According to reports by Politico and others, the World Trade Organization has ruled in favor of the United States in its fight against the European Union over Airbus subsidies. Some who are oblivious – willfully or not – to the details see this as a win for an American company – Boeing. But it’s hard for those of us in this region to see it that way. We see it jeopardizing Mobile jobs.
We have a vibrant Airbus campus in Mobile that assembles A320 and A220 series jetliners. The major sections are shipped in from Europe. In light of the WTO ruling, it’s not just the completed products that will be subjected to tariffs, but also the aircraft sections that are shipped to Mobile. That promises to make the planes built here less competitive, and that could jeopardize an operation that has been growing since it first began operations.
The ruling gives the United States the go-ahead to impose billions in punitive tariffs on EU products in retaliation for illegal subsidies granted to Europe’s Airbus. The U.S. can choose products from a previously compiled list and tax them at different rates to claw back the total amount of damage resulting from the EU subsidies. Aircraft parts, including those shipped to Mobile, are on the list.
The U.S. first filed the complaint in 2006. A parallel complaint by the EU, alleging illegal U.S. subsidies for Boeing, is also being examined by the WTO and a ruling is expected in about eight months. Airbus sees any imposition on tariffs on EU aircraft parts as something designed explicitly to disrupt the company's supply and manufacturing chain by depriving the company of the parts it needs for the final assembly of its A320 series in Mobile.
But this is not the last word. The EU case, accusing Boeing of getting illegal subsidies from the U.S. government, is still being determined by the WTO. The EU is expected to win this, and would likely issue its own tariffs. (Post)
The problem here is that supply chain is interwoven. All the aerospace companies use suppliers from across the globe. Airbus procures about 40 percent of its components and expertise from the United States, and tariffs disrupt the entire system.
This all started well before the Trump administration came in. But with an administration that's clearly not adverse to the imposition of tariffs, this ruling opens the door for an escalation of the dispute if not handled through negotiations. If there ever was a time to craft a deal, this is it.
Military
The Navy has determined that replacing the TH-57 training helicopters with a more advanced helicopter and new ground based training system will have no significant impact on the quality of the human environment around Naval Air Station Whiting Field in Milton, Fla.
Preparation of an environmental impact statement is not required.
The proposed action will modernize the Navy’s rotary-wing and tilt-rotor integrated pilot production training program at Training Air Wing Five at NAS Whiting Field and its respective helicopter training Navy Outlying Landing Fields in Florida.
The replacement helicopter has not yet been chosen, but the Advanced Helicopter Training System will replace the TH-57 Sea Ranger training helicopters and simulators, and the training tempo will also increase. There will also be changes in operational tactics based on a new curriculum, construction of temporary and permanent supporting facilities, and an increase in personnel.
The Navy has made available the Final Environmental Assessment (EA). The Draft EA was made available for public review and comment from June 28 through July 19, 2019. All comments received were considered in preparing the Final EA. (Post)
Contracts – support services
COLSA Corp., Huntsville, Ala., was awarded a $69.6 million modification to exercise an option on a previously awarded contract for technical and management advisory services command, control, communications, computer, intelligence, surveillance and reconnaissance/cyber support. The contractor will provide additional research, development, test and evaluation, and acquisition support services. Work will be performed at Eglin Air Force Base, Fla., and other Air Force bases nationwide and is expected to be completed by Sept. 30, 2020. The Air Force Test Center, Eglin Air Force Base is the contracting activity. … Quantitech Inc., Huntsville, Ala., was awarded a $54.7 million modification to exercise an option on a previously awarded contract for technical and management advisory services range support. The contractor will provide additional diverse research, development, test and evaluation, and acquisition support services. Work will be performed at Eglin Air Force Base, Fla., and other Air Force bases nationwide and is expected to be completed by Sept. 30, 2020. The Air Force Test Center, Eglin Air Force Base, is the contracting activity. … Torch Technologies Inc., Huntsville, Ala., was awarded a $47.5 million modification to exercise an option on a previously awarded contract for technical and management advisory services armament support. The contractor will provide additional diverse research, development, technical, test and evaluation, and acquisition support services. Work will be performed at Eglin Air Force Base, Fla., and other Air Force bases nationwide. The Air Force Test Center, Eglin Air Force Base, is the contracting activity. … Bevilacqua Research Corp., Huntsville, Ala., was awarded a $37.2 million modification to exercise an option on a previously awarded contract for technical and management advisory services platforms support. The contractor will provide additional diverse research, development, test and evaluation, and acquisition support services. Work will be performed at Eglin Air Force Base, Fla.; Duke Field, Fla.; Hurlburt Field, Fla., and other Air Force bases, and is expected to be completed by Sept. 30, 2020. The Air Force Test Center, Eglin Air Force Base, is the contracting activity. … DCS Corp., Alexandria, Va., was been awarded a $28.2 million modification to exercise an option on a previously awarded contract for technical and management advisory services electronic warfare support. The contractor will provide additional diverse research, development, test and evaluation, and acquisition support services. Work will be performed at Eglin Air Force Base, Fla., and Edwards Air Force Base, Calif., and is expected to be completed by Sept. 30, 2020. The Air Force Test Center, Eglin Air Force Base, is the contracting activity. … Dawson Enterprises LLC, Honolulu, Hawaii, was awarded a maximum value $50 million construction requirements contract vehicle for Simplified Acquisition of Base Engineering Requirements (SABER) at Eglin Air Force Base, Fla. Work will be performed on Eglin and is expected to be completed by Sept. 20, 2024. The Air Force Test Center, Eglin Air Force Base is the contracting activity.
