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MILITARY

Why Thailand is set to buy a new fleet of Swedish Gripen fighter jets

Thailand wants to renew its fleet of combat aircraft with Gripen fighter jets, the air force said, favouring the Swedish-made planes over American F-16s.

Why Thailand is set to buy a new fleet of Swedish Gripen fighter jets
File photo of a Jas 39 Gripen C, not identical to the model Thailand will be buying. Photo: Johan Nilsson/TT

A procurement committee weighed the choice for 10 months before deciding the JAS 39 Gripen E/F was the most suitable, the Royal Thai Air Force said in a statement issued Tuesday.

“We have considered this purchase very carefully so that we can make the most out of it to defend our country for at least another 30 years,” it said.

The Gripen “can respond to the Thai air force’s strategic principles and collaborate with other security forces”, the statement added.

Lockheed Martin’s latest F-16s are still under consideration, with the final decision resting with the Thai government.

The Gripens would replace F-16 A/B jets bought in the late 1980s.

No details were given on how many Gripens Thailand might buy, but reports in specialist defence media outlets earlier this year suggested the kingdom was eyeing around a dozen.

Thailand currently operates 11 older Gripens as well as dozens of F-16s.

Gripen manufacturer Saab welcomed the statement.

“We can confirm the fact that the Thai Air Force has publicly confirmed that they would like to purchase the Gripen. This is a very positive news for Saab and Sweden,” Mattias Rådström, press manager for Saab, told AFP.

“At this stage, there is no contract or order. We are looking forward to continuing the discussion with the Thai Air Force and the Thai authorities.”

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BUSINESS

Swedish PM says state has ‘no plans’ to rescue Northvolt

Sweden has no plans to rescue financially-strained electric car battery maker Northvolt, hit by slumping electric car sales in Europe and stiff Chinese competition, Prime Minister Ulf Kristersson said on Monday.

Swedish PM says state has 'no plans' to rescue Northvolt

Northvolt announced on September 9th that it planned to slash its workforce and scale back its operations in order to improve its “financial stability”.

“There are no plans for the Swedish state to become a part owner of Northvolt or anything like that,” Kristersson said at a press conference.

READ ALSO: Northvolt warns of layoffs in bid to cut costs

However, he said, “we are committed to making Sweden a good place… for the new technology that is needed for the green transition” and “for that kind of industry”.

“Right now the ball is in the court of Northvolt’s owners,” he said.

German car giant Volkswagen is Northvolt’s main shareholder with 21 percent.

Since its creation, the Swedish company has secured the equivalent of 15 billion dollars of credit and capital.

Europe lags far behind China in the production of batteries for electric vehicles.

Northvolt has been seen as a cornerstone of European attempts to catch up with China and the United States in the production of battery cells, a crucial component of lower-emission cars.

Europe accounts for just three percent of global battery cell production, but has set its sights on 25 percent of the market by the end of the decade.

Northvolt said it was putting a facility that makes cathode active material at its main Swedish site in Skelleftea “into care and maintenance until further notice”.

It did not say how many jobs it would cut. It had 5,860 employees at the end of 2023.

The company also recently announced it was scrapping plans to build a facility to produce battery materials in the Swedish town of Borlänge.

According to Swedish media, the company is working on a new share emission in order to raise 7.5 billion kronor.

Northvolt is the latest in the series of Swedish tech giants to struggle with the economic pressure of the past few years.

Swedish telecoms equipment company Ericsson said earlier this year it was cutting 8.6 percent of its Swedish workforce.

In early August, the Swedish Labour Ministry announced that the country was facing its highest unemployment rate in a decade, excluding the pandemic period.

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