Tag Archives: south america

The Colombian Navy: South America’s Powerhouse?

By W. Alejandro Sanchez

The author would like to thank Colombian Rear Admiral (ret.) Luis Fernando Yance Villamil and Colombian General (ret.) Enrique Peña Diaz for their comments and information, which were of invaluable help for this report.

This past August, tensions flared up between Colombia and Venezuela after three Venezuelan soldiers were injured in an incident along their common border. The situation worsened as Caracas started deporting undocumented Colombians that live in Venezuela. Thankfully, diplomacy prevailed and the incident did not escalate. Nevertheless, this is not the first time that the two South American countries have been at odds with each other.  The two states had confronted one and other before, specifically at sea in 1987 and more recently in 2008.

[otw_shortcode_button href=”https://cimsec.org/buying-cimsec-war-bonds/18115″ size=”medium” icon_position=”right” shape=”round” color_class=”otw-blue”]Donate to CIMSEC![/otw_shortcode_button]

The focus of this analysis is not to theoretically discuss what would happen if Colombia and Venezuela went to war. Rather, we aim to take this possible inter-state conflict as a point of departure to discuss the status of the modern Colombian Navy. For decades, the Colombian Navy’s security operations have revolved around combating maritime crimes like drug trafficking. Nevertheless, a Navy’s raison d’être is to protect a country’s waterways from internal and external threats. Given recent acquisitions, including two German submarines, Colombia’s Navy can certainly be cataloged as a regional powerhouse with a strong deterrent capability.

Lack of Warfare: A Brief History

There is an obscure but also amusing fact about Latin American navies in general: they have not participated in inter-state warfare in decades. As I have discussed in previous analyses, the last time two Latin American countries went to war with each other was the land-based conflict Peru and Ecuador in 1995. Moreover, the last time a Latin American warship fired a missile at another warship was during the 1982 Falklands/Malvinas War between Argentina and the United Kingdom.

Colombia is well known for the internal conflict that has plagued the country for decades. When it comes to inter-state wars, Colombian Army units and Navy vessels participated in the Korean War, via the UN, while the last conflict Colombia fought with a neighboring state was the 1932-1933 war with Peru, which was centered in the Amazon. In the past few decades, there have been isolated incidents which brought Colombia to an inter-state war. Most recently in 2008, there was a bizarre incident in which Colombian troops attacked a FARC insurgent base in Ecuador without requesting Quito’s permission. Venezuela’s Hugo Chavez deployed his troops to the Colombian border, declaring that he would go to war with Colombia to protect its ally Ecuador. Prior to that, there was the aforementioned 1987 incident in which the ARC Caldas, a Colombian corvette, entered waters that Venezuela claims as its own. Both countries deployed troops to their borders, and Venezuelan F-16 warplanes flew over the ARC Caldas and other Colombian vessels in the disputed area. As was the case with this most recent incident, the crises in 1987 and 2008 ultimately did not escalate.

This leads to one conclusion: there is no one in service in the Colombian Navy that has experience in an inter-state conflict. Moreover, no missile or torpedo has been launched from a Colombian warship or submarine in generations. Certainly, this fact does not minimize the capabilities, bravery, and overall professionalism of Colombian sailors who have plenty of experience in combating insurgents, drug traffickers, and other criminals in the country’s territorial waters and throughout the country’s numerous rivers. If anything, Colombia’s success at stopping maritime crimes (in April, it seized 1.3 tons of cocaine in Pacific waters) highlights how this service has adapted and transformed itself into a force that can face both traditional and asymmetric security threats. Nevertheless, it is an amusing factoid that, as powerful as the Colombian Navy is, experience in inter-state conflicts is beyond scarce among its personnel (though the same can be said of other regional navies).

A Force to be Reckoned With

Unlike its neighbor Brazil, Colombia does not possess a carrier, nor is it constructing a nuclear-powered submarine. Nevertheless, its Navy has carried out acquisitions in recent years to modernize its fleet. The most important was the 2012 acquisition of two German-made submarines, class U-206A. The

Colombia acquired two updated U-206A Submarines (pictured here) from Germany.
Colombia acquired two updated U-206A Submarines (pictured here) from Germany.

submarines have been upgraded (they served in the German Navy for over three decades and were decommissioned in 2010) and, at the time of this writing, are been transported from Germany to Colombia via the freighter BBC Saphire.

As for other acquisitions, Bogota has purchased a “fast ferry” transport vessel, the ARC Juanchaco, from the Dutch shipbuilding company Damen. Moreover, Colombia has also acquired a 76mm gun, an Oto Melara 76/62 Super Rapid (SR) Gun Mount, from the Italian company Finmeccanica. It will be placed aboard an offshore patrol vessel that the country is currently constructing. Finally, the Colombian Navy’s official website offers a detailed list of acquisitions and upgrades for 2015; due to space issues we will not discuss them here, but it is worth noting that these include modernizing the country’s frigates and upgrading bases like ARC Bolivar and ARC Malaga.

