[Federal Register Volume 83, Number 11 (Wednesday, January 17, 2018)]
[Notices]
[Pages 2433-2436]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-00670]


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DEPARTMENT OF DEFENSE

Office of the Secretary

[Transmittal No. 17-63]


Arms Sales Notification

AGENCY: Defense Security Cooperation Agency, Department of Defense.

ACTION: Arms sales notice.

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SUMMARY: The Department of Defense is publishing the unclassified text 
of an arms sales notification.

FOR FURTHER INFORMATION CONTACT: Pamela Young, (703) 697-9107, 
[email protected] or Kathy Valadez, (703) 697-9217, 
[email protected]; DSCA/DSA-RAN.

SUPPLEMENTARY INFORMATION: This 36(b)(1) arms sales notification is 
published to fulfill the requirements of section 155 of Public Law 104-
164 dated July 21, 1996. The following is a copy of a letter to the 
Speaker of the House of Representatives, Transmittal 17-63 with 
attached Policy Justification and Sensitivity of Technology.

    Dated: January 11, 2018.
Aaron Siegel,
Alternate OSD Federal Register Liaison Officer, Department of Defense.
BILLING CODE 5001-06-P

[[Page 2434]]

[GRAPHIC] [TIFF OMITTED] TN17JA18.001

BILLING CODE 5001-06-C
Transmittal No. 17-63
Notice of Proposed Issuance of Letter of Offer Pursuant to Section 
36(b)(1) of the Arms Export Control Act, as amended
    (i) Prospective Purchaser: The Government of Mexico
    (ii) Total Estimated Value:

Major Defense Equipment *................  $55.0 million
Other....................................  $43.4 million
                                          ------------------------------
    Total................................  $98.4 million
 

    (iii) Description and Quantity or Quantities of Articles or 
Services under Consideration for Purchase:
    Major Defense Equipment (MDE):

Six (6) RGM-84L Harpoon Block II Surface Launched Missiles
Twenty-three (23) Block II Rolling Airframe Missile (RAM) Tactical 
Missiles
Six (6) MK 54 Mod 0 Lightweight Torpedoes


[[Page 2435]]


    Non-MDE includes:
    Also included are eight (8) MK 825 Mod 0 RAM Guided Missile Round 
Packs (GMRP) tri-pack shipping and storage containers; RAM Block 2 MK 
44 Mod 4 Guided Missile Round Pack (GMRP); two (2) MK 32 Surface Vessel 
Torpedo Tubes (SVTT) triple tube launchers; two hundred and fifty (250) 
rounds of AA98 25 mm high explosive and semi-armor piercing ammunition; 
seven hundred and fifty (750) rounds A976 25mm target practice and 
tracer ammunition; four hundred and eighty (480) rounds of BA22 57mm 
high explosive programmable fuze ammunition; nine hundred and sixty 
(960) rounds of BA23 57mm practice ammunition; containers; spare and 
repair parts; support and test equipment; publications and technical 
documentation; personnel training and training equipment; U.S. 
Government and contractor representatives' technical assistance; 
engineering and logistics support services; installation services; 
associated electronics and hardware to control the launch of torpedoes; 
and other related elements of logistics and program support.
    (iv) Military Department: Navy
    (v) Prior Related Cases, if any: None
    (vi) Sales Commission, Fee, etc., Paid, Offered, or Agreed to be 
Paid: None
    (vii) Sensitivity of Technology Contained in the Defense Article or 
Defense Services Proposed to be Sold: See Attached Annex
    (viii) Date Report Delivered to Congress: January 5, 2018
    *As defined in Section 47(6) of the Arms Export Control Act.

POLICY JUSTIFICATION

Government of Mexico--Harpoon Block II Missiles, RAM Missiles and MK 54 
Torpedoes

