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Chinese fake parts 'flood' US military: Senate report
by Staff Writers
Washington (AFP) May 21, 2012


More than a million Chinese counterfeit electronic parts are estimated to be in use in US military aircraft, according to a US Senate report released Monday saying the discovery jeopardizes safety and national security.

The Senate Armed Services Committee said its year-long investigation launched by Democratic chairman Carl Levin and ranking Republican John McCain uncovered 1,800 cases of bogus parts, including on the US Air Force's largest cargo plane, special operations helicopters and Navy surveillance planes.

The 112-page report "outlines how this flood of counterfeit parts, overwhelmingly from China, threatens national security, the safety of our troops and American jobs," Levin said.

"It underscores China's failure to police the blatant market in counterfeit parts -- a failure China should rectify."

The report also said the Chinese government denied visas to committee staff to travel to the Asian giant as part of the committee's probe, with a Chinese embassy official saying the issue was sensitive and that a negative report could end up "damaging" US-China relations.

While the senators lay the blame squarely on China, the report said US authorities and contract companies contributed to the vulnerabilities to the defense supply chain by not detecting the fakes, or routinely failing to report suspected counterfeiting to the military.

"The failure of a single electronic part can leave a soldier, sailor, airman or Marine vulnerable at the worst possible time," the report said.

"Unfortunately, a flood of counterfeit electronic parts has made it a lot harder to prevent that from happening."

The fakes included parts in the Electromagnetic Interference Filters used in night missions and in operation of "hellfire" missiles on SH-60B Navy helicopters.

The were also found in memory chips in the display systems of C-17 Globemaster III and C-130J military cargo planes, and refurbished ice detection modules on the Navy P-8A Poseidon, modified Boeing 737 aircraft incorporated with anti-submarine and anti-surface warfare capabilities.

The report said the Defense Department "lacks knowledge of the scope and impact of counterfeit parts on critical defense systems," and that the use of unvetted independent distributors for the supply of critical military parts results in unacceptable risks to national security and safety.

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U.S. Senate revives fake defense parts row
Washington (UPI) May 22, 2012 - A U.S. Senate committee report has revived controversy over alleged counterfeit Chinese electronic components entering U.S.-made defense equipment and weapons.

More than a million counterfeit parts for U.S.-made equipment and weapons are in circulation, the report by the Senate Armed Services Committee said.

It cited defense equipment from Raytheon Co., L-3 Communications Holdings Inc. and Boeing Co., including aircraft deployed to Afghanistan, among recipients of spares usually manufactured in China.

The fakes put U.S. lives at risk, said the 112-page report, which accused the Defense Department of not doing enough to learn about the dangers posed to U.S. military personnel by counterfeit components.

The committee, led by Democratic chairman Carl Levin and Republican John McCain, spent more than a year preparing the report but it was thwarted in efforts to obtain visas to investigate fakes said to have been manufactured in China.

Chinese government officials say Beijing takes seriously any allegations of counterfeit defense production in the country and is prepared to stamp out makers of any contraband defense spares if found.

Reports of a thriving global business in "alternative" spare parts for U.S. defense equipment have circulated for more than a decade, been the subject of publications and television programs.

The report cited how "this flood of counterfeit parts, overwhelmingly from China, threatens national security, the safety of our troops and American jobs."

Fake components were found in missile parts, memory chips, night flight operations, C-17 Globemaster III and C-130J tactical transport planes, Boeing aircraft modified for anti-submarine and other equipment used by U.S. forces in operations in Afghanistan and elsewhere.

The report claims its investigations uncovered 1,800 cases of bogus parts, including those on the special operations helicopters and U.S. Navy surveillance planes.

Placing the blame squarely on China, the report claims the finding "underscores China's failure to police the blatant market in counterfeit parts -- a failure China should rectify."

Analysts said the long-drawn controversy over fake space parts indicates the difficulty of ensuring fakes are eliminated from the parts marketplace. The expertise and equipment required to vet each and every part obtained on the market will add costs that few defense operations can afford.

The market for contraband defense material has also developed in response to demand from countries that originally received U.S. defense equipment and weapons, including Iran and Venezuela, but are no longer on friendly terms with Washington.

In some respects manufacturers of fake spares can be expected to be cynical enough to test the markets with their wares and to hone their skills and improve the quality of their fakes, analysts said.



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Top Israeli arms firm fined for exports
Tel Aviv, Israel (UPI) May 21, 2012
Israel Aerospace Industries, flagship of Israel's defense industry, has been fined $260,800 for negotiating to export military equipment to an unidentified country without obtaining Defense Ministry approval. The unusual action, reported by the liberal daily Haaretz Monday, took place in 2011, but the disclosure was the latest episode in a recent campaign to clean up Israel's arms trade ... read more


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