FNSS Light Armored Weapon Carrier Concept will be Displayed in IDEF 2013
Defence Turkey: First of all we would like to thank you for your time. How did you evaluate 2012 as FNSS? Which goals did you set for yourself for the year 2013? Could we get your evaluations?
2012 was a good year. Considering sales, our endorsement that decreased in the years 2005-2007 has been in uptrend after 2008. Our 20 years’ average is around 100-120 million USD and as of now we are above these figures. We have had a sale of nearly 220 million USD by the end of 2012. This constitutes a highly important progress in our point of view as above 200 million USD indicates a brand new period. Considering the future sales and expectations for new projects possibilities, we are in hope of a journey towards 300-400-500 million USD after an endorsement of 200 million USD for the next 1-2 years. We are currently working on the strategies and preparing the plans for this. Following this uptrend, in 2013 we are expecting an endorsement of approximately 200 million USD. We may go through a slight fall as the sales for our project in Saudi Arabia will be completed in 2013 and the new sales shall start in 2014, yet again the sales in Malaysia shall initiate. Besides, the final deliveries of our Armored Amphibious Assault Bridge project will be accomplished. We regard the year 2013 as a period of rest in the level of 200 million USD. From 2014 onwards we will a make a journey towards higher endorsements with the projects we are planning to assume especially this year.
Defence Turkey: We witness that FNSS is highly active in the Middle Eastern and South East Asian markets. Could you inform us on your works regarding export in these markets and in other places of the World?
Our works mainly in the Middle East and South East Asia continue. Meanwhile there is a movement emerging especially in the East European wing. Talks on projects regarding particularly wheeled vehicles started. Considering its purchasing power, Middle East has always been a prominent market. There are markets in which we have settled in for almost 10 years. Saudi Arabia, United Arab Emirates are significant markets for us and though we have not had a project yet Kuwait is also an important market. There is a prominent project in Oman and we have made progress regarding this project. There could be highly positive developments within this year. We will have trials in Qatar during summer and we are preparing for this process and we are hoping to take part in major projects there too. Therefore, Middle East will continue to be our main focus. Besides we are carrying out a very important project in Malaysia. We have several works especially in Indonesia in the Far East and in countries such as the Philippines. On the other hand, I could mention the movements regarding the M113 starting in Vietnam. Consequently the Far East will always remain to be one of our most prominent markets.
Defence Turkey: You mentioned the movements in Indonesia and Philippines. How long these movements have been lasting?
They have been in Indonesia for the last 3-4 years and in Vietnam there is a slowly proceeding movement of 1-2 years. Although we are aware of the need in that region in these countries, one has to work on the financing of the project intensely and with great patience and as a result we believe the projects will emerge in the middle and long run.
“We hope to start the deliveries of AV-8 in summer”
Defence Turkey: What is the latest status of the AV-8 project for the Malaysian army of which the manufacturing and development studies are still continuing? When will the deliveries start? Could we have your assessments on the subject?
The development process of the vehicles is executed in Turkey at FNSS in Ankara. Members of the Malaysian army and engineers of our partner in Malaysia the Deftech firm have spent an intense 2 years term in here. As a result of this, the very first vehicle manufactured in the leadership of FNSS that shall be tested according to the contractual configuration was sent to Malaysia at the end of February. The customer qualification tests are still underway. In order to support these tests a team of great number of our members remains in Malaysia. On the other hand, the user trainings are continuing. We are planning to deliver the completed vehicles and then the kits to be mounted on the vehicles to Malaysia within this year. The deliveries shall start in summer and will increasingly continue without any interruptions within the next 5 years. The first configuration to be delivered is the vehicle named AFV 25 the One-Man Stabilized 25mm Sharpshooter Turret. The AFV 30 vehicle with Two-Man 30 mm Turret from Denel shall be following the AFV 25. The AV-8 vehicles are planned to be manufactured in 12 different configurations.
Defence Turkey: The Protocol regarding the Defence Industry Export Support Credit was recently signed between the Eximbank and the Undersecretariat for Defence Industries (SSM). Which advantages will we have in the short and middle run? What are your comments?
Obviously it shall provide significant advantages. The countries that achieved this have had many advantages for years. The conditions related to the credits are also important. We are aware of the fact that Eximbank provides convenient credits. Still, there is a restriction in this case. According to its law of establishment, Eximbank is not allowed to be involved in sales of weapons and ammunition. They may support the sale of platform based systems that do not include weapons. I believe the credit shall provide significant advantages to the export projects that are in line with such restrictions. We are thankful to both SSM and the Eximbank. We just mentioned the markets; such credits may not have great importance in the Middle Eastern countries that do not have any cash-flow problems owing to their oil revenues. Although some of the countries of the Far East are in need of finance. I strongly believe that Eximbank will be very useful in such countries.
“We are planning to open our R&D building in the beginning of June”
Defence Turkey: We know that as FNSS you are investing greatly in R&D field. You are planning to open the new R&D building soon. Which capacities shall FNSS achieve with this new R&D edifice?