Additionally, the country’s naval military industry is rapidly evolving. Case in point, the Colombian state-owned shipyard COCTEMAR recently delivered to the Navy the amphibious landing vessel BDA Golfo de Uraba, which can transport supplies to coastal and fluvial areas. This is the second of six vessels of this class that COCTEMAR is constructing for the Navy.

In terms of training, Colombia carries out military exercises with its neighbors and allies – Colombian warships are currently involved in the UNITAS 2015 exercises with U.S. and other Latin American vessels. Furthermore, the Colombian Navy participated in

The Colombian Navy offered tours during RIMPAC 2014.
The Colombian Navy offered tours during RIMPAC 2014.

RIMPAC 2014 and carried out naval exercises with Ecuador in August. Finally, a crew of Colombian sailors is getting some first-hand experience in combat operations as the patrol vessel ARC 7 de Agosto has been deployed to the horn of Africa to participate in Operation Atalanta.

Issues and Challenges

While the Colombian Navy has carried out important acquisitions and modernization of its vessels, there are problems among its personnel. Just this past May, Bogota revealed a massive fraud operation among the country’s armed forces in which some 160 million Colombian pesos (around $52 thousand USD) were stolen from the military’s coffers. Among those arrested as part of this criminal ring were three naval personnel and one civilian that also worked for the Navy. The criminals utilized online transactions, using fake documents to wire money from the naval cadet school Almirante Padilla, to personal bank accounts.

Moreover, the education that Colombian naval cadets are receiving may be called into question. The research group Sapiens Research publishes reports of Colombia’s best universities: in 2014, the best military university was the Universidad Militar Nueva Granada, which came at a respectable number 25. As for the navy’s cadet school, the Escuela Naval de Cadetes Almirante Padilla came at a dismal number 90, just above the Air Force’s postgraduate school. Colombian naval cadets receive  good training at sea – this is best exemplified by how its flagship and training vessel, the ARC Gloria, has travelled around the world to provide aspiring naval officers with hands-on experience. Nevertheless, the education they receive on land at their university can greatly be improved if it wants to compete with some of Colombia’s best universities.

Another worrisome development is the training that Colombian marines are receiving. Earlier this year, the Colombian news agency La F.m. uploaded a video showing marines being threatened and physically beaten by their trainers as part of an advanced training course. The marines were punched and kicked by their supervisors, even when they fell to the ground, all the while being verbally insulted. (Click here for the graphic video, in Spanish).

The video sparked a debate on whether such training methods are acceptable (arguably to train the marines to deal with extreme pain in case they are captured by insurgents) or if they should be regarded as humiliating and unnecessary. As a response to the video, Admiral Hernando Wills, commander of the Navy, announced that the officers that beat up the marines had been kicked out of the service. The naval officer explained that “military training is demanding, but under no circumstance does it justify physical abuse.”

Finally, as part of my research, I was unable to find reports of accidents regarding Colombian vessels. This is certainly a positive development, particularly as other branches have suffered accidents in the recent past (one of the Air Force’s Kfir warplanes crashed in December 2014 during a training exercise). With that said, problems among naval personnel, from corruption cases to controversial training, or lack of good education among cadets, must be dealt with in order to continue optimizing the country’s maritime force.

Analysis

While the Colombian Navy has acquired some major equipment, particularly two submarines and new landing vessels, it would be wrong to assume that it is partaking some kind of aggressive weapons-purchase spree. Rather, the Colombian Navy is going through a modernization process to maintain its ability to carry out operations, such as combating maritime crimes, as well as maintaining a deterrent capability from outside threats.

Ultimately, the operations of the Colombian Navy rest on its personnel and its equipment. As previously mentioned, there have not been any major accidents regarding warships or submarines while the recent acquisitions and modernization of vessels leads me argue that the Colombian Navy is in ideal shape to continue its operations and deal with any foreseeable conflict. As for the personnel itself, the corruption case is a problematic incident but has not affected the overall status of the Navy. Of more concern are the (videotaped) cases of physical and psychological abuse against marines during training courses.

The Caracas Question

This analysis would not be complete without discussing Venezuela-Colombia tensions. The two governments have a long history, including been part of the same country in the 19th century. However, tensions have regularly escalated, particularly as they both claim the oil-rich Gulf of Venezuela, which prompted the 1987 maritime crisis. Tensions increased during the presidencies of Venezuela’s Hugo Chavez and Colombia’s Alvaro Uribe, which culminated in the 2008 incident. Sadly, even after the two leaders left power, occasional flare-ups continued, such as this past August.

