From: Aftenposten
Date: 2007-07-10
C O N F I D E N T I A L OSLO 000729
SIPDIS
SIPDIS
E.O. 12958:
DECL: 7/9/17
TAGS: MARR, PREL, NO
SUBJECT: NORWAY: NEGATIVE IMPACT OF U.S. WEAPONS SYSTEM PROBLEMS
REF: A. MADRID 296 B. MADRID 1113
Classified By: DCM Kevin M. Johnson for reasons 1.5 b and d
1. (C)
Summary. A series of pending military sales issues may bring
in to question the US´ reputation as a reliable supplier and,
in the current Norwegian political climate, may become a
significant media focus. In turn, this may affect Norway´s
hoped for $2.2 billion purchase of the Joint Strike Fighter
(JSF) as well as our longer term defense cooperation.
Resolving these pending sales issues is key to avoiding
irritants to US-Norwegian relations, and reduced prospects for
the JSF sale. End Summary.
The Political Climate in Norway and the Expected JSF Sale
---------------------------------------------------------
2. (C)
Norway´s coalition government faces some of its biggest
difficulties over defense issues. With the left-wing SV Party
opposed to most military actions and purchase of equipment,
the other two coalition partners must constantly compromise to
enable the government to send troops to Afghanistan or to
purchase new weapons or planes. SV has regularly questioned
the $2.2 billion purchase of JSF planes and promoted the
continued competition of the Gripen and Eurofighter. The
largest opposition party, Progress Party also appears to
prefer the Gripen out of Scandinavian solidarity. Nonetheless,
the Ministry of Defense has pressed the benefits of the JSF
and it remains the leading contender.
3. (C)
Very recently, the USG agreed to provide 4 C-130Js to Norway
at their request (deliveries are scheduled to begin in 2008).
Even this was highly controversial in Norway with several
parties saying the purchase was unduly rushed and ill
considered.
4. (C)
Media interest in the debates surrounding these defense
purchases has been extremely high. In the media and in
private, we have often made the point that the US is a
reliable supplier of the best weapons systems on offer. This
point has been picked up in Parliamentary debates and
elsewhere by our supporters who largely tend to also be the
strongest supporters of Norway´s participation in NATO and in
Afghanistan.
The Problem
-----------
5. (C)
Two unrelated military purchases could cause significant harm
to our efforts. Norway previously signed a Letter of Offer and
Acceptance for a $65 million Javelin anti-tank missile
purchase, originally scheduled for delivery in August 2006.
Delivery has since been delayed and now Norway is unwilling to
accept the Javelins due to potential manufacturing corrosion
in the missile guidance section. The Javelin Joint Venture has
recommended, and the US Army is preparing to accept, a waiver
to complete the delivery of the original missiles with
potential corrosion in the guidance sections, in exchange for
an extended manufacturer´s warranty that the missiles will
function properly or be replaced. US Army acceptance of the
waiver will require foreign customers to accept the suspect
missiles, under the terms of the respective Foreign Military
Sales cases, and this affects 270 of Norway´s 450 missiles.
Norway has strenuously objected to this situation, most
recently in a letter from the Acting Director of the Norwegian
Defense Logistics Organization to the Director of the Defense
Security Cooperation Agency. Norway insists upon replacement
of the potentially corroded components, at no cost to Norway,
before they will accept the missiles. Norway has explained
that the warranty offered is predicated on conclusive proof
that any failure of the missile is directly attributable to
the identified corrosion problem. Norway points out that this
would require a mis-fired missile to be transported to the US
for inspection and analysis, and this is impossible due to the
safety prohibitions on transporting a mis-fired missile.
Further, Javelin was selected by a narrow margin over several
competitors and had Norway been aware of the problems they
would encounter in this purchase, they most likely would have
chosen a different system.
6. (C)
The other purchase encountering difficulties is Norway´s $1.2
billion purchase of Nansen-class frigates from Spain, which is
being delayed by an inability to reconcile US and Spanish
technical legal requirements regarding signature of end-user
nontransfer documents. Spanish shipbuilder Navantia and
Lockheed Martin are building the frigates, based on Spain´s
advanced F-100 design and incorporating US AEGIS weapons
system technology. An existing Technical Assistance Agreement
between Navantia and Lockheed Martin must be amended because
of a corporate name change. A Spanish official had erroneously
signed an earlier version of that document, but MOD says that
person had no authority to sign on behalf of the GOS.
Furthermore, MOD says that it is unable to sign USG form
DSP-83 because a 2004 Spanish law limits the Spanish National
Armaments Director from signing any form other than Spain´s
own end-use certificate. See reftels.
What do they all have in Common?
--------------------------------
7. (C)
The purchase of the Javelins, Nansen-class frigates, and
fighter airplanes are separate matters. However, all of these
programs have two things in common: they involve US systems
and they are all produced by Lockheed-Martin. Those
correlations have not gone unnoticed here, where there is an
active and vocal anti-American lobby. If they successfully
string together Norway´s dissatisfaction with Javelin, along
with delayed deliveries of frigates due to what may be
perceived as US intransigence on technology transfer, the
prospects for JSF could certainly be jeopardized. Beyond that,
our allies who have been supportive of sending Norwegian
troops to Afghanistan and purchasing US weapon systems will be
undermined with potentially significant consequences.
Action Request
--------------
8. (C)
Post requests that Washington agencies considering the Javelin
and the frigate issues seek a resolution that takes into
account these broad strategic issues.
Whitney