According to Armasuisse, compensatory cases for the 36 F-35 combat planes could rise up to $ 800 million. Nearly seventh of the initially agreed purchase price of six billion is therefore made up of ‘offset’ costs
‘We do not know the exact costs, but we can estimate them on the basis of the information we have. They should be in a range of $ 700 to 800 million ‘(560 to 640 million francs during the current course), SRF Kaj-Gunnar Sievert, communications head of the Federal Armament Office (Armasuisse) said on Friday.
In military purchases, compensatory cases, also called ‘offset’, designate counterparts agreed with foreign manufacturers to invest or create economic activity in the buyer country.
In the case of the F-35, the manufacturer Lockheed Martin adds its price for compensatory cases at the purchase price. Based on a study by the University of Saint-Gall, Armasuisse considers, according to the radio report, that the usual share of compensatory cases represents about twenty of the purchase price. Compensatory operations linked to the F-35 would therefore be compared to expensive.
Give up compensatory affairs?
According to the SRF, the Confederation examines if and to what extent the means provided for ‘the offset’ could contribute to covering the additional purchase costs of the F-35. For example, it would be a question of adapting the corresponding agreement. If Switzerland renounced compensatory affairs, more than half of Washington’s additional financial requirements would be covered.
The Rigi de Ruag project is notably subject to high pressure. The arms company wants to assemble in Switzerland four of the 36 F-35s ordered and thus acquire know-how for subsequent maintenance orders, specifies the SRF. According to two sources, Lockheed Martin charges 200 million francs to Switzerland for this project alone.
Ruag has told the SRF that it is convinced that it is able to ensure the success of the project thanks to the necessary investments. Daily exchanges take place with the manufacturer.
Switzerland and the United States do not agree on the purchase price of six billion francs for the 36 F-35 combat aircraft. The United States invokes a misunderstanding and requires 650 million to an additional $ 1.3 billion, while Switzerland is under an already negotiated fixed price, the Federal Council said on Wednesday.
/ATS
