Under the contract, BAE has included exercises in the agreement to the US Marine Corps, which include $145.3m for more than 25 ACV-P vehicles and $111.5m for more than 14 ACV-C.
Vice president of amphibious programs at BAE Systems Garrett Lacaillade said: “The ACV is an extremely versatile platform that continues our commitment to equip the Marines with the vehicle to meet their expeditionary needs.
“Today, with our strategic partner Iveco Defence Vehicles, we are delivering this critical capability to the marines.
Together, we are working to introduce new and future capabilities into the ACV family of vehicles.”
BAE Systems is set to account for 28% of the military land vehicles market due to the procurement of the Amphibious Combat Vehicle (ACV) and others.
Work under the contract will be done at BAE Systems locations in Stafford, Virginia; San Jose, California; Sterling Heights, Michigan; Aiken, South Carolina; and York, Pennsylvania.
GlobalData’s ‘The Global Military Land Vehicles Market 2022-2032’ report states that Global modernisation efforts will drive the demand for military land vehicles. Major countries such as the US, Russia, China, and the UK have fleets of decades-old vehicles that they must replace over the forecast period.
The US DoD plans to spend up to $51.1bn cumulatively by 2032 to upgrade its military land vehicle fleet, including new Amphibious Combat Vehicles (ACV). Similarly, Russia plans to spend up to $44.2bn over the forecast period.
An 8×8 platform, the ACV vehicles have been designed to provide an open-ocean amphibious capability, land mobility, survivability, payload, and growth potential to accommodate the evolving operational needs of the US Marine Corps.
In March 2022, BAE Systems was contracted to develop the ACV-R variant for US Marine Corps for the initial phase of the Amphibious Combat Vehicle (ACV) programme.
