Australia is committing to buying 100
F-35 Joint Strike Fighters, the Pentagon’s most expensive
weapons system, as the nation released its long-term defense
strategy that seeks to balance competing interests of the U.S.
and China in the Asia-Pacific.

The decision is a boost for prime contractor Lockheed
Martin Corp. after the plane has been plagued by a costly
redesign, bulkhead cracks, too much weight and software delays.
Australia, an ally of the U.S., also decided in its Defense
White Paper released today to bring forward funding for 12 new
Boeing Co. (BA) EA-18G Growler aircraft and will replace its existing
Collins Class submarines with a fleet of 12 conventional
submarines, to be assembled in South Australia.






































Enlarge image




An undated handout photograph
shows Lockheed Martin Corp.'s F-35 fighter jet. The estimated cost for a
U.S. fleet of 2,443 F-35 aircraft has risen to $395.7 billion, up 70
percent from $233 billion in 2001, as measured in constant dollars,
according to the U.S. Defense Department. Source: Lockheed Martin Corp.
via Bloomberg

Prime Minister Julia Gillard, facing elections in September
that polls show she will lose, has faced criticism from the
opposition over plans announced a year ago to cut defense
spending by A$5.4 billion ($5.54 billion) over four years.
Australia is allowing as many as 2,500 American Marines to be
based in the northern city of Darwin as part of President Barack
Obama’s “pivot” to the Asia Pacific to counter an increasingly
assertive China, the biggest spender on defense after the U.S.
“More than any other, the relationship between the U.S.
and China will determine the outlook for our region,” the paper
said. “Some competition is inevitable, but both seek stability
and prosperity, not conflict. The government does not approach
China as an adversary.”
Rising Costs

The estimated cost for a U.S. fleet of 2,443 F-35 aircraft
has risen to $395.7 billion, up 70 percent from $233 billion in
2001, as measured in constant dollars, according to the U.S.
Defense Department. The escalating cost of the program has
caused debate in countries that plan to buy the fighter, with
the U.S. and Lockheed Martin (LMT) counting on robust international
sales to keep the price per plane from rising still higher.
More than 700 F-35s would be purchased by other countries,
including Australia, Norway, the U.K., Turkey, Italy and the
Netherlands. Italy, Canada and Denmark have scaled back their
planned purchases.
“While the U.S. remains committed to the Joint Strike
Fighter, procurement has been slowed to complete more testing
and make developmental changes before the purchase of aircraft
in significant quantities,” the paper said today. “The
government remains committed to acquiring the fifth-generation
JSF aircraft.”
Northern Exposure

The paper also outlined Australia’s focus on boosting its
northern defenses with help from the U.S., with the nations
exploring ways to boost access to a global satellite
communications network through a facility in Western Australia.
The U.S. Air Force is expected to increase rotations
through northern Australia, while the nation’s navy will co-
operate with Australia’s military in the Indian Ocean, it said.
Australia has decided not to build a second major fleet
base on its eastern coast or buy a new major coastal defense
force training area, which together would have cost as much as
A$9 billion, it said. Investigations into potential “off-the-
shelf” submarine purchases have been halted.
The government, trailing Tony Abbott’s Liberal-National
coalition in opinion polls, aims to increase defense funding
toward a long-term target of 2 percent of gross domestic product
from an average of 1.8 percent since 2000. The May 14 budget
will have a “modest” increase in defense spending on the
forward estimates compared to last year, Defense Minister
Stephen Smith told reporters in Canberra today.
Cyber Threats

Australia is concerned about an increase in threats to
cyber security, it said. U.S. security firm Mandiant Corp. in
February released a report saying China’s army may be behind a
computer-hacking group that has attacked at least 141 companies
worldwide since 2006.
“The potential impact of malicious cyber activity has
grown with Defense’s increasing reliance on networked
operations,” the paper said. “Compromise of Australian
government information could allow an adversary to gain
economic, diplomatic or political advantage over us.”
China will boost defense spending 10.7 percent this year as
the government modernizes its military arsenal and adopts a more
assertive stance in territorial disputes with its neighbors.
Increased Spending

China’s military spending is set to rise this year to 740.6
billion yuan ($120 billion) from 669.1 billion yuan, the
Ministry of Finance said in a March report. China has the
second-biggest military budget in the world after the U.S.,
which spent nearly six times more on defense than China last
year and is now cutting those outlays.
While the Communist Party says its modernization doesn’t
pose a threat, Japan and other nations in the region argue China
has become more hostile in disputes over territory in the
resource-rich waters of the East and South China seas. China has
become increasingly assertive in the region as Obama executes a
strategic shift toward Asia.
“China’s defense capabilities are growing and its military
is modernizing, as a natural and legitimate outcome of its
economic growth,” the paper said. “This will inevitably affect
the strategic calculations and posture of regional countries and
is changing the balance of military power in the western
Pacific.”
That stance contrasts with commentary in the previous White
Paper in 2009 which said “the pace, scope and structure of
China’s military modernization have the potential to give its
neighbors cause for concern.”
To contact the reporter on this story:
Jason Scott in Canberra at
jscott14@bloomberg.net
To contact the editor responsible for this story:
Rosalind Mathieson at

انا علمت الكلام بالاحمر والخبر كامل باللون العودي
طبعا لم يتم ذكر العدد فقط تم ذكر انه سوف يتم بيع 700 طائرة للبدان المذكورة ومن ضمنها تركيا

http://www.bloomberg.com/news/2013-05-03/australia-affirms-f-35-purchases-as-it-seeks-u-s-china-balance.html