SINGAPORE, May 29 (Reuters) - Boeing Co, the Pentagon's No.2 defense supplier, sees growing demand from the Asia-Pacific for everything from fighter planes to submarines as the region looks to protect its trade and territory.
"We have seen demand for tactical aircraft, for helicopters, for airborne early warning control and also for command and control systems," Jim Albaugh, head of Boeing's Integrated Defence Systems, told reporters in Singapore ahead of a meeting of Asian defence ministers.
"I think a lot of countries in Asia, in a threat environment that they live in and the economy that they now enjoy, are going to be doing more to protect their trade routes and their borders. Those markets are expanding," he said.
Australia this month released a blueprint for a $72 billion military upgrade, including 12 new submarines, and has sought to reassure China that its plans were not aimed at Beijing, as some experts worry about an arms race in the region.
Boeing's defence chief said international sales made up about 16 percent of its $34 billion annual revenue and over the next five years that could rise to at least 20 percent.
"Look at defence spending and where we see the growth coming over the next decade or two is in Asia and the Middle East," Albaugh said.
AUSTRALIAN DEFENCE UPGRADE
Defense suppliers may be looking to do deals on the sidelines of Singapore's Shangri-La Dialogue, an annual meeting of defence ministers and military top brass.
"We are actively in discussion with the Australians about how they might participate in the U.S. submarine programme. We are spending time talking to a lot of customers in this part of the world on how they can leverage investment by the U.S. navy," Albaugh said.
Australia plans to double its attack submarine fleet and buy warships capable of carrying ballistic missile shields in a $72 billion military updgrade over the next two decades.
U.S. Defence Secretary Robert Gates arrived on Friday in Singapore and will meet defence ministers from Japan and South Korea on Saturday, with North Korea's series of provocative moves this week, including a nuclear weapon's test, topping the agenda.
The South Korean and U.S. militaries have been put on heightened alert since North Korea declared the truce ending the 1950-53 Korean War to be dead and threatened to attack the south.
South Korea said on Friday the North may be preparing more aggressive moves after Chinese fishing boats were spotted leaving a disputed sea border dividing the peninsula. (Reporting by Nopporn Wong-Anan, writing by Neil Chatterjee; Editing by Bill Tarrant)