It is important to note that under Chavez, Caracas spent billions of dollars on Russian and Chinese equipment for the Venezuelan armed forces, but the main beneficiaries were the Army and Air Force. Recent open-source reports hint that the Venezuelan Navy is doing the best with what it has, which means repairing old vessels, like the submarine Caribe, S-32, and its Lupo-class frigates. The country’s acquisitions program can be regarded as modest – one recent example is the purchase of Damen-built patrol vessels.

While it is not my goal to discuss a theoretical Colombia-Venezuela conflict, the information currently available regarding both navies provides a strong advantage to the Colombian Navy, as it has seasoned personnel with combat experience due to their anti-drug trafficking operations and the ARC 7 de Agosto vessel operating in the Horn of Africa. Of course, the caveat here is that the Colombian Navy has not participated in an actual inter-state conflict in decades (but then again, neither has the Venezuelan Navy), which means Colombian naval personnel lack that particular kind of combat-experience. As far as the equipment  goes, the current purchases provide the Colombians a formidable force, particularly when it comes to its submarine fleet.

Furthermore, the Colombian Navy enjoys strong relations with regional navies, which means that it participates in valuable multinational training exercises. For example, the ongoing UNITAS 2015 exercises have warships from Colombia, Peru, Mexico, the U.S. among others. On the other hand, the Venezuelan

PHOTOEX from UNITAS 2015
PHOTOEX from UNITAS 2015

Navy carried out exercises with the country’s Air Force in June. Inter-agency exercises are important, but the Venezuelans are at a disadvantage as the Colombian Navy learns tactics and techniques from other navies.

Regarding the U.S., close Bogota-Washington relations are no secret, both at the political and military level. When it comes to navies, apart from participating in joint maritime exercises, there are often meetings between the senior naval command of both countries. Case in point, this past January, Admiral John Greenert, Chief of Naval Operations of the U.S. Navy, traveled to Colombia to meet with Defense Minister Juan Carlos Pinzon and the commander of the Navy, Admiral Hernando Wills.

Given the plethora of current analyses discussing how far the U.S. government (and military) will go to support their allies (i.e. via NATO in Europe or to protect Taiwan in the Asia Pacific), it is necessary to briefly discuss U.S.-Colombia relations if the South American state went to war; a Colombia-Venezuela conflict being the most plausible scenario. It is safe to say that the U.S. will not go to war over Colombia. Nevertheless, we can deduce that the U.S. would support to its ally, particularly if it is in a war against Venezuela, which has been a thorn in Washington’s side since the dawn of the Chavez era. Specifically, I would argue that Washington would focus provide intelligence to Bogota – a precedent would be the U.S. supplying intel to the UK against Argentina during the Falklands War.

Ultimately, the question is: Is a war between Colombia and Venezuela inevitable? The fact that the crises of 1987, 2008 and 2015 did not result in conflict speaks well of how both governments preferred dialogue over war. Even more, just this past October, senior naval officers from both countries met in Maracaibo, Venezuela to discuss bilateral cooperation to combat crimes, including drug trafficking, along their common border. Such meetings are important confidence-building mechanisms to improve military relations.

Nevertheless, a maritime border in the Gulf of Venezuela has yet to be agreed upon by both governments, which will probably lead to another 1987-type incident in the future. Moreover, the Venezuelan economy remains in a dire state, and the Venezuelan government has turned to constantly accusing foreign actors, namely the U.S., of trying to destabilize it. Even more, Caracas has also accused Bogota of trying to destabilize its economy and fomenting the mega-inflation that Venezuela is currently experiencing. The bottom line here is that accusations over economic warfare and/or unresolved border issues will likely bring about a new round of incidents in the near future. Hopefully these will not end up in a conflict but, in this author’s personal opinion, the Colombian military may be wondering if Venezuela may try to ignite a conflict in order to divert attention from its internal problems (a la Argentina during the Falklands War).

Conclusions

When discussing maritime strength among military powers, it makes sense to focus on navies with either nuclear-powered vessels or in terms of modern equipment. When it comes to Latin America, assessing a navy’s strength is somewhat different as all tend to possess a mix of (sometimes very) old equipment, sprinkled with the occasional new vessel. The Colombian Navy has such a mix of warships and submarines – it has brand-new, domestically-manufactured, landing ships while its “new” German submarines are already over three decades old. Nevertheless, this author would conclude that it enjoys a high level of readiness (best exemplified by successful operations against maritime crimes). While nobody wants war, if it does occur, Colombia’s Navy is certainly a powerhouse to be reckoned with.

