Left Menu
Development News Edition

France, Australia play down tensions over submarine deal

France, Australia play down tensions over submarine deal
Representative image Image Credit: Wikipedia

France and Australia reaffirmed their commitment to a A$50 billion ($34 billion) submarine deal on Friday, seeking to defuse tensions after French shipbuilder Naval Group raised concerns over the capability of Australian contractors. Australia signed a production contract with Naval Group in February 2019 for a fleet of 12 attack-class submarines, ending a two-year wrangle over one of the world's most lucrative defence deals.

Australia had selected the French firm as its preferred bidder in 2016 ahead of other offers from Japan and Germany. However, final contracts were delayed amid reports of cost blowouts and production delays. The project was again under scrutiny this week when Naval Group's Australia boss John Davis told The Australian newspaper he had concerns over the capability of local contractors, and suggested Australian businesses could fail to secure half of the value of the total contracts.

Those comments were met with anger by Australian Defence Minister Linda Reynolds, who said in a statement she would hold "Naval Group to account for the commitments they signed on for". Reynolds met with France's Armed Forces Minister Florence Parly on the sidelines of the Munich Security Conference on Friday to discuss the spat.

The two said in a joint statement they had reaffirmed their full commitment towards the programme, its calendar and the ramping up of Australian industrial capacity. "We agreed on a follow-up process at our level for the implementation of the programme on a quarterly basis this year with a meeting in France in April and another in Australia in mid-year," the two said.

Australia's 12 new submarines are at the centre of its plan to significantly expand its military to protect strategic and trade interests in the Asia-Pacific region. The first of the new submarines is scheduled to be delivered in the early 2030s and the final vessel during the 2050s. An official aware of the issue said the project was still in its early stages and it was strange to make an assessment on local firms.

"There is nothing to suggest Australian partners can't do this and work is being done to help them. Everything is being done so that the a large part of the engineering is done in Australia," the official said. ($1 = 1.4890 Australian dollars)

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

Download The Devdiscourse News App for Latest News.



Top 10 Fake News, Myths and Realities on 2019 Novel Coronavirus COVID 19

With nearly 1500 deaths by January 14 and around 65,000 infections in China, the Novel Coronavirus 2019 has become one of the worst health epidemics of the 21st Century. However, 8,573 people have been cured but the rumor mongers are a...

Handling fake news Infodemic in time of Coronavirus epidemic

Social media has provided a platform where everybody can disseminate his her views without any supervision. Its excellent if the message is genuine but misinformation is equally disastrous. Health is such a topic where every Tom and Harry c...

Sentiment Analysis on Budget 2020: Long shot for solution to economic worries?

Industries and individuals alike had high expectations from the government to take tangible steps but the budget 2020 seems to have failed expectations....

How can technology help the future of mobility?

More than a billion people or one-third of the global rural population lacked access to all-season roads and transport services in 2016, subsequently hindering the socio-economic development....


Latest News

AGR dues: SC refuses to accept Vodafone's proposal to pay Rs 2,500 cr by today

The Supreme Court Monday rejected telecom firm Vodafones proposal to pay Rs 2,500 crore by the end of the day and Rs 1,000 crore by Friday against Adjusted Gross Revenue AGR dues, while also refusing its plea that no coercive action be take...

Cruise operator races to track Cambodia passengers over virus fears

A US cruise operator is working to track down hundreds of passengers who disembarked a luxury liner in Cambodia after one traveler was later diagnosed with the deadly coronavirus. The Westerdam was at sea for two weeks during which it was b...

Reliance Infra shares rise 5 pc on strong results

Shares of Reliance Infrastructure on Monday surged over 5 pc after the firm reported 18 percent rise in consolidated net profit to Rs 345.51 crore for the third quarter ended December 31. The stock rose 5.13 percent to trade at Rs 20.50 on ...

(Eds: Reissues after adding some words)People from Gulf, Asia and Europe have shown interest in Indian aviation sector: Aviation minister.

Eds Reissues after adding some wordsPeople from Gulf, Asia and Europe have shown interest in Indian aviation sector Aviation minister....

Give Feedback