We have gained important capacities by becoming a R&D center as FNSS. The needs emerging in time with the development of our R&D department and the practical solutions we developed brought forth a dispersed settlement through the years. With our new R&D building, engineers of our R&D department in the various locations of the company will have the chance to communicate and coordinate better. They will have the opportunity to work together in a very modern building. We are happy in this respect and I believe that this shall come useful in our studies. In addition to this we have 2 great workshops only for R&D department including special laboratories, electronic and hydraulic laboratories. These were issues that we use to deal with practical solutions instead but now we will be utilizing these laboratories systematically. Being a R&D center , restructuring is a very important issue for us especially in the last 2 years, in our engineering department particularly. In this respect, our organization regarding the basic engineering areas have improved greatly. The research and development studies that were made according to the requirements of the projects are now being directed towards the main areas. Such as a structural analysis group, a test simulation group, a ballistics group and a power group...These groups have been structured in a way to support the systems related to their areas within each project. This surely provides an accumulation of very precious knowledge and helps getting better results than the results of the previous projects. Beyond this great acquisitions are achieved in the aspects of infrastructure and software regarding the tests and simulations. These are the prerequisites for the product development and we will continue such investments. The completion of this building does not indicate an end of such studies and efforts. We are budgeting for new laboratories. Therefore this process of progress will continue. Moving to a new building bears a symbolic meaning; still our company’s progress on the R&D studies shall carry on for long years.
Defence Turkey: Could you give a date for the opening of the building?
We invited our statesmen to the opening ceremony and we are waiting for a date determined by them. There is the IDEF at the beginning of May. Therefore, I am considering the end of May or beginning of June. We are thinking of a ceremony both for the opening of our building and vehicle delivery for the Malaysian contract.
“In IDEF, we will present the very first demonstration of the Tracked Vehicle System that is superior to rest of the similar vehicles in the World”
Defence Turkey: Speaking of R&D, will FNSS make new surprises regarding the new platforms and systems in the next period?
Of course it will continue. For the time being we are working on a project of a tracked weapons carrier system that will be accomplished soon. This system is different from the ACVs conceptually. It will be a different vehicle, engine placement and angle of visibility aspects. We think it will have e capacity of 9-10 tons in respect of tonnage capacity. Therefore we shall demonstrate this very light weighted vehicle with high mobility and protection and with low visibility for the first time at IDEF. Additionally, our air Defence vehicle with a turret designed and produced by Aselsan will be displayed at Aselsan’s stand at the fair. The second version of the same vehicle with a command control system will be exhibited at the FNSS stand. These new vehicles are wheeled vehicles in 25-30 ton category. These two new products will be presented to the audience as 2 new vehicles designed by FNSS. Moreover, there are 1-2 products under preparatory work and we are hoping to present them soon.
Defence Turkey: Delivery of the AACE to Turkish Armed Forces is completed and the delivery of the Armoured Amphibious Assault Bridge is planned to take place soon. Do you think after the entry of these platforms into the Turkish Armed Forces’ inventory there will be an increase in the number of potential markets abroad? What are your comments?
This is a very hot topic. There is an increasing need at stake in the last 1-2 months. I would not mention the name If you’ll excuse me. We have a customer demanding a great number of bridge vehicles. We are carrying out our talks with the authorities of that country. We may bring the good news in a short while if the deal is signed by the end of this year. In this case, it is important that a vehicle designed in Turkey authentically according to the demands of Turkey drew the attention of other countries even before it was delivered and is being evaluated by an ally country seriously. There is a great deal of demand for AACE besides the demands for AAAB. We are informed that a friendly country in the Far East is interested in AACE and that would like to meet us at IDEF regarding this topic. We have severe expectations in this regard. We shall definitely realize these sales to countries that require these sorts of vehicles in the World.
Defence Turkey: Which products you will demonstrate as FNSS at the IDEF in May? What are your remarks on the Fair? What are your expectations?
IDEF is developing each day and each fair is more successful than the previous one. I could say that the fair has been very fruitful, in spite of the certain restrictions on the fair location. I expect this year’s IDEF to be better and more successful than the previous one. Regarding the products, we would like to demonstrate all we have in our portfolio. We shall present our PARS 6x6 vehicles in 2 different configurations and our PARS 8x8. Also the Air Defence Platform will be exhibited too. Moreover, we would like to demonstrate the AAAB and AACE. Besides we will demonstrate our new armored tracked carrier of 10 tons that I mentioned in a different track configuration. I believe that this particular vehicle will draw most attention in Turkey and in the World.
Defence Turkey: Lastly, what would you like to say for the readers of our magazine Defence Turkey?
Certainly, your readers are interested in this topic as well as the defence industry as well. The message I would like to convey to your readers is that Turkey constitutes a true example in Defence Industry. It indicates the points our private industry could reach if supported with convenient policies by the government. In spite of its relatively low volume it is a more strategic sector compared to other sectors. Therefore, it deserves this support and well planned strategy coming from the high levels of the state. As it contributes to the technological development in the country and from time to time becomes a leader in the technological progress besides merely being a manufacturing industry or a design development industry, it gains more importance each day. In years we headed towards export as the defence industry. This is a sine qua non for a country that desires to become a great power in the region or in the World and supporting this case with strategic approaches shall strengthen Turkey’s leader position. The importance the Defence industry bears is more than merely existing as a sector. The cooperation with the universities and TÜBİTAK, the expansion of the industry, the efforts for improving the subsidiary industry allows the total growth and progress. Therefore, this industry is important also within this respect. This attracts a population that consists of more than the personnel of current 5-6 major integrators and design firms. It enables the improvement of the technologic infrastructure. As a result, the defence industry is of great importance for our developing country. The point we stand today is good yet not sufficient and I believe that we would reach better grounds. I am the Vice President of the Board of Defence Industry Exporters Association and a member of the Board of SASAD. In behalf of FNSS and personally I commit that we shall exert all our efforts in order to support and take part in the development of this industry. This significant and special sector shall reach better points in Turkey.
