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Italy Defence and Security Report Q3 2009
Market |
Defence |
Report Type |
Market Research |
Country |
Italy |
Published |
17 July 2009 |
Number of Pages |
69 |
Download |
|
Immediate |
|
Publisher |
Business Monitor International |
Finmeccanica has launched a major drive into the US defence market over the past five years
Italian Prime Minister Silvio Berlusconi has followed a cautious defence and security policy since returning to power in 2008. In his term of office between 2001 and 2006 he enthusiastically dispatched Italian troops to join US military operations in Iraq and Afghanistan. He now faces a very different geopolitical situation, with US President George W Bush and UK Prime Minister Tony Blair gone from office. Italy is now following a multi-national security policy with engagement through NATO, the EU and UN the form.
Afghanistan remains the most challenging international deployment for the Italian military. Although the Italian contingent is predominately based in the west of the central Asian country, the force has seen a major ramping up of insurgent activity in recent months. Italian and other NATO forces in the region have come under attack and fighting has intensified. US Special Forces raids and air strikes have also intensified in the Italian area of responsibility.
The July 8-10 meeting of the G8 heads of government is becoming a major security concern for the Italian authorities. The switch of location from a remote island to the city of L’Aquila, which was devastated in an earthquake, has made it more difficult for the security forces to seal off the event from protestors or terrorists. The idea behind the move was to focus international support for the earthquake victims and also to make it more difficult for protest groups to gain public support. The heavy-handed response of the Italian police during the 2001 Genoa G8 Summit made the Rome government determined to deflect criticism of the upcoming event by trying to tap into public sympathy for the earthquake victims. Italian defence industry giant Finmeccanica has launched a major drive into the US defence market over the past five years, winning orders for the VH-71 Presidential Helicopter in partnership with Lockheed Martin and Bell Helicopters and C-27J Joint Cargo Aircraft in partnership with L-3 Communications. In May 2009 Finmeccanica were able to buy US defence electronics company DRS to give the Italian company a firm base in the US market.
By mid-May 2009, Italy, France, Spain and the UK had agreed to buy the third Tranche of Typhoon aircraft, although this is still subject to contract. This followed the initialling of the commitment by Italian, German and Spanish governments at a meeting of the partner nations in Berlin onApril 2. In subsequent negotiations the partner nations decided to split the Tranche 3 into two phases and Italy’s order would be split into 21 and 25 aircraft respectively. A final agreement is expected by the end of June 2009.
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