Weather Forecast for Tuesday    Egypt Records 1651 New Cases of COVID-19    United States condemns Houthi attacks on Saudi Arabia and UAE    Police arrest 2 Saudis who ran over and robbed passerby in Riyadh    Al-Rumayyan: iktva program attracts over 500 investments in Saudi Arabia    Al-Qasabi calls for Saudi-Iraqi business forum to be held annually    Ehsan platform launches application for smartphones    King Salman receives written message from president of South Sudan    Saudi Arabia, Romania sign defense cooperation agreement    Yara Ghouth launches 'Naseej Market' to craft the way for craftsmen Built by locals, for locals    EP Emir inaugurates Gulf region's largest fish island in Qatif    MoH: Children need to take second dose of vaccine Omicron is only variant found in Kingdom    Burkina Faso president reportedly detained by military    As millions fall behind, how can we bridge the growing education gap?    Navratilova blasts Peng Shuai T-shirt ban at Australia Open    Newcastle United land in Saudi Arabia for training camp    Cirque du Soleil to establish an academy and regional office in Saudi Arabia    34th International "Virtual" Conference for Muslims of Latin America, Caribbean kicked off today    Jordan Records 11,478 New Infections of COVID-19    OIC Condemns Terrorist Attack on Civilian Areas in the Kingdom and the UAE    In Implementation of the Custodian of the Two Holy Mosques Directives, Validity of Iqama, Exit, Re-entry and Visitor Visas Extended Automatically and Free of Charge    Governor of Eastern Region Inaugurates 6th iktva Forum and Exhibition    "Adaa" Observes Saudi Arabia's Progress in the Field of Education Globally    Saudi Arabia to Host LEAP, Global Technology Platform, to Address Challenges Facing Humanity    MAWANI Boosts Saudi Arabia's Bid to Become Global Logistics Hub    Kuwait Condemns Houthi Militia's Terrorist Attacks on Saudi Arabia and UAE    Order of King Abdulaziz awarded to former OIC chief    Omani National Football Team Arrives in Jeddah to Meet Saudi National Team    GEA launches 'Squid Game experience' as part of Riyadh Season    'Bab Al Hara' Director Bassam AlMulla passes away at 65    Saudi Handball Team Loses to Qatar in Main Round of 2022 Asian Men's Handball Championship    Eighth Season of ABB FIA Formula E World Championship to kick off in Diriyah    Bocelli performs in AlUla in third Winter at Tantora    700 women footballers vie for a place in first-ever national team Jeddah hosts Green Ladies' first training camp    20th Asian Handball Championship Main Round to Kick off Tomorrow    Tearful Adele postpones entire Las Vegas residency    Riyadh's Qualitative Events Enrich its Winter, Attract World Attention    SFDA: Fat is a Source of Energy and Its Abundance is Linked to Chronic Diseases    Reflections on celebration of Christmas    Royal Commission for AlUla to Hold Custodian of the Two Holy Mosques Endurance Cup 2022, Richard Mille AlUla Desert Polo    Saudi Arabia's Pavilion at Expo 2020 Dubai Organizes a Dance Theatrical Show for Children    Saudi Arabia rebuffs UN resolution on 'sexual orientation'    Kabir Khan eyes on joint Indian – Saudi film projects    Bollywood superstar Salman Khan to dazzle Riyadh Season on Dec. 10    Pilgrims Perform Dhuhr and Asr Prayers at Arafat Holy Site    Council of Senior Scholars: Muslim Brothers' Group Don't Represent Method of Islam, rather only Follows its Partisan Objectives, Violating our Graceful Religion    Eid Al-Adha Prayer Performed at the Grand Holy Mosque    Pilgrims Perform Dhuhr and Asr Prayers in Arafat Holy Site    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Japan struggles to woo Australia in bid for $35bn submarine contract
Published in The Saudi Gazette on 27 - 08 - 2015

ADELAIDE, AustraliaJapan's effort to charm Australian politicians and the public over its bid for a A$50 billion ($35.60 billion) submarine project appeared to stumble on Wednesday, with officials from Tokyo resisting pressure to commit to building the vessels in Australia.
Japanese defense officials and executives from Mitsubishi Heavy Industries and Kawasaki Heavy Industries made their first major pitch to build 12 stealth submarines for Australia's navy during public briefings in Adelaide, a ship-building hub.
Once seen as the frontrunner to win the contract, the Japanese bid has since come under scrutiny over whether Tokyo would build any of the submarines in Australia, where manufacturing jobs are a hot-button political issue.
Rivals ThyssenKrupp Marine Systems of Germany and France's state-controlled naval contractor DCNS have both said they would build entirely in Australia, emphasising the economic and political benefits of their proposals.
The European firms have also courted the Australian defense industry and media in key cities. The Japanese delegation, led by retired Admiral Takahashi Saito, stressed Japan's cutting-edge technology, track record in manufacturing and strategic relationship with Australia during an open forum for local industry leaders.
But two sources present at separate private meetings between Japanese and Australian officials said the Japanese did not seem to have much understanding of the political sensitivities and appeared to have lost ground to their rivals.
They said the delegation gave few details about the Japanese proposal beyond reassurances they would adhere to the bidding rules.
“It seems like the (Australian) federal government just told them that they had to come down here and talk to us,” one source said under the condition of anonymity because he was not authorised to speak to the media.
“I think they're really struggling to connect to the public. It's just not in their DNA to speak publicly about defense issues.”
A defense industry source in Tokyo said the German bid was shaping up as the one to beat. “There is some concern in the Japanese government,” said another industry source in Tokyo familiar with the proposals.
Both sources said Japanese defense ministry officials had informally asked US contractors with close ties to Japanese industry, including Raytheon Co and Lockheed Martin Corp , to advise Mitsubishi Heavy on managing its first ever bid to sell military equipment to an overseas government.
Australian media has said Australian Prime Minister Tony Abbott and Japanese Prime Minister Shinzo Abe privately agreed last year that Japan would get the contract, which also involves maintenance of the vessels. Both sides have denied such a deal.
The issue dominated a news conference held by the Japanese delegation. “The current situation has us a little bit perplexed and confused why such speculation is still being voiced,” said Masaki Ishikawa, director general for acquisition reform at Japan's Ministry of Defense.
Ishikawa declined to be drawn on whether Japan would build the submarines in Australia. Abbott has described Japan as Australia's “closest friend in Asia.”
The United States is also keen to spur security cooperation between two key allies. Officials in Adelaide, capital of South Australia state, insisted on at least 70 percent local worker participation in the project.
“The French and the Germans have been out there in the public domain making their case and, look, that's understandable because this is an argument that will be determined in the court of public opinion,” South Australia Defense Minister Martin Hamilton-Smith said in an interview.
Influential independent Senator Nick Xenophon, who met with the delegation privately, said the Japanese had put themselves in a position to play catch up.
Senator Sean Edwards, chairman of the economics committee in the upper house of Australia's Parliament, said he had repeatedly told the Japanese officials the political importance of pledging to build in Australia.
“They get it,” he said. The Japanese declined to meet with labor union leaders, said Glenn Thompson, assistant national secretary of the powerful Australian Manufacturing Workers Union.
“We would have thought the Japanese ... would have liked to have talked to the unions,” he said. Each of the bidders has been asked to provide three estimates: one for construction overseas, one for a partial assembly in Australia and one for a full build in an Australian shipyard.
An expert advisory council is expected to deliver its recommendation in November. — Reuters


Clic here to read the story from its source.