    The Government of Mexico has requested to buy six (6) RGM-84L 
Harpoon Block II surface launched missiles, twenty-three (23) Block II 
Rolling Airframe Missile (RAM) tactical missiles and six (6) MK 54 Mod 
0 lightweight torpedoes. Also included are eight (8) MK 825 Mod 0 RAM 
Guided Missile Round Packs (GMRP) tri-pack shipping and storage 
containers; RAM Block 2 MK 44 Mod 4 Guided Missile Round Pack (GMRP); 
two (2) MK 32 Surface Vessel Torpedo Tubes (SVTT) triple tube 
launchers; two hundred and fifty (250) rounds of AA98 25 mm high 
explosive and semi-armor piercing ammunition; seven hundred and fifty 
(750) rounds A976 25mm target practice and tracer ammunition; four 
hundred and eighty (480) rounds of BA22 57mm high explosive 
programmable fuze ammunition; nine hundred and sixty (960) rounds of 
BA23 57mm practice ammunition; containers; spare and repair parts; 
support and test equipment; publications and technical documentation; 
personnel training and training equipment; U.S. Government and 
contractor representatives' technical assistance; engineering and 
logistics support services; installation services; associated 
electronics and hardware to control the launch of torpedoes; and other 
related elements of logistics and program support. The estimated cost 
is $98.4 million.
    This proposed sale will support the foreign policy and national 
security of the United States by helping to improve the security of a 
strategic partner. Mexico has been a strong partner in combating 
organized crime and drug trafficking organizations. The sale of these 
ship-based systems to Mexico will significantly increase and strengthen 
its maritime capabilities. Mexico intends to use these defense articles 
and services to modernize its armed forces and expand its existing 
naval and maritime support of national security requirements and in its 
efforts to combat criminal organizations.
    Mexico intends to use the weapon systems on its Mexican Navy Sigma 
10514 Class ship. The systems will provide enhanced capabilities in 
effective defense of critical sea lanes. The proposed sale of these 
systems and support will increase the Mexican Navy's maritime 
partnership potential and align its capabilities with existing regional 
navies. Mexico has not purchased these systems previously. Mexico will 
have no difficulty absorbing this equipment into its armed forces.
    The proposed sale of this equipment will not alter the basic 
military balance in the region.
    The equipment will be provided from U.S. stocks. There are no known 
offset agreements proposed in connection with this potential sale.
    Implementation of this proposed sale will require annual trips to 
Mexico involving U.S. Government personnel and contractor 
representatives for technical reviews, support, and oversight for 
approximately two years.
    There will be no adverse impact on U.S. defense readiness as a 
result of this proposed sale.
Transmittal No. 17-63
Notice of Proposed Issuance of Letter of Offer Pursuant to Section 
36(b)(1) of the Arms Export Control Act
Annex
Item No. vii
    (vii) Sensitivity of Technology:
    1. The MK 32 SVTT system is UNCLASSIFIED, but the system has one 
classified firmware card that controls launches. The system is 
currently in service in the U.S. Navy and in various other foreign 
nations that utilize shipboard launched torpedoes. The firmware card is 
essential to the ability of the system to successfully launch torpedoes 
when directed by the shipboard command and control system.
    2. The RGM-84L Harpoon Surface Launched Block II missile system, to 
include publications, documentation, operations, supply, maintenance, 
and training to be conveyed with this proposed sale have the highest 
classification level of CONFIDENTIAL. The Harpoon Block II missile is a 
non-nuclear tactical weapon system currently in service in the U.S. 
Navy and in 29 other foreign nations. It provides a day, night, and 
adverse weather, standoff surface-to-surface capability and is an 
effective Anti-Surface Warfare missile. The RGM-84L incorporates 
components, software, and technical design information that are 
considered SENSITIVE.
    3. The following components being conveyed by the proposed sale are 
considered sensitive and are classified CONFIDENTIAL:

a. The Radar Seeker
b. The GPS/INS System
c. Operational Flight Program Software
d. Missile operational characteristics and performance data

    These elements are essential for the Harpoon Block II missile to 
selectively engage hostile targets under a wide range of operational, 
tactical and environmental conditions. The version being sold to Mexico 
is not the Coastal Target Suppression land attack missile version.
    4. MK 54 All-Up-Round Lightweight (Warshot) torpedoes and 
associated support equipment, training, test equipment, and technical 
support; Recoverable Exercise Torpedoes (REXTORPs); and Exercise 
Torpedoes (EXTORPs) are associated with this sale. The MK 54 
Lightweight Torpedo (LWT) can be launched from surface ships, 
helicopters, and fixed wing aircraft. The MK 54 LWT is an upgrade to 
the MK 46 Torpedo. The MK 54 LWT contains new sonar, guidance and 
control systems with modern technology. The new guidance and control 
system uses a mixture of commercial-off-the-shelf and custom-built 
electronics. The warhead, fuel tank, and propulsion system from the MK 
46 torpedo are re-used in the MK 54 configuration with minor 
modifications. The MK 54 is highly

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effective against modern diesel and nuclear submarines. It has advanced 
logic that allows it to detect and prosecute threat submarines 
operating in challenging littoral environments. It is also effective in 
the presence of advanced countermeasures that may be deployed by threat 
submarines. The assembled MK 54 torpedo and several of its individual 
components are classified CONFIDENTIAL. The MK 54 operational software 
is classified as SECRET as is any hardware upon which the software has 
been installed. Mexico has not requested nor will it be provided the 
source code for the MK 54 operational software. The MK 54 has a feature 
referred to as ``Memory Scuttle'' that erases the operational software 
at the conclusion of any exercise firing so that the software will not 
be compromised if the torpedo is not recovered after the exercise 
firing. Possession of MK 54 Torpedoes and associated equipment should 
not lead to any vulnerability disclosures.
    5. If a technologically advanced adversary were to obtain knowledge 
of the specific hardware and software elements, the information could 
be used to develop countermeasures or equivalent systems which might 
reduce weapon system effectiveness or be used in the development of a 
system with similar or advanced capabilities.
    6. A determination has been made that the Government of Mexico can 
provide substantially the same degree of protection for the sensitive 
technology being released as the U.S. Government. This proposed sale is 
necessary to the furtherance of the U.S. foreign policy and national 
security objectives outlined in the Policy Justification.
    7. All defense articles and services listed in this transmittal are 
authorized for release and export to the Government of Mexico.

[FR Doc. 2018-00670 Filed 1-16-18; 8:45 am]
 BILLING CODE 5001-06-P