W. Alejandro Sanchez is a Senior Research Fellow at the Council on Hemispheric Affairs (COHA) where he focuses on geopolitics, military and cyber security issues in the Western Hemisphere. Follow him on Twitter: @W_Alex_Sanchez

[otw_shortcode_button href=”https://cimsec.org/buying-cimsec-war-bonds/18115″ size=”medium” icon_position=”right” shape=”round” color_class=”otw-blue”]Donate to CIMSEC![/otw_shortcode_button]

Determining Success: TRADEWINDS 2015 and Lessons Learned

By W. Alejandro Sanchez.

Between May 31 and June 24 of this year, U.S. Southern Command (SOUTHCOM) carried out joint naval exercises with its partners in the Greater Caribbean. The annual exercises, known as TRADEWINDS, brought together units from over a dozen countries. Without a doubt, multinational military exercises are useful as the personnel involved in the maneuvers learn new techniques from each other as well as how to work together. Nevertheless, a major concern is how well the lessons learned are properly applied to real-world operations.

The Exercises

TRADEWINDS 2015, the 31st iteration of these month-long exercises, took place in two phases: first in Saint Kitts and Nevis and then in Belize. U.S military personnel trained with their counterparts from 18 other nations, including Grenada, Guyana, Haiti, nations from the Greater Caribbean, Mexico, and even overseas partners like the Kingdom of the Netherlands and the United Kingdom (which both have territories in the Caribbean). Caribbean multinational agencies also present included the Regional Security System (RSS), the Regional Intelligence Fusion Center (RIFC), and the CARICOM Implementation Agency for Crime and Security (IMPACS), among others. According to SOUTHCOM, the exercises were aimed at strengthening “the capacity of Caribbean nations to respond to natural disasters, humanitarian crises and counter transnational organized crime.”

There have been several reports that enumerate and explain the nature of the exercise. For example, off the coast of Belize, the navies from Belize, Mexico and the United Kingdom carried out a simulated vessel boarding, search, and seizure operation. Mexican naval personnel from the Mexican Navy ship ARM Independencia, travelling in an interceptor boat, boarded the British vessel the HMS Severn and “simulated [the] arrests of a group of merchant mariners who tried to resist.” Other exercises included crowd control, safety techniques like clearing buildings, and gunnery with a 50-caliber

Members of the Dominican Navy participate in .50 cal exercises aboard a USCG Cutter. (Source: USCG)
Members of the Dominican Navy participate in .50 cal exercises aboard a USCG Cutter. (Source: USCG)

machine gun. A June 10 video posted in the Coast Guard Compass, the official blog of the U.S. Coast Guard, shows USCG personnel aboard a patrol boat from Grenada, explaining various techniques to their counterparts regarding how to understand the sea states and navigate effectively as they pursue a suspicious vessel.

In addition to praise from SOUTHCOM, the exercise has enjoyed the public endorsement and support from various Caribbean governments. For example ZIZ News, a Saint Kitts news agency, quoted Captain Kayode Sutton of the St. Kitts and Nevis Defence Force as saying, “the support from the government [in Basseterre] has been tremendous… Mr. Osbert DeSuza, the Permanent Secretary in the Office of the Prime Minister… visited the Exercise Control Centre and he received a brief as to what is going on for the entire exercise, the training, all the exercises that are going on right now.” Meanwhile, Guyana deployed its navy’s flagship, the GDFS Essequibo, to the exercise’s maritime phase, highlighting Georgetown’s commitment to display the best it has to offer to operate along its regional allies.

How to Determine Success?                                                    

During the TRADEWINDS 2015 opening ceremony in Saint Kitts, Lt. Col. Patrick E. Wallace, commander of the

Lt. Col. Wallace addresses partner nations as part of the 2015 Opening Ceremonies (Source: SOUTHCOM)
Lt. Col. Wallace addresses partner nations as part of the 2015 Opening Ceremonies (Source: SOUTHCOM)

St. Kitts and Nevis Defense Force, declared, “I stress that the knowledge and skill that comes from this exercise is essential … However, just as important, is the strengthening of multi-nation

Mexico's ARM Independencia. The vessel participated extensively in this year's TRADEWINDS exercise.
Mexico’s ARM Independencia. The vessel participated extensively in this year’s TRADEWINDS exercise.

nating with each other will be similarly successful in real life-or-death situations. As one retired Colonel from the Peruvian military told me, “ultimately, the only way to know if an exercise is successful is if you test the lessons in real life.”

Making a multinational exercise successful so it can be properly applied in the real world includes coming up with realistic scenarios, as explained to this author by John Cope, a Senior Research Fellow at the Institute for National Strategic Studies at the National Defense University. He suggests that what’s needed are  “players (other than the US) had a major role in shaping the exercise scenario and the organization of the event so that the exercise emphasizes what they see as their needs rather than what the US/SOUTHCOM thinks are their needs, also the non-US players assume important positions in the structure of the exercise.”

