Global military spending reaches new high

[Al-khiyal]

Stockholm, June 11, 2007 - Global military spending, mainly driven by the United States and its ongoing "war on terrorism", rose to a new high in 2006, a respected peace institute said Monday in Stockholm. Last year, nations around the world spent 1,204 billion dollars (current rates) in military expenditures which equalled 184 dollars per capita, the Stockholm International Peace Research Institute (SIPRI) said.

The increase was 3.5 per cent in real terms on 2005, and 37 per cent on the 10-year-period 1997-2006, the SIPRI Yearbook said.

The US accounted for some 62 per cent or 26 billion dollars of the total 39-billion-dollar increase in world military expenditure in 2006.

The US had a 46-per-cent share of world military spending. The other top four military spenders - Britain, France, China and Japan - each accounted for 4 to 5 per cent.

In its overview, SIPRI said that Western Europe and Central America were the only regions with a decrease in military expenditure in 2006.

Russia's military expenditure rose by almost 12 per cent in real terms last year, a trend that started in 1998.

In the Middle East, accurate figures for spending were hard to come by but Saudi Arabia remained the largest regional spender, followed by Israel and Iran, SIPRI said.

In Africa, Algeria remained a leading military spender that in 2006 signed arms deals with Russia worth 10.5 billion dollars.

China surpassed Japan as the biggest military spender in Asia, and became the world's fourth largest military spender in 2006.

India remained the main military spender in South Asia. According to SIPRI, China and India accounted for 40 per cent of the region's spending.

Combined arms sales from the world's top 100 companies, not including China, totalled 290 billion dollars for 2005, the latest year covered by SIPRI.

Of the 100 companies, 40 were US-based, and accounted for 63 per cent of arms sales, SIPRI said. The 32 European companies had a 29- percent-share while nine in Russia, accounted for 2 per cent of sales. Companies in Japan, Israel and India had most of the remainder.

The US and Russia were the world's largest arms exporters 2002- 2006, accounting for some 30 per cent each. China and India were the world's largest importers. Other large importers were Israel, Saudi Arabia and the United Arab Emirates.

In its annual outlook, the institute said there were 17 major armed conflicts (defined as at least 1,000 killed in battle) in 2006. Asia was the region with the most armed conflicts.

The yearbook also contained chapters on peacekeeping operations which reached a new high in the number of personnel deployed, attempts to contain the spread of nuclear weapons, energy and security.

The Swedish parliament created SIPRI as an independent foundation in 1966.

Global military spending reaches new high

[Al-khiyal]

WASHINGTON, June 11, 2007 — The United States has questions about Algeria's military buildup.

The State Department has been discussing Algeria's $7.5 billion arms purchase from Russia, a contract signed in 2006, Middle East Newsline reported. Officials said the Algerian order of hundreds of Russian-origin MiG-29s, Su-30 aircraft as well as T-90 main battle tanks appeared unnecessary.

"It is my understanding that the Algerian government is pursuing a significant military deal with outside suppliers, in this case, I believe, Russia," Assistant Secretary of State David Welch said. "I am not certain that we would share the Algerian government's understanding of the requirements of such purchases, given their defense needs."

The Algerian deal, the largest in at least 25 years, was meant to modernize the air force and army. Russia has pledged an accelerated delivery schedule and has already sent MiG-29SMTs and T-90s to Algeria.
"We would probably see their requirements as more modest," Welch told the House Foreign Affairs Committee on June 6.

At the same time, officials said, the State Department has assessed that Algeria would not exploit its military buildup against Morocco, a neighbor and rival. Algeria has been supporting the Polisario separatist group in the disputed Western Sahara, claimed by Morocco.

"We don't see any indication that they [Algeria] intend to use these weapons, if they purchase these weapons, in an offensive manner against their neighbors," Welch said.

U.S. concerned Algerian arms buildup may be overkill

[Al-khiyal]

Jeudi 14 juin 2007 -- Le processus de modernisation de l’Armée nationale populaire (ANP), engagé ces dernières années par le président Abdelaziz Bouteflika, semble déranger les Etats-Unis qui s’interrogent sur l’important accord conclu l’an dernier entre l’Algérie et la Russie.

