Saturday, April 30, 2011

U.S. Loses in Biggest Fighter-Jet Sale in 15 Years in India

India’s Defence Ministry opted for European over American warplanes for the world’s biggest fighter-jet aircraft order in 15 years, snubbing the lobbying efforts by President Barack Obama.
The U.S. is “deeply disappointed” after India told it this week that Boeing Co. and Lockheed Martin Corp. “were not selected for procurement” for the warplane, the American embassy in New Delhi said in a statement, citing Ambassador Timothy Roemer. India’s Defence Ministry will not comment on reports it has shortlisted the aircraft of France’s Dassault Aviation SA and the European Aeronautic, Defence & Space Co., ministry spokesman Sitanshu Kar said by phone today.
The contest for India’s order may not be over yet, with approval by Prime Minister Manmohan Singh’s cabinet required following the Defense Ministry’s final recommendation. Obama has sought to strengthen ties with India, the world’s second-fastest growing major economy, aiming to boost export and job growth as the U.S. struggles to pull down an elevated unemployment rate.
“A remaining uncertainty is that the defining nature of the U.S.-Indian strategic partnership might trump the purely operational and technical considerations” that have given an advantage to the European companies, said Kapil Kak, a retired Indian air vice marshal who is a director of the Center for Air Power Studies, a New Delhi think-tank.
29/04/11 Bloomberg
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