HELSINKI \u2014 Norway\u2019s leading defense companies hope the dividend from expected subcontracts of the Lockheed Martin F-35 acquisition program will be of a magnitude to stimulate growth within the indigenous sector and grow exports to the US and globally.<\/p>\n\n\n\n
Despite scaled-up investments among leading industry groups, Norway saw a 20 percent drop in defense exports in 2016. In monetary terms, exports in 2016 amounted to $224.1 million. This was $57.2 million less than the 2015 total.<\/p>\n\n\n\n
With the exception of a standout year in 2015, Norway\u2019s international sales of defense equipment has been in decline since 2009 when the value of exports reached $366 million. The most significant decrease in exports, in 2016, was visible in foreign sales of missiles, mines, mortars and grenades.<\/p>\n\n\n\n
The United States remains a key market for Norway\u2019s defense equipment exporters, and the US market accounted for a full 40 percent of the country\u2019s total foreign sales in 2016. NATO-member states accounted for 70 percent of Norway\u2019s total exports in 2016.<\/p>\n\n\n\n
The importance of the US market to Norway was underlined by \u00d8ystein B\u00f8, the state secretary at the Ministry of Defence, when he advocated a higher role and contribution by Norwegian suppliers in the US Defense Department\u2019s so-called third offset strategy.<\/p>\n\n\n\n
\u201cAn important success criterion for the third offset is fostering a culture of innovation. In Norway, we have been able to do this by establishing close interaction between our armed forces, the defense industry, and the defense [research and development] community,\u201d B\u00f8 said at an October event in Washington hosted by the Center for Strategic and International Studies.<\/p>\n\n\n\n
B\u00f8 described Norway\u2019s defense industry as \u201crelatively small but highly innovative,\u201d with niche sector companies capable of delivering advanced, cutting-edge military technologies.<\/p>\n\n\n\n
Norway\u2019s two largest defense companies, Kongsberg and Nammo, are hoping to realize subcontracting gains from Norway\u2019s F-35 Lightning II acquisition program and use this platform to raise their manufacturing profiles and bolster sales globally.<\/p>\n\n\n\n
Kongsberg produces the Naval Strike Missile (NSM) and HUGIN autonomous underwater vehicle. NAMMO manufactures rocket motors for Raytheon\u2019s Evolved Seasparrow Missile and its Advanced Medium-Range Air-to-Air Missile as well as Diehl Defence\u2019s IRIS-T missile.<\/p>\n\n\n\n
In December, Kongsberg\u2019s Joint Strike Missile (JSM) completed a successful long-range flight test launched from an F-16 operating from Edwards Air Force Base in California. The missile was launched over the Utah Test and Training Range west of Salt Lake City.<\/p>\n\n\n\n
Under development for the Norwegian Armed Forces, the JSM is scheduled to complete the qualification program stage in 2018, said Eirik Lie, president of Kongsberg Defense Systems.<\/p>\n\n\n\n
\u201cThe test verified all intended goals, completing another milestone towards full integration on the F-35. The JSM program is on track to provide the fighter with a long-range, precision-strike, anti-ship and land attack capability,\u201d Lie said.<\/p>\n\n\n\n
Kongsberg\u2019s advanced missile supplier reputation in the US has been enhanced by a contract awarded to Raytheon that will see the company produce the NSM. The deal paves the way for commercial-scale manufacturing of the Norwegian-developed weapon system.<\/p>\n\n\n\n
This NSM contract is regarded as an important next step in the long-term partnership between Kongsberg and Raytheon. It represents a first production contract for NSM in the United States. Kongsberg is forecasting significant gains from follow-on contracts in the US and potentially among other NATO countries.<\/p>\n","protected":false},"excerpt":{"rendered":"
Norway\u2019s two largest defense companies, Kongsberg and Nammo, are hoping to realize subcontracting gains from Norway\u2019s F-35 acquisition program and use this platform to raise their manufacturing profiles and bolster sales globally.<\/p>\n","protected":false},"author":7,"featured_media":82263,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_yoast_wpseo_meta-robots-noindex":"","_yoast_wpseo_meta-robots-nofollow":"","_yoast_wpseo_canonical":"","_acf":"","_yoast_wpseo_primary_category":0,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","_smg_distribution_targets":[]},"categories":[7,44,8,46,11,19,48],"tags":[],"coauthors":[1929],"class_list":["post-55203","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-air","category-budget","category-congress","category-europe","category-global","category-pentagon","category-the-americas"],"acf":{"subheadline":"","legacy_arc_id":"4PCDJ64LSZDMPBBWB5E3KMTDYA","arc_canonical_url":"\/2017\/01\/19\/norwegian-defense-companies-hope-to-benefit-from-f-35-program-deals\/","remove_feature_photo":false,"is_sponsored":false,"subtype":"","redirect_url":"","disable_inline_ads":false,"native_logo_pretext":"Presented By:"},"yoast_head":"\n