TPT November 2016

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58 NOVEMBER 2016
G LOBA L MARKE T P L AC E
Two coups for the United Kingdom:
at sea (nuclear submarines) and in the air
(commercial drones)
› The US Navy has selected Sheffield Forgemasters
International Ltd to build critical components for its new
generation of Columbia-class nuclear missile submarines. As
reported by industry editor Alan Tovey of the Telegraph, the
$30 million contract for the submarines – which are to replace
the current Ohio-class vessels – is an important win for the
company, and builds on its decades of supplying components
for the Royal Navy as well as earlier US ships. (“Boost for
British Steel as Sheffield Forgemasters Wins Deal to Supply
US Nuclear Subs,” 9 August)
The castings to be provided by Forgemasters are believed to
be slated for use in the weapons launch systems of the new
vessels. Noting that “these are complex components and
require detailed modelling and manufacturing to highly specific
tolerances,” CEO Graham Honeyman told the Telegraph that
the work was under way, with deliveries to commence this
year. Another tranche of components will follow in 2017.
Forgemasters, founded in 1805, is expected to play a key
role in the construction of Britain’s own next-generation
Successor nuclear submarines. That $40.7bn programme
(with a $13.1-billion contingency fund) is moving ahead after
July’s parliamentary vote in favour of replacing the Royal
Navy’s Trident submarines.
Mr Tovey noted that the importance of Forgemasters to
Successor was highlighted when – orders from the offshore
oil and gas industry having dried up – BAE Systems, Rolls-
Royce, and Babcock joined forces to offer the company a $39.4
million support package. “The three blue-chip engineering
businesses,” he wrote, are themselves key partners in the
programme to build the new fleet of Royal Navy submarines.
Last year, Forgemasters, which is privately held, was reported
to have attracted the attention of Chinese investors, but
nothing came of discussions. According to the Telegraph,
“winning sensitive contracts for nuclear submarines” is likely
to put paid to overtures from other prospective stakeholders.
› In another significant win for the UK, Amazon is partnering
with the British government to significantly expand drone
testing, a move that could allow the devices to deliver to
British homes far earlier than in the United States. Britain’s
aviation regulator will let Amazon test several aspects of drone
technology that the US Federal Aviation Administration (FAA)
has not permitted. The tests have already begun.
As reported by Cecilia Kang in the New York Times (“Amazon
Expands Drone Testing in Britain,” 25 July), the partnership
puts pressure on the FAA, which has rebuffed requests by
Amazon, Google and other drone makers to advance their
delivery plans. She noted that “tech behemoths and other
drone makers” have aggressively lobbied the FAA to authorise
the devices to significantly reduce costs to transport by
airplane, freight and trucks.
Ms Kang wrote that Amazon is working with British regulators
in the trials of drones that fly beyond the line of sight of
operators in rural and suburban areas. It is also testing
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