Le département d’Etat américain a examiné avant-hier la question des contrats d’armement de 7,5 milliards de dollars conclus par l’Algérie et la Russie. Cet examen intervient cependant plus d’une année après la signature officielle de l’accord entre Algériens et Russes, lors de la visite historique à Alger du président russe Vladimir Poutine, le 10 mars 2006.

A propos de cette transaction, le secrétaire d’Etat adjoint américain aux Affaires du Maghreb et du Proche-orient David Welsh a estimé que «les acquisitions militaires algériennes n’étaient pas nécessaires». «Le gouvernement algérien est en train de concrétiser une transaction importante avec des fournisseurs étrangers dont la Russie», a déclaré M. Welsh cité par la presse américaine.»Je ne suis pas certain que nous partagions la même compréhension de la nécessité qu’a le gouvernement algérien de procéder à de telles acquisitions, y compris pour les besoins de défense», a ajouté le responsable américain qui s’exprimait devant la commission des affaires étrangères du Sénat américain.

L’Algérie et la Russie avaient conclu un accord portant sur l’effacement de la dette algérienne contre l’acquisition de biens et services russes, dont des équipements militaires, le 10 mars 2006. Moscou s’était engagé à effacer la dette de l’Algérie, estimée à 4,7 milliards de dollars.

En contrepartie, l’Algérie avait accepté de passer commande d’équipements pour 7,5 milliards de dollars, selon des sources russes. Le contrat global porte sur la livraison de 34 chasseurs MIG-29 SMT, 28 chasseurs Su-30 MKI et 14 avions d’entraînement et de combat Yak-130 (pour un total de 3,5 milliards de dollars).

De plus, 36 MIG-29 de l’ancienne version, seront renvoyés en Russie pour être vendus à des pays tiers. Il est prévu aussi la livraison de 8 systèmes de missiles S-300 PMU-2 pour la DCA (un milliard de dollars), 30 batteries sol-air Toungouska, d’une valeur de près de 500 millions de dollars, la modernisation de 250 chars T-72, pour plus de 200 millions de dollars, et la livraison de missiles antichars Metis et Kornet, ainsi que la réparation de navires des forces navales algériennes.

Selon M. Welsh, «beaucoup pourraient considérer les acquisitions algériennes de très modestes». Toutefois, le diplomate américain a assuré que l’Algérie n’a pas l’intention d’utiliser ses acquisitions militaires contre ses voisins, notamment le Maroc, qui vient de commander 18 avions de combat français Rafale pour neuf milliards de dollars destinés à remplacer ses vieux Mirage F1 et s’apprête à acquérir des lance-missiles russes portables Kornet et Toungouska.

«Il n’y a aucune indication qui laisse penser que l’Algérie projette d’utiliser ses éventuelles acquisitions dans une option offensive contre ses voisins», a souligné M. Welsh. Il convient de rappeler que le président Bouteflika avait lui aussi assuré en 2004 qu’il n’y aura pas de «casus belli» entre l’Algérie et le Maroc.

Le président Bouteflika avait annoncé dès 1999 son intention de moderniser les équipements militaires de l’ANP et de professionnaliser ses effectifs, une option rendue nécessaire face aux défis de sécurité et de stabilité auxquels est exposée l’Algérie depuis 1992.

Le choix était devenu vital, au moment où l’Algérie était soumise à un embargo concernant ses approvisionnements en armes pendant les années de lutte contre le terrorisme. L’Algérie avait d’ailleurs décidé de diversifier ses fournisseurs en armes, et les Etats-Unis, premiers exportateurs d’armes dans le monde, lui avaient fourni, durant ces dernières années, des équipements militaires destinés principalement à la lutte contre le terrorisme.

De plus, l’Algérie avait fait part de ses besoins d’assurer la sécurité d’un territoire quatre fois plus grand que la France, et au vu de sa position névralgique au milieu de six Etats qui fait d’elle le pays le plus exposé aux risques de conflits armés à ses frontières et à l’apparition de groupes terroristes dans le grand Sahara.

