Monday, August 29, 2011

DTN News: U.S. Department of Defense Contracts Dated August 29, 2011

DTN News: U.S. Department of Defense Contracts Dated August 29, 2011
(NSI News Source Info) WASHINGTON - August 29, 2011: U.S. Department of Defense, Office of the Assistant Secretary of Defense (Public Affairs) Contracts issued August 29, 2011 are undermentioned;

CONTRACTS

ARMY

General Dynamics C4 Systems Inc., was awarded a $3,700,000,000 firm-fixed-price, cost-plus-fixed-fee, level-of-effort, indefinite-delivery / indefinite-quantity contract. The award will provide for the procurement of the Command Hardware Systems-4. Work will be performed in Taunton, Mass., with an estimated completion date of Aug. 26, 2016. The bid was solicited through the Internet, with one bid received. The U.S. Army Communications-Electronics Command, Contracting Center, Aberdeen Proving Ground, Md., is the contracting activity (W15P7T-11-D-G402).

Sikorsky Aircraft Corporation, Stratford, Conn., was awarded a $265,646,071 firm-fixed-price contract. The award will provide for the procurement of 22 UH-60M aircraft and 1 HH-60M aircraft. Work will be performed in Stratford, Conn., with an estimated completion date of March 31, 2013. One bid was solicited, with one bid received. The U.S. Army Contracting Command, Redstone Arsenal, Ala., is the contracting activity (W58RGZ-08-C-0003).

AM General LLC, South Bend, Ind., was awarded a $130,943,210 firm-fixed-price contract. The award will provide for the modification of an existing contract to procure 904 High Mobility Multi-Purpose Wheeled Vehicles. Work will be performed in Mishiwaka, Ind., with an estimated completion date of March 31, 2012. One bid was solicited, with one bid received. The U.S. Army Contracting Command, Warren, Mich., is the contracting activity (W56HZV-10-C-0405).

American Ordnance LLC, Middletown, Iowa, was awarded a $113,193,507 firm-fixed-price indefinite-delivery / indefinite-quantity contract. The award will provide for the procurement of 60mm/81mm high explosive load assemble pack cartridges and 60mm/81mm high explosive full cutaway and complete inert models. Work will be performed in Middletown, Iowa, with an estimated completion date of Aug. 31, 2016. The bid was solicited through the Internet, with four bids received. The U.S. Army Contracting Command, Rock Island, Ill., is the contracting activity (W52P1J-11-D-0086).

Day & Zimmerman Inc., Lone Star Division, Camden, Ark., was awarded a $108,721,038 firm-fixed-price, indefinite-delivery / indefinite-quantity multiple-award contract. The award will provide for the procurement of 60mm/81mm high explosive load assemble pack cartridges and 60mm/81mm high explosive full cutaway and complete inert models. Work will be performed in Camden, Ark., with an estimated completion date of Aug. 31, 2016. The bid was solicited through the Internet, with four bids received. The U.S. Army Contracting Command, Rock Island, Ill., is the contracting activity (W52P1J-11-D-0085).

Day & Zimmerman Inc., Kansas Division, Parsons, Kan., was awarded a $91,170,748 firm-fixed-price, indefinite-delivery / indefinite-quantity multiple-award contract. The award will provide for the procurement of 60mm/81mm high explosive load assemble pack cartridges and 60mm/81mm high explosive full cutaway and complete inert models. Work will be performed in Parsons, Kan., with an estimated completion date of Aug. 31, 2016. The bid was solicited through the Internet, with four bids received. The U.S. Army Contracting Command, Rock Island, Ill., is the contracting activity (W52P1J-11-D-0083).

ECC International Constructors LLC / METAG Joint Venture, Burlingame, Calif., was awarded a $62,237,989 firm-fixed-price contract. The award will provide for the construction of facilities for the Afghan National Army at Camp Hero in Kandahar Province, Afghanistan, to include site development and improvements, force protection structures and building such as barracks, admin space, dining facilities and storage buildings. Work will be performed in Afghanistan, with an estimated completion date of April 7, 2013. The bid was solicited through the Internet, with 13 bids received. The U.S. Army Corps of Engineers, Kandahar, Afghanistan, is the contracting activity (W5J9LE-11-C-0046).

