Philippines, Russia discussing P12.7-billion chopper deal termination —DND

The Philippines and Russia have started discussing the details regarding the termination of their P12.7-billion helicopter deal, the Department of National Defense said (DND) on Wednesday.

In a media interview, DND spokesperson Arsenio Andolong said that the PhilippineS already sent a notice for the deal's termination, but that the matter is not yet settled.

“Nagsimula na yung exchange of letters saka communication between the DND saka Sovtechnoexport, kaya lang hindi ko alam pa kung ano ang tinatakbo ng usapan kasi matagal 'yung usapan,” he said.

(The exchange of letters and communication between the DND and Sovtechnoexport already started but I don’t know yet what has been discussed because the discussion is long.)

“…Naghihintay na lang ng mga reply ng isa't isa kaya yun ang status ngayon [We are just waiting for the other's replies, so that's the current status],” he added.

Andolong said that discussion would determine the “shape” of the termination.

The DND in August said it is canceling its procurement of 16 Mi-17 helicopters worth P12.797 billion from Moscow due to “changes in priorities necessitated by global political developments.”

Russia attacked Ukraine in February, an ongoing invasion that has led to economic sanctions placed against the former by Western powers.

Because the Philippines already paid a P1.9-billion down payment for the contract, Andolong said the government would work on the refund.

Former Defense Secretary Delfin Lorenzana has said that the Philippines could face sanctions from the United States because of the deal.

The United States is set to extend $100 million in foreign military financing to the Philippines following the government’s cancellation of the chopper with Russia.

US Ambassador MaryKay Loss Carlson thanked the Philippines for its decision.

“We're very grateful to the government of the Philippines for making the decision, especially in the wake of Russia's illegal attack of the unprovoked war in Ukraine, to cancel the helicopter deal,” Carlson said.

Ambassador to the US Jose Manuel Romualdez earlier said that the Philippines may consider replacing the canceled order for helicopters with an order for weapons. He also said that the Philippines is looking into acquiring heavy-lift Chinook helicopters from the US instead.

Carlson said the DND may use the $100 million financing to offset the down payment costs.

On Wednesday, Russia's envoy to Manila said the Philippine government should honor the military helicopter contract.

Ambassador Marat Pavlov lamented the decision of the Philippine government and added that Russia has not received a formal notice of cancellation.

"We are ready to fulfill all our obligations as a reliable partner of the Philippine side in the field of technical military cooperation and we consider that it will also be done by the Philippines," Pavlov said. — BM, GMA News