A SOUTHCOM press release announcing the beginning of the exercises went over the two operational phases of TRADEWINDS 2015. But there is also a third phase, the “Key Leader Seminar,” designed to facilitate a discussion of the other phases and the way ahead. Ideally, a comprehensive report will be drafted regarding the lessons learned, as well as lessons that still need to be fully learned, from TRADEWINDS 2015. (In the interests of full-disclosure: in preparation for this commentary, I contacted SOUTHCOM for further information on the lessons learned aspect of TRADEWINDS 2015, but received no reply.)

Numerous military agencies, both U.S. and international, have published reports discussing how to properly adapt lessons learned from both exercises and operations. As the Establishing a Lessons Learned Program Handbook by the Center for Army Lessons Learned ponders, is a military organization “willing to openly discuss its mistakes, and is it willing to share those mistakes across organizational lines to make everyone better?” If not, it will be very difficult to implement an effective [Lessons Learned] program… The act of ‘saving face’ precludes individuals from admitting their mistakes.”

Hopefully phase 3 of TRADEWINDS 2015 included an open and honest discussion between representatives from the participating militaries, where there was not only praise for the event, but admitting, even if it was off the record, which areas they still need improving, in order to work in greater cohesion with the security forces of neighboring countries. Cope explains that, at least

A Coast Guard vessel from St. Kitts participates in a boarding exercise with a U.S. vessel. (Source: USCG Blog)
A Coast Guard vessel from St. Kitts participates in a boarding exercise with a U.S. vessel. (Source: USCG Blog)

regarding the Caribbean, a base for institutionalizing operational and tactical procedures and processes that worked during an exercise may already be standard across various regional states. “Where CARICOM countries are struggling to perfect common approaches is in standardizing procedures for strategic and operational planning and strategic/political decision making. Their comprehensive disaster management process and experience with the Cricket World Cup have helped Caribbean countries, but leaders continually change.”

A PR Campaign?

Part of the problem may be simply a lack of a consistent PR campaign by regional navies (and security forces in general) to highlight the effectiveness of exercises. In other words, if a narco-speedboat is detained in the Caribbean by units of the U.S. and Jamaican coast guard services, it would be helpful if a subsequent press release could tie the hypothetical successful operation with lessons learned from TRADEWINDS. Another initiative would be to invite high-ranking government officials as well as journalists and other experts to the exercises as they take place, as this would help showcase the level of cooperation militaries from different states can achieve. This would have the added benefit of serving as a prime example to support similar exercises in the future.

At a time of budget constraints and with SOUTHCOM being the lowest-priority command center in the U.S. military, said agency needs to better demonstrate to Washington that its activities, including multinational exercises, are beneficial for both U.S. and regional security.

Concluding Thoughts

This discussion is not meant to question the validity of TRADEWINDS specifically, but rather to address multinational military exercises in general. The U.S. conducts quite a number of these in the Western Hemisphere, such as UNITAS, PANAMAX, Continuing Promise, and Beyond the Horizon/New Horizons.

Multinational exercises are important but a strong link has yet to be made between a successful naval exercise (i.e. in which units from two nations operate together to stop a suspicious vessel in the Caribbean), and whether the lessons learned from said simulation were successfully applied in the real world. Given the ongoing amounts of drug trafficking that flow through Caribbean waters, putting these lessons learned to the test would not be difficult.

Ultimately, SOUTHCOM is not lacking in exercises to increase its relations with regional allies in the Greater Caribbean and rest of Latin America; but it seems that the agency could do with a better PR campaign to explain how effective these exercises are in the long run.

W. Alejandro Sanchez is a Senior Research Fellow at the Council on Hemispheric Affairs (COHA) where he focuses on geopolitics, military and cyber security issues in the Western Hemisphere. Follow him on Twitter: @W_Alex_Sanchez.

Damen’s Presence in the Latin American and Caribbean Market, Part 2

By W. Alejandro Sanchez

Selling To Everyone

The list of Damen’s current clients in the Western Hemisphere highlights one curious fact about this company: the Dutch company sells its equipment to both U.S. allies and foes alike. Certainly, Washington sees no fault in Damen’s decision to upgrade Mexico’s naval equipment. On the other hand, the U.S. government probably frowns at Damen equipping countries that Washington is at odds with, such as Venezuela (which was declared a national security threat by the White House this past March). Similarly, Damen’s shipyard in Cuba, a country that was on the U.S. State Department’s list of states that sponsor terrorism until this past May, is not considered a positive development in Washington.

