SHAH ALAM: Reuters is reporting that BAE Systems will provide Malaysia a UK government-backed financing deal if it decides to replace its fleet of combat jets with the Eurofighter Typhoon, senior company officials said.
In the meantime, a UK publication, the Sun, is warning that UK risks losing all defense contracts with Malaysia due to an EU plan to ban the import of palm oil into Europe
KUALA LUMPUR (Reuters) – BAE Systems will provide Malaysia a UK government-backed financing deal if it decides to replace its fleet of combat jets with the Eurofighter Typhoon, senior company officials said.
Malaysia has for several years been weighing France’s Rafale jet and the Eurofighter Typhoon, built by a European consortium including Britain’s BAE, as it looks to buy up to 18 jets to replace its Russian MiG-29s – most of which are grounded.
The contest, potentially worth over $2 billion, is one of the biggest fighter deals under consideration in Asia, although a decision has been delayed due to upcoming national elections and a shift in Malaysia’s focus towards upgrading aerial surveillance capabilities.
“We have an offer on the table…It’s competitively priced and we have offered UK government financing so the Malaysian government can spread the payment over a longer period,” Alan Garwood, the Group Business Development Director for BAE Systems said in an interview in Kuala Lumpur.
“We can offer training, local partnership and lots of jobs,” he added.
Financing would be provided via the UK Export Finance export credit agency.
For the full story go here
The Sun story.
BRITAIN risks losing £5billion worth of defence contracts to France amid a looming EU trade war.
The two countries are bidding to sell fighter jets and other kit to Malaysia in a deal which would safeguard 20,000 jobs.But the move has been thrown into jeopardy to ban imports of palm oil from the would-be buyers.
Malaysian minister Mah Siew Keong has branded it a “hate campaign” and has threatened a tit-for-tat boycott of European goods.
France, which wants to sell its own Rafale fighters to Kuala Lumpur, has outflanked Britain by promising to oppose the EU ban.
Mr Mah travels to Britain this week to demand our support – but his arrival has sparked a Cabinet rift.
As for the Sun story go here
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