• The Pentagon released a report [PDF] on space export control policy after it reviewed, in cooperation with the Department of State, whether satellites and their components could be taken off the United States Munitions List (USML). They found that other countries have less restrictive rules and recommend loosening US legislation as well as giving more authority to the executive branch in such decisions. “Higher fences around fewer items” is how the Administration describes its policy. Early expressions of support or opposition in Congress seemed to follow party lines. Will this eventually make life easier for Thales Alenia?

• The Center for Strategic and Budgetary Assessments (CSBA) loves directed-energy weapons [PDF]. Cost asymmetry – imposed by or to the enemy – has a lot to with it:
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• NATO, Australia hope to be able to rely on Afghan forces to fight the Taliban by next year: Washington Times | US Joint Chiefs of Staff | NYT | Speech by Australian Prime Minister Julia Gillard.

• US Senator Richard Lugar [R-IN], ranking member of the Senate Committee on Foreign Relations, says the Obama administration should not bypass early, informal consultations with Congress before formally notifying it of a planned foreign military sale.

• The Diminishing Manufacturing Sources and Material Shortages (DMSMS) portal is a new online resource set up to help DoD and its industry partners to “implement best practices for monitoring, tracking, resolving, and performing analytical logistic and engineering analysis related to obsolescence impacts.”
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• The Stockholm International Peace Research Institute (SIPRI) updated its military expenditure database with 2011 numbers. Their estimate of $1.7 trillion is about flat in real terms, once inflation and exchange rate fluctuations are taken into account. Africa followed by the Middle East saw the biggest increases in relative terms. Europe saw the largest decrease but this hides stark differences between Western/Southern members of the Euro – where spending is dropping – and Eastern Europe where it is increasing markedly.

• Defense Industry Daily’s motion chart of SIPRI’s data at the bottom of this entry shows how, in less than a decade, East Asia has filled half the gap that separates it from Western and Central Europe. Given their likely respective growth rates in coming years, the same chart in a decade may well show them at about the same levels. A lot of the jump in North American numbers at the end of the 2000’s was due to US operational war spending that is already shrinking.

• The British Royal Navy’s latest yearbook [PDF] is out. UK Armed Forces Commentary reviews some of its highlights.
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FMTV Family

The 14 variants in the Family of Medium Tactical Vehicles (FMTV) form the core of the USA’s new state-of-the-art medium military transport truck fleet. Which in turn forms the core of the “mature logistics capability” seen in the Iraqi theater and elsewhere. FMTV trucks are all automatic transmission, and range from 2.5-ton cargo and van models to 5-ton cargo, tractor, van, wrecker, tanker, specialty, and dump-truck models in various 4×4 and 6×6 configurations. Some models also have attached trailers that increase their carrying capacity. Even so, the use of common engines, transmissions, drivelines, power trains, tires, cabs, etc. create over 80% parts commonality between FMTV models. Where possible, commercial components are used for added savings.

There have been 3 main phases of the FMTV program, including the last “SO23” open competition in 2003. All told, more than 50,000 FMTV trucks in various models have been delivered to the US Army. A bridging order to BAE continued production in Sealy, TX from 2008 through 2010, but the 4th phase re-compete saw a new firm begin FMTV production – alongside heavy truck production for the Army (FHTV) and Marines (LVSR), and medium trucks for the US Marine Corps (MTVR).

• FMTV Program & Production
• Contracts and Key Events [updated]
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• The US and the UK have finalized a bilateral defense trade treaty that puts in place a new exemption (§126.17- the UK Exemption) to ITAR. See Frequently Asked Questions.

• QinetiQ touts BAE’s use of its Paramarine advanced marine design software for the Type 26 frigate’s early stage design and trade-off studies. It helps that the Royal Navy has designated Paramarine as its stability software, and uses it for certification.

• Canada’s DND published a backgrounder on their forces in the Arctic.
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• The Pentagon’s 2013-2042 annual aviation inventory and funding plan is available via Bloomberg, in a context of aging aircraft. It says 5th generation assets will go from 7% of the current force of manned fighter aircraft to about 25% by FY 2022 based on a F-35 production ramp up. Fighter spending is about equal between the Air Force and Navy in FY 2013 but the next years see a gap in favor of USAF. Total spending (i.e. RDT&E, procurement, MILCON, and O&M) is projected to $770B in then-years over the next 10 years. See data tables and charts of DoD’s projected aicraft inventory at the bottom of this entry.