EADS North American Defense, Arlington, Va., was awarded a $43,811,456 firm-fixed-price contract. The award will provide for the modification of an existing contract to procure 32 security & support mission equipment package production cut-in. Work will be performed in Columbus, Miss., with an estimated completion date of Aug. 31, 2013. One bid was solicited, with one bid received. The U.S. Army Contracting Command, Redstone Arsenal, Ala., is the contracting activity (W58RGZ-06-C-0194).

Woodlawn Manufacturing LTD, Marshall, Texas, (W15QKN-11-D-0186); Bailey Tool & Manufacturing Company, Lancaster, Texas, (W15QKN-11-D-0213); were awarded a $29,387,575 firm-fixed-price multiple-award-task-order contract between two contractors. The award will provide for the facilities, personnel and equipment for the manufacture of the M485 canister metal parts. Work location will be determined with each task order, with an estimated completion date of Aug. 22, 2021. Seven bids were solicited, with seven bids received. The U.S. Army Contracting Command, Picatinny Arsenal, N.J., is the contracting activity.

Freitas Construction, Allyn, Wash., (W912K3-11-D-0002); Pacific Tech Construction, Kelso, Wash., (W912K3-11-D-0003); Angayuk Construction, Fife, Wash., (W912K3-11-D-0004); Sealaska Constructors LLC, Bellevue, Wash., (W912K3-11-D-0005); Imperial Construction, Wapato, Wash., (W912K3-11-D-0006); and Kodiak-Kenai Cable Company, Hayden, Idaho, (W912K3-11-D-0007); were each awarded a $20,000,000 firm-fixed-price indefinite-delivery / indefinite-quantity contract. The award will provide for the construction projects of various size and value for the National Guard in the State of Washington. Work location will be determined with each task order, with an estimated completion date of Aug. 24, 2016. The bid was solicited through the Internet, with eight bids received. The National Guard Bureau, Tacoma, Wash., is the contracting activity.

Federal Prison Industries, Washington, D.C., was awarded a $20,000,000 firm-fixed-price contract. The award will provide for the modification of an existing contract to increase the ceiling for outer tactical vests for Foreign Military Sales in support of various countries. Work will be performed in Yazoo City, Miss., with an estimated completion date of Aug. 25, 2013. One bid was solicited, with one bid received. The U.S. Army Contracting Command, Aberdeen Proving Ground, Md., is the contracting activity (W91CRB-08-D-0045).

Contracting, Consulting, Engineering LLC, Annapolis, Md., was awarded a $15,146,580 firm-fixed-price contract. The award will provide for the construction of barracks at Air Force Base Soto Cano, Honduras. Work will be performed in Soto Cano, Honduras, with an estimated completion date of Oct. 26, 2012. The bid was solicited through the Internet, with four bids received. The U.S. Army Corps of Engineers, Mobile, Ala., is the contracting activity (W91278-11-C-0028).

Reliable Contracting Group, Louisville, Ky., was awarded a $14,676,926 firm-fixed-price contract. The award will provide for the construction services to upgrade and build new facilities. Work will be performed in Springfield, Ill., with an estimated completion date of Dec. 20, 2012. The bid was solicited through the Internet, with three bids received. The National Guard Bureau, Springfield, Ill., is the contracting activity (W91SMC-11-C-0010).

The Ewing Co., Boise, Idaho, was awarded an $11,571,000 firm-fixed-price contract. The award will provide for the construction of an Operational Readiness Training Complex at Orchard Training Area, Boise, Idaho. Work will be performed in Orchard Training Area, Boise, Idaho, with an estimated completion date of Feb. 23, 2013. The bid was solicited through the Internet, with 14 bids received. The National Guard Bureau, Boise, Idaho, is the contracting activity (W912J7-11-C-0002).

DEFENSE THREAT REDUCTION AGENCY

Applied Research Associates, Inc., of Albuquerque, NM, is being awarded a $220,000,000 ($102,000,000 base and $118,000,000 option) Indefinite Delivery Indefinite Quantity contract for Test Operations, Technology and Test Support (TOTTS) for the Defense Threat Reduction Agency (DTRA) in support of the Research and Development Enterprise, Counter Weapons of Mass Destruction Technology Directorate. The contractor will provide end-to-end test event planning, management, safe execution, and results analysis supporting DoD, federal agencies and friendly nations’ programs to counter proliferation and defeat weapons of mass destruction. Bids were solicited on a full and open competitive basis and two were received. The contracting activity is Defense Threat Reduction Agency, Albuquerque, NM, (HDTRA2-11-D-0001). Work will be performed primarily in Albuquerque, NM and at White Sands Missile Range, N.M. The base period of performance is 29 Aug. 2011 through 28 Aug. 2016 and the option period of performance is 29 Aug. 2016 through 28 Aug. 2021.