L’Algérie est jugée par Washington comme un partenaire stratégique en matière de lutte contre le terrorisme et un partenaire économique majeur, notamment dans le domaine des hydrocarbures. Les Etats-Unis avaient sollicité récemment l’Algérie pour accueillir le nouveau centre de commandement militaire américain en Afrique (Africom), dont le lancement est prévu à partir de septembre 2008.

Cette demande avait essuyé un niet catégorique de l’Algérie.

Plus d’une année après l’annonce officielle de l’accord algéro-russe :
Les contrats d’armement algériens dérangent Washington

[Al-khiyal]

U.S. concerned Algerian arms buildup may be overkill

Mardi 26 juin 2007 -- L’information, rapportée avant-hier par l’agence russe Interfax-AVN cite un responsable du constructeur russe qui a estimé la conclusion du contrat de livraison d’une escadrille supplémentaire d’une dizaine d’avions de chasse de type MiG-29 SMT à l’Algérie pour le court terme.

Le contrat initial annoncé officiellement, après plusieurs mois de négociations, en mars 2006, à l’occasion de la visite à Alger du président russe Vladmir Poutine, porte sur la livraison de 34 MiG-29 SMT à l’Algérie dont une dizaine a déjà été livrée.

Selon M. Tsivilyov, la satisfaction de la nouvelle commande devrait intervenir dans deux à trois ans. «Lorsque nous aurons exécuté le contrat principal qui prévoit la livraison des appareils et la formation des pilotes et techniciens algériens, le contrat supplémentaire sera signé puis exécuté», a-t-il dit.

Le responsable russe a ajouté qu’en plus de l’Algérie d’autres partenaires et clients traditionnels de la Russie comme l’Inde et le Yémen devraient eux aussi acquérir le nouveau modèle du MiG-29 SMT dont la version améliorée a été présentée aux potentiels clients lors du Salon international du Bourget qui s’est tenu dernièrement dans la banlieue parisienne.

La livraison d’un troisième lot de 4 autres MiG 29 SMT à l’Algérie est programmée avant la fin du mois de septembre, a fait savoir M. Tsivilyov, précisant que ces avions étaient dans la chaîne de production à l’usine MAPO de Moscou.

Quant à la livraison globale, elle devrait prendre fin avant la fin de l’année, a-t-il estimé. Les MiG-29 SMT font partie d’une commande pour l’armée de l’air et comprend 28 chasseurs Su-30 MKI et 14 avions d’entraînement et de combat Yak-130 pour un montant de 3,5 milliards de dollars.

De plus, 36 MiG-29 de l’ancienne version devraient être repris par la Russie pour être revendus à des pays tiers. Selon sa fiche technique, le MIG-29 SMT est un monoplace chasseur et intercepteur. Il est présenté comme supérieur au F-15 C américain.

Sa version modernisée le dote de performances hors normes, notamment en ce qui concerne son rayon d’action et son endurance. Cet appareil de 4e génération, mais utilisant des équipements de 5e génération, est un avion de supériorité aérienne tactique, développé par les bureaux de design Mikoyan-Gurevich.

L’Algérie et la Russie avaient conclu un accord portant effacement de la dette algérienne contre l’acquisition de biens et services russes, dont des équipements militaires. Moscou s’était engagée à effacer la dette de l’Algérie, estimée à 4,7 milliards de dollars.

En contrepartie, l’Algérie avait confirmé des contrats pour 7,5 milliards de dollars et, compte tenu des options, les achats pourraient atteindre plus de 10 milliards de dollars. Les contrats prévoient aussi une livraison de 300 chars T-90S (pour un milliard de dollars) dont 54 ont été réceptionnés en décembre dernier, huit systèmes de missiles S-300 PMU-2 pour les divisions de DCA (un milliard de dollars), 30 batteries sol-air Toungouska (pour près de 500 millions de dollars), la modernisation de 250 chars T-72 (pour plus de 200 millions de dollars) et la livraison de missiles antichars Metis et Kornet, ainsi que la réparation des navires des forces navales algériennes.

