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German arms manufacturer plans to sue government over suspended export licenses to Saudi Arabia

Author: Caroline Copley and Thorsten Severin, Reuters, Published on: 21 January 2019

"Rheinmetall plans to sue Germany over Saudi arms embargo: Spiegel", 20 January 2019

German weapons maker Rheinmetall plans to sue the government over its decision to stop all arms exports to Saudi Arabia after the killing of journalist Jamal Khashoggi, Spiegel Online reported on Sunday... Berlin suspended approval of future export licenses to Saudi Arabia in October and in November said it had worked with industry to halt shipments of arms sales that were already approved. No specific timetable was given at the time, but industry sources told Reuters an agreement had been struck to revisit the matter by mid-January. Last week the economy ministry said the government still had no intention of approving arms exports to Saudi Arabia... The company’s management fears shareholders could sue Rheinmetall if the company does not demand compensation for the losses, Spiegel added... Spiegel said goods worth up to 2 billion euros ($2.3 billion) are affected by the export suspension, including four Cobra radar systems built by a consortium that includes France’s Thales, Airbus and Lockheed Martin of the United States...

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Related companies: Rheinmetall