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Tuesday, February 08, 2011

Russian shipbuilders, military in conflict over Mistral deal

Mistral-class Amphibious assault ship (FS Tonnerre)Russia's United Shipbuilding Corporation (USC) has been taken out of the contractual talks with France on the purchase of Mistral class amphibious assault ships, a Russian business daily said Tuesday.

The Kommersant newspaper cited anonymous defense industry sources as saying state-run arms exporter Rosoboronexport will represent Russia in direct talks with France's DCNS from now on.

Kommersant speculates that the removal of the USC from the talks could be the result of the company's aspirations to acquire a status of an "independent dealer" on the lucrative arms exports market.

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