Après avoir enregistré une première commande de 34 appareils par l’Algérie :
La Russie en passe de conclure une nouvelle commande de MiG 29

[Al-khiyal]

August 29, 2007 -- Ukraine, one of the world’s top 10 arms exporting countries, earned some $750 million through weaponry sales to 19 countries in 2006, with exports to Azerbaijan and China leading the way, according to the country’s annual report to the United Nations Register of Conventional Arms.

Azerbaijan received 17 battle tanks, while 20 were bought by the Congo and one was purchased by the United States. Ukraine has reported the transfer of more than 720 tanks to 11 different countries since the country joined the voluntary reporting mechanism established by the UN nearly 15 years ago.

Azerbaijan and the Congo also purchased 23 armored combat vehicles, while 50 armored combat vehicles (ACV) were delivered to Iraq and 10 to Nigeria. Earlier this month, Ukraine won a contract to supply 96 ACVs for $117 million to Thailand, which will take two years to complete.

In addition, Azerbaijan acquired 13 units of large-caliber artillery, according to the report published this month.

Ukraine also exported 17 combat aircraft to Azerbaijan, 12 to Yemen, six to Belarus, five to Vietnam, four to Sri Lanka, three to the US, two to Great Britain, and one airplane each to Estonia, Lithuania, New Zealand, South Africa, the Czech Republic and Uganda, for a total of 55 aircraft in 2006. Algiers imported 32 missiles and mobile missile launch systems from Ukraine, while Kazakhstan received 12. The most Ukrainian missile systems were acquired by China – 590 in 2006. The US increased its purchases of parts of Ukrainian “mobile zenith rocket complexes” to 295 units, which include rockets and mobile launch systems.

In 2005, Ukraine shipped only six launch mechanisms and 29 rockets for the Holka zenith launch system to the US. In 2003, the US acquired 10 launch mechanisms and 29 rockets. In the past five years, Ukraine has increased its world arms market share from 4 percent to 10 percent, earning the country $750 million annually, according to Serhiy Zhurets of the Center for Army Conversion and Disarmament Studies. By way of comparison, Russia, earns $5-7 billion annually. Zhurets pointed out that the UN registry does not cover all military exports, like radar equipment and firearms.

“The arms export business will never be fully transparent and open in any country,” said Zhurets. He said that in addition to the UN registry, efforts to tabulate data on exports are conducted by the US Congress and the Stockholm International Peace Research Institute, which pegged Ukraine’s arms exports for last year at only $118 million. He said that the US Congress six-year estimate for Ukraine’s weapons exports stood at more than $2 billion.

Like Ukraine, Russia reported no conventional arms imports for last year. For 2006, Russia reported selling 30 battle tanks to Algeria, a total of 114 ACVs to Bangladesh, Colombia, Kazakhstan and Uruguay and 100 large-caliber artillery systems to Myanmar. In terms of the sea, Russia sold two warships to China, which was also the destination for 944 missiles and missile launchers.

By contrast, Ukraine has reported shipping more than 1,000 missile and launch systems to China since 2000. Export data from Ukraine and Russia are among the few open sources available to the international community regarding Chinese military imports and exports.

China, a permanent member of the UN Security Council, stopped participating in the voluntary reporting program more than 10 years ago, after the US included arms exports to Taiwan in its 1995 and 1996 reports.

Meanwhile, Russia’s South American ally Venezuela was empowered with four combat aircraft and 14 attack helicopters in 2006, according to the UN’s disarmament website. Ukraine delivered 320 T-80UD tanks to Pakistan during 1996-1999 in a deal that was reportedly worth $550 million.

The UN’s Register of Conventional Arms is a voluntary reporting mechanism established in 1992 aimed at promoting transparency in the international arms trade. On average, more than 115 of 192 UN member states have reported each year since 2000.

In the late 1990s, a governmental investigation found that the military equipment inherited by Ukraine after the demise of the Soviet Union was worth nearly $90 billion.

Ukraine holds firm as a top world arms exporter, but lags far behind Russia

[Al-khiyal]

September 10, 2007 -- Information released this morning reveals that the [British] Government has invited a number of oppressive regimes to send representatives to an arms fair in London which begins tomorrow.