• DoD’s long term aicraft plan include a T-X trainer replacement “envisioned to begin production around FY18 with a planned IOC in FY20”, and replacements for T-45Cs and T-44s to be identified next decade. They expect the V-XX new presidential helicopter to begin operating in 2023. Further out, the 30-year plan mentions in passing F-X and FA-XX replacements to the F-22 and F/A-18, respectively.

• The Chinese Navy has begun using UAVs, deploying them on exercises around the South China Sea. Perhaps this will prod the US Navy, which has been the slowest adopter of the 3 services.
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FSTA Concept

Back in 2005, Great Britain was considering a public-private partnership to buy, equip, and operate the RAF’s future aerial tanker fleet. The RAF would fly the 14 Airbus A330-MRTT aircraft on operational missions, and receive absolute preferential access to the planes. A private contractor would handle maintenance, receive payment from the RAF on a per-use basis – and operate them as passenger charter or transport aircraft when the RAF didn’t need them.

The deal became politically controversial, and negotiations on the 27-year, multi-billion pound deal charted new territory for both the government, and for private industry. Which may help to explain why a contract to move ahead on a “Private Financing Initiative” basis had yet to be issued, and procurement had yet to begin, over 7 years after the program began. In March 2008, however, Britain issued the world’s largest-ever Defence Private Finance Initiative (PFI) contract. This FOCUS Article describes the current British fleet, the aircraft they chose to replace them, how the new fleet will compare, the innovative deal structure they’ve chosen, and ongoing FSTA developments:

• RAF Tankers: The Current Fleet
• A330-200 MRTT: The RAF’s Future Strategic Tanker Aircraft
• UK FSTA: Program & Industrial Team [updated]
  • PFI: The Art of the Deal
• UK FSTA: Contracts & Key Events [updated]
• Additional Readings
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• Concerns about China’s ability to disrupt electronics and defense manufacturing by withholding rare earth materials are blowing over thanks to a ramp up in domestic production. See also this CRS report [PDF].

• The US closed its military bases in the Philippines two decades ago but, like in the case of Vietnam, China is working hard to get America and its former colony to revisit their bilateral relationship. The Hill on the USMC’s presence | Latest CRS report [PDF].

• The Pentagon intends to fast-track cyberweapon procurement.
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• Pentagon Energy use data from a recent Congressional testimony [PDF] by Sharon Burke, Assistant Secretary of Defense for Operational Energy Plans and Programs:

“For FY13, DoD anticipates spending over $16 billion on energy for military operations, which will provide more than 4 billion gallons of fuel for military operations and exercises. DoD will also invest $1.4 billion on initiatives to improve operational energy security, about 90% of which are aimed at reducing DoD’s demand for operational energy. [...] DoD is the single largest consumer of energy in the nation, accounting for approximately 1% of national demand.”

• DoD is not only starting to inject energy considerations into requirements for new platforms via Fully Burdened Cost of Energy analyses, Burke also stated that “in FY12 and FY13, we also will look at how to ensure that improved energy performance will be incorporated into refit and upgrades of legacy platforms and equipment, whether through contracting or other methods. ” This comes in a context of $100+ per barrel of oil vs. a budgeted $88 for FY12. DoD comptroller Robert Hale said last month that every dollar above $88 translates into an extra $31M in spending.
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• The Pentagon published the Contracting Officer’s Representative Handbook (DoD COR HDBK – PDF) to provide guidance on contract surveillance, ethics, the acquisition process, as well as contract structure, administration, and monitoring. It intends to provide a comprehensive roundup of material found in FAR, DFARS, and other relevant regulation.

• The GAO purchased military-grade electronic parts on the internet through a fictitious company to assess the availability of counterfeit parts from China. They found parts that had been remarked, did not meet milspec, showed more recent dates than the last legit date of production for that part, and other signs of counterfeiting.

• Next Thursday the US Senate Armed Services Committee will consider the nominations of Frank Kendall as Under Secretary of Defense for Acquisition, Technology, and Logistics; Katharina G. McFarland to be Assistant Secretary of Defense for Acquisition; and Heidi Shyu to be Assistant Secretary of the Army for Acquisition, Logistics, and Technology. 2 other undersecretaries and one assistant secretary are also up for nomination during the same hearing.
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