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Michigan looks to avoid defense R&D cuts

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Michigan’s $385-billion defense contracting industry — the 10th-largest in the country — likely will be spared a direct hit when the newly formed Joint Selection Committee on Deficit Reduction begins targeting potential cuts in the federal budget in September, said key federal lawmakers.

Cuts will come first to U.S. bases abroad, said U.S. Sen. Carl Levin, D-Mich., who chairs the Senate Armed Services Committee. The last to be cut will be research and development of weapons and other equipment aimed at the post-Afghan war military. And R&D is one of the biggest items Michigan sells to the defense industry, especially with the Army’s key research and development arms located here.

“The focus is going to be on a new ground combat vehicle with new technologies on it, and that’s where our great strength is,” Levin said.

Defense, homeland security and related businesses comprise one of the few growth areas in Michigan’s economy.

“There’s always going to be a percent of the budget spent on defense and homeland security,” said U.S. Rep. Candice Miller, a Harrison Township Republican. “It’s not as though border security is going to go away. If anything, we are going to continue to ratchet it up.”

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