from the impact on the fuel facility, and there were no casualties.

Authorities said response teams acted quickly while precautionary safety measures were implemented to safeguard residents, workers and airport operations in the area.

Flights temporarily suspended as precaution

Following the incident, the Dubai Civil Aviation Authority announced a temporary suspension of flights at Dubai International Airport to ensure passenger and staff safety.

Travellers were advised to contact their respective airlines for updated flight schedules as authorities assessed the situation and continued response operations.

Airport officials also confirmed that some flights were diverted to Al Maktoum International Airport during the temporary suspension.

Rising security concerns amid regional conflict

The incident comes amid heightened tensions in the region. Officials said Iran has fired more than 1,800 missiles and drones toward the United Arab Emirates since the start of the ongoing Middle East conflict.

Authorities said the UAE has become one of the most targeted countries during the escalation, though most projectiles have reportedly been intercepted by air defence systems.

The strikes have targeted both military and civilian infrastructure, including airports, ports and oil facilities across the Gulf after US-Israeli strikes reportedly hit Iranian leadership targets.

Meanwhile, the UAE’s defence ministry has reported six deaths linked to the conflict so far — four civilians and two military personnel. Officials said the soldiers died in a helicopter crash caused by a technical issue.

Continue Reading

Latest world news

Dubai hit again within 24 hours as debris strikes building, drone targets US embassy in Baghdad

A building in Dubai’s financial hub was struck by debris from an intercepted attack while a drone targeted the US embassy in Baghdad, officials said.

Published

on

A building in the financial district of Dubai was struck by debris from an intercepted aerial attack on Friday, marking the second such incident reported in less than 24 hours as tensions continue during the ongoing conflict involving the United States, Israel and Iran.

Authorities confirmed that debris from a successful interception hit the façade of a building in central Dubai. According to an official statement shared by the Dubai Media Office on social media platform X, the situation was quickly brought under control. Officials also said there was no fire and no injuries reported in the incident.

Witnesses described hearing a powerful blast in the area around the Dubai International Financial Centre (DIFC), one of the emirate’s busiest financial hubs. A resident living nearby told media that the sound was the loudest they had ever heard and initially feared something catastrophic had happened.

Another correspondent reported hearing a massive double explosion that shook surrounding buildings and left a cloud of black smoke hanging over the district for some time before the situation stabilised.

Drone hits US embassy complex in Baghdad

In a separate development, a drone struck the United States Embassy Baghdad in Baghdad, according to Iraqi security officials. Media present near the area reported seeing smoke rising from inside the diplomatic compound after the strike.

Security sources confirmed that the drone attack directly targeted the embassy complex. Details about damage or casualties were not immediately available.

The attack occurred shortly after two strikes targeted positions linked to the Iran-backed group Kataeb Hezbollah. Security officials said the strikes killed two members of the group, including what was described as a key figure.

According to one security source, a missile hit a house used by the group at around 2:15 am local time. The source added that the strike resulted in the death of a senior member, while two others were wounded.

The incidents in Dubai and Baghdad come as the wider regional conflict involving the United States, Israel and Iran continues to escalate into its 15th day, raising concerns about the spread of hostilities across the Middle East.

Continue Reading

Latest world news

US KC-135 refuelling aircraft crashes in Iraq amid ongoing Iran war

A US KC-135 refuelling aircraft crashed in western Iraq during the ongoing Iran war, marking the fourth American aircraft lost in the conflict, according to the US military.

Published

on

us millitary aircraft crash

The United States military has confirmed that one of its aerial refuelling aircraft crashed in western Iraq, marking the fourth American aircraft lost since the start of the current conflict involving Iran.

According to a statement issued by United States Central Command (CENTCOM), the incident involved a Boeing KC-135 Stratotanker. The military said one aircraft went down in western Iraq, while another aircraft linked to the situation was able to land safely.

CENTCOM clarified that the crash was not the result of hostile fire or friendly fire, though details about the cause of the incident have not yet been disclosed.

Fourth US aircraft lost in the conflict

The crash makes the KC-135 the fourth American military aircraft lost since the beginning of the war in the Middle East, which started on February 28.

Earlier in the conflict, three McDonnell Douglas F-15E Strike Eagle fighter jets were mistakenly shot down by forces from Kuwait in what the US military described as friendly fire. Despite the loss of the aircraft, all six crew members from those jets managed to eject safely.

CENTCOM had earlier said the incident happened during intense combat operations that included attacks from Iranian aircraft as well as ballistic missiles and drones.

KC-135 aircraft and crew details

The KC-135 aerial refuelling aircraft has been in service for more than six decades and plays a key role in extending the range and endurance of US military aircraft during operations.

Typically, the aircraft operates with a three-member crew, consisting of a pilot, a co-pilot and a boom operator responsible for refuelling other aircraft mid-air. However, certain missions may require a navigator, and the aircraft can carry up to 37 passengers, according to information provided by the US Air Force.

Authorities have not yet released information about the crew involved in the latest crash or whether there were casualties.

Continue Reading

Trending

© Copyright 2022 APNLIVE.com