NAVY

Resolution Consultants, an AECOM-EnSafe Joint Venture, Virginia Beach, Va., is being awarded a maximum amount $200,000,000 cost-plus-award-fee, indefinite-delivery/indefinite-quantity architect-engineering contract for comprehensive long-term environmental action services on Navy and Marine Corps installations at various Department of Department sites in the Naval Facilities Engineering Command Atlantic area of responsibility. The work to be performed provides for architectural and engineering services to provide program management and technical environmental services in support of the Department of the Navy’s Environmental Restoration Program, Munitions Response Program, and other similar programs. Task order 0001 is being awarded at $342,578 for architect engineering services at the Program Management Office in Virginia Beach, Va. Work for this task order is expected to be completed by March 2012. Work will be performed primarily in the Northeast, Southeast, Midwest, and Northwest Regions predominately in Maine (13 percent), Fla. (10 percent), Mass. (10 percent), Ind. (9 percent), N.J. (8 percent), R.I. (6 percent), Texas (6 percent), Md. (5 percent), N.Y. (5 percent), Pa. (5 percent), Va. (5 percent), S.C. (4 percent), Ill. (3 percent), Miss. (3 percent), Washington, D.C. (2 percent), Conn. (1 percent), Ga. (1 percent), La. (1 percent), Minn. (1 percent), Wash. (1 percent), Ohio (.5 percent), and Tenn. (.5 percent), and is expected to be completed by August 2016. Contract funds in the amount of $342,578 will expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online website, with seven proposals received. The Naval Facilities Engineering Command, Atlantic, Norfolk, Va., is the contracting activity (N62470-11-D-8013).

Balfour Beatty, Fairfax, Va., is being awarded a $49,053,161 firm-fixed-price contract for design and construction of a Bachelor Enlisted Quarters (BEQ) and road connector at the Stone Bayarea of the Marine Corps Base Camp Lejeune. The work to be performed provides for design and construction of a 125 room multi-story BEQ, and a 100 room multi-story BEQ, plus gatehouse, canopy, and weather shelter. This project will include the demolition of buildings RR9 and RR4 and also constructing the widening egress to Route 210, construction of a gateway and guard house, a road connecting Route 210 and inside of Stone Bay. The road construction will require the construction of a bridge to allow for heavy equipment, and a number of culverts. The contract also contains one unexercised option, which if exercised would increase cumulative contract value to $50,493,702. Work will be performed in Jacksonville, N.C., and is expected to be completed by September 2013. Contract funds will not expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online website, with 26 proposals received. The Naval Facilities Engineering Command, Mid-Atlantic, Norfolk, Va., is the contracting activity (N40085-11-C-4008).

FLIR Systems, Inc., Wilsonville, Ore., is being awarded a $25,506,679 firm-fixed-price contract for 34 Star SAFIRE 380 High Definition systems to outfit and enhance the capabilities of the existing Persistent Ground Surveillance System that are currently fielded for the Army. Work will be performed in Afghanistan (60 percent), and Wilsonville, Ore. (40 percent); and is expected to be completed in August 2012. Contract funds in the amount of $229,277 will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to FAR 6.302-2. The Naval Air Warfare Center Aircraft Division, Lakehurst, N.J. is the contracting activity (N68335-11-C-0212).

Northrop Grumman Systems Corp., San Diego, Calif., is being awarded a $10,474,708 cost plus fixed fee contract for logistics in support of the Vertical Takeoff and Landing Tactical Unmanned Aerial Vehicle (VTUAV) MQ-8B Fire Scout system. Logistic support services includes: logistics management, maintenance support, supply support, air vehicle transportation, training services, logistics management information, technical data updates, flight operations and deployment support. Work will be performed in St. Inigoes, Md. (40 percent), San Diego, Calif. (20 percent), and various locations outside the continental United States; and is expected to be completed in August 2012. Contract funds in the amount of $6,400,000 will expire at the end of the fiscal year. This contract was not competitively procured pursuant to FAR6.302-1. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity (N00019-11-C-0075).