Nevertheless, Damen has remained neutral in Western Hemisphere geopolitics, as it has dealt with any government willing to pay. This issue deserves further analysis by stating two obvious facts: the U.S. and the Netherlands have generally enjoyed good security relations over the past decades, and Damen is a privately-owned company, which means that the Dutch government has limited influence in the contracts and initiatives it chooses to carry out. With that said, it is bizarre that Damen chose to build a shipyard in a country that has been at odds with the U.S. for decades, and is also selling vessels to countries like Ecuador and Venezuela, which have become a thorn on Washington’s side for years (in the case of Caracas’ for a decade and a half). Certainly, Damen does not need to take into account U.S. foreign policy in its business decisions, but it is nevertheless important to keep in mind how the sale of military equipment can upset regional geopolitics, particularly if this equipment is sold to nations that have carried out aggressive foreign policies in recent years (i.e. Venezuela).

Damen is Important, But Not A Pillar

While Damen has made a name for itself in the Latin American and Caribbean market, the shipbuilding company has not fully cornered this market, as it still faces a number of competitors.

One of Damen’s major competitor is Navantia. The Spanish company has been trying to sell Peru its frigate F-538 model as well as attempting to sell Colombia (and Peru) its F-110 frigate. The company already has a strong presence in the region, best exemplified by a 2013 contract to upgrade the motor system of a Brazilian corvette, the “Julio de Noronha.” Government-to-government exchanges are also common as South Korea has donated one of its corvettes, the now-called “ARC Nariño,” to Colombia. The Donghae-class vessel served in the Republic of Korea Navy for 27 years before it was given to the South American state.

Navantia Warship. Source: Navyrecognition.com.
Navantia Warship. Source: Navyrecognition.com.

Finally, the know-how of Latin American military industries is improving. Case in point, the Peruvian shipyards Servicios Industriales de la Marina (SIMA) is currently constructing a new training vessel for the Peruvian Navy, the “BAP Union” – a project worth around $50-55 million USD. Moreover, with support from the Daewoo International Corporation and the Korea Trade-Investment Promotion Agency, SIMA is building a new multi-purpose vessel for its Navy.

These examples stress how competitive the shipbuilding industry is in Latin America. Not only are there several major companies trying to sell brand new warships, but governments are also donating surplus naval technology. Furthermore, regional shipyards are rapidly improving their knowledge when it comes to shipbuilding, as we now have modern shipyards in countries like Colombia, Ecuador, Mexico, Peru and Venezuela  that are constructing their own vessels.

In fact, countries like Ecuador, Mexico and Venezuela want Damen to construct some vessels in their own shipyards in order for local technicians to learn from Damen’s experts. Certainly, none of these facilities are in a position to build a ship as complex as a carrier, but they can now construct smaller vessels, like patrol boats or support ships.

What this means for a company like Damen is that while it will continue to enjoy new contracts for the immediate future, it will have to continue developing more modern and improved equipment that its Latin American and Caribbean clients cannot purchase, maybe at a better price, from other suppliers, or even construct themselves in the not-so distant future.

A Need for Stronger Naval Forces

As transnational crime over the Caribbean Sea and other maritime crimes, such as illegal fishing, continue throughout Latin America and the Caribbean, it has become a major priority for regional states to have modern and capable navies and coast guards in order to protect their exclusive economic zones.

Certainly, it can be argued that the current purchases of some naval technologies are generally unnecessary, given that the region has enjoyed inter-state peace for decades (the last inter-state war in the region was in 1995 between Peru and Ecuador, while the last conflict with naval warfare was the 1982 Falklands/Malvinas War between Argentina and the United Kingdom). Moreover, while transnational crime remains a persistent problem, Latin America has enjoyed cooperation at the inter-state level for two decades (the 2008 Colombia-Venezuela incident notwithstanding). Given this period of peace, some may argue that these defense dollars would be better spent in social programs, especially since many Latin American nations, including Damen-clients like Honduras, are very poor and underdeveloped.

Unfortunately, the reality is different. First, Latin American and Caribbean nations must have some capabilities for deterrence as inter-state tensions continue, such as between Peru and Chile or even the aforementioned 2008 incident between Colombia and Venezuela. Second, transnational drug trafficking remains a major problem from Mexico to Argentina, particularly throughout the Greater Caribbean waters as cocaine is transported from Colombia and Venezuela to the U.S. and Mexico markets. Just last May, the U.S. Coast Guard and the USS Kauffman (FFG 59) interdicted almost 1,800 kilograms of cocaine in the Eastern Pacific.

USS Kauffman. Source: Mark D. Faram/Staff.
USS Kauffman. Source: Mark D. Faram/Staff.

Hence, it is necessary for Latin American and Caribbean naval forces, including their coasts guards, to have fast and technologically advanced vessels for both internal and regional security – which in turn would diminish their dependence on U.S. security aid. In this sense, the involvement of companies like Damen and Navantia in the Western Hemisphere is a necessity (at least until regional states can build their own high-tech vessels).

