The Defence Ministry has extended the deadline for the US and Sweden to make their final proposals as they compete to sell the air force a new squadron of jet fighters, until next Tuesday.
Defence Minister Sutin Klungsang on Tuesday gave an update on the progress of selecting new combat planes for the air force, to replace ageing aircraft due for decommissioning, and submarines for the navy.
The US is offering an upgraded block model of its F-16, and Sweden the latest version of its Gripen fighter. Older versions of both planes are already in service with the Royal Thai Air Force.
Mr Sutin said the deadline was put back until next Tuesday so the US and Swedish governments could submit additional proposals, particularly regarding offset policies relating to economic compensation.
The ministry believed extending the deadline might bring new offers as the two rivals compete for business.
“I learnt that both the US and Sweden are preparing to submit new offers, which means Thailand would have the opportunity to pick the offer that most benefits us,”
Mr Sutin also said a decision would be made soon on the engine for the submarine being built in China. He expected to be able to present it to Prime Minister Srettha Thavisin for discussion by the cabinet by mid-September.
Everything would move forward if the Cabinet approved the changes to the contract, including adjustments to the timeline and engine specifications. China would continue building the submarines, under the agreement, he said, and payments would be made as scheduled.
Mr Sutin said previous concerns had been resolved after discussions with the secretary-general of the Council of State, Pakorn Nilprapunt, who was of the opinion the project could proceed.
Regarding the submarine engine change, Mr Sutin said there should be no future issues. However, the money spent and the work completed to date would be reviewed to ensure everything was as reported.
Asked if the procurement would continue if Mr Srettha were removed from office by the court, Mr Sutin said the process would have to start afresh.
The original specification called for the installation of a German-made diesel-electric engine, but Germany refused to sell it to China. China proposed installing a largely untried alternative.
They reportedly <a href="https://www.bangkokpost.com/thailand/general/2794212" target="_blank">reached an agreement </a> in May.