HX Fighter Programme: Requests for Quotation
On 27 April 2018, the Finnish Defence Forces' Logistics Command sent a Request for Quotation (RFQ) concerning the HX Fighter Programme to the governments of the United Kingdom, France, Sweden and the United States to be forwarded to the five companies who responded to the requests for information.
They were requested to give a quotation on the following aircraft: Boeing F/A-18 Super Hornet (United States), Dassault Rafale (France), Eurofighter Typhoon (United Kingdom), Lockheed Martin F-35 (United States) and Saab Gripen (Sweden).
The Finnish Government’s Defence Policy Report and a number of Finnish defence administration plans set out the guidelines for the RFQ. The Government’s Ministerial Committee on Economic Policy endorsed the Programme, and the former Minister of Defence Jussi Niinistö authorised the Finnish Defence Forces' Logistics Command to submit the RFQ.
Scope of procurement
The aim of the HX Fighter Programme is to replace the operational capability of the Finnish Air Force’s Hornet fleet that is to be phased out as from 2025. The Programme is tasked to define, on the basis of the available resources, the best possible military capability and bring the maximum added value to the entire defence system.
The desired capability was defined, and based on this an entire procurement package was negotiated and built around each multi-role fighter option. The package contains 64 aircraft along with the technical systems, training systems, maintenance tools, testing equipment and spare parts as well as weapons, sensors and other type-specific support functions.
To reduce the risk involved in the integration of different systems, the tenderers were requested to provide comprehensive solutions meeting the operational requirements. Each tenderer was responsible, together with its government, for the complete package including effective weapons, sensors and special systems, system integration and mission support systems.
Decision-making considerations
The Decision-making model and Evaluation was based on the following decision-making areas: Military Capability, Security of Supply, Industrial Participation, Affordability, and Security and Defence policy assessment.
The procurement will have an impact on the Finnish Defence Forces’ operations and on the Finnish Air Force’s combat capability until 2060. The selected system will offer the best capabilities, supporting elements and capacity for further development for the entire life cycle.
The military capability assessment was made using five scenarios: Counter-Air, Counter-Land, Counter-Sea, Intelligence, Surveillance and Reconnaissance (ISR) and Long-Range Strike. The candidates’ capability to adapt to the Air Force’s agile combat support at different types of operating bases in dispersed locations was also assessed.
The tenderer were requested to provide an industrial cooperation and in-country security of supply solution to enable wartime operations. The operating and maintenance costs of the selected system will be covered with the defence budget.
Military Capability was the only decision-making area where the candidates were compared. The other areas were assessed as pass/fail.
Defence and security policy were assessed separately.
Procurement procedure and schedule
In the RFQ phase, the tenderers provided binding information on the solutions, which were assessed by the HX Fighter Programme. The procurement procedure was divided into several phases. The RFQ started the first phase of negotiations, during which the preliminary candidate-specific procurement packages were determined. The next phase was commenced in the second half of 2019. During that phase, the final contents of the procurement packages were negotiated and determined with each tenderer. The final quotations were requested in 2020, at the end of the second negotiating phase. The Finnish Government made the procurement decision on the 10 December 2021.
The HX Fighter Programme aimed to negotiate the best possible solution with each tenderer.
Industrial participation
The former Minister of Defence Jussi Niinistö decided on an industrial participation obligation for the HX Fighter Programme: The HX Programme included an obligation to the tenderers for industrial participation at a minimum of 30 per cent of the total contract value. This was sufficient to ensure the domestic industry’s significant involvement, ensure sufficient security of supply and reinforce Finland’s defence technological and industrial foundations.