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 Germany Cancels Major Arms Deal with Russia

Germany has walked away from a major arms deal with Russia because of the ongoing Ukraine crisis. The deal was already in question following the annexation of Crimea.

The daily Süddeutsche Zeitung newspaper reported on Monday that the German government had canceled a deal to provide Russian forces with a fully-equipped combat training camp, Censor.NET reports, citing Deutsche Welle.

Read also: Military Equipment from Russia Entered the Luhansk Region at Night - Acting Governor

The newspaper said the Economy ministry revoked permission for the camp to be built, granted by Germany's previous coalition government to Dusseldorf-based defense company Rheinmetall. It claimed to have seen a "written document" that includes the decision to scrap the project, worth some 100 million euros ($134 million).

Vice Chancellor and Economic Affairs Minister Sigmar Gabriel already put the deal on hold in March in response to Russia's annexation of Crimea. At the time, the federal government described such a potential export as unacceptable "in the current situation."

Read also: Russia Ripped Up Rulebook. NATO Should Discuss New Actions Against Russian Aggression - Cameron

Russia, though, accused Germany of acting under pressure from the United States and called March's decision "unconstructive."

German media says the military training camp would train up to 30,000 soldiers per year, using sophisticated simulation tools.

The report comes almost a week after the sanctions against Russia were imposed by the EU and the US - targeting its energy, defense and finance industries - in hopes the harsher measures would force Moscow to reduce its support for rebels fighting in eastern Ukraine.

 
 
 
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