Israeli Manufacturers’ $150M Turkish UAV Contract Endangered

Defense Industry Daily - In April 2005, Israel Aircraft Industries (IAI) and Elbit Systems won an contract to supply medium endurance unmanned aerial vehicles (UAVs) to the Turkish military. Turkey’s local industry would provide sub-systems and services amounting to 30% of the contract.

The contract’s terms have been the subject of shifting reports, and the type of UAV was not specified in the official releases. Over time, however, clarity has emerged on several fronts. One front is the UAV type: the same Heron UAVs that serve with Israel, India, Canada, and other customers.

The project’s issues appeared to be settled, with recent deliveries of Heron UAVs to Batman air base. Follow-on reports indicate that these issues are a long way from settled, however, and a recent Turkish newspaper article discusses the exact problems and current situation in much greater depth…

    * Contract Arrangements and Participants
    * The UAVs [updated]
    * Updates [updated]
    * Additional Readings and Sources

Contract Arrangements and Participants

A subsequent IAI/Elbit Systems news release several months later provided additional clarity:

“The contract is valued at $150 million and each company’s share will amount to approximately $75 million. The contract was signed in May 2005 between Israel UAV Partnership (IUP) and the Turkish MOD is entering into effect now.

IUP is an equally owned partnership between Israel Aircraft Industries (IAI) and Elbit Systems. IUP will act as the major subcontractor to TUSAS Aerospace Industry (TAI) for the program. The systems will be delivered to the Turkish MOD over a three-year period, and will be operated by the Turkish Armed Forces.”

Other reports refer to a $183 million contract, which may also include funds for Turkish subsystems. According to various sources, the contract involves 3 systems of 10 Heron aircraft each, plus surveillance payloads and ground control stations. Other sources refer to just 10 aircraft, which appears discrepant given the size of the contract.

The UAVs

The Israel-based Defense Update Magazine asserts, and other follow-on articles report, that the contract is for IAI Heron medium-altitude, long endurance (MALE) UAVs. It will also include Elbit Systems’ ground systems, and appropriate payloads from Turkish manufacturers. Subsequent reports indicate that the Turks will be receiving an updated version of the Heron called “Shoval,” or “Heron 1,” to distinguish it from original models, and from the newer “Heron 2/ Eitan” model.

The Heron is capable of flying for more than 30 hours at a time, at altitudes exceeding 32,000 feet. It has a maximum range of about 3,300 kilometers and can carry a maximum payload weighing 250 kg/ 550 lbs. It is built to carry multiple payloads at a time for a variety of multiple missions, which can include electro-optical and thermal surveillance equipment, SAR radars for ground surveillance, maritime patrol radars and sensors, signals and other intelligence collection antennas and equipment, laser designators, and even radio relays.

The payloads are currently one of the problems, though they began as a key initial opportunity. Aselsan’s Aselfir 300T turret of electro-optical cameras, infared, and laser rangefinder/trackers weighs 93 kg/ 205 pounds, which is significantly more than the 145-155 pound IAI MOSP turrets used by the Israelis, or the similar 155 pound AAS-52 system carried by the Predator. Its weight was reportedly a deal-breaker for General Atomics, which withdrew its MQ-1 Predator because that UAV could not meet Turkish performance requirements while carrying it.

Neither has the Heron, which reportedly found itself limited to an altitude of 21,000 feet in Turkish tests, instead of the desired 30,000 feet. IAI insists that the final UAVs will meet Turkish specifications, thanks to more powerful engines that will be installed in the UAVs to help them perform with the added weight. Integration of the payload also delayed the project, and the Turkish air force still hasn’t formally accepted the 2 Herons IAI delivered, citing failure to meet the specifications of the contract.

Turkish Defense Minister Vecdi Gonul has said that the delivery of the remaining Herons would be completed before June 2009, which implies acceptance in the very near future. Meanwhile, wrangling can be expected over the contract’s terms, which reportedly include fines for delivery delays, or failure to fulfill the contract’s terms. All of these issues must somehow come to resolution, or be shelved. Time will tell.

Aerostar UAV

As an interim solution, Turkey has reportedly purchased 3 smaller Aerostar tactical UAVs from Israel’s Aeronautics DS, paid $10 million in 2007 to lease 3 Herons from Israel as a temporary solution, and later bought an IAI Searcher II tactical UAV to replace one Heron UAV that was lost during a 2007 mission.

Over the longer term, Turkish Aerospace Industries has a project underway to manufacture TIHA UAVs, which are intended to have performance similar to IAI’s Herons. The prototype is expected to run in test flights in 2010 and to be delivered by 2011, but the project is still in early stages and success is not yet certain.

