Updated Dec.5,2005 18:54 KST

E-X Projects Hits Fresh Snag Over Banned Equipment

E-X Project to Start Afresh
Review of Airborne Early Warning Project Announced
Defense Mega-Projects in Snub to U.S. Arms Makers
E-X Project Down to Two Bidders Again
U.S. Envoy ¡®Made Pitch for Boeing¡¯s E-X Bid¡¯
Korea Picks European Firm for Chopper Project
Final Bidders for E-X Project Qualify
U.S., Israeli Bidders Clear E-X Project Tests
Boeing Again Sole Bidder for AWACS Project
E-X Project Stuck Again Over Boeing Price Demand
E-X Project Price Wrangling Brings Another Delay
Final Nod to Boeing Completes E-X Project at Last
Korea¡¯s much delayed plan to buy airborne early warning systems, the so-called E-X project, has hit another snag in the form of communications equipment in the favored bidder¡¯s aircraft that falls under an export ban by U.S. authorities. The G-550 by the Israeli firm IAI Elta was said to be the favored of two remaining systems in the latest bidding round, pitted against the reportedly more expensive E-737 by U.S. aerospace giant Boeing. But with no U.S. export authorization for the Israeli equipment in sight, the W1.8 trillion (about US$1.8 billion) E-X project could be delayed again.

Israel needs Washington¡¯s approval because the equipment was made with technological support from the U.S. The revelation came belatedly on Monday from a source in Korea¡¯s Defense Ministry, who added Korea has asked the U.S. to confirm that the technology is banned for export. He hinted Seoul has asked Washington for help and authorize export to Korea if it is. The ministry was to select the bidder for four airborne early warning and control or AWACS systems after another assessment in a meeting on Dec. 12 and make a final decision after price negotiations.

But if help is not forthcoming, the Israeli product would once again drop out of the bidding, and that could delay selection again until next year. The two remaining products passed Korean Air Force tests and met requirements, but the situation was looking good for the Israeli firm, whose bid was $300-400 million cheaper. The equipment in question consists of five items including Data Link (link 11 and 16) discerning aircraft, IFF (Identification Friend or Foe), SATCOM, UHF/VHF Have Quick Radio, and GPS P(Y) code technology.

(englishnews@chosun.com )