DEFENSE LOGISTICS AGENCY

Graybar Electric Company, Inc., St. Louis, Mo., was issued a modification exercising the sixth option year on the current contract SPM500-04-D-BP25/P00024. Award is an indefinite delivery and indefinite quantity, prime vendor contract with an estimated maximum $40,000,000 for this option period. The contract is for maintenance, repair, and operations for the Northeast Region, Zone 2. There are no other locations of performance. Using services are Army, Navy, Air Force, Marine Corps and Federal Civilian Agencies. The date of performance completion is August 29, 2012. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.

AIR FORCE

Accenture Federal Services LLC of Reston, Va. is being awarded a $12,122,447 firm fixed price, cost reimbursable, labor hour contract modification to continue the post production support of the current contract to allow the system integrator to achieve system stabilization. The contracting activity is ESC/HIQK, Wright-Patterson Air Force Base, Ohio. (FA8770-06-F-8001, P00097).

United Paradyne Corporation of Santa Maria, Calif. is being awarded a $7,817,467 fixed price incentive fee, firm fixed price, cost reimbursement, no fee contract modification for the consolidation of three vital logistical aerospace support services into one comprehensive operation and maintenance contract for the 30th Space Wing. The contract also provides an integrated management entity, the Aerospace Maintenance Operations Center. The contracting activity is 30 CONS/LGCZ, Vandenberg Air Force Base, Calif. (FA4610-10-0008, P00028).

U.S. DoD issued No. 747-11 August 29, 2011
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DTN News - CANADIAN DEFENSE NEWS: Oshkosh Defense Delivers Canadian TAPV For Government Testing

