Ship Building Industry

Beatmaster

New Member
I did read this on the internet:

New Dutch weapons sale to Indonesia

Dutch ship builder the Schelde is going to help Indonesia build a new series of naval corvettes. This was made public with only a few lines in a regional newspaper from the wharf area. (1)

According to the regional newspaper, a series of 24 war ships will be build. It is a follow-up order to the construction of four naval corvettes, of which two have already sailed to Indonesia. “The ambition is to hand over the construction capabilities to the ship wharf of the Indonesian state”, the CEO of De Schelde in Flushing stated.

Reservations on the news however have to be made. Originally it was planned that two of the presently build corvettes, would be constructed at PT Pal, the Indonesian wharf which was meant by Van Ameijden. But instead of that, all ships were build in Flushing. Secondly the big number of planned ships reminds one of a similar wish list in the eighties. This plan ended without being materialized. But if the plans unfold as stated by Van Ameijden it will be an enormous order, militarily as well as financially.

Not only the will the shipyard be making huge profits on this deal, but also other companies, especially Thales Netherlands, producer of military electronics. Each ship will be fitted with fire control, radar and combat systems from Thales NI for at least ten million euros. This expectation is based on the example of smaller ships of the Dagger, Singa and Todak-class (2) built earlier at PT Pal. It seems that PT Pal has a good relationship with Dutch producers of military technology.

Recently it became public that the Dutch budget for Export Credit Financing transactions with Indonesia was expanded with some newly invented swap mechanisms.(3) In this way Thales could get the financial backing for the export of military equipment (4) for the formerly mentioned first four corvettes. The equipment is meant to upgrade the ships to operate with more strength in international maritime conflicts.

There is a reason for this favoured position of Indonesia in Dutch arms export promotion policies. Until recently Indonesia was the only customer for Dutch major naval vessels, although Morocco recently also became a buyer (5). Naval vessels are among the most costly weapon systems existing. One can assume that the massage of Indonesian political decision makers by Dutch officials and industry has already started to get this order confirmed. The expansion of Dutch financing possibilities for export to Indonesia probably should be seen in this light.

The Netherlands is consolidating its position in among the top-10 weapons exporting countries and its global arms exports market share of 3% with ease, because of this kind of deal.(6) Only Russia, the US, France, Germany and the UK are performing ‘better’. In 2007 the Netherlands ranked fifth after: the US, Russia, Germany and France, but in advance of the United Kingdom.(7)


I did read a few months ago a topic where some guys said that the Dutch Defence Industry is just a joke, but what i like to know is what part or role are the dutch playing on a global scale?
I mean what are the dutch capable off to build? are there any systems that are pure dutch? and how good is this stuff compared against US and Eastern industry standarts?
 

kato

The Bunker Group
Verified Defense Pro
Thales Netherland, formerly Signaal, probably ropes in between 5% and 10% of all money spent on navy ships throughout Western Europe these days, both as system integrator and electronics/components supplier. In Germany, they'll regularly rope in around 15-20% in any ship contract, in competition with EADS and Siemens.
The remainder in exports is pretty much the Damen Shipyard Group (includes Schelde). The group is probably somewhere around the 6th- to 7th-largest in Europe, after STX Europe (Aker), DCNS, TKMS, BAe/VT, Navantia and Fincantieri (€2.5b).

What the Netherlands doesn't really produce are effectors, i.e. weapons. Only the Goalkeeper CIWS pretty much (Thales NL).
 

Beatmaster

New Member
  • Thread Starter Thread Starter
  • #3
Thales Netherland, formerly Signaal, probably ropes in between 5% and 10% of all money spent on navy ships throughout Western Europe these days, both as system integrator and electronics/components supplier. In Germany, they'll regularly rope in around 15-20% in any ship contract, in competition with EADS and Siemens.
The remainder in exports is pretty much the Damen Shipyard Group (includes Schelde). The group is probably somewhere around the 6th- to 7th-largest in Europe, after STX Europe (Aker), DCNS, TKMS, BAe/VT, Navantia and Fincantieri (€2.5b).

What the Netherlands doesn't really produce are effectors, i.e. weapons. Only the Goalkeeper CIWS pretty much (Thales NL).
o_O thats a bit more then i did give them credit for:cool: but i wonder you said Goalkeeper CIWS is almost 100% Dutch but on Discovery Future Weapons they said that this system is US made and patented.
 

kato

The Bunker Group
Verified Defense Pro
Goalkeeper was a joint development of Signaal and General Electric. General Electric modified the GAU-8 cannon for it, Signaal developed the rest of the system. Thales NL today produces and sells the system exclusively, with General Dynamics supplying the cannon and ammunition handling system from the USA.
 

Grim901

New Member
I'd just like to point out that I've read a contradiction to this bit of the article in several places over the last 2 years:

The Netherlands is consolidating its position in among the top-10 weapons exporting countries and its global arms exports market share of 3% with ease, because of this kind of deal.(6) Only Russia, the US, France, Germany and the UK are performing ‘better’. In 2007 the Netherlands ranked fifth after: the US, Russia, Germany and France, but in advance of the United Kingdom.(7)
In 2007, accroding to at least 3 sources i've read, Britain actually came second in military exports, due to the sale of 72 Typhoons to Saudi Arabia. I remeber because it was one of the only instances where we outstripped the Russians. Unless that isn't being counted for some reason, I see no way that we would have been behing the Netherlands that year.
 

kato

The Bunker Group
Verified Defense Pro
SIPRI has the Netherlands ahead of the UK for both 2006 and 2007. And they're the defacto accepted primary source for such data nowadays. SIPRI does not count by order book, but by actual deliveries (and not by nominal value, but by relative financial volume of transfer, i.e. with weighted values for tanks, aircraft etc) to give a clearer picture of the relative position of suppliers.
 