Meanwhile, Turkey needs operational UAVs. While the MQ-1 Predator has payload limitations that forced it to withdraw, General Atomics’ MQ-9 Reaper is designed to carry much heavier payloads, at higher altitudes. It’s also significantly more expensive than the Predator or Heron, but Turkey has reportedly submitted a formal export request to the USA.

Updates

May 17/09: Today’s Zaman offers a deeper look at the Turkish UAV program’s progress, problems, and prospects. Read “Turkey stymied by problems with Israeli Heron UAVs.”

April 9/09: Flight International reports that:

“Israel Aerospace Industries has delivered the Turkish air force’s first two Heron medium-altitude, long-endurance unmanned air systems to Batman air base. Flight-testing should conclude this month, with the remaining eight air vehicles to be delivered in May.”

Yes, they really said “Batman air base.” IATA code BAL, near Diyarbakir.

Jan 29/09: The Turkish newspaper Hurriyet Daily News reports that Turkey is looking to buy MQ-9 Reapers, and submitted a formal request in December 2008. The ultimate decision by the United States on whether to accept and present this formal export request to Congress through the US DSCA is expected in the next 6 months.

The MQ-9 Reaper has a payload capacity of around 3,000 pounds, and is designed to fly up to 50,000 feet. On the flip side, it is substantially more expensive than the MQ-1 Predator or IAI Heron, and trades higher carrying capacity for shorter flight durations than its smaller competitors.

Aug 27/08: Looks like delivery delays are still an issue. Middle East Newsline reports that:

“Turkish industry sources said the General Staff has been displeased with delays by two leading Israeli defense companies. The sources said both the state-owned Israel Aerospace Industries and Elbit Systems have failed to meet deadlines in their UAV projects for Turkey.”

Note that none of the reports to date specify why the deadlines keep slipping. IUP is a joint industrial partnership involving Turkish firms as well as Israeli companies. The problems that have stymied delivery could lie on either side of that partnership, or on both sides.

Dec 29/07: A StrategyPage report claims that the problems with the Turkish UAV deal lie on the Turkish side of the industrial partnership:

“Turkish firms were to supply some of the components, like the cameras, and delivery was scheduled for October 2007. But the Turkish camera suppliers had some problems integrating their equipment with the UAV, delaying service until early 2008…. So the Israeli manufacturer made an interim deal to supply wholly Israeli Herons, along with support personnel, on a $10 million lease.”

Dec 27/07: The Israeli newspaper Ha’aretz reports that Turkey has begun using IAI’s Heron UAVs as part of its military operations against Kurdish PKK terrorists in northern Iraq. The report also quotes Turkish sources that claim IAI personnel are acting as field support contractors.

It adds that the Heron UAVs have had their delivery delayed by unspecified complications, annoying the Turkish military and leading to a $10 million interim lease of UAVs until delivery takes place. The first shipment was initially set for October 2007, but has reportedly been postponed until the spring of 2008. See also AP report.

Additional Readings & Sources

    * Defense Update – Heron UAV. Notes Turkish deal.

    * Israeli-Weapons.com – Heron/Shoval/Eitan.

    * Israel Defense Forces – The Shoval

    * Turkish SSM Export Portal – ASELSAN ASELFLIR-300T Airborne FLIR

    * Wikipedia – TIHA

    * Jamestown Foundation (Dec 18/08) – Turkish Military in Need of Unmanned Aerial Vehicles

    * IAI Corporate Release (Sept 1/05) – Israel Aircraft Industries (IAI) to Supply Jointly With Elbit Systems UAV Systems to The Turkish MOD: Contract valued at $150 million

    * Shephard’s UVOnline.com (April 26/05) – Washington Questions Turkey’s UAV Deal. Though better background re: the particulars of the dispute around the solicitation process can be found at…

    * C4SI Journal (April 25/05) – IAI-Elbit Wins Turkish UAV Deal Over U.S. Firm. Deal value placed at $183 million.

    * Turkish Daily News (April 23/05) – Turkey’s UAV deal with Israel raises eyebrows in Washington

    * Globes Online (April 18/05) – IAI and Elbit Systems win $200m Turkish UAV contract

    * C4SI Journal (Feb 14/05) – Turkey Seeks Local Solution to UAV Need.

    * Joint Force Quarterly (Winter 2002) – An Israeli military innovation: UAVs. Details the history of military UAV development in Israel, which was a global pioneer in the field.

(DID originally covered this on April 20, 2005. The original news article gave a figure of $200 million with 33% workshare, until Elbit’s news release came out a couple of months later with a $150 million figure. Further research pinpointed the UAV type, which had not been disclosed in the releases or in response to DID inquiries.)