Australian Defense Minister defends big defence budget cuts; Qatar considering buying up to 200 German tanks
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    • Australian Defence Minister Stephen Smith on July 29 defended military spending cuts, saying the belt-tightening would not impact overseas operations or those with key ally the United States. Australia announced in May that it would slash Aus$5.5 billion (U.S. $5.76 billion) from its defense budget as part of sweeping government cuts, deferring or scrapping jet and weapons deliveries and sacking 1,000 staff. Smith said he had spoken with U.S. Defense Secretary Leon Panetta on three occasions about the cuts, which do not involve cutting military personnel numbers or overseas operations, most recently last week. “And he is absolutely convinced, as I am, that the cuts that we have made in our defense program continue to protect our long-term capability but most importantly don’t have any adverse consequences for our overseas operations,” he told ABC TV. “And don’t have any adverse implications for what we are doing with the United States, our enhanced practical cooperation, whether that’s (U.S.) marines in Darwin or the prospect of enhanced aviation access to our airbases in the Northern Territory.” Australia has about 1,500 troops serving in Afghanistan as well as peacekeeping deployments in East Timor and the Solomon Islands, and is set to become a critical regional ally of the United States in the Asia-Pacific. About 2,500 U.S. Marines are to be stationed in northern Australia by 2016-17 under a military deal signed with U.S. President Barack Obama last year. 1

    Meanwhile, Qatar is considering buying up to 200 German tanks at a cost of around 2 billion euros ($2.46 billion), according to a report published on July 29. News weekly Spiegel reported that the Qataris were interested in acquiring the Leopard-2, Germany’s main battle tank and that a delegation from defense firm Krauss-Maffei Wegmann had already travelled to Qatar to discuss the possible deal. Spiegel reported that both Chancellor Angela Merkel’s office and the economy ministry were in favor of the deal with Qatar. 2

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