Published 23:20 IST, August 16th 2020

US awards $62 billion contract to Lockheed Martin to arm Taiwan amid tensions with China

Lockheed Martin, an American establishment has received USD 62 billion and ten year contract to make F-16 jets for Taiwan. The move causes irritation to China.

Reported by: Saksham Dangi
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American establishment Lockheed Martin Corp was awarded a USD 62 Billion, ten-year contract for production of F-16 Foreign Military Sale (FMS) aircraft. 

" contract, which was released by US Department of Defense on Friday, does t mention country where sales of latest F-16V jets are aimed at. pundits are sure that y are directed towards Taiwan, following deal to procure 66 such fighter jets which h received a green signal by Trump ministration in 2019," said a report by EurAsian Times. 

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" ten-year, indefinite-delivery/indefinite-quantity(IDIQ), fixed-price-incentive contract for production of F-16 aircraft requires 100 percent partner nations. It is expected that contract would meet its objectives till 31 December 2026,"  report ded. 

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Initially, 90 aircraft have been ordered, of which Taiwan would be receiving 66 and Morocco 24. As per report,  deal of F-16s to Taiwan h been completed and delivered in sts till 2026, which would coincide with date y h to deliver. 

What happens to Washington's ties with Beijing?

step would likely cause agitation with Beijing, since issue has come up at a moment when relations between US and China are going through a sour phase, due to multiple issues such as Beijing's claim of territory in South China Sea.

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ties between two countries h furr worsened after Alex Azar, US secretary of Health and Human Services h visited Taiwan. 

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visit of secretary Azar was highest level of visit by a US cabinet official to Taiwan in past 40 years when former gave official recognition to China and established diplomatic relations with m. 

report by EurAsian Times, furr ded, "that contract that was awarded to Lockheed Martin could probably allow Republic of China (ROC) Taiwan to procure latest F-16 Vipers under continuous process, inste of waiting from Washington DC government, which is slightly less friendly."

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purchase is probably first of its kind since 1992, that jets have been sold to Taiwan. Beijing still claims former to be a part of it and use of force against island nation has t been reunced as yet.

" island nation was also, first to support New Delhi in its clash with Galwan valley in Lakh," said report. 

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(With inputs from ANI)

 

21:09 IST, August 16th 2020