Monday, June 9, 2014

France Defies Allies on Sale of Warships to Russia

France is preparing to train hundreds of Russian seamen to operate a powerful French-made warship this month, defying calls from the U.S. and other Western allies to keep the vessel out of the Kremlin's hands, people familiar with the matter say.
More than 400 Russian sailors are scheduled to arrive on June 22 in the French Atlantic port of Saint-Nazaire to undergo months of instruction before piloting the first of two Mistral-class carriers back to Russia in the fall, said one of these people. 
The training is a pivotal step that deepens France's commitment to fulfilling the $1.6 billion contract to supply Russia with the carriers, which are built to launch amphibious attacks.
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The U.S. and other allies have called on the government of President François Hollande to cancel the contract, arguing the ships will significantly enhance Russian naval power at a time when the Ukraine crisis has raised tensions with the Kremlin to their highest levels since the Cold War. 
The contract loomed large as President Barack Obama convened a Group of Seven summit in Brussels—a forum intended to exclude Russian President Vladimir Putin from the table of world leaders.
French officials say Mr. Hollande is expected to discuss the contract with Mr. Obama when the leaders meet for dinner in Paris on Thursday, the eve of D-Day commemorations on Normandy's beaches. The French leader has also scheduled a second—and separate—dinner that evening with Mr. Putin. 
Franco-U.S. tensions are already on the menu: Mr. Hollande on Wednesday expressed outrage over the U.S. investigation into BNP Paribas SA, which is potentially facing fines of over $10 billion for breach of U.S. sanctions.
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