U.S. Army Makes Significant Investment in HEMTT/PLS Recapitalization

by Dean Lockwood, Military Vehicles Analyst, Forecast International.

HEMTT-A3. Source: Oshkosh Defense

HEMTT-A3. Source: Oshkosh Defense

The U.S. Army continues to bolster its logistic support capability with a series of recent contracts let to truck manufacturer Oshkosh Defense. In late March 2016, the U.S. Army awarded Oshkosh Defense three contracts, with a combined value in excess of $433.3 million, for the recapitalization of at least 991 Heavy Expanded Mobility Tactical Trucks and Palletized Load System vehicles and 345 PLS trailers. Continue reading

GAO Denies Amphibious Combat Vehicle Protest

by Shaun McDougall, Military Markets AnalystForecast International.

BAE Systems ACV 1.1 - Source: BAE Systems

BAE Systems ACV 1.1 – Source: BAE Systems

The U.S. Government Accountability Office has denied General Dynamics Land Systems’ protest of contract awards to BAE Systems and SAIC for the Marine Corps’ Amphibious Combat Vehicle program.  The companies were awarded contracts in November 2015, and General Dynamics filed a protest in December.  Advanced Defense Vehicle Systems (ADVS) and Lockheed Martin were also in the running for the program.    Continue reading

Despite Tank Glut, Market Remains Lucrative for Players with Successful Programs

By Dean Lockwood, Military Vehicles Analyst, Forecast International.

 M1A1 Abrams battle tank. Photographer: Cpl Tyler L. Main/MCT via Getty Images

M1A1 Abrams.  Photographer: Cpl Tyler L. Main/MCT via Getty Images

Second only to the infantryman in terms of combat effectiveness, the “mailed fist” of heavy armor remains a highly adaptable force multiplier on the modern battlefield. Forecast International Weapons Group’s “The Market for Tanks” report projects that more than 3,800 main battle tanks, worth over $17.2 billion, will be produced through 2025. According to the report, high-end tanks will account for 24.1 percent of all new production, worth 43 percent of the market, during the next 10 years.

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Iran Considering Domestic Manufacture of T-90S Tank

By Derek Bisaccio, Military Markets Analyst, Forecast International.

T-90S main battle tank, the export version of the Russian T-90. Source: Rosoboronexport

With sanctions on Iran coming to a close thanks to the agreement between Tehran and the “P5+1” countries, international businesses are lining up to enter the Iranian market. President Hassan Rouhani’s recent visit to Europe – where he reached a number of high-profile agreements, including an order for 118 Airbus jetliners[i] – has been the subject of much fanfare, but Tehran is also seeking to build up its military capabilities. Continue reading

KANT Can. KMW/Nexter Merger Complete

by Richard Pettibone, Aerospace & Defense Companies Analyst, Forecast International.

Leopard 2A6. Source - KMW

Leopard 2A6. Source – KMW

Finally, after years of discussion, Krauss-Maffei Wegmann and Nexter have merged.  The newly merged firm is now based in Amsterdam, with each partner holding a 50 percent stake in the umbrella company, KANT (KMW And Nexter Together). KANT is co-owned by the French government through Giat Industries and Germany’s Wegmann Group, which is controlled by the Bode family. Continue reading

Will Saudi Executions Affect LAV Purchase?

By Derek Bisaccio, Middle East Analyst, Forecast International.

Canadian LAV IIIs on Patrol in Afghanistan. Source: Canadian Forces

Canadian LAV IIIs on Patrol in Afghanistan. Source: Canadian Forces

On January 2, Saudi Arabia carried out the execution of 47 people on terrorism charges. Among those executed was Shia cleric Nimr al-Nimr, a prominent figure in anti-government protests. Al-Nimr was convicted in October 2014 for sedition and illegal possession of weapons. He denied having advocated for violence and rejected that he had any weapons, but even so, a Saudi court upheld his death sentence. Continue reading

Baby Steps: Indian Defense Ministry Moving Forward on 155mm/52-cal Self-Propelled Howitzer Requirement

by Daniel Darling, Military Markets Analyst, Forecast International.

K-9 Vajra howitzer

K-9 Vajra howitzer

The Indian Defense Ministry has awarded the partnership of local engineering prime Larsen & Toubro (L&T) and South Korea’s Samsung Techwin with a contract worth $750 million (INR48.71 billion) for 100 K-9 Vajra howitzers. The K-9 consists of a 155mm, 52-caliber howitzer mounted on a tracked vehicle, providing it with the necessary mobility to maintain pace with the Indian Army Mechanized Strike Corps’ T-90S tanks. Continue reading

Oshkosh Defense Decline Reverses with JLTV Win

by Dean Lockwood, Senior Weapons Systems Analyst, Forecast International.

Oshkosh's Light Combat Tactical All-Terrain Vehicle (L-ATV). Source: Oshkosh

Oshkosh Defense’s Joint Light Tactical Vehicle. Source: Oshkosh

On August 25, 2015, the U.S. Army awarded Oshkosh Defense a $114.7 million contract for low-rate initial production and full-rate production of the Joint Light Tactical Vehicle. The U.S. Department of Defense currently maintains a revised procurement objective of 54,599 JLTVs – 49,099 for the Army and 5,500 for the Marine Corps. The Government Accountability Office estimates that the DoD will spend more than $53.3 billion on the JLTV program – $1.082 billion for RDT&E and at least $52.3 billion for procurement. The Army expects the JLTV to achieve Initial Operational Capability in 2019. Continue reading

Nexter and Krauss-Maffei to Create European Land Systems Giant

By Richard Pettibone, Aerospace & Defense Companies Analyst, Forecast International.

Leopard 2A6E

KMW Leopard 2A6E

It was a long time coming, but the Holy Grail of defense industry consolidation between France and Germany is about to be realized. As budget austerity grips Europe, Krauss-Maffei Wegmann and Nexter have finally – after years of on-again, off-again discussion – signed an agreement on a merger plan. Continue reading

Paris Air Show Promises to be Biggest Ever, and Heralds a Return of the U.S. Military

By Ray Jaworowski, Senior Aerospace Analyst, Forecast International.

bi_d_m-300x215The Paris Air Show is the world’s largest aerospace trade show, and organizers say that the 2015 event will host 2,260 exhibitors from 47 countries, surpassing the record 2,215 exhibitors hosted in 2013.

One of the highlights of the 2015 exhibition will be the return of the U.S. military, which skipped the 2013 Paris show due to sequestration-related budgetary issues.  A large static display of several U.S. military aircraft and rotorcraft is planned for the 2015 show, including a possible last hurrah at Paris for the A-10 close air support aircraft, which the U.S. Air Force has been trying to retire against the wishes of Congress.  One notable absence will be the F-35 Joint Strike Fighter, which is not scheduled to make the trip to Paris.  None of the U.S. military aircraft are slated to perform in the show’s daily flying display. Continue reading