Final Thoughts

In recent years the Dutch shipbuilding company Damen has made a name for itself as a provider of high-tech, fast vessels, from multipurpose boats to coast guard speedboats, for various Latin American and Caribbean states. Their clients include nations with small defense budgets like Honduras and Trinidad & Tobago, to major buyers like Mexico and Venezuela. Nevertheless, Damen has not cornered these region’s shipbuilding markets, as there are several other companies selling their products, such as the Spanish Navantia, in addition to regional states enjoying growing maritime defense industries.

Moreover, while Damen’s sales to the region have generally controversy-free, the incident over the overpriced vessels sold to Honduras highlights the potential for corruption, i.e. kickbacks, in countries renowned for lacking good governance. I have been unable to confirm if there were other similar discrepancies in Damen’s other contracts in the Western Hemisphere. Nevertheless, countries like Venezuela are known for their lack of transparency (case in point, the billions of petro-dollars spent by Caracas to purchase Russian military technology) while Mexico is infamous for its corrupt state-run oil company, PEMEX. Given these precedents, there are valid reasons for concern over Damen’s deals with its Latin American and Caribbean clients.

Ultimately, the question comes down to whether the region requires new vessels. Inter-state conflict may be scarce, but it remains a possibility given recent tensions between regional nations (i.e. Venezuela and Colombia, Peru and Chile or currently between Venezuela and Guyana). Thus, it is necessary for nations to maintain capable deterrent capabilities. Additionally, these states must have strong navies and coast guards to crack down on maritime crimes that range from illegal fishing to transnational drug trafficking.

In 2015, the waters along Latin American and Caribbean states are far from peaceful and Damen’s vessels, while not the cornerstone of regional navies, are an important addition to hemispheric maritime security.

Read Part One here.

W. Alejandro Sanchez is a Senior Research Fellow at the Council on Hemispheric Affairs (COHA) where he focuses on geopolitics, military and cyber security issues in the Western Hemisphere. His research interests include inter-state tensions, narco-insurgent movements and drug cartels, arms sales, the development of Latin American military industries, UN peacekeeping operations, as well as the rising use of drones (UAVs) for civilian and security uses in Latin America. Twitter: @W_Alex_Sanchez

Damen’s Presence in the Latin American and Caribbean Market, Part 1

By W. Alejandro Sanchez

Though shipbuilding is a competitive global industry, one company has become a major provider to the naval forces (coast guards included) of various Latin America and Caribbean states: Damen Shipyards Group. Damen is now a household name among Latin American and Caribbean navies as it provides multi-purpose vessels, patrol boats and speed boats. These sales have enhanced the capabilities of Damen’s clients as they face transnational threats.

While the defense budgets of Latin American and Caribbean states cannot be compared to those of the usual suspects (i.e. the U.S., Russia or China), a significant number of weapon deals have occurred in recent years between the Dutch-based company and these two regions.

Damen’s sale of technologically advanced vessels is a positive development for the region for a variety of reasons. Most notably, since Latin America and the Caribbean are enjoying a marked lack of inter-state conflict  (the last war between two regional states was in 1995), the region’s security forces are now focused largely on transnational crimes, particularly drug trafficking. Thus, it appears that Damen’s clientele will continue to grow for the immediate future as the company is looked upon as a reliable supplier of vessels necessary to combat criminal activities that occur at sea, particularly in the Greater Caribbean region.

Recent Sales

In order to discuss Damen’s effect on the shipbuilding industry and naval defense sector in Latin America and the Caribbean, a brief enumeration of confirmed deals and equipment delivery is necessary. This will also give us a clearer view of Damen’s clients.

  • The Caribbean

Damen has a number of clients in the Caribbean whose naval forces are more akin to coast guards rather than traditional navies. One good example is the Bahamas, which formalized a deal with Damen in 2014 for a variety of vessels, including four Stan Patrol 4207, four SPa 3007, and one roll-off ship Stand Lander 5612. The shipbuilding portion of this multi-faceted contract is valued at around $149 million.

The company has already delivered the four 4207 patrol boats. Moreover, this past January the Damen Gorinchen shipyard in the Netherlands received the hull for the Stan Patrol 3007. It is important for the 3007 to become operational soon as this vessel is urgently needed by Nassau to combat narcotics trafficking, a further example of how Damen technology is being utilized for positive security initiatives.

Another one of Damen’s clients in the Caribbean is Trinidad & Tobago. This past May, the government in Port-of-Spain ordered 12 new vessels for its coast guard, including four type Stan Patrol 5009, two Fast Crew Supply 5009 and six Interceptor speedboats. The deal is worth $189 million USD. In early June, the “TTS Point Lisas” (GC 23), one of the FCS ships, was delivered to the Caribbean government.