Contracts – flight training support
Vertex Aerospace LLC, Madison, Miss., was awarded a $19 million modification to a previously awarded contract. This is modification exercises an option for Aircraft Intermediate Maintenance Department support. Support to be provided includes intermediate-level maintenance, repair, and logistics support services, as well as tools and equipment. Work will be performed in Pensacola, Fla. (50%); Corpus Christi, Texas (45%); and Whiting Field, Fla. (5%), and is expected to be completed no later than September 2020. The Naval Air Warfare Center Training Systems Division, Orlando, Fla., is the contracting activity. … Rolls-Royce Corp., Indianapolis, Ind., was awarded a $23.7 million task order against a previously awarded contract. This order procures high pressure compressor stator vane assemblies to support T-45 F405-RR-401 Adour engines. Work will be performed in Kingsville, Texas (45 %); Meridian, Miss. (44 %); Pensacola, Fla. (10 %); and Patuxent River, Md. (1 %), and is expected to be completed no later than February 2023. The Naval Air Warfare Center Training Systems Division, Orlando, Fla., is the contracting activity. … M1 Support Services, Denton, Texas, was awarded a $12.4 million modification to a contract for Trainer Maintenance Services. Work will be performed at Sheppard Air Force Base, Texas; and satellite site at Naval Air Station, Pensacola, Fla., and is expected to be completed by Sept. 30, 2020. The 82d Contracting Squadron, Sheppard Air Force Base, is the contracting activity. … L3 Doss Aviation, Colorado Springs, Colo., was awarded a $9.4 million contract for advanced helicopter flight training support services. Work will be performed in Fort Rucker, Ala., with an estimated completion date of Oct. 31, 2026. U.S. Army Mission and Installation Contracting Command, Fort Eustis, Va., is the contracting activity. … Kratos Unmanned Systems Division, Sacramento, Calif., was awarded a $35 million contract for Air Force Subscale Aerial Target peculiar spares. Work will be performed at Sacramento and is expected to be complete by March 30, 2024. The Air Force Life Cycle Management Center, Eglin Air Force Base, Fla., is the contracting activity.
Contracts – munitions
Major Tool and Machine Inc., Indianapolis, Ind., was awarded a not-to-exceed $9.3 million contract for low rate initial production modification to a previously awarded contract for the BLU-111 warhead. This modification provides for the definitization for a quantity of BLU-111 warheads produced under the basic contract. Work will be performed in Indianapolis, Ind., and is expected to be complete by April 30, 2020. The Air Force Life Cycle Management Center, Eglin Air Force Base, Fla., is the contracting activity. … General Dynamics – Ordnance and Tactical Systems, Garland, Texas, was awarded a not-to-exceed $9.7 million contract for low rate initial production modification to a previously awarded contract for the BLU-111 warhead. This modification provides for the definitization for a quantity of BLU-111 warheads produced under the basic contract. Work will be performed in Garland, Texas, and is expected to be complete by April 30, 2020. Air Force Life Cycle Management Center, Eglin Air Force Base, Fla., is the contracting activity. … Alliant TechSystems Operations LLC – ATK Tactical Propulsion and Control, Rocket Center, W.Va., was awarded a not-to-exceed $8.8 million contract for low rate initial production modification to a previously awarded contract for the BLU-111 warhead. This modification provides for the definitization for a quantity of BLU-111 warheads produced under the basic contract. Work will be performed in Rocket Center, W. Va., and is expected to be complete by April 30, 2020. The Air Force Life Cycle Management Center, Eglin Air Force Base, Fla., is the contracting activity. … Enfield Enterprises Inc., Springfield, Mass., was awarded a $7.2 million requirements contract for the replacement of Halon and electrical at Guided Weapons Evaluation Facility. This contract consists of furnishing all plant, labor, materials and equipment, and performing all operations in connection with the replacement of Halon and electrical at Guided Weapons Evaluation Facility, Eglin Air Force Base, Fla. Work will be performed at Eglin Air Force Base and is expected to be completed by May 26, 2020. The Air Force Test Center, Eglin Air Force Base, is the contracting activity.
Contract – phased array radar
L3Harris Technologies Inc., Colorado Springs, Colo., was awarded a $12.9 million modification to a previously awarded contract for fiscal 2020 Eglin sustainment support. This modification provides sustainment support for the Eglin AN/FPS (Army, Navy/Fixed Ground Detecting/Range and Bearing Search)-85 Radar. The Eglin AN/FPS-85 Radar is a computer-controlled, phased-array radar set operating as a functional entity in the Air Force Space Command Space Surveillance Network. The radar set concurrently performs the functions of detection, target recognition, acquisition and track of many space objects. Work will be performed at Eglin Air Force Base, Fla., and is expected to be completed by June 30, 2020. The Space and Missile Systems Center, Peterson Air Force Base, Colo., is the contracting activity.
Contract – F-35
Harper Construction Company Inc., San Diego, Calif., was awarded a $95.4 million contract for the construction of the P-284 F-35C maintenance hangar at Naval Air Station, Lemoore, Calif. The project includes construction of a two-module Type I aircraft maintenance hangar, associated airfield pavements, operational and munitions storage, renovation of an existing battery shop, and building a new tool room. Project provides temporary facilities. Work will be performed in Lemoore and is expected to be completed by November 2021. The Naval Facilities Engineering Command, Southwest, is the contracting activity.
No comments:
Post a Comment