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Rheinmetall MAN Military Vehicles (RMMV) has contracted Queensland-based Holmwood Highgate to deliver fuel and water modules for the Australian Army’s logistics trucks fleet.

RMMV is a joint venture (JV) company between German companies MAN Truck & Bus AG (49%) and Rheinmetall AG (51%).

The latest contract will support new modules for additional vehicles that are being delivered under Land 121 Phase 5B.

LAND 121 is a multi-phased project that is designed to provide the Australian Defence Force with current-generation, high-capability field vehicles, modules and trailers.

Earlier, Holmwood had secured over A$108m of work under Phase 3B of Defence’s Land 121 Program.

Under Land 121 Phase 3B and Phase 5B (Project Overlander) programmes, a total of 3,751 vehicles, 4,730 modules and 2,565 trailers will be delivered across the Australian Defence Force (ADF).

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By GlobalData

Australia Defence Industry Minister Melissa Price said that the $23.2m (A$30m) contract would support ongoing jobs for Holmwood’s 150 Queensland employees.

Price said: “The acquisition of more trucks by defence is creating many opportunities for Australian businesses.

“Critically, this new $23.2m (A$30m) contract with Holmwood Highgate will mean ongoing work for the company’s 150 employees who are based in Queensland.

“These trucks have proven highly capable in their short service-life to date, and given Holmwood’s continued delivery of high-quality products, the company has been contracted to supply additional fuel and water modules for the tanker variant.

“Holmwood Highgate’s partnership with Rheinmetall MAN Military Vehicles Australia is an outstanding example of a small-to-medium business working with prime contractors to deliver top-class technology and Defence capability.”

Over the next ten years, Australia will be investing $445bn (A$575bn) in defence, including $209bn (A$270bn) in capability.

In January this year, RMMV secured a €543m order to deliver additional logistic vehicles to Bundeswehr, the unified armed forces of Germany.