Industry jittery about defense exports.

• Author: Erwin, Sandra I.
• Position: Defense Watch

It could have been a quick and easy deal. India's navy last fall agreed to buy 22 maritime surveillance drones from U.S. manufacturer General Atomics.

The deal was seen as a sign that the budding security alliance that the Obama administration had been nurturing for years with the government of India was poised to benefit U.S. defense industry sales.

The sale, still under review by the U.S. government, is some-what more complicated because long-range unmanned aircraft --even those that are sold without weapons--are tightly controlled as they could be used as cruise missiles. Regardless, this sale should have been approved by now, says David Melcher, president and CEO of the Aerospace Industries Association.

"The Obama administration ran out of time and energy," Melcher said in a webinar. "These are the kinds of cases the Trump administration should be trying to resolve quickly."

Aerospace and defense generated the largest trade surplus of any sector last year, he said. Even though the Trump administration has made growing the economy and creating jobs top priorities, Melcher worries U.S. defense firms are going to see their dominance erode unless the government steps up to help.

"We could do so much more when it comes to defense exports," he said. "When we sell these systems overseas--and especially the parts and components to keep them running year after year--we're helping to sustain and bolster ties with partners."

So far in fiscal year 2017, the Pentagon has notified Congress of foreign military weapon requests worth $45 billion, and sales could top $60 billion for the year.

The numbers are impressive, so why the angst?

Melcher said the data show that U.S. companies moving forward are in danger of losing ground to other competitors. Several U.S. weapon systems are behind schedule because of budget cuts, causing delays in deliveries. And once a sale is made, the red tape can hold up deals for months or years. "Our competitors have considerable economic and political support for their sales campaigns," he said. "They are eager to fill the gap when U.S. systems are hung up by slow deliveries or the approval process."

The Obama administration did simplify the licensing process and was aggressive in championing U.S. systems overseas, but the industry is hoping for more assistance from the current president.

Melcher has proposed the creation of a "national security cooperation strategy" to boost defense exports. From Trump's perspective, this...