Germany, S. Korea compete for $1 bln tank project

Turkey is expected to select a local company later this month for the production of 250 main battle tanks (MBTs) as German Kraus Maffei Wegman and South Korea's Rotem have been competing.Turkey is expected to select a local company later this month for the production of 250 main battle tanks (MBTs) based on local design as German Kraus Maffei Wegman and South Korea's Rotem have been competing as sub contractors to extend support to the manufacture of the tanks, said local defense industry sources.

The executive committee of the Undersecret-ariat of the Defense Industry (SSM), Turkey's top decision-making body in arms procurement, is expected to meet on March 30, during which the local production of tanks will finally be given a start. MBT production has been a long awaited project and a local design, development and production model was chosen following the cancellation of a project in May 2004 that envisaged the co-production of MBTs.

The Executive Committee will decide between the two local competitors, the FNSS-BMC partnership and Otokar, for the production of around four to six proven tank prototypes by 2012 that defense industry sources say should be compatible with tanks for modern warfare. The cost of the prototype design, development and production will be slightly less than $1 billion. Once the proven prototypes are produced, a separate agreement will be made for the serial production of 250 MBTs.

The winner of the local MBT production contract in cooperation with the SSM will choose foreign sub contractors to receive support during the local design and development of the tanks. Germany's Krauss Maffei Wegman offered a workshare in the project while Korea's Rotem offered some technology transfers, said a local industry source. The SSM is also expected to sign a deal with local Roketsan for the local development of tank armor.

Meanwhile, Turkish National Defense Minister Vecdi Gönül, hosting his South Korean counterpart Kim Jang-Soo on March 7 in Ankara, stated that Turkey would definitely produce MBTs locally but some foreign technology could be required. "In this sense Korea appears to be among the very strong candidates," he added.

South Korea and Turkey signed a Memoran-dum of Understanding (MOU) almost two months ago which outlined potential areas of cooperation for tanks and the production of Samsung Aerospace Industries-made 155mm/52-cal. K9 Thunder ammunition, said a local industrialist.

Turkey's Machines and Chemical Industries Board (MKEK) has so far been unable to indigenously produce 155 mm ammunition and is said to be opening a tender later in the year for a technology transfer deal in this regard, with S. Korea and South Africa appearing to be potential suppliers.

Gönül said, while hosting Kim Jang-Soo, Turkey could buy ammunition from South Korea provided that Seoul pledges technology transfer. "Turkey has been importing some ammunition [155 mm], but now we have been working with South Korea for its production in Turkey," he said.

Meanwhile, Turkey has offered military and counter-terrorism training to the Philippines in its fight against an Islamic insurgency. The Philippine Star daily reported on March 20, quoting the Philippines Department of Foreign Affairs, that Turkish National Defense Minister Vecdi Gönül had announced the offer during the Philippines-Turkey Joint Economic Commission held in Turkey.

Philippines Ambassador to Turkey Bahnarim Guinomla presented to Gönül's delegation the current economic developments in the Philippines and updates on the Philippine embassy's efforts to convene the second meeting of the Commission. According to Guinomla, the Philippines and Turkey could also cooperate in combating terrorism.

Gönül, for his part, informed Guinomla about draft agreements on defense industry and military cooperation which the government of Turkey had submitted for consideration, the paper reported. He also invited Guinomla to visit Turkey's military and air force facilities where modern military equipment such as fighter jets are produced.



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