China, Libya, Colombia, Russia and Saudi Arabia, all widely criticised for severe human rights abuses, have been invited to the biennial fair run by Reed Elsevier.

Reed is expected to struggle to sell the fair in a year that has seen many businesses respond to public opinion by distancing themselves from the arms trade.

The Defence Systems and Equipment International (DSEi) is being held in the Excel Centre from Tuesday 11 - Friday 14 September 2007.

Iraq has been invited as well as both India and Pakistan, who are in tension with each other.

Following the revelations, Campaign Against Arms Trade (CAAT) repeated its call for an end to DSEi.

A peaceful demonstration organised by CAAT will begin with a march from Plaistow Park followed by a rally which will be addressed by the comedian and writer Mark Thomas. He will be joined by CAAT's Anna Jones, local councillor Alan Craig and Green Party mayoral candidate Sian Berry.

Anna Jones of CAAT said: "The guest list reveals the real nature of DSEi - a chance for arms companies to sell weapons with no regard to human rights. I am confident that the British public respect human rights and do not want their country hosting this event. Even DSEi's owners have responded to public opinion and decided to sell it. It is now vital that the Government recognises the strength of public feeling and ensures that 2007 sees the end of DSEi."

Writer and comedian Mark Thomas said: "I attended the last DSEi, where military delegations from human rights-abusing nations were well in attendance, including China who had an official escort around the arms fair, despite the fact that there is an EU embargo on selling arms to China. The multitude of arms dealers gathered from around the world to flog guns, bombs and the other wherewithal to take human life while Londoners pay a £4million police bill to protect them makes DSEi unacceptable and unwelcome."

The full list of countries invited to DSEi by the UK Government is as follows:

Algeria, Australia, Austria, Bahrain, Botswana, Brazil, Brunei, Bulgaria, Canada, Chile, China, Colombia, Croatia, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, India, Indonesia, Iraq, Ireland, Italy, Japan, Jordan, Korea (South), Kuwait, Libya, Malaysia, Mexico, Morocco, Netherlands, New Zealand, Norway, Oman, Pakistan, Peru, Philippines, Poland, Portugal, Qatar, Romania, Russia, Saudi Arabia, Singapore, Slovakia, South Africa, Spain, Sweden, Switzerland, Turkey, Trinidad & Tobago, UAE, USA and Vietnam

British government admits inviting oppressive regimes to arms fair

[Al-khiyal]

Need some surface-to-surface missiles? In the market for grenade launchers or plastic explosives? Manufacturers and customers meet every two years in London for the world's largest arms fair. In the age of terror, business is booming in the secretive sector:

September 28, 2007 -- Warships are on sale at the Royal Victoria Dock in east London. Corvettes, frigates and mine-sweepers lie at anchor in the dark gray waters of the Thames, their holds filled with potential buyers. Men from faraway places, sweating in their suits and ties, stumble up and down stairways, through machine rooms and across bridges. They ask specialist questions about frequency and code agility, lateral drift and hydroacoustic noise levels.

At the head of the wharf, on the "Nyköping," a new Swedish stealth ship, Chinese delegates are photographing individual screws and every weld seam in sight, while heavyset men from Africa and Southeast Asia bump their shins against pipes and equipment.

"Don't be fooled by the 620 tons of dead weight," says the officer on duty, a jovial Swede, speaking as one expert to another. "As far as performance goes, you are dealing here with a classic 1,200-ton, steel-hulled corvette."

On the wharf, the cavernous ExCel London conference center is chock full of equipment. There are surface-to-surface missiles, cruise missiles, armored personnel carriers and artillery guns as tall as buildings, their barrels pointing to the ceiling. Smart bombs stand in display cases, looking like so many oversized perfume bottles, and British soldiers demonstrate lightweight devices used to fill sandbags. Heavy-set men in sports jackets play around with armor-piercing shoulder-mounted guns, drink white wine on the beds of military trucks and kick the tires of Humvees with their polished loafers.

Potential customers can examine scale models of combat helicopters and nuclear submarines, organizational charts of weapon guidance systems and samples of non-magnetic steel. They hold pistols, grenade launchers and intimidating machine guns in their hands as if they were party favors. At booth 533, Hesco, a maker of protective wall systems, has blondes in hot pants serving up cold beer.

