Uncertain outlook for German arms industry
German tanks, submarines and weapons are in high demand. They're exported to Israel despite the war in Gaza, and Kurdish fighters would also welcome a shipment. Yet the defense industry is worried about its future.
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... In a letter sent to Gabriel in July, the unionists said that the minister's decisions were threatening the very existence of a number of corporations in the security and defense industry.
Gabriel has been responsible for Germany's economic portfolio, and therefore Germany's arms exports, since December. It's a task he takes very seriously, and he has made no secret of his disapproval of the previous government's approval process when it came to weapons exports.
According to a report on arms exports in 2013, Germany approved deals for so-called third countries - those outside NATO and the EU - in the amount of 3.6 billion euros ($4.8 billion). Three years ago, that figure was only 1.4 billion euros.
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Arms supplies given top priority
Germany's political principles governing the export of armaments and other military equipment, established in 2000, state that weapons are not to be supplied to crisis areas, with few exceptions. If a German company plans to sell arms to a third country, then it must first seek permission from the Ministry for Economic Affairs.
But ever since Gabriel took office, permission has only been granted in exceptional cases. Every special request crosses his desk - and many seem to end up staying there for quite some time, with hundreds of unprocessed export applications apparently waiting for review.
The defense industry is not happy with the delays, as it makes its money with deliveries to foreign defense contractors. If they fail to provide their components, the German companies risk being discredited.
"Gabriel's current line means that Germany is no longer seen as a reliable partner, and that the German armaments industry is losing its core competence," said Joachim Pfeiffer, the Christian Democrats' (CDU) spokesman on economic policy.
Unionists have said that 100,000 jobs may be at risk, though as it turns out the German defense industry plays a rather small part in the overall economy. Although Germany ranks as one of the world's top three arms exporters, the share of the military industry in the country's gross domestic product is just 1 percent.
In 2011, around 98,000 people were directly employed by one of the 40 companies belonging to the Federation of German Security & Defense Industries. Added to that are the 220,000 jobs among suppliers and various service providers.
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EXTRACTS ONLY - FULL @ SOURCE
http://www.dw.de/uncertain-outlook-for-german-arms-industry/a-17861994
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German's supervising third-party arms sales (ie those to non EU and NATO parties).
Supposedly don't ship arms to conflict regions (but, hey, there's exceptions).
Defence industry reckons there's govt approval delays that put the industry at risk.
Finding it hard to see what their problem is.
The figures look good.
Anyway, the article goes on to send me to sleep. Read it if interested. It meant nothing to me.
What's interesting is that the military industry only makes up 1% of Germany's GDP, although it's 'one of the top three arms exporters'.
Diversification is a good thing, I'd say.
Anyway, that's my little find of the day.
Not much of interest happening.
Merkel's supposedly meeting up with Poroshenko in near future.
The
Turkey got spied on by Germany story is currently doing the rounds. That's part of the Germany spied on Hilary Clinton tack-on story. Yawn.
If Germany did spy on Clinton or on Turkey, they probably heard nothing but a bunch of lies.
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