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US firm buys submarine maker (Taiwan to get Subs)
Taipei Times ^ | 3/14/02

Posted on 03/14/2002 3:53:08 AM PST by Enemy Of The State

US firm buys submarine maker

AFP

TAIPEI
The American acquisition of the German shipyard Howaldswerke-Deutsche Werft (HDW) may help remove the barriers to Washington's sale to Taiwan of eight conventional submarines, military experts said yesterday.

One Equity Partners, the private equity arm of Bank One Corporation of the US, on Tuesday acquired a 75-percent stake of HDW -- the builder of the German 209-class submarine favored by the Taiwanese navy.

The deal caught the limelight in Taipei, with analysts saying it could be part of US efforts to honor its commitment to help arm Taiwan.

US President George W. Bush in April last year approved the sale of eight diesel-electric submarines as part of Washington's most comprehensive arms package to Taipei since 1992. But the US has not built conventional submarines for more than 40 years and designing an entirely new one would be prohibitively expensive.

To help the clarify the situation, the US Navy set up a Team Diesel Submarine group last September, according to Jane's Defence Weekly.

"Bush might not think it would involve so many problems when he announced the arms sale," said Wung Ming-hsien (¯Î©ú½å), head of Tamkang University's Graduate Institute of International Affairs and Strategic Studies.

The most likely solution would involve foreign participation, but the German government has said they would not get involved in arms sales to Taiwan, which Beijing regards as part of its territory to be unified with the mainland by force, if necessary.

"One of the possible solutions could be HDW building compo-nents to be assembled in the US," Wung said.

Still, military analysts said Germany's official nod remained a requirement despite the US takeover of the German shipyard.

"I doubt that the German government would issue the export license, given Germany's huge interests in the mainland," said Keven Cheng (¾GÄ~¤å) of Defence International magazine.

Jane's says several submarine builders including HDW and Northrop Grumman had submitted concept papers to the US Navy's International Programs Office, which supervises Taiwan's submarine deal.

Cheng said a bundle of problems need to be tackled for foreign participation in the arms deal.



TOPICS: Extended News; Foreign Affairs; Front Page News
KEYWORDS: chinastuff; dieselsubmarines; taiwan; us
Hahaha....if we cant get anyone to make the subs for them, we'll just buy a shipyard and do it ourself :)
1 posted on 03/14/2002 3:53:08 AM PST by Enemy Of The State
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To: Enemy Of The State
Sounds like something China would do to us. What goes around, comes around!
2 posted on 03/14/2002 3:58:40 AM PST by rightwingextremist1776
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To: Enemy Of The State
There was an article on FreeRepublic last year that said an American corporation was going to purchase a majority stake in Australian Submarine Coporation. Australian Submarine Corp. makes Collins-class subs. That deal was also related to the Taiwan-submarine purchase.
3 posted on 03/14/2002 4:02:24 AM PST by Tai_Chung
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To: black jade; tallhappy; b4ranch; maui_hawaii; t-shirt; hopalong; backhoe; Rain-maker; Slyfox...
Ping!
4 posted on 03/14/2002 4:05:10 AM PST by Enemy Of The State
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To: Enemy Of The State
Thanks for the post. Hope you'll follow this and help to keep us updated.
5 posted on 03/14/2002 4:22:50 AM PST by toddst
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To: Enemy Of The State
Hopefully, we will also build a few diesel boats as "aggressors" for our SSNs to train against.
6 posted on 03/14/2002 4:30:17 AM PST by hchutch
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To: *China stuff
Check the Bump List folders for articles related to and descriptions of the above topic(s) or for other topics of interest.
7 posted on 03/14/2002 5:08:28 AM PST by Free the USA
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To: Free the USA
Great....and go for the fuel cell power option on the 209...its much quieter than conventional and has a longer submerged range
8 posted on 03/14/2002 5:14:00 AM PST by spokeshave
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To: spokeshave
Now if we would only buy some for us. We could really use these things for coastal defense. The SSN's are fantastic, and the class of the world, but they are really big and expensive to run. Then are too much tool for some necessary jobs. However a good, modern, safe diesel/electric boat would be just the thing for drug interdiction, costal defense, border control and a whole lot of necessary jobs.

It doesn't make any sense to gold-plate a hammer.

9 posted on 03/14/2002 7:00:17 AM PST by gridlock
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To: gridlock
Now if we would only buy some for us. We could really use these things for coastal defense.

Perhaps you've hit on something that's being considered. Seems such a purchase (the shipbuilding company in Germany) is only justified if there's a larger market than we're hearing about.

10 posted on 03/14/2002 7:53:50 AM PST by toddst
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To: Enemy Of The State
So the CIA is in the submarine business now?
11 posted on 03/14/2002 8:18:52 AM PST by Truebador
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To: Truebador
So the CIA is in the submarine business now?

I was thinking that this morning when I posted this article. I mean, the US wants Taiwan to have diesel subs and no other country in the world would provide them against Chinas objections but it wouldnt be anything new for the CIA to use an American corporation as a front to achieve its objectives, thats what they do best.

12 posted on 03/14/2002 8:44:07 AM PST by Enemy Of The State
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To: rightwingextremist1776; Enemy Of The State
LOL! That is exactly what I thought.
13 posted on 03/14/2002 10:53:06 AM PST by batter
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Comment #14 Removed by Moderator

To: Black Jade
bump
15 posted on 04/01/2002 5:30:06 AM PST by mafree
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To: Enemy Of The State
If the German's grant an export license, and it does not seem that they will.
16 posted on 04/01/2002 12:39:45 PM PST by Spar
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