DTN News - CANADIAN DEFENSE NEWS: Oshkosh Defense Delivers Canadian TAPV For Government Testing
**Extensive DND testing to be carried out at Aberdeen Test Center
DTN Canada Source: DTN News - - This article compiled by Roger Smith from reliable sources Oshkosh
(NSI News Source Info) TORONTO, Canada / OSHKOSH, Wis. & OTTAWA, Ontario - August 29, 2011: Oshkosh Defense, a division of Oshkosh Corporation (NYSE:OSK), today delivered the Oshkosh Tactical Armoured Patrol Vehicle (TAPV) to Aberdeen Test Center in Maryland where the Canadian Department of National Defence (DND) will conduct mobility, survivability and weapons testing. Oshkosh Defense’s response to the TAPV solicitation was submitted to the Public Works and Government Services Canada (PWGSC) last week.
“Today, Oshkosh has delivered the best solution for the TAPV program including the most advanced military vehicle technologies and the finest Canadian-based sustainment services for the DND,” said Serge Buchakjian, senior vice president and general manager of International Programs for Oshkosh Defense. “Our TAPV is a fully integrated vehicle that is customized to the Canadian Force’s specific requirements, offering them the best-value solution. With our partners at General Dynamics Land Systems-Canada and Oshkosh Corporation's London Machinery, Inc., we can produce the vehicle in a way that creates considerable benefits for the Canadian economy for the next 25 years.”
The TAPV is intended to replace the Armoured Patrol Vehicle (APV) and the Coyote reconnaissance vehicle, to help ensure the Canadian Army remains capable of effective training, supporting domestic operations and sustaining deployed forces as part of the Canada First Defence Strategy. The Oshkosh TAPV, which is based on the company’s proven Mine-Resistant Ambush Protected All-Terrain Vehicle (M-ATV) platform, leverages a mission-proven chassis and the patented TAK-4® independent suspension system used on more than 20,000 military-class vehicles, which have proven highly-effective in some of the most extreme operating environments, including Afghanistan.
In independent testing conducted to date, the Oshkosh TAPV has undergone on- and off-road durability validation, successfully met ballistic and other survivability threat requirements (including the use of steel-pot method for NATO STANAG blast tests), and completed extensive live-fire demonstrations of the fully integrated dual Remote Weapon Station (RWS). The combination of these activities demonstrates the effectiveness, maturity and reliability of the Oshkosh TAPV.
Oshkosh Defense is teamed with General Dynamics Land Systems-Canada and Oshkosh Corporation subsidiary London Machinery, Inc. (LMI) in its bid for the TAPV program. General Dynamics Land Systems-Canada will provide in-country support and system integration. LMI will contribute local advanced manufacturing capabilities to assemble the vehicle, conduct subsystem integration and final acceptance testing, which will be performed by its highly skilled workforce.
About Oshkosh Defense
Oshkosh Defense, a division of Oshkosh Corporation, is an industry-leading global designer and manufacturer of tactical military trucks and armored wheeled vehicles, delivering a full product line of conventional and hybrid vehicles, advanced armor options, proprietary suspensions and vehicles with payloads that can exceed 70 tons. Oshkosh Defense provides a global service and supply network including full life-cycle support and remanufacturing, and its vehicles are recognized the world over for superior performance, reliability and protection. For more information, visit www.oshkoshdefense.com.
About Oshkosh Corporation
Oshkosh Corporation is a leading designer, manufacturer and marketer of a broad range of specialty access equipment, commercial, fire & emergency and military vehicles and vehicle bodies. Oshkosh Corporation manufactures, distributes and services products under the brands of Oshkosh®, JLG®, Pierce®, McNeilus®, Medtec®, Jerr-Dan®, Oshkosh Specialty Vehicles, Frontline™, SMIT™, CON-E-CO®, London® and IMT®. Oshkosh products are valued worldwide in businesses where high quality, superior performance, rugged reliability and long-term value are paramount. For more information, visit www.oshkoshcorporation.com.
®, TM All brand names referred to in this news release are trademarks of Oshkosh Corporation or its subsidiary companies.
Forward-Looking Statements
This press release contains statements that the Company believes to be “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact, including, without limitation, statements regarding the Company’s future financial position, business strategy, targets, projected sales, costs, earnings, capital expenditures, debt levels and cash flows, and plans and objectives of management for future operations, are forward-looking statements. When used in this press release, words such as “may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe,” “should,” “project” or “plan” or the negative thereof or variations thereon or similar terminology are generally intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties, assumptions and other factors, some of which are beyond the Company’s control, which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors include the expected level and timing of U.S. Department of Defense (DoD) procurement of products and services and funding thereof; risks related to reductions in government expenditures in light of U.S. defense budget pressures and an uncertain DoD tactical wheeled vehicle strategy; the cyclical nature of the Company’s access equipment, commercial and fire & emergency markets, especially during periods of global economic weakness, tight credit markets and lower municipal spending; the Company’s ability to produce vehicles under the FMTV contract at targeted margins; the duration of the ongoing global economic weakness, which could lead to additional impairment charges related to many of the Company’s intangible assets and/or a slower recovery in the Company’s cyclical businesses than equity market expectations; the impact on revenues and margins of the decrease in M-ATV production rates; the potential for the U.S. government to competitively bid the Company’s Army and Marine Corps contracts; risks related to work stoppages and other labor matters, especially in light of the pending contract expiration for union employees at the Company’s Oshkosh defense facilities; the consequences of financial leverage, which could limit the Company’s ability to pursue various opportunities; increasing commodity and other raw material costs, particularly in a sustained economic recovery; the ability to pass on to customers price increases to offset higher input costs; risks related to costs and charges as a result of facilities consolidation and alignment, including that anticipated cost savings may not be achieved; risks related to the collectability of receivables, particularly for those businesses with exposure to construction markets; the cost of any warranty campaigns related to the Company’s products; risks related to production delays arising from supplier quality or production issues; risks associated with international operations and sales, including foreign currency fluctuations and compliance with the Foreign Corrupt Practices Act; the potential for disruptions or cost overruns in the Company’s global enterprise resource planning system implementation; the potential for increased costs relating to compliance with changes in laws and regulations; risks related to disruptions in the Company’s distribution networks; and the Company’s ability to successfully execute on its strategic road map and meet its long-term financial goals. Additional information concerning these and other factors is contained in the Company’s filings with the Securities and Exchange Commission. All forward-looking statements speak only as of the date of this press release. The Company assumes no obligation, and disclaims any obligation, to update information contained in this press release. Investors should be aware that the Company may not update such information until the Company’s next quarterly earnings conference call, if at all.
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DTN News - CHINA DEFENSE NEWS: China Military Has Taiwan In Its Sights

