The United States acquires new financial tools to support its defense equipment exports

According to a statement by General Charles Hooper as he left the management of the Defense and Security Cooperation Agency, the United States would acquire new financial tools to support exports of Defense equipment, with the aim of alleviating the consequences of the Covid19 health and economic crisis, which also affects US Defense industry which the financial capacities of its clients. Concretely, the United States will authorize their international clients to find financing from American financial organizations and allow the spreading of their financial outstandings, so as to reduce the debt burden linked to the acquisition of American defense equipment, and thus allow the acquisition of new equipment.

This announcement was eagerly awaited by the American defense industry, which is severely affected by the consequences of the slowdown in production and international orders linked to the Covid19 crisis. In addition, Washington had to react to the financial aggressiveness of countries like China, Russia and Turkey, which offer very advantageous payment terms to their customers, in addition to often less expensive equipment. In addition, for the White House, it is a question of curbing the proliferation of local programs, more and more countries traditionally customers of the American defense industry turning to solutions of local production to mitigate increasingly costs. high levels of Defense equipment and increase the sustainability of the Defense effort.

There is no doubt that the United States will offer a financing solution very suitable for Greece, with probably the spreading of its debt relating to the modernization of 80 F16 for $ 1,6 billion signed in 2018, to win the contract for the acquisition of 2 or 4 frigates facing France.

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