{"id":58782,"date":"2019-04-18T17:54:01","date_gmt":"2019-04-18T17:54:01","guid":{"rendered":"https:\/\/one.sightlinemg.com\/defensenews\/uncategorized\/2019\/04\/18\/leonardo-boss-warns-germanys-saudi-embargo-will-damage-european-industry\/"},"modified":"2026-08-08T00:16:30","modified_gmt":"2026-08-08T00:16:30","slug":"leonardo-boss-warns-germanys-saudi-embargo-will-damage-european-industry","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/defensenews\/global\/europe\/2019\/04\/18\/leonardo-boss-warns-germanys-saudi-embargo-will-damage-european-industry\/","title":{"rendered":"Leonardo boss warns Germany\u2019s Saudi embargo will damage European industry"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">ROME \u2014 The head of Italian defense giant Leonardo has joined the chorus of criticism aimed at <a href=\"https:\/\/www.defensenews.com\/global\/europe\/2019\/03\/26\/french-envoy-presses-germany-on-stalling-arms-exports\/\" target=\"_blank\">Germany\u2019s weapons embargo<\/a> against Saudi Arabia, claiming it will damage Europe\u2019s chances to integrate its defense industry.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Alessandro Profumo said Germany would ultimately unblock sales to Saudi Arabia, but that the embargo has threatened the European Union\u2019s effort to export jointly built weapons.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cFirst of all, let\u2019s see if the embargo is maintained,\u201d he said. \u201cWhat worries me more is that we risk fracturing the creation of a European defense system.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Germany has placed a temporary embargo on sales to the Gulf state over its involvement in the Yemen conflict and in response to the death of journalist Jamal Khashoggi. <a href=\"https:\/\/www.defensenews.com\/congress\/2018\/12\/10\/senate-faces-off-with-trump-over-khashoggi\/\" target=_blank>It\u2019s alleged he was killed<\/a> at the Saudi consulate in Istanbul, Turkey, last fall. Western officials believe Saudi Crown Prince Mohammed bin Salman was involved in orchestrating the killing. The regime has denied any knowledge of it, instead describing the crime as a rogue operation gone wrong.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Leonardo is part of a four-nation industrial consortium including Italy, Germany, the U.K. and Spain. It has sold 72 Eurofighters to Saudi Arabia \u2014 with an order of a further 48 pending.<\/p>\n\n\n\t<aside class=\"smg-interstitial-link wp-block-smg-interstitial-link\">\n\t\t<a href=\"https:\/\/one.sightlinemg.com\/defensenews\/digital-show-dailies\/idex\/2019\/02\/16\/saudi-arabias-local-economic-shakeup-reverberates-beyond-its-borders\/\" class=\"smg-interstitial-link__inner\">\n\t\t\t\t\t\t\t<div class=\"smg-interstitial-link__media\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"300\" height=\"169\" src=\"https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/GettyImages-666426106.jpg.jpg?w=300\" class=\"smg-interstitial-link__image wp-post-image\" alt=\"\" \/>\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"smg-interstitial-link__content\">\n\t\t\t\t<span class=\"smg-interstitial-link__kicker\">Related<\/span>\n\t\t\t\t<h3 class=\"smg-interstitial-link__title\">Saudi Arabia\u2019s local economic shakeup reverberates beyond its borders<\/h3>\n\t\t\t\t\t\t\t\t\t<p class=\"smg-interstitial-link__excerpt\">Saudi aspirations for a homegrown defense industry are certainly ambitious, but already its Vision 2030 is coming to life.<\/p>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/a>\n\t<\/aside>\n\t\n\n\n<p class=\"wp-block-paragraph\">In an interview with Defense News, Profumo said that in the case of pan-European programs like Eurofighter, an embargo ordered by one partner should not be allowed to endanger an export sale.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThe ideal situation would be for the EU country that is the prime [contractor] on an export deal to issue the export license, which is valid for the EU,\u201d he said. \u201cIn the U.S., a product being produced in California, Idaho, Texas or Michigan would not need an export license from each state. We need to move in this direction, or it will be very difficult to have truly European programs.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThe U.K. is prime on the Eurofighter export to Saudi Arabia. The sale was approved by the U.K. Parliament, and it is inopportune that single countries in the value chain can halt the sale,\u201d he added. \u201cI believe that Germany will eventually reopen exports to Saudi Arabia.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Leonardo\u2019s work on radar and electronics for the Eurofighter contributed to the company\u2019s strong performance in 2018, as sales rose 5 percent and profit soared by 83 percent. The firm expects another revenue hike of up to 5 percent this year, reaching \u20ac12.5-13 billion (U.S. $14.1-14.7 billion).<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Profumo is meanwhile keeping a wary eye on Britain\u2019s divorce from the EU, which would separate the country \u2014 where Leonardo employs 7,000 \u2014 from continental Europe, just as industrial integration across the continent is a hot topic.