Beatmaster

New Member
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  • #7
SIPRI has the Netherlands ahead of the UK for both 2006 and 2007. And they're the defacto accepted primary source for such data nowadays. SIPRI does not count by order book, but by actual deliveries (and not by nominal value, but by relative financial volume of transfer, i.e. with weighted values for tanks, aircraft etc) to give a clearer picture of the relative position of suppliers.
Aha i see, but what iam wondering about is how the hell is it possible for a small country like the Netherlands to compete against France and Germany or UK for example?
I mean if your rankinglist is accurate then we do shithot.
Is there any particular system or industry that we are really good in?
I mean you said the goalkeeper is a nice little very usefull dutch toy but are there more systems build in the netherlands?
Because the only thing i know is that we do have one of the very best maritime navigation systems in the world ( Alphatron Marine Parts ) and also produce leading software for aviation industrie but that it as far as i know.
 

IPA35

New Member
Well, our military shipbuilding is one of the best in world.
And one of the few military systems we still build ourselfs.

We sold 4 Sigma class Corvetts to Indonesia.
And 3 are ordered by Morocco (2 corvetts and 1 frigate if I'm right).
They defeated Sarkozy who personally tried to presuade the Moroccan goverment to order french ships.

That's why it is a mystery to me why our goverment ordered 4 new developed OPV's while they could have bought light Sigma corvettes (more firepower and no development costs).

Dutch video with an interview with Schelde's director.

[ame=http://www.youtube.com/watch?v=l-sBa1hkBKE&feature=related]YouTube - Marokko plaatst order bij de Schelde. 8 februari 2008[/ame]
 

kato

The Bunker Group
Verified Defense Pro
Is there any particular system or industry that we are really good in?
Radar systems, traditionally, by Thales/Signaal - with the only real competitor being EADS in Europe, and to a limited respect BAe. Other naval sensor systems. Naval C3 systems. LPDs by Schelde these days.

Software also makes the rounds. For example, the ICWI intercept function developed for the Trilateral Frigate Program (LCF, F124, F100) has been bought for other radar systems by Australia (Anzacs) and Japan (16DDH, future DDGs).
 

Grim901

New Member
I still can't believe the SIPRI results for 2007 in regards to the Netherlands and the UK.

The figures i've found from SIPRI say Britain exported $1.1 billion in 2007, and yet a deal worth over $8Billion was signed that year.

Can someone explain to me how that adds up/what i'm missing?
 

kato

The Bunker Group
Verified Defense Pro
SIPRI doesn't calculate by deals made. It calculates by deliveries only, and it'll assume a certain "comparative weight" for a system instead of the money paid (although the "comparative weight" might be based on the cost). Meaning, if a country sells e.g. a tank of a certain type, SIPRI will always assume the same "comparative weight" for it (until the system becomes obsolete presumably), not the actual cost paid.
The 8 billion deal hence doesn't figure into SIPRI's calculation at all, but will during those years when Britain will deliver those aircraft.

It's an abstract calculation, called "Trend Indicator Value" (TIV). The time difference between order and delivery is why SIPRI, for the usual press outlets, usually cites 5-year numbers only. And in those NL is behind the UK of course.

For 2007, SIPRI has deduced the following TIVs :

NL - aircraft 137, armoured vehicles 78, artillery 11, missiles 131, sensors 101, ships 784 (total: 1241)
UK - aircraft 427, air defence systems 28, armoured vehicles 4, artillery 150, engines 31, missiles 282, sensors 5, ships 173 (total: 1098)

If one looks up the country trade indicators, one can see that most of the NL's TIV came from exports to Chile (386), Indonesia (217), the UK (192) and Belgium (124). 2007 deliveries to these countries included large amounts of sensor equipment (Chile, UK) as well as the two then-commissioned Sigma corvettes (Indonesia), and presumably the two M-Class ships recommissioned in 2007 (in Chile and Belgium respectively).
 

gvg

New Member
You can find the list of companies in the Netherlands Defence Manufacturers Association (Dutch: Stichting Nederlandse Industriële Inschakeling Defensieopdrachten, NIID): NIDV - Deelnemers overzicht
Do note that it also includes Dutch branches of multinationals like Cisco.

But the biggest companies are Thales Nederland and Damen Naval (formerly Royal Schelde).
Some others that you might know are (not all are in the NIID):
* NLR (National Aerospace Laboratory)
* TNO (Netherlands Organization for Applied Scientific Research), they do a lot (if not the most) R&D for the Dutch armed forces
* DAF (truck manufacturer)
* MARIN (Maritime Research Institute Netherlands)
* TenCate (textiles and composites)
* Stork (Stork Fokker and Stork Aerospace)
* Imtech Marine Group (electrical systems)
* Merwede Shipyard
* DSM (Dyneema, an ultra high molecular weight polyethylene)

The reason the Netherlands are so high on the SIPRI list is because they are selling a lot of 'surplus' material.
 
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