  • Latin America

When it comes to the mainland, several Latin American states are turning to Damen for naval equipment. For example, the Colombian Navy purchased one of Damen’s Swath-type vessels, which was constructed in Singapore.  Additionally, in 2014, Ecuador signed a deal with Damen to obtain two Stan Patrol 5009 for the country’s coast guard. The vessels are being constructed in Ecuador by the country’s shipyard, Astilleros Navales Ecuatorianos, under the oversight of Damen technicians. Additionally, Damen obtained a contract in early 2014 to construct a fourth Stan Patrol 2606 (the country already operates three),  which will also be built in Ecuador.

Additionally, Mexico and Venezuela have purchased various types of Damen’s vessels. Just this past January, the Mexican Navy received the Coast Guard vessel Tenochtitlan-class “ARM Mitla” (PC-334), which was constructed as a joint project between the shipyards of the Secretaria de Marina (the Mexican Navy) in Tamaulipas and Damen. The “Mitla” is based on the Stan Patrol 4207 model. This is the second of two vessels that Mexico and Damen are building together following a 2014 agreement. The other vessel is a supply variant of the Fast Crew Supplier 5009. Like the “Mitla,” it is also being constructed in Mexico’s Sonora state. These developments suggest that Damen has become an integral part of the country’s naval shipbuilding. Apart from the aforementioned vessels, SEMAR and Damen jointly constructed three other patrol vessels based on the 5009 model.

 Mexico’s new “ARM Mitla." Source: Cuartooscuro / Milenio.com.
Mexico’s new “ARM Mitla.” Source: Cuartooscuro / Milenio.com.

As for Venezuela, Caracas has ordered a number of new vessels for its Navy including a 2014 deal for 18 type Interceptor 1102 speedboats. The speedboats are being constructed in Cuba under the Havana-Caracas cooperation agreement. The first of these vessels arrived this past May and is currently undergoing testing. In addition, Damen has also constructed four support vessels for the South American nation based on the Stan Lander 5612 model. On February 2014, a new contract was signed for an additional eight vessels, a deal worth around $132 million USD. Finally, Venezuela’s military complex (UCOCAR) in Puerto Cabello is building five patrol boats based on the Stan Patrol 2606 model. The country’s navy already has one operational vessel based on that model, the “Pagalo” (PG-51).

Damen Interceptor 1102. Source: Damen.com.
Damen Interceptor 1102. Source: Damen.com.
  • Cuba’s Shipyards

It is important to note that Damen has a construction facility, Damex Shipbuilding & Engineering, in Cuba. The facilities, which were established in 1995, are located in the bay of Santiago de Cuba. Damen’s website explains that “the yard is equipped with one slipway provided with transverse parking facilities for new buildings and repairs and a lateral slipway for new buildings of up to 100 metres.” As previously noted, the shipyards have constructed vessels for Venezuela.

  • The Honduran Affair

It is important to stress that not all Damen deals have been scandal-free. This is best exemplified by a 2013 contract via which the government of Honduras purchased six Interceptor speedboats and two Stan Patrol 4207. The contract deal was reportedly worth almost $62 million. However in late 2013, the Honduran judiciary investigated it due to various irregularities, specifically the accusation that the vessels were overpriced  – according to the Honduran newspaper La Prensa, the vessels were overpriced by some $29 million. The newspaper argued that the Honduran Secretariats of Defense and Finance created a paper company called “Servicios Maritimos S.A.,” which was utilized by Florentius Antonious Florentius Kluck,  a Dutch citizen and honorary consul, as the intermediary for the sale.

In spite of these accusations, the deal ultimately went through, and the Honduran Navy has begun to receive the vessels. This is an important deal for Honduras since drug traffickers utilize the country’s coast for transporting illegal narcotics, and thus it is especially necessary for small Central American country to have vessels that can locate and seize the infamous narco-speedboats. Nevertheless, the details of the deal themselves are problematic, as the question its transparency and whether the Honduran government could have obtained similar vessels at a cheaper price. Even more, even though the Honduran judiciary never passed judgment on the  deal, scandals like the Honduran affair throw into question whether other contracts gained by Damen were due to shadowy middle men and nefarious deals.

Read Part 2 here.

W. Alejandro Sanchez is a Senior Research Fellow at the Council on Hemispheric Affairs (COHA) where he focuses on geopolitics, military and cyber security issues in the Western Hemisphere. His research interests include inter-state tensions, narco-insurgent movements and drug cartels, arms sales, the development of Latin American military industries, UN peacekeeping operations, as well as the rising use of drones (UAVs) for civilian and security uses in Latin America. Twitter: @W_Alex_Sanchez