It's September 11, 2007, the sixth anniversary of 9/11, and the global war on terror is in full swing. Nevertheless, or perhaps precisely because of that fact, people from around the world have been converging on the ExCel exhibition center in hordes since the show opened in the morning. Against the bold backdrop of Canary Wharf, and the even bolder outline of the London skyline on the western horizon, a unique trade fair has opened its doors. It's called the Defence Systems & Equipment International Exhibition (DSEI), and it is the world's largest assemblage of products from the arms and defense industry - the fifth edition of a biennial of war, complete with country pavilions, a "Night Vision Pavillion," and an "Innovation Showcase."

By noon the "Boulevard," the central mall of the ExCel center, is teeming with emissaries from around the world. Exactly 25,699 visitors will come and go over the course of the four-day event. Eighty-five official government delegations from 52 countries are registered, and the exhibitors include, for the first time, Bulgarians, Turks, Lithuanians and Russians. Inside the halls they join the 1,352 other exhibitors on 66,000 square meters (709,677 square feet) of exhibition space, and during their short breaks they wolf down pastrami bagels from paper bags and rinse them down with large cups of takeaway coffee. Projection screens on the walls display video clips of F-16 fighter jets in flight, interrupted by colorful ads and confident slogans like: "Proud to Serve" and "Your Partner in Action."

Bottles of Veuve Cliquot champagne sit on ice in the West Quay Bar and the VIP Café. There are plenty of reasons for weapons manufacturers to be celebrating. The industry is booming, not just because of the war on terror, but also because the world is feeling insecure because of the myriad dangers that mark the beginning of the 21st century. The arms industry is a billion-dollar market, and "the key parameters are right," writes Jane's Defence Weekly, the leading industry publication. The business is doing well, or at least it isn't doing badly, despite cost pressures, budget cuts and increased competition from Asia.

Can you buy weapons here? "It depends," says Robert Galvin, a slim, unassuming, bespectacled man in his mid-thirties who works for BAE Systems, formerly known as British Aerospace. Galvin runs the company's land-based systems unit, an important position. In 2006 BAE, the world's third-largest weapons manufacturer, earned €18 billion in revenues, selling all manner of equipment that flies, floats, rolls, shoots, explodes and kills.

An M777 howitzer, a huge, four-and-a-half-ton machine, its barrel as long as a semi truck, is set up in front of the BAE booth. The gun, loaded with 155-millimeter grenades, has a range of 24 kilometers (15 miles).

"A very useful weapon," says Galvin, "quite effective in subduing enemy movements." And the price? "It's negotiable," says Galvin, "but just to give you an idea: The United States has placed an order for 605 of them, which we will deliver in three batches, and it's a $900 million deal." So one of the howitzers costs about $1.5 million? "If you put it that way," says Galvin, beads of perspiration gathering around his nose. And what if someone, an ordinary private citizen, for example, had the necessary cash to buy one of these howitzers? "You mean for the front garden?" Galvin asks. "Well, let's put it this way: We don't deliver to front gardens and also not to back yards. No way."

Rumors and hard news make the rounds in the aisles between the booths during the trade fair. They depict a world that ordinary citizens never see. The British are seeking partners for their €20 billion Future Rapid Effect System (FRES), which will translate into Her Majesty's Army ordering 3,000 new armor-plated vehicles in the near future.

Saudi Arabia wants 72 Eurofighters at a cost of €6.4 billion. India is talking to Saab about a new fighter jet, and there is talk of an option for 126 of the jets, for starters. Rumor has it that Artec, a consortium of the companies Stork, Krauss-Maffei Wegman and Rheinmetall, is overwhelmed by orders for its Boxer armored personnel carrier. The French Thales Group has reached an agreement with Raytheon for the delivery of 5,000 target detection systems for missiles. The US Army has ordered another 33 Stryker armored personnel carriers from General Dynamics. Big things are happening, and moving, at the DSEI. Every conversation here is practically an affair of state, every deal is a slice of global politics and every contract signed a new chapter in international "defense cooperation."