DTN News - CHINA DEFENSE NEWS: China Military Has Taiwan In Its Sights
**PENTAGON REPORT: Taiwan is the focus of China’s military, which is on track to become fully modernized by 2020 — much earlier than the US’ best estimate
(NSI News Source Info) TORONTO, Canada - August 29, 2011: A major new Pentagon report on the Chinese military says China is on track to build a modern military by 2020 and that despite improvements in relations across the Taiwan Strait, Taiwan remains the principal focus of the Chinese military.
Fueled by its booming economy, China’s military growth in the past decade has exceeded most US forecasts.
Its aircraft carrier program, cyber warfare capabilities and anti-satellite missiles have alarmed neighbors and Washington, the long-delayed comprehensive 84-page report says.
While the report contains nothing that is startlingly new, it is dominated by references to Taiwan. And it comes just weeks before the administration of US President Barack Obama has promised to provide an answer to Taipei’s request to buy 66 advanced F-16C/D aircraft.
This potential arms sale is not mentioned, but without actually spelling it out the study makes it abundantly clear that Taiwan is in desperate need of new weapons.
Titled Military and Security Developments Involving the People’s Republic of China 2011, the annual report to Congress from the US Department of Defense makes chilling reading.
The Obama administration continues to deny that a decision has yet been made on whether or not to sell the F-16s, but unofficial sources in both Taipei and Washington are signaling that Obama will bow to Chinese pressure and not allow the sale. Instead, he seems likely to offer to modernize Taiwan’s dated F-16A/B aircraft — a move that is less objectionable to Beijing.
China’s rise as a major international actor will stand out as a defining feature of the strategic landscape of the early 21st century, the report says.
And China’s modernized military could be used in ways that increase Beijing’s ability to gain diplomatic advantage or resolve disputes in its favor, the report says.
Nowhere is that more the case, the report makes obvious, than in Beijing’s dealings with Taiwan.
“The PLA [People’s Liberation Army] seeks the capability to deter Taiwan independence and influence Taiwan to settle the dispute on Beijing’s terms,” it says.
“In pursuit of this objective, Beijing is developing capabilities intended to deter, delay, or deny possible US support for the island in the event of conflict,” it says.
“The balance of cross-Strait military forces and capabilities continues to shift in the mainland’s [China’s] favor,” it says.
Despite the warming cross-strait ties under President Ma Ying-jeou (馬英九), the report says, China has continued to build its forces in a way that threatens Taiwan.
“In the current decade to 2020, the PLA is likely to steadily expand its military options for Taiwan,” it says.
“Consistent with a near-term focus on preparing for Taiwan Strait contingencies, China continues to base many of its most advanced systems in the military regions opposite Taiwan,” it says.
On top of the huge numbers of ballistic and cruise missiles aimed at Taiwan, the report says China bases 490 combat aircraft within operational range of Taiwan and has the airfield capacity to expand that number by hundreds, as well as about 400,000 of its 1.25 million soldiers based in three military regions opposite Taiwan.
“The possibility of a military conflict with Taiwan, including US military intervention, remains a pressing, long-term focus for the PLA,” the report says.
“In the absence of a peaceful cross-Strait resolution or long-term non-aggression pact, the Taiwan mission will likely continue to dominate PLA modernization and operational planning,” it says.
Although the Chinese military probably lacks the necessary military power to successfully conduct a full-scale amphibious invasion of Taiwan, the report says, it is working to close the gaps in its capabilities.
“Furthermore, Taiwan’s relatively modest defense spending has failed to keep pace with ambitious military developments on the mainland,” it says.
The report says Beijing seeks to deter Taiwanese moves toward independence and seeks to achieve unification with a carrot and stick approach.
“The PRC [People’s Republic of China] strives to integrate the two economies while advancing cultural and historic ties. Politically, China has sought to expand ties with the [Chinese Nationalist Party] KMT Party on Taiwan while attempting to isolate political entities with more overtly pro-independence leanings,” it says.
“The PRC employs economic enticement, propaganda, and political engagement in pursuit of these objectives,” it says.
According to the report, the military component of China’s strategy is intended to create an impression on Taiwan that accommodation with Beijing is ultimately in Taiwan’s best interest.
“Beijing appears prepared to defer the use of force as long as it believes long-term reunification [sic] remains possible and the costs of conflict outweigh the benefits,” it says.
US Deputy Assistant Secretary of Defense for East Asia Michael Schiffer told a Pentagon press briefing on the report that the pace and scope of China’s sustained military investments had allowed Beijing to pursue capabilities that “we believe are potentially destabilizing to regional military balances, increase the risk of misunderstanding and miscalculation, and may contribute to regional tensions and anxieties.”
He said the report pointed to cross-strait trends that created a very challenging military and security environment.
The US was committed to working with Taiwan, to meet its -commitments under the Taiwan Relations Act (TRA) and to ensure that Taipei had the self-defense capabilities that it needed, Schiffer said.
Asked directly about the possible sale of F-16C/Ds, Schiffer said: “There have been no decisions that have been made on arms sales to Taiwan.”
“This is an issue that we continue to work with on a daily basis and consistent with our obligations under the Taiwan Relations Act, the United States will provide to Taiwan the self-defense capabilities that it requires,” he said.
“It’s a challenging security environment across a number of different dimensions,” he said when pressed on the possible sale.
There was no “silver bullet that will all of a sudden change everything,” he said.
In Taipei, the Ministry of National Defense again urged the US government to speed up the sale of defensive weapons to Taiwan.
Ministry spokesman David Lo (羅紹和) said the report again highlighted the cross-strait military imbalance.
Based on this reasoning, Ma has repeatedly called on the US to supply defensive arms to Taiwan in accordance with the TRA, Lo said.
He said the ministry has continued in its efforts to persuade Washington to provide F-16C/D aircraft, F-16A/B upgrades and diesel-electric submarines.
The Chinese government has yet to give its official response to the report, but Xinhua news agency fired the first shot in an English-language commentary yesterday, condemning the report as an alarmist “cock-and-bull story” that was “based on a wild guess and illogical reasoning.”
“China, which has adhered to a defensive military policy, with its rising economic clout and sprawling commercial and strategic interests around the world, has every right to build a competent military,” it said.
Xinhua called the Pentagon’s conclusions “much ado about nothing,” and said Chinese people thought it “baffling” that the US could criticize China when its own military spending was 40 percent of the world’s total last year.
Additional reporting by Reuters and CNA
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DTN News - JAPAN NEWS: Yoshihiko Noda Wins Japan Leadership Race

