WEST-EUROPEAN DEFENSE INDUSTRIAL ISSUES FOR THE 1990S

The article first notes the pressure on defence industries in the 1990 s resulting from reduced defence spending in Western Europe, before go ing on to analyse the strategic responses open to companies, including the range of ways they can develop a more international nature. There is brief consideration of the problems for companies of moving away f rom defence production before issues are raised by defence companies f or European governments. These include the extent to which defence ind ustrial considerations should play a part in future defence policies, especially as they involve some provision for the reconstitution of de fence capabilities. The US debate on this issue is analysed and the ab sence of such a debate in Western Europe noted. Whatever policy West E uropean states adopt towards their defence industrial sectors is likel y to involve the European Community, and the final section of the piec e outlines the current and potential involvement of the Commission in defence industrial issues.