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Business & Finance

Pakistan extends $1.5bn defense deal with Turkey

  • The $1.5bn defense agreement between Pakistan and Turkey has come to a standstill due to the United States.
Published March 17, 2021

Pakistan has given a six-month extension to an over billion dollars defense deal with Turkey for the procurement of T-129 Atak helicopters.

“We have obtained a six-month extension from Pakistan,” Turkey’s top procurement official, Ismail Demir, said quoted Defense News.

The $1.5bn defense agreement between Pakistan and Turkey has come to a standstill due to the United States.

In July 2018, Turkey and Pakistan signed an agreement on the sale of 30 Turkish T-129 Atak helicopters. The deal encompasses the provision of logistics, spare parts, training, and ammunition for the helicopters, which were to be delivered gradually over five years.

However, relations between Turkey and the USA strained after Turkey decided to buy the Russian missile defense system SU-400, much to the criticism of the United States. In response to the Turkey-Russia defense pact, the United States imposed defense sanctions on its NATO ally Turkey.

Due to these restrictions, the supply of T-129 combat helicopters to Pakistan was delayed as Turkey was unable to supply T-129 combat helicopters to Pakistan without US export licenses.

“This is not a technological or commercial issue,” he said. “It is purely political, and as long as the reasons for the U.S. blockade remain in effect ... what looks like a Turkish-Pakistani deal will be a victim of a Turkish-U.S. dispute.”

The T-129 ATAK helicopter gunships were being produced by TAI under license from the Italian-British company AgustaWestland.

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