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"2000\" height=\"1316\" src=\"\/wp-content\/uploads\/2026\/08\/RS79848_it8a5471-lpr.jpg.jpg\" alt=\"\" class=\"wp-image-58843\" srcset=\"https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/RS79848_it8a5471-lpr.jpg.jpg 2000w, https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/RS79848_it8a5471-lpr.jpg.jpg?resize=300,197 300w, https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/RS79848_it8a5471-lpr.jpg.jpg?resize=768,505 768w, https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/RS79848_it8a5471-lpr.jpg.jpg?resize=1024,674 1024w, https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/RS79848_it8a5471-lpr.jpg.jpg?resize=1536,1011 1536w\" sizes=\"auto, (max-width: 2000px) 100vw, 2000px\" \/><figcaption class=\"wp-element-caption\">The U.K. Ministry of Defence revealed a next-generation fighter jet concept model, dubbed Tempest, during the 2018 Farnborough Airshow, as part of the launch of a new, national Combat Air Strategy. (BAE Systems)<\/figcaption><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">One catalyst for integration will be a new EU fund for cross-border defense programs, begging the question of whether Leonardo\u2019s U.K.-based operations will be denied access to the funds after Brexit.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cWe hope the U.K. remains integrated in the European defense system with access to European defense funds,\u201d Profumo said. \u201cIf Europe spent \u20ac225 billion overall on defense in 2017, the U.K. spent \u20ac45 billion.&#8221;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">&#8220;It would be a big problem for Europe if the U.K. was not part of the system,\u201d he added.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Noting that Leonardo works on electronics and helicopter product development in the U.K., he said: \u201cIt will be important to know where intellectual property will need to be registered for a program to win European funding.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">One problem facing industrial integration in Europe is the work on two future fighters \u2014 Britain\u2019s Tempest and the Franco-German future combat air system.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Leonardo has signed up as a partner on Tempest, but Profumo hopes the two programs will merge.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cI hope the two programs will merge in the end. The U.S. will not develop two aircraft as successors to the F-35, and Europe should develop one sixth-generation fighter,\u201d he said.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Though Leonardo is at work on the Tempest, a commitment from the Italian government to back the program hasn\u2019t come, placing Italian involvement at risk, the executive said.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cItaly has not yet decided whether to join. I hope it decides fairly soon because when it comes to participation in the development, the sooner you decide, the deeper your involvement and the more work share you get,&#8221; he said.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cOne thing is to work on the recipe, another to provide ingredients,\u201d he added.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Profumo previously said Italy could enter the future tank program, on which France and Germany are working, although he told Defense News the company would need to first understand the Italian Army\u2019s requirement for a tank to replace its current Ariete model.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">He also quibbled the habit of France and Germany to launch programs together before later enlisting new partners.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cAs for the idea of French-German programs to which other countries can adhere, I know it is easier to start with two countries, but I would like to see a wider group at the outset,\u201d he said.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Alessandro Profumo also quibbled the habit of France and Germany to launch programs together before later enlisting new 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By:"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.0 (Yoast SEO v28.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Leonardo boss warns Germany\u2019s Saudi embargo will damage European industry - Defense News<\/title>\n<meta name=\"description\" content=\"Alessandro Profumo also quibbled the habit of France and Germany to launch programs together before later enlisting new partners.\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Leonardo boss warns Germany\u2019s Saudi embargo will damage European industry\" \/>\n<meta property=\"og:description\" content=\"Alessandro Profumo also quibbled the habit of France and Germany to launch programs together before later enlisting new partners.\" \/>\n<meta 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