DTN News - JAPAN NEWS: Yoshihiko Noda Wins Japan Leadership Race
DTN Canada Source: DTN News - - This article compiled by Roger Smith from reliable sources BBC News & Xinhua
(NSI News Source Info) TORONTO, Canada - August 29, 2011: Japan's governing Democratic Party (DPJ) has chosen Finance Minister Yoshihiko Noda as its leader, lining him up to become the country's sixth prime minister in five years.
Mr Noda secured victory in a run-off against Trade Minister Banri Kaieda, after a first-round vote in which no candidate secured a clear majority.
Prime Minister Naoto Kan announced his resignation on Friday.
He has been criticised for his handling of the quake aftermath.
Mr Noda is expected to be confirmed by parliament as prime minister on Tuesday.
The 54-year-old secured 215 votes in the ballot against Mr Kaieda's 177 votes.
Supporters of public favourite Seiji Maehara, the former foreign minister who was eliminated in first-round voting, threw their support behind Mr Noda in the second ballot.
Mr Kaieda was backed by scandal-hit party heavyweight Ichiro Ozawa, who controls the DPJ's biggest faction.
Correspondents say the new prime minister will face a daunting agenda.
Large parts of Japan need to be rebuilt after March's earthquake and tsunami, and the crisis at the crippled Fukushima nuclear power plant still needs to be resolved.
Added to that, Mr Noda will need to address Japan's stagnant economy.
He has said in the past that he favours raising funds through increased taxation - including a doubling of Japan's sales tax, which currently stands at 5% - to cut debt and meet social security commitments.

Related:

Kaieda, Noda playing off for Japan ruling party leader

TOKYO, Aug. 29 (Xinhua) -- A runoff has been kicked off between Japan's industry minister Banri Kaieda and finance minister Yoshihiko Noda in the presidential election of the ruling Democratic Party of Japan (DPJ) on Monday.

The winner of the runoff on Monday will become Japan's sixth prime minister in five years. Full story

Japan's ruling party starts electing president

TOKYO, Aug. 29 (Xinhua) -- Japan's ruling Democratic Party started Monday an election of the party's president, who is expected to become the country's third prime minister in two years.

Five candidates, economy, trade and industry minister Banri Kaieda, former foreign minister Seiji Maehara, finance minister Yoshihiko Noda, agriculture, forestry and fisheries minister Michihiko Kano, and transport minister Sumio Mabuchi, are vying for the top post to succeed outgoing Prime Minister Naoto Kan. Full story

*Link for This article compiled by Roger Smith from reliable sources BBC News & Xinhua
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